Mesa aviation executive indicted on arms charges
A Mesa aviation executive has been indicted on charges of illegally exporting engines and aircraft parts to Venezuela.
The two-count indictment alleges that Floyd Stilwell, Marsh Aviation Co. and others violated the Arms Export Control Act and engaged in a conspiracy in the export of T-76 engines designed for the OV-10 Bronco, a light armed reconnaissance aircraft suited for counterinsurgency missions.
Marsh Aviation reconditions aging airplane engines and converted World War II aircraft into firefighting air tankers for the government.
The engines that were reportedly sold are listed on the United States Munitions List, and their export is illegal without a license or written authorization from the State Department, according to the indictment, which was announced this week by federal prosecutors.
According to the in- dictment, Stilwell received $1.8 million in the deal.
The indictment also accuses Stilwell and Marsh Aviation of furnishing assistance to members of the Venezuelan air force in the assembly, testing, repair, maintenance, modification, operation and use of the T-76 military aircraft engine, without the required license or written authorization from the State Department.
Stilwell and Marsh Aviation were ordered to appear in federal court at an unspecified date.
As part of the alleged scheme, Stilwell changed the contract to reflect that the engines were the civilian versions of the T-76 and caused "materially false, misleading and incomplete information" to be placed on shipping documents, according to the indictment.
A conviction for a violation of the Arms Export Control Act carries a maximum penalty of 10 years, a $250,000 fine, or both.
A conviction for conspiracy carries a maximum penalty of five years, a $250,000 fine, or both. An investigation that preceded the indictment was conducted by the FBI, U.S. Immigration and Customs Enforcement and the U.S. Department of Defense Criminal Investigation Service.
Marsh Aviation, which is based at Falcon Field Airport in northeast Mesa, filed for Chapter 11 bankruptcy in 2009 to protect it from creditors as it seeks to reorganize.
Posted by: Anonymoose 2010-10-30 |