Defense Contractor Jeopardized U.S. Soldiers
ITT, the premier night vision equipment supplier to the U.S. military, will pay $100 million in fines for violating the Arms Exports Control Act by sending sensitive information to China, Singapore and Britain without permission. The U.S. attorney in charge of the case said American soldiers were the “principal victims of ITT’s crimes.”
Thanks to John Lemke for the tip!
CNN:
WASHINGTON (CNN) — The leading manufacturer of night vision gear for the Defense Department has admitted sending classified materials overseas and will pay a $100 million penalty, according to federal prosecutors, who say the actions of ITT Corp. have jeopardized the security of U.S. soldiers.
ITT, based in Roanoke, Va., exported classified or sensitive technical data to China, Singapore and Britain without having obtained authorization from the United States, prosecutors said.
The conviction is the first involving a major defense contractor violating the Arms Export Control Act, prosecutors said.
Saying that American soldiers are “the principal victims of ITT’s crimes,” U.S. Attorney John Brownlee said he has structured the $100 million penalty so that half of the money is spent by ITT to develop a next-generation night vision system and “ensure that our soldiers have the best night vision equipment in the world.”