Amazon Under Fire: Whistleblower Alleges Sanctions Breach

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Mayur Joshi
Mayur Joshihttp://www.mayurjoshi.com
Mayur Joshi is a contributing editor to Regtechtimes, he is recognized for his insightful reporting and analysis on financial crimes, particularly in the realms of espionage and sanctions. Mayur's expertise extends globally, with a notable focus on the sanctions imposed by OFAC, as well as those from the US, UK, and Australia. He is also regular contributor on Geopolitical subjects and have been writing about China. He has authored seven books on financial crimes and compliance, solidifying his reputation as a thought leader in the industry. One of his significant contributions is designing India's first certification program in Anti-Money Laundering, highlighting his commitment to enhancing AML practices. His book on global sanctions further underscores his deep knowledge and influence in the field of regtech.

Amazon is in the spotlight as a former employee alleges that the company violated UK sanctions by supplying facial recognition technology to Russia after the Ukraine invasion. This claim is part of a broader legal battle, where the ex-employee also accuses Amazon of unfair dismissal.

Background of the Allegations

Charles Forrest, an ex-employee of Amazon Web Services (AWS), has brought forward serious allegations against his former employer. He claims that Amazon provided its facial recognition technology to a Russian company, VisionLabs, even after the full-scale invasion of Ukraine by Russia. This alleged action would be a direct violation of the UK sanctions imposed on Moscow.

VisionLabs is known for its advanced facial recognition technology and offers the Luna Platform. The company’s technology is distinguished by its high accuracy, capable of recognizing faces under challenging conditions such as low light and varied angles, and its ability to process large volumes of images quickly, which is crucial for real-time applications.

VisionLabs’ solutions are widely used in sectors like security, finance, and retail, where reliable and efficient facial recognition is essential for identity verification, surveillance, and customer analytics. It is a Russian Company based in Moscow.

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Legal Proceedings and Claims

Forrest presented his evidence at a preliminary hearing in the central London employment tribunal. He claims that his whistleblowing on several issues led to his unfair dismissal. He worked for Amazon for four years until 2023 and asserts that he was fired for “gross misconduct” after raising these concerns.

Amazon denies these allegations, stating that Forrest was dismissed for not adhering to his contractual hours and failing to attend or respond to meetings and emails. An Amazon spokesperson mentioned that the claims lack merit and that the company is looking forward to addressing them through legal proceedings.

The London tribunal hearing revealed Forrest’s belief that his 2023 dismissal was a direct outcome of his whistleblower activities from November 2022 to May 2023. He maintains that his allegations against Amazon led to his termination.

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Specific Allegations by Forrest

Charles Forrest Made some really intriguing allegations against Amazon. If they are proved right then Amazon might find itself entangled in a bitter legal battle.

Forrest’s accusations include:

  • Illegal Supply of Technology: He claims that Amazon supplied facial recognition technology to the Russian state security services through VisionLabs using a shell company based in the Netherlands. He alleges this occurred after the UK imposed sanctions against Moscow following the Ukraine invasion.
  • Breaking Moratorium on Police Use: Forrest also alleges that Amazon breached its self-imposed ban on police use of its facial recognition technology, which was implemented after George Floyd’s murder. He claims that UK police used the technology to process mugshots and identify offenders, even after the ban was in place.

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Amazon Official Statements and Evidence

Amazon firmly denies the sale of its Rekognition services to VisionLabs based on available evidence and billing records. The company also denies that Forrest made any protected disclosures or that it violated any international sanctions. They argue that many of Forrest’s claims lack clear information and legal basis.

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Forrest states that he reported these alleged illegal activities to the UK House of Commons defence select committee and the Serious Fraud Office (SFO) in May 2023. However, Amazon claims it is unaware of any reports Forrest might have made to the SFO and denies any wrongdoing related to international sanctions.

This case has significant implications for Amazon and its operations, especially concerning compliance with international laws and internal policies. The ongoing legal battle will likely bring more details to light and could impact Amazon’s reputation and regulatory practices.

As this case unfolds, it serves as a critical reminder for multinational companies about the importance of compliance with international laws and internal policies. It also highlights the potential repercussions for whistleblowers and the need for transparent and fair handling of their claims.

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