AeroVironment, Inc. settles with U.S. State Department for AECA and ITAR violations

On 20 November 2019 the U.S. Department of State announced that it has settled with AeroVironment, Inc. of Simi Valley, California. This agreement resolves alleged violations of the Arms Export Control Act (AECA), 22 U.S.C. § 2751 et seq. and the International Traffic in Arms Regulations (ITAR), 22 C.F.R. Parts 120-130. AeroVironment, Inc. allegedly 1) exported unauthorized defense articles and technical data, 2) did not maintain proper records for ITAR-controlled transactions, and 3) violated stipulations of the export authorizations. AeroVironment, Inc. has agreed to pay a civil penalty of $1,000,000. The U.S. State Department will suspend $500,000 of this penalty “on the condition that the funds have or will be used for Department-approved Consent Agreement remedial compliance measures.” AeroVironment, Inc. will not be debarred at this time since they voluntarily disclosed the alleged AECA and ITAR violations and are cooperating with the State Department. To read more please see the case documents on the U.S. Department of State’s Directorate of Defense Trade Controls “Penalties & Oversight Agreements” website.