8
prohibited, or the omission of any act required by ECRA or the EAR.
18
Willful violations of either
statute are punishable by imprisonment of up to 20 years and a $1 million fine.
19
In recent months, DOJ has brought charges against multiple foreign-based actors for allegedly
seeking to unlawfully transfer U.S.-manufactured technology to prohibited destinations:
• In October 2022, DOJ unsealed an indictment charging three Latvian nationals, one
Ukrainian national living in Estonia, one Latvian company, and one Estonian company with
violating U.S. export laws and regulations by trying to smuggle from the United States to
Russia a dual-use, high-precision computer-controlled grinding machine known as a “jig
grinder.”
20
As alleged, the defendants conspired to have the Latvian company act as the
purported purchaser of the device, and then seek to reexport it from Latvia to a Russian
company without first acquiring the requisite license.
21
In carrying out the scheme, the
defendants allegedly made false representations to both U.S. and Latvian officials about
the destination of the device, which was controlled because of its potential application in
nuclear proliferation and defense programs.
22
The jig grinder was intercepted by U.S.
authorities in Latvia. Two defendants have pled guilty, and approximately $826,000 was
forfeited to the United States.
23
In February 2024, approximately $500,000 of those funds
was transferred to the Estonian government for the purpose of providing aid to Ukraine.
24
• In December 2023, DOJ unsealed an indictment charging one Iran-based person and an
individual based in China and Hong Kong for conspiring to illegally purchase and export
from the United States to Iran dual-use microelectronics commonly used in UAV
production.
25
To obtain the products, the defendants allegedly caused Canadian and
French companies to place orders with U.S. manufacturers, causing the items to be
shipped first to either Canada and France and then to Hong Kong and China, where they
18
See 50 U.S.C. § 1705(a); 50 U.S.C. § 4819(a)(2)(B).
19
See 50 U.S.C. §1705(c); 50 U.S.C. § 4819(b).
20
Department of Justice, “Justice Department Announces Charges and Arrests in Two Cases Involving
Export Violation Schemes to Aid Russian Military” (Oct. 19, 2022), available at
https://www.justice.gov/opa/pr/justice-department-announces-charges-and-arrests-two-cases-involving-export-
violation-schemes.
21
Superseding Indictment, ECF No. 1-2, United States v. Romanyuk, 3:22-cr-110-VAB (D. Conn., June 2,
2022), ¶ 16.
22
Id.
23
Department of Justice, “Federal Court Orders Forfeiture of $826K in Funds Used in Attempt to Export
Dual-Use High Precision Jig Grinder to Russia” (Apr. 5, 2023), available at
https://www.justice.gov/opa/pr/federal-
court-orders-forfeiture-826k-funds-used-attempt-export-dual-use-high-precision-jig.
24
Department of Justice, “Justice Department Transfers Approximately $500,000 in Forfeited Russian
Funds to Estonia for Benefit of Ukraine” (Feb. 17, 2024), available at
https://www.justice.gov/opa/pr/justice-
department-transfers-approximately-500000-forfeited-russian-funds-estonia-benefit.
25
Department of Justice, “Iranian National Charged with Unlawfully Procuring Microelectronics Used in
Unmanned Aerial Vehicles on Behalf of the Iranian Government” (Dec. 19, 2023), available at
https://www.justice.gov/opa/pr/iranian-national-charged-unlawfully-procuring-microelectronics-used-unmanned-
aerial-vehicles.