Thursday, September 10, 2015

Military Technology Exporter Admits to Spying for Moscow

The founder of a Houston-based technology company admitted to spying for Russia while in the U.S. and conspiring to export microelectronics to Russian military and intelligence agencies.

Alexander Fishenko, a dual Russian-U.S. citizen, was scheduled to go to trial this month on charges of scheming to illegally supply Russia with computer chips and other high-tech goods. He pleaded guilty Wednesday in Brooklyn, New York, federal court to all charges, said his lawyer, Richard Levitt.

The computer chips supplied by the company appear similar to those used in missiles and fighter jets, the government said in court papers.

“Fishenko lined his pockets at the expense of our national security,” Acting U.S. Attorney Kelly Currie said in a statement. “This prosecution highlights the importance of vigorously enforcing United States export control laws.”

The technology exporter founded Arc Electronics in 1998 and shipped about $50 million worth of technological products to Russia, according to prosecutors. He and co-conspirators are alleged to have evaded export licensing requirements and provided false information about goods to U.S. officials. At one time, Arc falsely claimed to make traffic lights even though it operated exclusively as an exporter, prosecutors said.

Fishenko, 49, was accused of violating the International Emergency Economic Powers Act and the Arms Export Control Act, obstructing justice and operating as an unregistered agent of the Russian government. He faces as long as 20 years in prison on each of the most serious charges.

Three of the alleged co-conspirators are still scheduled to go to trial on Sept. 21.

The case is U.S. v. Fishenko, 1:12-cr-626, U.S. District Court, Eastern District of New York (Brooklyn).

http://www.bloomberg.com/news/articles/2015-09-09/military-tech-exporter-pleads-guilty-to-spying-for-russia


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