German company Siemens AG announced Friday that it will halt deliveries of power generation equipment to Russian state-controlled entities after its turbines were found in Crimea.
The industrial group will also divest its shares in Russian company Interautomatika.
Siemens said that it had received "credible information" that all four gas turbines, which it delivered to southern Russia last year, had been "locally modified and illegally moved to Crimea."
"Siemens took all measures within its power to prevent this," the Munich-based company said in a statement, adding that "this behavior represents a blatant breach of supply contracts with Siemens, trust and EU regulations."
The EU allows the export of power station parts to Russia but not Crimea, which rejoined Russia in 2014 following a referendum.
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