Pennsylvania Man Sentenced to 42 Months in Prison for Export Violations

U.S. Department of Justice For Immediate Release: January 17, 2013
United States Attorney's Office Contact -- BIS Public Affairs: 202-482-2721

NORTH WALES MAN SENTENCED FOR ILLEGALLY EXPORTING GOODS

PHILADELPHIA - Timothy Gormley, 52, of North Wales, PA, was sentenced today to 42 months in prison for five counts of violating the International Emergency Economic Powers Act (IEEPA).  Gormley was employed by Amplifier Research, in Souderton, Pennsylvania, a manufacturer and supplier of microwave amplifiers with both domestic and foreign customers.  On November 30, 2011, the Department of Commerce (DOC), Office of Export Enforcement, received a voluntary self-disclosure from Amplifier Research.  Many of their products are classified under an Export Control Classification Number and require a license for export to most destinations outside of Europe.  These amplifiers are controlled for National Security reasons, and have application in military systems which include radar jamming, weapons guidance systems, and other uses.  Amplifier Research became aware that Gormley had committed numerous violations of government regulations, between June 7, 2006 and June 28, 2011.  

Gormley pleaded guilty on October 17, 2012, admitting that he had: altered invoices and shipping documents to conceal the correct classification of amplifiers to be exported so that they would be shipped without the required licenses; listed false license numbers on export paperwork for defense article shipments; and lied to fellow employees about the status and existence of export licenses.  Gormley's actions resulted in at least 50 unlicensed exports of national security sensitive items to destinations including China, India, Hong Kong, Taiwan, Thailand, Russia, Mexico, and other countries. When Gormley admitted to the conduct, he explained it by saying he was "too busy" to obtain the licenses.  Gormley claimed he was overwhelmed at work and that was his only excuse.

In handing down her sentence, U.S. District Court Judge Gene E.K. Pratter cited the risk to the community in allowing National Security goods to be exported without proper licenses and the need for  deterrence.  In addition to the prison term, Judge Pratter ordered three years of supervised release and fined Gormley $1,000.

The case was investigated by the Department of Commerce and was prosecuted by Assistant United States Attorney Nancy Winter.
 

UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106

Contact: PATTY HARTMAN, Media Contact, 215-861-8525

 

Statement of Under Secretary of Commerce Eric L. Hirschhorn:

"As the substantial sentence in this case demonstrates, we will not allow our national security to be compromised by individuals who flout our nation's export control laws.  The egregious violations in this case weren’t committed by accident but were perpetrated by an informed individual who intentionally violated the law."