Where Industry and Security Intersect
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Assistant Secretary of Commerce for Export Enforcement Michael J. Garcia announced today that a $52,500 civil penalty has been imposed on Automated Quality Technologies, Inc., of Shoreview, Minnesota for violating export laws. Automated Quality Technology, also know as Lion Precision, agreed to the penalty to settle charges that it illegally exported measuring probes to Singapore, Taiwan, and Thailand.
Measuring probes are high performance devices capable of precise measurements in the construction of military equipment. The Commerce Department's Bureau of Export Administration ("BXA") controls the export of these items for nuclear nonproliferation and national security reasons.
BXA alleged that on seven occasions between June 1996 and December 1997, Lion Precision exported measuring probes to Singapore, Taiwan, and Thailand without the required BXA export licenses. While neither admitting nor denying the charges, Lion Precision agreed to pay a civil penalty of $52,500. The first installment of the penalty is due within 30 days from the date of entry of the Order imposing the penalty. A portion of the penalty - $42,500 - was suspended and will be waived after two years, provided that the company does not commit any violations during this two-year period.
The Department of Commerce, through BXA, administers and enforces export controls for reasons of national security, foreign policy, nonproliferation, anti-terrorism, and short supply. Criminal penalties and administrative sanctions can be imposed for violations of the regulations.
Assistant Secretary Garcia commended Special Agent David Nardella, from the Chicago Field Office, who investigated this case.
In April of 2002 the Bureau of Export Administration (BXA) changed its name to the Bureau of Industry and Security(BIS). For historical purposes we have not changed the references to BXA in the legacy documents found in the Archived Press and Public Information.