2 accused of hacking Vt. software company

Xavier Trudeau
Juillet 18, 2017

Law360, Washington (July 17, 2017, 7:28 PM EDT) - An Iranian businessman and an alleged hacker have been accused in Vermont federal court of stealing and distributing software and military technology to Iran, in violation of US sanctions and export licensing requirements, according to an indictment unsealed on Monday. They were also charged with violating sanctions against Iran, according to a DOJ statement.

The two men - and a third who was arrested in 2013 and handed back to Iran in a prisoner swap a year ago - allegedly broke into the computers of Vermont-based Arrow Tech Associates.

The third Iranian has already pleaded guilty for related conduct in Vermont.

"Such sales were in contravention of US export controls and sanctions", the DOJ noted.

Ajily, a businessman, marketed and promoted the stolen PRODAS software as one of the products he could offer to his Iranian clients, according to the indictment.

The stolen software included the Projectile Rocket Ordnance Design and Analysis System (PRODAS), a program from Vermont's Arrow Tech used to design projectiles.

That company's software is designated as a "defense article" on the U.S. Munitions List of International Traffic in Arms Regulations and can not be exported from the U.S. without the State Department's approval.

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