Company president arrested in alleged scheme to illegally export electronics to China

The president and a sales representative of a US company were arrested August 6 and charged with exporting to China electronic devices that could be turned into military uses.

Government authorities announced arrested Chong Sik Yu, a/k/a “Chris Yu,” and Yunseo Lee. Yu and Lee who are charged with conspiring to unlawfully export dual-use electronics components, in violation of the Export Control Reform Act, and to commit wire fraud, bank fraud, and money laundering.

“Chong Sik Yu and Yunseo Lee are accused of violating U.S. export laws by sending electronics components with military applications to Hong Kong and China,” said Acting U.S. Attorney Audrey Strauss.

Yu is president, and Lee is a sales representative of America Techma Inc. (ATI). Yu and Lee worked together and with others to ship what they knew to be export-controlled items to Hong Kong and China, according to court documents.

Yu, 58, of Oradell, New Jersey, and Lee, 33, of Fort Lee, New Jersey, are charged with conspiring to unlawfully export dual-use electronics components. which could result in a max sentence of 20 years. If found guilty they could be sentenced a maximum of 20 to 30 years for each of the additional multiple charges of the  of wire fraud, bank fraud and money laundering. 

The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.

“The Department’s fight against illegal technology transfer to China is no more critical than in areas like those involved in this case — controlled items used in missile and nuclear technology,” said Assistant Attorney General for National Security John C. Demers. “We will do everything in our power to disrupt illegal exports like these that jeopardize our national security.”