Archive for the ‘India’ Category

$100,000 Penalty for 14 Violations Committed by Meritor of Troy

Tuesday, May 3rd, 2011 by Anna Barone

The Commerce Department’s Bureau of Industry and Security (BIS) has recently announced that Meritor of Troy, MI has committed 14 violations of the Export Administration Regulations. They have agreed to pay a $100,000 civil fine to settle allegations. The company recognized their own offenses, disclosed the violations and fully cooperated with the investigation of the Office of Export Enforcement.

Between August 2005 and November 2006 there were two instances in which Meritor shipped products, that were controlled for national security reasons, to China and France. Also, between December 2005 and May 2006 there were twelve instances in which the company exported technical data, that was controlled for national security reasons, to Italy, India, China, Mexico, South Korea and Brazil.

Meritor is a global leader in providing innovative drivetrain mobility and braking solutions for original equipment manufacturers of trucks, trailers and specialty vehicles, as well as the related aftermarkets in the transportation and industrial sectors.  They celebrated a centennial anniversary in 2009.

More Information Available:

http://www.bis.doc.gov/news/2011/bis_press03222011.htm

Posted in BIS, China, France, India, USA Regulations, USA Regulations, Violations & Fines | No Comments »

Obama Announces Changes in US Export Control Policy for India

Wednesday, November 24th, 2010 by John Black

The president recently announced that the United States will be taking steps to support and strengthen cooperation between the US and India. Prime Minister Singh and President Obama have agreed to a four part export control reform program that is designed to create a strategic partnership between the US and India. (more…)

Posted in BIS, Commerce Dept, DDTC, Defense Trade Controls, EAR, India, ITAR, USA Regulations | Comments Off

Great Scott Batman, Another Illegal Valve Exporter!

Tuesday, September 7th, 2010 by John Black

You don’t have to have Batman’s “bat senses” to figure out that the pump and valve industry is doing their part to keep US Government export enforcement personnel busy.  This time, the culprit is Tyco Valves & Controls (TVC) with 26 violations for illegal exports of ECCN 2B350 butterfly valves, ball valves, and valve assemblies to China, the UAE, Mexico, India, Israel, Brazil, Singapore, Chile, Jordan and El Salvador. The violations occurred between January 2005 and March 2007.

In this case, the US Government did not have to bring in Batman to find these illegal exports.  TVC voluntarily disclosed its violations to the Department of Commerce and agreed to pay a $218,000 penalty to settle the charges.

Posted in BIS, CCL, China, Commerce Dept, Export License, India, Sanctions, Singapore, UAE, Violations & Fines | Comments Off

BIS Suspends Validated End User Status for Two Companies

Friday, February 19th, 2010 by Danielle McClellan

BIS recently amended the EAR to suspend 2 companies Authorized Validated End-User (VEU) status. Aviza Technology China and GE India’s GE Fanuc Systems PVT Ltd. were both added to the VEU program in 2009 and because of material changes at the companies, they have been suspended from the program. BIS states that the suspension is not the result of any prohibited activities by the two companies. The VEU program is very strict and often a material change that could affect a company’s status could be a change in management or failure of the company to provide financial reports on a timely basis.

So, while it is difficult to get on the VEU list, it is apparently easy to get kicked off the list—VEU’s make sure you submit your financial reports on time!

Federal Register: http://edocket.access.gpo.gov/2009/E9-30487.htm

Posted in BIS, China, EAR, India | Comments Off

Keithly Pays $125,000 for Dealing with Prohibited Party on Entity List

Friday, February 19th, 2010 by Danielle McClellan

Keithly Instruments International Corp. (KIIC), located in Bangalore, India has been charged with one violation of evasion. The charging letter describes a scheme devised by KICC’s manager at the time, Mugar Ashok to export electronic instruments classified as 3A992 and EAR99 from the company’s US parent company to the Vikram Sarabhai Space Center (VSSC), who is currently designated on BIS’s Entity List (Supplement No. 4 to Part 744). (more…)

Posted in BIS, EAR, Export License, India, Violations & Fines | Comments Off

Foreign Subsidiaries Cause Violations for US Parent

Wednesday, September 30th, 2009 by Danielle McClellan

Most US companies spend time and money to make sure their facilities are in compliance with US export regulations but many fail to spend time educating their foreign subsidiaries on these same laws. Thermon Manufacturing Company, a Texas based firm, is a great example of this. Earlier this month Thermon voluntarily disclosed several violations and agreed to pay $176,000 in combined civil penalties. Thermon itself did not violate the EAR, but its five foreign subsidiaries did when they reexported the US company’s EAR 99 heat tracing equipment to Iran, Syria, Libya, and listed entities in India. (more…)

Posted in BIS, Denied & Restricted Parties, Export License, India, Iran, Libya, OFAC, Sanctions, Syria, Violations & Fines | Comments Off

Valve Exporter Pays $610,000 Penalty

Monday, August 31st, 2009 by Danielle McClellan

It’s always important for companies to stay up to date with the Export Administration Regulations; they change often which can lead to normally compliant companies to have violations. A great example of this is a recent BIS settlement; FMC Technologies, Inc. of Houston has agreed to pay a civil penalty of $610,000. The company voluntarily disclosed that it had 78 unlicensed exports of butterfly and check valves (ECCN 2B350). (more…)

Posted in BIS, China, Export License, India, UAE, Violations & Fines | Comments Off

India Wants to Streamline End User Monitoring Agreements Process

Thursday, July 30th, 2009 by Danielle McClellan

Over the last seven years India has signed five End User Monitoring Agreements (EUMA) with the US, these were all on a case-by-case basis and now it seems India is looking for an umbrella EUMA that would cover all future imports of US military equipment, getting rid of the delays caused by negotiations for agreements for individual transactions. Under these EUMA’s India must verify with the US that the military equipment has not been reexported to a third country. Inspectors under the “Blue Lantern” and the “Golden Sentry” programs must verify the equipment, delivery, use and sometimes even disposal of the articles exported to India under these EUMAs. (more…)

Posted in India, State Dept, USA Regulations | Comments Off

US and India Agree to Use of US ITAR Components on Indian Launch Vehicles

Thursday, July 30th, 2009 by Danielle McClellan

On July 20, 2009, the US and India signed a Technology Safeguards Agreement which will authorize the launch of civil and non-commercial satellites containing US ITAR-controlled components on Indian space launch vehicles. Commercial satellites (communications or otherwise) are NOT included in this agreement and DDTC states that they will “continue to be subject to a presumption of denial.” Hybrid commercial satellites containing non-commercial payloads will be reviewed on a case-by-case basis…which could also lead you to presume these will also be denied in most cases. (more…)

Posted in DDTC, India, ITAR | Comments Off

GE India Gets US Validated End User Status

Thursday, July 2nd, 2009 by John Black

In the July 2, 2009 Federal Register, the Commerce Department announced that GE India is a Validated End User (“VEU”). Certain items that normally require an export or reexport license for India are now license-free for GE India under the VEU program. (more…)

Posted in BIS, Export License, India | Comments Off

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