ITT Corp to Pay $100 Million Penalty, Plead Guilty to Illegally Exporting Secret Military Data Overs

[babylonsister]

http://lawfuel.com/show-release.asp?ID=11356

Selling Night Vision Secrets To China - ITT Corporation to Pay $100 Million Penalty and Plead Guilty to Illegally Exporting Secret Military Data Overseas

News Item
Selling Night Vision Secrets To China - ITT Corporation to Pay $100 Million Penalty and Plead Guilty to Illegally Exporting Secret Military Data Overseas


Prosecutions
Prosecutions
North America
North America
Source
Source: US Department of Justice



Posted on Tuesday, March 27, 2007




WASHINGTON— LAWFUEL - US Legal News - ITT Corporation, the leading manufacturer of military night vision equipment for the U.S. Armed Forces, has admitted sending classified materials overseas and will pay a $100 million penalty, Assistant Attorney General for the National Security Division Kenneth L. Wainstein and U.S. Attorney for the Western District of Virginia John L. Brownlee announced today, along with the Defense Criminal Investigative Service (DCIS) and U.S. Immigration and Customs Enforcement (ICE).

The corporation will pay a total monetary penalty of $100 million, one of the largest penalties ever paid in a criminal case. ITT Corporation will also be the first major defense contractor convicted of a criminal violation of the Arms Export Control Act.

According to the written plea agreement to be filed in U.S. District Court in Roanoke, Va., ITT Corporation will plead guilty to one count each of export of defense articles without a license and omission of statements of material facts in arms exports reports.

Assistant Attorney General Wainstein said, “The sensitive night vision systems produced by ITT Corporation are critical to U.S. war-fighting capability and are sought by our enemies and allies alike. ITT’s exportation of this sensitive technology to China and other nations jeopardized our national security and the safety of our military men and women on the battlefield. We commend the prosecution team and ITT Corporation for developing a plea agreement that addresses the violations of the past, ensures compliance in the future, and serves as a strong warning to others who might be tempted by the profits of such illegal exports.”

“The superior quality of our night vision technology gives the United States Armed Forces an enormous advantage on the battlefield. Sending sensitive information on these advancements overseas without the necessary licenses puts that advantage in jeopardy,” said U.S. Attorney John Brownlee. “We hope the agreement reached with ITT will send a clear message that any corporation who unlawfully sends classified or export- controlled material overseas will be prosecuted and punished. In addition, the remedial action plan that is part of this agreement is designed to bring ITT Corporation back into full compliance, which will benefit both the corporation and the United States.”

more...

[mod mom]

1. Shouldn't those responsible for the decision be charged w treason or is it

protected because they support the GOP?

[Fresh_Start]

3. agreed

a fine is not sufficient.
Criminal charges are in order

[Richard Steele]

5. Protected by the fiction of "Corporate Personhood".

Since these criminals are operating a CORPORATION,
they cannot be prosecuted for this crime. The corporation
itself is legally the "person" responsible for their
criminal actions.

Nice deal, huh?

[mod mom]

17. So let's say you work for Blackwater, shoot someone while working, you're not liable

but the corporation can be sued?

[Richard Steele]

24. I don't think I've ever heard of such a case being put to the test.

Of course, we didn't USED TO have corporations making money
as private mercenary Armies-by-the-hour(openly, anyway),
so I wouldn't be surprised to see EXACLY that situation
being argued in some court before very long.

And, given some of the OBSCENE crap that Corporations
are already allowed to get away with, I really wouldn't
be surprised if that court rules that the shooter cannot
be charged because the "kill order" came from the head office.

[babylonsister]

6. I think treason sounds about right. This is a slap on the wrist; they turn

around and make more money.

[Roland99]

2. I was just about to post about this. NBC Nightly News reported ITT gets to....

build a NEW version of night vision goggles so the new version will have new technology that won't be known to someone else.

And ITT will get to make even MORE MONEY in the process!


WHEEEEEE!!!!

[babylonsister]

4. I heard it on NBC, too. Hadn't heard a peep about this all day. nt

[Tandalayo_Scheisskopf]

7. So, ultimately...

$100 million fine is a drop in the bucket.

What was that about "Clinton tranferred secrets to China"? Is there a troll out there that would like to kick that dead horse again? Anyone? Bueller?

[Viva_La_Revolution]

8. I was thinking the very same thing!

Great minds and all that. :toast:

[Cobalt Violet]

9. Is there no such thing as treason any more in this country?

100 million won't last in Bu$hler's war for very long.

[elehhhhna]

10. ITT's ex Chair, CEO now works forr --wait for it-- The Carlyle Group!

Carlyle Team

Louis J. Giuliano
Senior Advisor
The Plains, VA

Fund : U.S. Buyout
Industry : Aerospace & Defense
Automotive & Trans Industrial


Louis J. Giuliano is a Senior Advisor to the Aerospace & Defense, Automotive & Transportation and Industrial Groups, advising Carlyle on investments in these sectors, helping improve portfolio company operations and mentoring portfolio company officials. He is based in Virginia.

Mr. Giuliano led ITT Industries from 2001 through June 2004 as Chairman, President and Chief Executive Officer. He remained as Chairman until December 2004. Prior to serving as President and CEO, Mr. Giuliano was President and Chief Operating officer from 1998 through 2000. Mr. Giuliano played a key role in growing the company’s revenues and performance, leading to significantly stronger margins and higher cash flow. He led the company’s Value Based Six Sigma efforts, a strategy designed to streamline processes and increase competitiveness throughout the company.

Prior to being named President and Chief Operating Officer of ITT Industries in 1998, Mr. Giuliano was President and Chief Executive Officer of ITT Industries’ Defense and Electronics businesses and Senior Vice President of ITT Industries for eight years. During that time, the businesses entered new, rapidly growing markets, and achieved consistent sales and income growth, despite dramatic reductions in the defense budget.

http://www.thecarlylegroup.com/eng/team/l5-team3092.html

[babylonsister]

11. Hell, why am I not surprised? nt

[Jcrowley]

12. Just doin' business

...Or that Colonel Sosthenes Behn, the head of the international American telephone conglomerate ITT, flew from New York to Madrid to Berne during the war to help improve Hitler's communications systems and improve the robot bombs that devastated London? Or that ITT built the Focke-Wulfs that dropped bombs on British and American troops? Or that crucial ball bearings were shipped to Nazi-associated customers in Latin America with the collusion of the vice-chairman of the U. S. War Production Board in partnership with Goring's cousin in Philadelphia when American forces were desperately short of them? Or that such arrangements were known about in Washington and either sanctioned or deliberately ignored?

For the government did sanction such dubious transactions-both before and after Pearl Harbor. A presidential edict, issued six days after December 7, 1941, actually set up the legislation whereby licensing arrangements for trading with the enemy could officially be granted. Often during the years after Pearl Harbor the government permitted such trading. For example, ITT was allowed...

http://www.thirdworldtraveler.com/Fascism/Trading_Enemy_excerpts.html

[Tom Joad]

13. An ITT scandel... now doesn't that bring back fond memories...

http://www.archive.org/details/nixon-03-24-1972

[hootinholler]

14. Funny I deleted some job spam from them

They're lookin for cleared SW Engineers for a big wireless project.

Yeah, here it is, in my trash folder...

[Canuckistanian]

15. Oh, please.

Night vision is a technological no-brainer.

It's simple physics. And with the (widely available) components available today, night vision is just a matter of engineering, not science.

The Chinese probably looked at the documents and said, "We paid for THIS"?

[babylonsister]

16. So a 'no brainer' cost them $100M bucks? Sure. nt

[Canuckistanian]

20. Honestly, this ain't Rocket science

I've worked in the business. Night vision is NOT ground breaking technology. It's been around since the 60's.

The Chinese were looking for way to avoid $millions in R&D. That's all I'm saying.

[babylonsister]

21. Secrets were sold from what I've read. That's not right. And bravo for

you working in the biz, but I think this is a bit more given the fine.

[Canuckistanian]

22. It must be

Sorry for acting "the expert know-it-all".

I've criticized some in the past for doing so.

[Richard Steele]

18. Your arguement assumes that the Chinese are clueless idiots.

They aren't. They didn't buy this tech without knowing
what it was, and deciding that buying it was easier
than engineering it themselves.

[Canuckistanian]

19. I'm not at all

The Chinese are probably on par, if not ahead of the Americans by now.

I'm just saying that they might have bought a pig in a poke.

[babylonsister]

23. I'm still PISSED OFF about this, despite the people who aren't. tn

[babylonsister]

25. Kick thiis b.s. for knowledge.nt

[Roland99]

26. Kick for the morning crowd