Background

The Department of Justice reports that the owner of two defense contracting firms has been sentenced to 36 months in prison and ordered to pay $8.04 million in restitution after pleading guilty to conspiracy to violate the Arms Export Control Act, providing non-conforming parts for military equipment, and evading income taxes.

According to a DOJ press release, the man admitted that he submitted to the Department of Defense a fraudulent application for access to export-controlled drawings and technical data on behalf of a family member’s company. The man acknowledged that access to these drawings and data was limited to U.S. citizens and those lawfully in the U.S., but the family member at issue was in the U.S. illegally. As a result of the man’s actions hundreds of drawings that were sensitive in nature and required special access were accessed or downloaded illegally.

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