UK Probing Manager of Perfume Companies for Violating Russia Sanctions

The U.K. is investigating David Crisp, the manager of a luxury perfume brand, for allegedly exporting perfume to Russia in violation of U.K. sanctions, according to a civil judgment released this month by the U.K. High Court of Justice.

The court revealed that the U.K.’s customs agency arrested Crisp in October, confiscating his mobile phone, iPad and laptop. He was released in March and is no longer on bail, but he “remains under criminal investigation,” the court said. “In the event that there were proceedings initiated by the Crown Prosecution Service, he would be notified.”

Crisp denied that he committed a “deliberate breach” of U.K. sanctions against Russia, the court said, adding that he believes it was an “innocent mistake.”

The judgment by the court upheld a decision to remove Crisp from his leadership role with Valorem Holdings Ltd, Valorem Capital One Ltd, Valorem Distribution Ltd, Valorem Bespoke Ltd and CP Parfums Ltd. David Garofalo, an investor in the companies and board chairman, had sued Crisp and pushed to remove him from the businesses after alleging that Crisp caused the companies, without their “knowledge or consent,” to violate sanctions against Russia.

“The removal of Mr Crisp was said to be the only way to mitigate the threat to the reputational damage of the companies and ultimately to their viability arising from the breach of sanctions regulations,” the court said. This “change of management order is appropriate” and will “remain in force until trial or earlier order and will not be discharged.”