University Professor and Tennessee Company Indicted For Arms Export Control Act Violations

University Professor and Tennessee Company Indicted For Arms Export Control
Act Violations

KNOXVILLE, Tenn., May 20 /PRNewswire-USNewswire/ -- A federal grand jury in
the Eastern District of Tennessee returned an 18-count indictment today
charging J. Reece Roth, a Professor Emeritus at The University of Tennessee,
and Atmospheric Glow Technologies Inc. (AGT), a Knoxville-based technology
company, with conspiring to defraud the U.S. Air Force and disclose restricted
U.S. military data about Unmanned Aerial Vehicles (UAVs), or "drones," to
foreign nationals without first obtaining the required U.S. government license
or approval.

The indictment was announced today by James R. Dedrick, U.S. Attorney for the
Eastern District of Tennessee, and Patrick Rowan, Acting Assistant Attorney
General for National Security. Roth, age 70, currently resides in Knoxville,
Tennessee. He is anticipated to make his initial court appearance next week
before a U.S. Magistrate Judge.

Roth is charged in the indictment with one count of conspiracy to defraud the
U.S. Air Force and violate the Arms Export Control Act; 15 counts of violating
the Arms Export Control Act, and one count of wire fraud for defrauding the
University of Tennessee. AGT is charged in the indictment with one count of
conspiracy to defraud the U.S. Air Force and violate the Arms Export Control
Act and 10 counts of violating the Arms Export Control Act.

According to the indictment, between January 2004 and May 2006, Roth and AGT
engaged in a conspiracy to transmit export-controlled technical data related
to a restricted U.S. Air Force contract to develop plasma actuators for a
munitions-type UAV, or "drone," to one of more foreign nationals, including a
citizen from the People's Republic of China. The Chinese national was a
graduate research assistant at the University of Tennessee. The University of
Tennessee was victimized by the conspirators and cooperated throughout with
the Federal Bureau of Investigation (FBI) led federal investigation.

Further, according to the indictment, Roth departed for the People's Republic
of China in May 2006 and carried multiple documents, which were subject to
export controls, containing technical data controlled by the International
Trafficking in Arms Regulations and related to the above U.S. Air Force
contract.

The indictment also alleges that, in May 2006, Roth directed the wire
transmission to an individual in China of a document containing restricted
technical data controlled by the International Trafficking in Arms Regulations
and related to the above contract.

Violations of the Arms Export Control Act carry a maximum possible penalty of
ten years imprisonment and a $1,000,000 fine. Wire fraud carries a maximum
possible penalty of 20 years imprisonment and a $250,000 fine, while
conspiracy carries a maximum penalty of five years imprisonment and a 250,000
fine.

United States Attorney Russ Dedrick said, "The protection of United States
technology is a continuing priority of the Department of Justice and this
District."

"Whenever restricted U.S. military data is illegally disclosed to foreign
nationals, America's security is put at risk. Today's indictment demonstrates
just how seriously we view such violations," said Assistant Attorney General
Rowan

These investigations were jointly conducted by the Federal Bureau of
Investigation, U.S. Immigration and Customs Enforcement, U.S. Air Force Office
of Special Investigations, and the Department of Commerce Office of Export
Enforcement. The case is being prosecuted by Assistant U.S. Attorneys Jeffrey
Theodore and Will Mackie of the United States Attorney's Office for the
Eastern District of Tennessee.

For additional information, please contact United States Attorney James R.
Dedrick, 865-545-4167, Assistant U.S. Attorney Jeffrey E. Theodore,
865-545-4167, Assistant U.S. Attorney A. William Mackie, 865-545-4167, or
Public Information Officer Sharry Dedman-Beard, 865-545-4167.

SOURCE U.S. Department of Justice

U.S. Department of Justice Office of Public Affairs, +1-202-514-2007, TDD,
+1-202-514-1888