Yacht builder Sunseeker International has become the first company fined by a U.K. court for using illegally imported timber from military-controlled Myanmar on some of its vessels. The U.K.-based company, which claims to be “the world’s leading brand for luxury motor yachts,” pleaded guilty to three charges of violating the U.K. Timber Regulation (UKTR). The charges include the company’s failure to ensure it was placing legally sourced timber products on the market, and noncompliant record-keeping of timber origins. The judge, calling Sunseeker’s actions a “systemic failure,” imposed a penalty of 358,759.64 pounds (about $454,300) for 11 specific timber imports, the U.K.-based Environmental Investigation Agency (EIA) said in a press release. “The Sunseeker Board regrets the Company’s failure in meeting its responsibilities under the UKTR and underlines its ongoing commitment to compliance with laws and regulations,” Sunseeker said in an emailed statement to Mongabay. It added it would implement “a robust timber procurement policy and a UKTR compliant due diligence process.” Teak from Myanmar, commonly referred to as Burmese teak, is sought after for luxury yachts because of its high quality and natural water resistance, Mongabay has previously reported. However, much of the timber has been dubbed “blood teak” or “blood timber” due to its association with the illegal timber trade funding Myanmar’s military junta. After the violent military coup in 2021, the EU, U.S. and other countries imposed sanctions on military-run enterprises, including those involving timber. Faith Doherty, forests campaigner leader at EIA, which first called out Sunseeker and another…This article was originally published on Mongabay