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Reston firm fined for shipping prohibited parts to China

Jun 7, 2008 5:05 AM (128 days ago) by Bill Myers, The Examiner
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Related Topics: Reston
Reston (Map, News) - A Reston company was ordered to pay a $15,000 fine Friday for shipping high-tech parts to China without permission from the U.S. government.

Wavelab Inc., had already pleaded guilty to violating U.S. trade law when it shipped power amplifiers to China and agreed to forfeit some $85,000 in profits from the deal. The company's lawyer, Alan Yamamoto, downplayed Friday's sentencing as a paperwork error.

"There was a mistake in how they interpreted a regulation," he said. "They immediately ceased production and have applied for and are awaiting a license from the Commerce Department."

But U.S. Attorney Chuck Rosenberg said the amplifiers were banned because they had military applications.

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"The items were listed on the Commerce Control List for national security reasons," Rosenberg said in a statement.

The power amplifiers were installed in cell phone towers, Yamamoto said. They are also used in satellites and other high-tech communication, Rosenberg's statement said.

Wavelab, run by Chinese national Walter Zheng, was charged in March with breaking U.S. trade law. The Commerce Department routinely forbids companies from doing business with and in other nations for a variety of reasons -- from terrorism to human rights abuses.

China has one of the world's fastest growing economies and U.S. companies are eager to exploit its cheap, but well-trained and well-policed work force.

Wavelab remains in business and expects permission to ship the amplifiers to China soon, Yamamoto said.

bmyers@dcexaminer.com

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