Economics

Kalashnikov USA Is Target of U.S. Lawmaker’s Sanctions Probe

A U.S. lawmaker called on the Treasury Department to investigate whether Kalashnikov USA, which makes AK-47-style guns in Florida, violated sanctions on Russian arms makers, after a Bloomberg report revealed its executives had ties to a Russian manufacturer.

Activists protest in front of Kalashnikov USA on Feb.  25, 2018 in Pompano Beach, Florida. 

Photographer: Joe Raedle/Getty Images
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A U.S. congressman called on the Treasury Department to investigate whether Kalashnikov USA, which makes AK-47-style guns in Florida, violated sanctions on Russian arms makers, after a Bloomberg report revealed its executives had ties to a Russian manufacturer.

Democrat Ted Deutch, of Florida, asked John E. Smith, director of the office of foreign assets control at Treasury, to investigate whether Kalashnikov USA imported parts from Concern Kalashnikov JSC, the sanctioned state company that makes AK-47s. Deutch also asked Smith’s office to investigate business ties between the U.S. and Russian companies and its employees, according to a letter sent Wednesday.