Daily Management Review

US defense contractor under trial for illegal outsourcing


04/07/2015




A defense contracting company to Pentagon has unlawfully provided a contract as well as federal secret data to an Indian outsourcing company.

One Source USA LLC, a defense contractor, is being tried at the U.S. Department of Justice for releasing data pertaining to U.S. military technology, including torpedo systems for nuclear submarines, military attack helicopters and F-15 fighter aircrafts.

The company’s owner Hannah Robert had pleaded guilty to six conspiracy charges relating to the US Arm Export Control violations for releasing the technical drawings without the consent from related Pentagon officials.

Robert had also opened a third company in India that manufactured defence hardware items and spare parts. The Indian leg began to export sensitive military designs to India between June 2010 to December 2012, including for “Installation and Assy Acoustic Blankets, STA 120 CH-47F,” to be used in the Chinook attack helicopter. The email transactions between the two companies have led to the current investigation. It is also revealed that the company used Pakistani and UAE trans-shippers to transport the details.

Besides the revelation of secret data, One Source is also held liable for supplying the Pentagon with parts of substandard quality, including used in the wings of the F-15 fighter aircraft. With the faulty wing pins attached, the Pentagon had to resort to grounding approximately 47 F-15 fighter aircraft for inspection and repair, at a cost estimated to exceed $150,000. Robert is scheduled to be sentenced on June 26, 2015, according to a press release from the US Department of Justice.

“Hannah Robert conspired to send to another country thousands of technical drawings of defense hardware items and sensitive military data,” U.S. Attorney Fishman said. “She was also charged with manufacturing substandard parts that were not up to spec, in violation of the contracts she signed with the Department of Defense. Enforcement of the Arms Export Control Act is critical to the defense of our country.”
 
 






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