Cirrus CEO busted for selling US computer technology to India

In actions that could damage US and India relations, the CEO of electronics supply  Cirrus  Electronics pleaded not guilty this week  to a 15-count indictment that he shipped U.S. computer technology to India for use in missiles and other weapon systems.   US Prosecutors say that between 2003 and 2006,   Parthasarathy Sudarshan, who  founded Cirrus, a company with offices in South Carolina, Singapore and India – sold heat-resistant memory chips, microprocessors and other prohibited equipment to Indian government agencies.  Specifically, the indictment says he sold computer technology to  three Indian agencies: the Vikram Sarabhai Space Centre, which researches spacecraft and ballistic missiles, Bharat Dynamics Ltd., a key agency in the nation’s guided missile program, and the Aeronautical Development Establishment, which is developing the Tejas combat jet, according to a US Dept. of Justice release. .  The U.S. Commerce Department restricts exports to these agencies under the US International Emergency Economic Powers Act and the Arms Export Control Act. The arrests were the result of a joint investigation by the FBI, the Department of Commerce, and U.S. Immigration and Customs Enforcement (ICE). In addition Mythili Gopa, the Cirrus’ international sales manager, is due in court April 17 to face export violations, international arms trafficking, being agents for a foreign government and conspiracy charges. Two other Cirrus employees in India were also named in the indictment.  If convicted of the charges, Sudarshan could face up to 10 years in prison, while Gopal up to six years. Indian government officials were linked to the alleged scam, according to the indictment. Reports quoting the FBI said one of them was an official posted at the Indian embassy in the US. An official in US President Bush’s administration said the case could undermine Congressional support for nuclear and space cooperation with India, the Washington Times reported.  The indictment describes coordination between Cirrus and Indian government officials. Prosecutors identified but did not name ‘Coconspirator A,’ an Indian government official located in Washington. Though he was not charged, prosecutors said he worked closely with the company and discussed official government reimbursement for company expenses, according to reports. One newspaper in India said: At some point, India will have to come out with an explanation on how the Vikran Sarabhai Space Centre, Bharat Dynamics and the Aeronautical Development Establishment, all government run entities were involved in importing high tech equipment illegally from the US. Though this has no links to nuclear proliferation, yet breaking US government rules by Indian entities is an embarrassment. “These arrests put a network of technology smugglers out of business and demonstrate that we have no tolerance for weapons proliferators who illegally supply entities with weapons technology that has applications in the development of aircraft, missile and aerospace systems,” said Assistant Attorney General Kenneth L. Wainstein.