Effective April 20, 2023, the Department of State has imposed administrative debarment under the International Traffic in Arms Regulations on a company that (1) exported ITAR-controlled defense articles (e.g., hobby rocket motors, video trackers, and a gas turbine engine) to Vietnam, a proscribed country at the time of the violations, and (2) knowingly providing false statements on the required end-use statements for the purpose of causing those exports.
As a result, this company is prohibited from participating directly or indirectly in defense trade, including any activities subject to the ITAR.
Exceptions to this debarment may be made on a case-by-case basis. However, any such exception would be granted only after a full review of all circumstances, with particular attention to whether an exception is warranted by overriding U.S. foreign policy or national security interests, whether an exception would further law enforcement concerns that are consistent with U.S. foreign policy or national security interests, or whether other compelling circumstances exist that are consistent with U.S. foreign policy or national security interests and that do not conflict with law enforcement concerns. Even if exceptions are granted, the debarment will continue until subsequent reinstatement.
The company will be subject to this debarment until April 20, 2026. Export privileges may be reinstated only at the request of the debarred person, contingent on its full compliance with the terms of the consent agreement.
For more information on defense export rules, please contact attorney Kristine Pirnia via email.
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