SORM: Penalties Imposed for Non-Compliance with SORM Equipment Installation in Russia

A new law signed by the President of Russia, V. Putin, imposes fines on telecom operators who fail to install SORM (System of Operative-Investigative Measures) equipment on their networks.

SORM is a mandatory system that enables the investigation of crimes and the prevention of terrorist activities.

The law is expected to come into effect on January 1, 2024.

Fines for Non-Compliance

Under the new law, operators who have not installed SORM equipment will face fines.

For the first violation, the fines will range from 0.001% to 0.003% of the operator’s annual revenue.

In the case of a second violation, the fines will increase from 0.01% to 0.03% of the annual revenue.

Background

The law was presented to the Ministry of Digital Development for public discussion last year, allowing for feedback and suggestions.

It was then proposed to introduce fines on the annual turnovers of the operators.

Following the completion of the previously submitted draft law, the related bill was published on regulation.gov.ru.

The revised draft law suggests adding new provisions to Article 13.46 of the Code of Administrative Offenses of the Russian Federation.

These provisions state that failure to fulfill the obligation of implementing the requirements for networks and means of communication used by authorized state bodies for operational-search activities or national security can result in an administrative fine for legal entities.

The fine can range from 300,000 rubles to 500,000 rubles.

If the same administrative offense is committed repeatedly, further fines will be imposed.

These fines will amount to one ten thousandth to five ten thousandths of the offender’s proceeds from providing communication services in the preceding calendar year.

However, the fine will not exceed two ten thousandths of the total proceeds from the sale of all goods, works, or services, and it will be at least one million rubles.

These were the provisions added to the draft that proposed penalties for telecom operators who fail to comply with the requirements for implementing the SORM system in Russia.

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