Category: Violations

A recent story in the Sarasota Herald-Tribune describes a raid conducted by law enforcement agents of a local warehouse owned by a multimillion-dollar package forwarding company named MyUS.com. The article provides few details on the raid, other than to say this is part of an active investigation related to “export enforcement.” It also quotes the...

The clock is officially “ticking.” BIS just published a proposed new rule which would effectively limit the timeframe between a company submitting an initial disclosure and a final disclosure for suspected violations of the EAR. The new rule also proposes some administrative changes to the process by which a company reports suspected violations. The main...

A U.S. District Judge has sentenced a man from Tampa, FL, to serve four years in federal prison for violations stemming from the illegal export of computer equipment to Iran. According to the Department of Justice press release, Mohammad Reza "Ray" Hajian (57, Tampa) will serve four years in prison, followed by one year of...

Last week, the Department of Justice announced one of its latest efforts to prevent the export of sensitive items and technologies to unauthorized foreign nationals. The case, portions of which read like a Tom Clancy spy novel, centers around a Russian-born defendant who is now a naturalized U.S. citizen – Alexander Fishenko. According to the...

Here’s a quick test. Select a random employee and ask him or her: “What does ITAR stand for?” Do they remember? Do they stutter while answering? Or do they just give you a funny look and walk away? Of course, your employees need to know much more than this simple question. (But hey, I told...

Joseph Debose, 30, – a resident of North Carolina and former Staff Sergeant with a U.S. Special Forces National Guard Unit – faces up to 20 years imprisonment for the illegal export of firearms to China. The government has charged Debose with making multiple shipments of semiautomatic handguns, rifles and shotguns to customers in China....

Ever heard of the BIS Entity List? More importantly, are you screening your transactions against this and other U.S. government watch lists? If you’re like most companies that we talk to, the answer to both of these questions is: “No.” In fact, it’s safe to say that many – and perhaps even most – companies...

Yesterday it was announced that United Technologies (UTC) and two of its subsidiaries – Pratt & Whitney Canada and Hamilton Sundstrand – have entered into a consent agreement with the U.S. Department of State. The companies will pay $75 million in ITAR violation penalties, to settle a total of 576 separate charges alleging wrongdoing. According...

Here’s a quick lesson on compliance to the EAR regulations. If you’re going to import items from Cuba to the United States, then return them through your foreign subsidiary back to Cuba, well ... don’t do that. (And if you do end up doing this, then don’t take steps to knowingly conceal the activity from...

Most people think of export violations related to weapons of mass destruction, anti-terrorism, and highly-technological items. It’s easy to recall the ITAR violations of companies like BAE Systems (fined $79 million in 2010); or ITT (fined $100 million in 2007); or even Cabela’s (fined $680,000 for the illegal export of rifle scopes). But what about...