The $400,000 fine received by Darling Industries Inc., of Tucson, AZ was due to six violations of the Arms Export Control Act and the ITAR. The violations included FAILURE TO APPOINT A QUALIFIED EMPOWERED OFFICIAL.
Yes, not having a qualified EO is a violation to the ITAR.
According to the charging letter the company:
- Appointed an Empowered Official who did not meet the meaning of Empowered Official pursuant to 22 CFR § 120.25.
- The Empowered Official was not in a position of having authority for policy or management within the organization, as required in 22 CFR § 120.25(a)(1).
- Also, the Empowered Official did not understand the provisions and requirements of the various export statutes and regulations, as described in 22 CFR § 120.25(a)(3).
The charging letter stated:
“The Empowered Official prepared, signed, and submitted license applications that reflected a deficient understanding of the licensing process and the regulations. As a result, R.E. Darling consistently failed to comply with the terms and conditions of authorizations and the ITAR.R.E. Darling did not provide the Empowered Official any ITAR training while in his role of Empowered Official.”
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