Feb 8 South Korea's Kolon Industries Inc
is seeking dismissal of U.S. government charges of
stealing trade secrets from DuPont Co, on the grounds
that the Department of Justice did not properly notify the
company of the case.
U.S. District Judge Robert Payne in Richmond, Virginia on
Friday will hear arguments over whether the government has
properly served Kolon with court papers in the manner that would
require it to face the criminal charges.
The government has argued Kolon is making a novel argument
that is an "irrational interpretation" of U.S. legal procedure.
The U.S. Department of Justice announced last October the
unsealing of an indictment against Kolon over how the company
produced high-strength fiber.
The charges came on the heels of DuPont's $920 million jury
victory over Kolon in September 2011. DuPont had accused Kolon
of misusing propriety information relating to Kevlar, a fiber
produced by DuPont and used in armor, military helmets, tires
and fiber-optic cables.
The Justice Department's allegations against Kolon and five
of its executives relate to the same conduct.
In December, attorneys for Kolon said the case should be
dismissed because the government has failed to properly serve
the company with a copy of the summons, as required by law.
The summons was not properly served, Kolon argued, despite
the fact that the government emailed the documents to Kolon
employees and left a copy with a Kolon subsidiary.
Kolon argued that the U.S. government must mail the summons
to Kolon's "last known address" in the United States and that,
because Kolon does not have such an address, it cannot be
The United States argued in court papers that Kolon has been
properly served, including to its authorized agent in New
Further, the government said, no court has ever dismissed an
indictment on the theory that a foreign company cannot be
prosecuted for crimes committed in the United States just
because that company does not have an active U.S. address.
The government also noted that Kolon has formally appeared
in U.S. courts on several occasions, including the DuPont trial.
The Justice Department declined to comment. Stephen Neal of
law firm Cooley, who represents Kolon, and other attorneys for
the company were not immediately available for comment.
The case is U.S. v. Kolon, et al, U.S. District Court for
the Eastern District of Virginia, No. 12-137.