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Businessman Supplies India with US Missile and Fighter Jet Technology

March 19, 2008
by Jim Kouri, CPP

India Missiles
The owner of an international electronics business has pled guilty to one-count arising from a conspiracy to illegally export controlled microprocessors and electronic components to government entities in India that participate in the development of ballistic missiles, space launch vehicles, and fighter jets.

The guilty plea was announced on Tuesday by Kenneth L. Wainstein, Assistant Attorney General for National Security; Jeffrey A. Taylor, US Attorney for the District of Columbia; Joseph Persichini, Jr., Assistant Director in Charge, FBI Washington Field Office; Darryl W. Jackson, Assistant Secretary for Export Enforcement, US Department of Commerce, and Julie Myers, Department of Homeland Security Assistant Secretary for US Immigration and Customs Enforcement (ICE).

Parthasarathy Sudarshan, 47, a resident of Simpsonville, South Carolina, entered his guilty plea in US District Court for the District of Columbia before the Honorable Ricardo Urbina to the felony charge of conspiracy to violate the International Emergency Economic Powers Act and the Export Administration Regulations; and to violate the Arms Export Control Act and the International Traffic in Arms Regulations.

The Honorable Ricardo Urbina is scheduled to sentence Sudarshan on June 16, 2008. "The defendant participated in a clandestine network that circumvented our export laws and put sophisticated technology in the hands of foreign companies that were listed as endusers of concern for proliferation reasons," stated US Attorney Taylor. "With this prosecution, the defendant will no longer be able to make a profit at the expense of our national security.

This case also demonstrates the priority our government has placed on combating such networks." By fraudulently acquiring and shipping controlled missile technology overseas, this defendant violated both our federal law and our national security. It is fitting that he stands convicted and faces a serious penalty for his criminal conduct," said Assistant Attorney General Wainstein. According to court documents filed by the government, Sudarshan did business as Cirrus Electronics ("Cirrus") and held himself out to be Cirrus' CEO, Managing Director, and President and Group Head. Cirrus has offices in Simpsonville, South Carolina, Singapore, and Bangalore, India.

Among the recipients of US technology in this case were the Vikram Sarabhai Space Centre (VSSC), an enterprise within the Department of Space of the Government of India, and Bharat Dynamics, Ltd. (BDL), an enterprise within the Ministry of Defence of the Government of India. The US government has determined that VSSC participates in India's space launch vehicle program and that BDL participates in India's development and production of ballistic missiles.

As such, both VSSC and BDL are on the Department of Commerce's Entity List and exports of US-origin commodities to these entities are restricted and require prior authorization in the form of a license from the Department of Commerce. Between 2002 and 2006, Sudarshan acquired electrical components with applications in missile guidance and firing systems in the United States for VSSC and BDL.

In particular, in the case of at least two US vendors, Sudarshan and others at Cirrus provided the US companies with fraudulent certificates that claimed that the endusers of these electrical components were non-restricted entities in India, when, in fact, the items were for VSSC. There were no export licenses for any of the shipments to VSSC and BDL. To further conceal from the US government that goods were going to entities in India on the Department of Commerce Entity List, Sudarshan would route the products through its Singapore office and then send the packages on to India.
tejas.jpgIn addition to supplying VSSC and BDL with components, Sudarshan acquired microprocessors for the Tejas, a fighter jet under development in India. The microprocessors were necessary for the navigation and weapons systems of the Tejas. Because the microprocessors are on the US Munitions List, the State Department must license any export of the products. On two occasions in 2004 and 2006, Cirrus caused the shipment of a total of 500 microprocessors to the Aeronautical Development Establishment, an enterprise within the Ministry of Defence of the Government of India that was responsible for the development of the Tejas.

There were no licenses for these shipments. "Today's plea illustrates the FBI's commitment to ensure the safety and security of our nation's citizens and our country's protected national security information and technology," said FBI Assistant Director in Charge Persichini. "The FBI also recognizes the invaluable investigative assistance provided by the Department of Commerce Office of Export Enforcement." "One of the highest enforcement priorities of Commerce's Bureau of Industry and Security is ensuring that dual-use items don't end up in dangerous hands," said Commerce Assistant Secretary Jackson. "The Department of Commerce's Entity List puts exporters on notice regarding endusers that are of proliferation concern.

This case demonstrates that we will take action against those exporters who evade our export control system." "The customs laws of the United States are in place to ensure that sensitive technologies do not fall into the wrong hands. When exporters skirt the law or cover up their activities to fill their own pockets, they do so at the expense of national security.

We will aggressively pursue these cases and see that those who violate export regulations are prosecuted to the full extent of the law," said Homeland Security Assistant Secretary Myers.
Jim Kouri, CPP is currently fifth vice-president of the National Association of Chiefs of Police and he's a staff writer for the New Media Alliance ( In addition, he's the new editor for the House Conservatives Fund's weblog. Kouri also serves as political advisor for Emmy and Golden Globe winning actor Michael Moriarty. He's former chief at a New York City housing project in Washington Heights nicknamed "Crack City" by reporters covering the drug war in the 1980s. He's appeared as on-air commentator for over 100 TV and radio news and talk shows including Oprah, McLaughlin Report, CNN Headline News, MTV, Fox News, etc. His book Assume The Position is available at Amazon.Com. Kouri's own website is located HERE
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