A Pakistani-American father-son duo has been sentenced to 18 months in prison by a US court for illegally exporting banned items to the Pakistan military, particularly to its atomic energy and space agencies.
Muhammad Ismail, 67, and his 38-year-old son Kamran Khan would also have to undergo three years of supervised release after they serve their sentence for profiting from unlawful exports to Pakistan, the Connecticut US attorney said in a statement.
Ismail and his son Kamran each pleaded guilty to international money laundering in March, and were sentenced on Wednesday to 18 months in prison, the statement added.
According to court documents and statements made in court, from 2012 to October 2013, Ismail and his two sons Kamran and Imran were engaged in a scheme to purchase goods that were controlled under the EAR.
They exported goods without license to Pakistan in violation of Export Administration Regulations (EAR), according to the US Attorney District of Connecticut office.
Through companies conducting business as Brush Locker Tools, Kauser Enterprises-USA and Kauser Enterprises-Pakistan, the three defendants received orders from a Pakistani company that procured materials and equipment for the Pakistani military, requesting the company obtain specific products that were subject to the EAR, federal prosecutors alleged.
When the US manufacturers asked about the end-user for a product, the defendants either informed the manufacturer that the product would remain in the US or completed an end-user certification indicating that the product would not be exported.
After the products were purchased, they were shipped by the manufacturer to the defendants in Connecticut. The products were then shipped to Pakistan on behalf of either the Pakistan Atomic Energy Commission, Pakistan Space & Upper Atmosphere Research Commission, or the National Institute of Lasers & Optronics, all of which were listed on the US Department of Commerce Entity List.
The products would then be shipped to Pakistan without a license and three would then receive proceeds for the sale of export-controlled items through wire transactions.
In March 2018, Ismail and Kamran each pleaded guilty to one count of international money laundering.
In June 2017, Imran pleaded guilty to one count of violating the International Emergency Economic Powers Act. He has been released on a USD 100,000 bond pending sentencing.