A United Arab Emirates-based tobacco products firm has agreed to pay over $665,000 in fines and institute new compliance measures after admitting to violating U.S. sanctions on North Korea, the U.S. Justice Department announced on Thursday.

In a deferred prosecution agreement with the U.S. Justice Department and a settlement agreement with the U.S. Treasury Department, Essentra FZE, at the time a joint-venture with parent UK firm Essentra PLC, admitted to knowing and illegal use of the U.S. banking system in transactions with DPRK entities.

The scheme involved procuring cigarette filter tips for a North Korean customer by re-exporting the