DDTC posts details of Torrey Pines Logic settlement

The US Department of State’s Directorate of Defense Trade Controls (‘DDTC’) says it has concluded an administrative agreement with a San Diego-based company, Torrey Pines Logic (‘TPL’), which describes itself as creating ‘advanced optical and software solutions for the military, law enforcement, hunting/outdoors and photography markets,’ for alleged violations of the Arms Export Control Act (‘AECA’) and the International Traffic in Arms Regulations (‘ITAR’) which, according to the charging letter, involve ‘unauthorized exports of USML Category XII defense articles to Bulgaria, Canada, Estonia, Germany, Russia, Spain, Switzerland, Lebanon, and the PRC…and the attempted unauthorized export of USML Category XII defense articles to Singapore. Certain alleged violations also involve Respondents engaging in ITAR regulated activities while ineligible; and failing to maintain and produce export transaction records.’

The department said that under the terms of the 36-month consent agreement, the company and its president, Dr Leo Volfson, will pay a civil penalty of $840,000 with $420,000 of that amount suspended ‘on the condition that the funds will be used for Department-approved Consent Agreement remedial compliance measures to strengthen TPL’s compliance program.’

The agreement also stipulates that ‘an external Special Compliance Officer will be engaged by TPL to oversee the Consent Agreement, which will also require the company to conduct one external audit of its compliance program and implement additional compliance measures.’

See more on the website of the Directorate of Defense Trade Controls:

https://www.pmddtc.state.gov/?id=ddtc_kb_article_page&sys_id=384b968adb3cd30044f9ff621f961941