Russian 'Spies' Arrested Over $50 Million Military Electronics Smuggling Network

Business Insider

Feds arrested 11 suspected Russian spies on charges of smuggling $50 million in sensitive American military electronics to Russia. 

Alexander Fishenko,  an owner and executive of American and Russian companies,  was charged with operating as an "unregistered agent of the Russian government inside the United States by illegally procuring the high-tech microelectronics on behalf of the Russian government."

Fishenko 's company, Arc Electronics, joins 165 other foreign entities under indictment for "facilitating" the transfers between October 2002 and the present.

The microelectronics allegedly exported to Russia  "are subject to strict government controls due to their potential use in a wide range of military systems, including radar and surveillance systems, weapons guidance systems, and detonation triggers," according to the FBI.

Fishenko is also a controlling principal of the Russian procurement firm Apex.  Authorities say the investigation uncovered a Russian Ministry of Defense document designating an Apex subsidiary as a company “certified” to procure and deliver military equipment and electronics to Russian military and intelligence agencies.

"The defendants spun an elaborate web of lies to evade the laws that protect our national security. The defendants tried to take advantage of America’s free markets to steal American technologies for the Russian government," United States Attorney Loretta E. Lynch said.

Fishenko was born in the Soviet Republic of Kazakhstan, graduated from Lenengrad's Electro-Technical Institute and emigrated to the U.S. in 1994. He was naturalized in 2003, five years after founding Arc Electronics Inc.

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