Source: United States Department of Justice Criminal Division
The Justice Department today announced criminal charges in five cases from four U.S. Attorney’s offices in connection with the multi-agency Disruptive Technology Strike Force (Strike Force).
The Strike Force is co-led by the Departments of Justice and Commerce to counter efforts by hostile nation states to illicitly acquire sensitive U.S. technology to advance their authoritarian regimes and facilitate human rights abuses. Launched in February 2023, the Strike Force’s work has led to the unsealing of charges against 34 defendants in 24 cases involving alleged export control violations, smuggling, theft of trade secrets, and other charges by actors connected to Russia, China, and Iran.
The cases announced today took place over the course of multiple weeks, culminating in the arrest today of a Russian national allegedly seeking to illegally export electronics for use in Unmanned Aerial Vehicles (UAVs) to Russia. The other cases also cover spearfishing of U.S-based scientists by an employee of a state-owned Chinese defense company and the smuggling of laser welding machines used in nuclear munition production to Russia.
“The prosecutions of these cases under the Disruptive Technology Strike Force reflects the joint efforts of five agencies across the government focused on the shared goal of stopping the transfer of sensitive, cutting-edge technologies to Iran, China, and Russia,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department, through the work of the Strike Force, will continue to do all we can to prevent advanced technologies from falling into the hands of our adversaries and protect our national security.”
“We launched the Disruptive Technology Strike Force a year and half ago to advance the vital mission of safeguarding U.S. technology,” said Assistant Secretary for Export Enforcement Matthew S. Axelrod of the U.S. Department of Commerce. “As today’s announcements make clear, our efforts to protect sensitive U.S. technologies – which to date have yielded 24 publicly charged criminal cases, millions of dollars in administrative penalties, and multiple Entity List additions – remain relentless and unyielding.”
“It’s no secret that the threats we face today are more complex and severe than ever before,” said Executive Assistant Director Robert Wells of the FBI’s National Security Branch. “The best way – and the only way – we can stay ahead of current and emerging threats is by working together. With these indictments, the Disruptive Technology Strike Force is an excellent example of the power of partnerships in practice.”
“Those who facilitate the illegal proliferation of sensitive technologies and material to hostile nations and terrorist groups pose a serious threat to the safety and security of the United States,” said Executive Associate Director Katrina W. Berger of Homeland Security Investigations (HSI). “HSI is committed to working with our partners to disrupt and dismantle the criminal networks that aid and abed U.S. adversaries.”
“Disrupting the efforts of foreign nations, international criminal organizations, and other potentially hostile entities that seek to illegally obtain sensitive DoD technology and weapon systems that could potentially be used against our military forces remains a top priority of the Defense Criminal Investigative Service, the criminal investigative arm of Department of Defense (DoD) Office of Inspector General,” said Inspector General Robert P. Storch of DoD. “We will continue to work with the Justice Department and our strike force partners to thwart the efforts of criminal elements whose activities threaten the security of the United States.”
United States v. Postovoy (District of Columbia)
A federal grand jury returned a seven-count indictment charging Denis Postovoy, a Russian citizen living in the United States, with conspiring to violate the Export Control Reform Act, commit smuggling, commit money laundering and defraud the United States. HSI arrested Postovoy this morning in Sarasota, Florida.
According to court documents, beginning in at least February 2022, following Russia’s full-scale invasion of Ukraine, Postovoy procured and illicitly exported from the United States to Russia microelectronic components with military applications. The exported microelectronics can be used in UAVs or drones. Through a web of companies that he owns or operates in Russia, Hong Kong, and elsewhere, Postovoy and individuals in his network purchased the microelectronics from U.S.-based distributors and exported them to Russia without the required licenses from the Department of Commerce.
As alleged, Postovoy’s companies included WowCube HK Limited, JST Group Hong Kong, Jove HK Limited, all based in Hong Kong, and the Vector Group in Russia. Postovoy repeatedly concealed and misstated the true end users and end destinations of the microelectronics by submitting false information on export-related documents. He transshipped items that were ultimately destined for Russia through intermediary destinations, including Hong Kong, Switzerland and elsewhere, and received payments in U.S. dollars from foreign bank accounts. His companies transferred funds for the purchase and shipment of the goods through bank accounts in Hong Kong, Russia, and elsewhere to bank accounts in the United States, including bank accounts maintained by the U.S. suppliers of microelectronics and other sensitive technologies.
HSI is investigating the case.
Assistant U.S. Attorney Stuart Allen for the District of Columbia and Trial Attorney Sean Heiden of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
United States v. Song Wu (Northern District of Georgia)
Today, a federal court in Atlanta, unsealed an indictment charging Chinese national, Song Wu, 39, with wire fraud and aggravated identity theft arising from his efforts to fraudulently obtain computer software and source code created by the National Aeronautics and Space Administration (NASA), research universities, and private companies. Song remains at large.
According to the indictment, Song allegedly engaged in a multi-year “spear phishing” email campaign in which he created email accounts to impersonate U.S.-based researchers and engineers and then used those imposter accounts to obtain specialized restricted or proprietary software used for aerospace engineering and computational fluid dynamics. This specialized software could be used for industrial and military applications, such as development of advanced tactical missiles and aerodynamic design and assessment of weapons.
In executing the scheme, Song allegedly sent spear phishing emails to individuals employed in positions with the U.S. government, including NASA, the Air Force, Navy, and Army, and the Federal Aviation Administration. Song also sent spear phishing emails to individuals employed in positions with major research universities in Georgia, Michigan, Massachusetts, Pennsylvania, Indiana, and Ohio, and with private sector companies that work in the aerospace field. Song’s spear phishing emails appeared to the targeted victims as having been sent by a colleague, associate, friend, or other person in the research or engineering community. His emails requested that the targeted victim send or make available source code or software to which Song believed the targeted victim had access.
According to the indictment, while conducting this spear phishing campaign, Song was employed as an engineer at Aviation Industry Corporation of China (AVIC), a Chinese state-owned aerospace and defense conglomerate headquartered in Beijing. AVIC manufactures civilian and military aircrafts and is one of the largest defense contractors in the world.
In total, Song is charged with 14 counts of wire fraud and 14 counts of aggravated identity theft. If convicted, Song faces a maximum statutory penalty of 20 years in prison for each count of wire fraud. Song also faces a mandatory, two-year consecutive penalty in prison for aggravated identity theft. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI and the NASA’s Office of Inspector General are investigating the case.
Assistant U.S. Attorney Samir Kaushal for the Northern District of Georgia and Trial Attorney Tanner Kroeger of the National Security Division’s Cyber Section are prosecuting the case with assistance from the Counterintelligence and Export Control Section.
United States v. Teslenko (District of Massachusetts)
Massachusetts resident, Samer Bhambhani, 55, and Russian national, Maksim Teslenko, 35, have been charged with smuggling and one count of conspiracy to violate and evade export controls, commit smuggling, and defraud the United States. Bhambhani was arrested on Sept. 9 and was released on conditions following an initial appearance in federal court in Boston. Teslenko remains at large overseas.
It is alleged that from in or around 2015 through at least 2021, Bhambhani and Teslenko conspired to export laser welding machines from Bhambhani’s employer in the United States to the Ural Electromechanical Plant (UEMZ) in Yekaterinburg, Russia, while falsifying the export documentation submitted to the U.S. government in order to conceal the fact that the UEMZ was the true end user of the machines. The UEMZ is a subsidiary of Rosatom, a Russian state corporation headquartered in Moscow, that oversaw Russia’s civilian and military nuclear program. According to the indictment, Teslenko knew that the laser welding machines were intended for the portion of the UEMZ involving the Russian nuclear weapons program.
The charge of smuggling provides for a sentence of up to 10 years in prison, three years supervised release and a fine of up to $250,000. The charge of conspiracy provides for a sentence of up to five years in prison, three years supervised release and a fine of up to $250,000. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Timothy H. Kistner and Laura S. Kaplan for the District of Massachusetts and Trial Attorney Sean O’Dowd of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
United States v. Goodarzi (Southern District of Texas)
Gholam Reza Goodarzi, also known as Ron Goodarzi, 76, a dual U.S. and Iranian citizen who resides in Porter, Texas, was arrested at the George Bush International Airport on Aug. 30 based on a criminal complaint alleging he smuggled parts and components used in the production of unmanned aerial vehicles (UAVs), as well as other manned aircraft, from the United States to Iran.
According to court documents, from December 1, 2020, through July 5, Goodarzi illegally exported aircraft-related parts, in addition to oil and drilling components, to Iran. As alleged, Goodarzi purchased U.S.-origin aircraft components from U.S.-based suppliers and then exported them to Iran – typically through Dubai, UAE. He also traveled to and from Iran multiple times per year and concealed aircraft parts and other items in his checked luggage. Goodarzi exchanged multiple emails with suppliers and customers, acknowledging that parts could not be shipped to Iran because of sanctions.
The complaint alleges that on several occasions, authorities searched Goodarzi’s luggage and found numerous aircraft parts and components hidden within articles of clothing. Some of the items had characteristics consistent with parts for the production of UAVs, as well as parts with electrical motor and generator applications. Goodarzi does not have the required licenses to export such items to sanctioned countries, including Iran, according to the complaint.
The FBI, with assistance from and Customs and Border Protection, is investigating the case.
Assistant U.S. Attorney Heather Winter for the Southern District of Texas and Trial Attorney Christopher Cook of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
United States v. Nader (District of Columbia)
U.S.-Iranian national Jeffrey Chance Nader, 66, of Arcadia, California, was arrested on Aug. 13, 2024, based on an indictment charging him with crimes related to the procurement of U.S.-manufactured aircraft components, including components used on military aircraft, in violation of U.S. economic sanctions and other federal laws.
According to the indictment, beginning at least in 2023, Nader and others conspired to purchase and export – and attempted to export – from the United States to Iran four types of aircraft components, totaling nearly three dozen individual pieces. Some of these components are for use on military aircraft operated by Iran’s armed forces, including the F-4 fighter jet.
Nader, acting on purchase orders he received from customers in Iran, would coordinate the purchase of relevant aircraft components with business associates in Iran, by which they would reach out to U.S.-based suppliers of such components. In several instances, Nader identified himself and his company, California-based Pro Aero Capital, to these U.S.-based suppliers as the end-user of these items. Victim companies in this procurement scheme were located across the United States.
Once the aircraft components were obtained, Nader attempted to export the items on multiple separate occasions. The items were then transshipped to the ultimate customer in Iran. None of the transactions discussed in the indictment were successfully exported; they were detained on export by a Special Agent with the Department of Commerce.
This case is being investigated by the FBI’s Washington Field Office and the Commerce Department’s Bureau of Industry and Security. Significant assistance was provided by the FBI’s Los Angeles Field Office.
The case is being prosecuted by Assistant U.S. Attorney Steven B. Wasserman for the District of Columbia and Trial Attorney Sean Heiden of the National Security Division’s Counterintelligence and Export Control Section. Significant assistance was provided by the U.S. Attorney’s Office for the Central District of California.
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Today’s actions were coordinated through the Justice and Commerce Departments’ Disruptive Technology Strike Force. The Disruptive Technology Strike Force is an interagency law enforcement strike force co-led by the Departments of Justice and Commerce designed to target illicit actors, protect supply chains and prevent critical technology from being acquired by authoritarian regimes and hostile nation states. The Postovoy and Teslenko investigations were also coordinated through the Justice Department’s Task Force KleptoCapture, an interagency law enforcement task force dedicated to enforcing sanctions, export controls and economic countermeasures imposed in response to Russia’s unprovoked military invasion of Ukraine.
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Also today, the Department is announcing the unsealing of an indictment in Chicago, Illinois, charging Chinese national Jia Wei with unlawfully accessing the computer network of a U.S. communications company to steal proprietary information for the benefit of the China-based entities.
An indictment, complaint or criminal information is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.