NEW YORK – 3 March 2022 – As a global company that aims to root out corruption, K2 Integrity emphatically condemns Russia’s invasion of Ukraine. President Volodymyr Zelenskyy’s efforts to combat corruption and embrace democracy in his country represented a clear threat to Ukraine’s neighbor. Russia is now facing unprecedented pressure as a result of the economic and financial sanctions taken by the United States, United Kingdom, and European Union, and we fully support all efforts to freeze, seize, and recover ill-gotten assets.
The safety and well-being of our colleagues and their families living and working in the region is paramount. We are deeply troubled by these events and thinking, as a company, not just about the ways in which we can help here, but also about how we can contribute through our unique work and expertise to others around the world whose lives have been upended and threatened by military action.
In the short-term, we remain focused on advising our clients via frequent Policy Alerts being issued over the course of the first weeks of the invasion. As noted in our most recent alert:
Industries should be prepared for a potential full-scale trade embargo and should analyze their exposure to Russia and Belarus. While the short-term impact of sanctions and restrictions are hurting the Russian economy, the broader message from the EU and United States indicates that these restrictions will not stop until Russia ceases fire and retreats from Ukraine.
In light of its rapidly diminishing access to the global market, we anticipate that Russia will pursue efforts to evade various sanctions prohibitions. In addition to traditional nontransparent practices, evolving sanctions evasion techniques may emerge, which may require adjustments to client and transaction monitoring programs to detect these evasions tactics.
K2 Integrity’s Washington, London, and New York teams have deep expertise on sanctions-related matters and regularly advise governments and financial institutions on this complex topic. On March 3rd, we will be hosting a webinar entitled Sanctions Against Russia: Understanding the Evolving Picture and What It Means at 12:30pm ET.
As President Joseph Biden once said, ‘Corruption is a cancer, a cancer that eats away at a citizen’s faith in democracy.’ We at K2 Integrity can stand by our colleagues in Ukraine by battling corruption in all of its ugly forms.