BXA FINES NEOPOINT $95,000 FOR EXPORTING ENCRYPTION SOFTWARE
The U.S. Commerce Department’s Bureau of Export Administration has fined Neopoint Inc. $95,000 to settle allegations that it illegally exported encryption software to South Korea.
The agency found that on 10 occasions between March 1998 and June 1999 the San Diego, Calif.-based firm exported 128-bit encryption software to two firms in South Korea without the required export licenses.
“This case demonstrates that the U.S. government can and will enforce its export controls on encryption products,” said Michael J. Garcia, assistant secretary of Commerce for export enforcement.
Neopoint has cooperated fully with BXA’s investigation of the charges.