NZ raids shipping insurer over alleged sanctions busting

The insurer denies breaching or trying to circumvent any sanctions, including against Russia and Iran.

Financial crimes officers seized records on October 16 at company offices in Auckland and Christchurch, also searching a home in Auckland, said Detective Inspector Christiaan Barnard.

"Three people were detained and spoken to during the search warrants. At this point, no criminal charges have been filed," he said in a statement to AFP.

Police acted on warrants related to alleged breaches of New Zealand's Russia Sanctions Act.

"As this is an active investigation, NZ Police are not in a position to provide further details, however, we are being assisted by partner agencies, both domestically and internationally."

Insurance journal Lloyd's List has previously reported that Maritime Mutual had insured tankers shipping Iranian oil.

Reuters said this week that the New Zealand insurer had helped tankers carrying Russian and Iranian oil to avoid Western sanctions by providing them with insurance.

It said New Zealand, Australia, Britain and the United States were investigating the insurer over alleged violations of sanctions and financial laws, citing an unnamed source.

Maritime Mutual Insurance Association (MMIA) denied the allegations.

"MMIA categorically rejects any suggestion that the Company has breached applicable sanctions or engaged in conduct designed to circumvent them," it said in a statement.

"For clarification, MMIA does not provide, and has never knowingly provided, P&I (protection and indemnity) insurance to vessels transporting sanctioned Iranian or Russian energy products in contravention of New Zealand, UK, EU, US, or other applicable sanctions regimes."

Maritime Mutual said it immediately withdraws cover from any vessel found to be breaching sanctions.

Russia's shadow fleet is estimated to include up to 1,000 ships, which frequently change their flags and whose ownership is unclear.

The fleet has enabled Moscow to keep exporting its crude oil for much-needed revenue despite curbs on exports since its illegal invasion of Ukraine.

New Zealand is "engaging" with the shipping insurer, a spokesperson for Foreign Minister Winston Peters told AFP in a statement.

"While the Minister does not comment on operational matters, we can confirm that New Zealand agencies are aware of MMIA and engaging with it actively on regulatory matters. However, we are unable to make any further comment," the spokesperson said.

New Zealand takes breaches of UN sanctions, and the sanctions against Russia, "very seriously", the official said.

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