Louisiana Firm Settles Charges of Illegal Exports to Iran

WASHINGTON -- The U.S. Commerce Department’s Bureau of Industry and Security (BIS) announced that Engineering Dynamics, Inc. (EDI) has agreed to pay $132,791 in civil penalties to settle a charge that it violated the Export Administration Regulations (EAR).  BIS alleges that between March 1995 and February 2007, EDI conspired to export a U.S.-origin engineering software program controlled for anti-terrorism reasons through Brazil to Iran without the required U.S. Government authorization.

“We will actively pursue, prosecute and punish those who violate U.S. law and illegally export to Iran, a state sponsor of terrorism,” said Under Secretary of Commerce Mario Mancuso. “We will continue to work with our international partners to prevent the illegal transshipment of U.S-controlled items to Iran and other bad actors.”

EDI and its co-conspirators devised and employed a scheme to market, sell, and service the engineering software program to Iranian clients through a Brazilian co-conspirator.  In a related action, the U.S. Department of Justice announced that EDI’s owners, James C. Angeher and John N. Fowler, pled guilty on April 24, 2008, in New Orleans to a one-count bill of information charging them with conspiracy to violate the International Emergency Economic Powers Act and the Iranian Transactions Regulations. 

Under Secretary Mancuso praised the BIS Office of Export Enforcement’s Houston Office for its outstanding work on this case.

BIS controls the export and re-export of dual-use commodities, technology, and software for reasons of national security, foreign policy, nuclear nonproliferation, chemical and biological weapons nonproliferation, regional stability, and short supply.  Criminal penalties and administrative sanctions can be imposed for violations of the Regulations. 

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