The U.S. has banned American companies from selling components to leading Chinese telecom equipment maker ZTE Corp for seven years, for its violation of sanctions against North Korea and Iran.

ZTE, which was slapped with a one-point-19 billion dollar penalty for export violations to Iran and North Korea last year, is now facing fresh sanctions from the U.S. 

The Chinese firm allegedly purchased 32 million dollars worth of hardware and software from American firms and exported it to an Iranian firm between January 2012 and March 2016 without securing approval from the U.S.  

The latest ban is the result of ZTE’s failure to comply with an agreement with the U.S. government and false statements given during the U.S. Commerce Department's investigations, after it pleaded guilty last year in a related trial.

ZTE promised the U.S government that it would formally reprimand its executives and deny them bonuses for executing illegal activities, as ordered by the Commerce Department. 

However, the department said that although ZTE said it was complying, the offending executives were still getting bonuses, and that ZTE never issued formal reprimand letters.