February 20, 2024
København, Denmark
Others

Systematic Efforts To Bypass Danish Rules On Export To UAE

Systematic Efforts To Bypass Danish Rules On Export To UAE

DanWatch and TV2 asked experts about their opinion who all believe that the Systematics exports to the Emirates appear to be an international move to circumvent the Danish export ban.

Tom Kirchmaier, Professor of Economic Crime at Copenhagen Business School said “ Certainly, it seems that they are applying for export licences in the UK to circumvent the ban”.

He further added, “ I do not necessarily think that they are breaking the letter of the Law, but they are circumventing it. It is very clear that they are breaking the spirit of the law”.

On the other side, however, Systematic refused to accept that it was an intentional move to bypass Denmark’s export ban to the UAE.

Maria Lindstrom, the Company’s Press Manager said “It is our normal business practice for our office in the UK to handle customers outside of the Nordic region and Northern Europe”.

The Press Manager suggests that the company also applied for an export permit to the UAE from the United Kingdom in 2011 and 2013. So the 2018 export permit to UAE was also a similar kind of operation.

End-user unknown

The latest Danish licence to export its two software IRIS and Sitaware from its head office in Aarhus to the United Kingdom has no specified end user.

Systematic applied for this permit from Danish authorities a month after posting a job advertisement for employees who can implement Sitaware and Iris at the UAE military.

Systematic Uk subsidiary has been in place since 1992. According to various reports, Its Uk subsidiary has been exporting software from the UK to so many other countries even outside the UK and the EU.

In an email message, the press manager for systematic explained their method that they first export the master version of their software product from base Aarhus to Uk on the basis of Danish licence.

In the U، subsidiary, they create copies of software products and make some changes to them before sending them to the customer.

Lindstrom said, “ In that way, Systematic Uk can deliver systematic software to customers around the world based on the English export permits issued on the basis of English rules”.

Ignoring Danish Policy Makers

Systematic ongoing exports to the UAE are violating all the rules set by the Lars Lokke cabinet and the current social democratic government.

Jeppe Kofod, Denmark’s Foreign Minister said in 2020 “ My line is very clear: weapons and military equipment should not be exported to either Saudi Arabia or the United Arab Emirates from Denmark, as long as the products in question risk being used in the Yemen conflict”.

Mr . Micheal Holm, Systematic CEO still feels that he is not violating any rule of the Danish government by exporting software to UAE from its UK subsidiary.

He also claimed that the company does not need to necessarily have an end-user certificate. For example, if we sell our products to a UK subsidiary that can sell the product further in any other country without telling the Denmark authorities.

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