AeroVironment settles alleged export violations

AeroVironment said today it has reached a settlement with the State Department over alleged export violations made several years ago.

The company has agreed to pay $1 million over two years, $500,000 of which is suspended and "can be credited against investments already made or to be made to enhance export controls."

"AeroVironment will also hire an outside Special Compliance Officer (SCO) for a term of one year and conduct an external audit to assess and improve its compliance program during the Consent Agreement term," the company said.

The State Department said the alleged unauthorized exports, which occurred between June 2014 and December 2016, included "technical data; the failure to properly maintain records involving [International Traffic in Arms Regulations]-controlled transactions; and violations of the provisos, terms, and conditions of export authorizations."

The department notes that AeroVironment voluntarily disclosed the violations and "acknowledged the serious nature of the alleged violations." It also cooperated with the State Department's review and made changes to its compliance program during the review.

"For these reasons, the Department has determined that it is not appropriate to administratively debar AV at this time," the department added.