Angelika Hellweger assesses the tightening of sanctions regulations relating to art

With sanctions regulations being modified to stop art and other high-value goods being used to conceal wealth, The National asked Angelika Hellweger for her assessment of the changes.

The Office of Financial Sanctions Implementation (OFSI) has issued regulations requiring those in the art market to report suspicions of sanctions evasion or face fines and even imprisonment. 

Angelika explained that the catalyst for this was the case of alleged Hezbollah financier Nazem Ahmad, whose paintings in London were seized.

She warned that the changes may force smaller dealers to move elsewhere, as they lack the resources to carry out all the due diligence required by the new regulations.

She added: “Many businesses will shift to places where there is not such a strict sanctions legislation, such as Hong Kong for instance or even the US, where the regulations look stringent but where the legislation when it comes to the art market is much weaker.”

But Angelika said it remains to be seen whether the new regulations will be fully enforced.

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Featured at: The National