Where Industry and Security Intersect
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On June 21, 1999, the Commerce Department imposed a $30,000 civil penalty on Sun Microsystems of California, Ltd., a Hong Kong company, to settle allegations that it violated the EAR by arranging for shipments of computers to the People's Republic of China (PRC) that did not adhere to a condition of the export license.
In a related matter, on December 21, 1999, the Commerce Department's imposed a $20,000 civil penalty on Gold Valley Technology Company to settle allegations that it violated a term of an export license involving a shipment of computers to the People's Republic of China. A portion of the civil penalty imposed against Gold Valley, $10,000, was suspended.
The Department alleged that, in September 1993, Sun Microsystems and Gold Valley arranged for a shipment of computers to the PRC that they knew or had reason to know was contrary to the condition on the export license. The Department also alleged that in October 1993, Sun Microsystems arranged for a shipment of computers to the PRC falsely representing that the shipment was authorized under a BIS license. The investigation was conducted by OEE's Washington Field Office