Lynn Titus Jr (Tye) Export Controls Administrator NDSU “Export Controls” Training Research Integrity and Compliance Office of Research and Creative Activity Lynn Titus Jr (Tye) Export Controls Administrator

NDSU Export Controls Web Site https://www. ndsu

NDSU Export Controls PowerPoints https://www.ndsu.edu/research/integrity_compliance/export_controls/

NDSU Export Controls CITI Courses “Free” https://www.citiprogram.org/ CITI offers the following export control courses (free) which discuss general and specific information to researchers. These are a great resources for faculty, post docs, and lab personnel, and they can print a certificate for each course that they complete. This is a great resource for documentation purposes for your department. Introduction to Export compliance (ID: 16800) Export Compliance for Researchers: Part I (ID: 16801) Export Compliance for Researchers: Part II (ID: 16802) Export Compliance for Research Administrators (ID: 16803) Export Compliance and Biosafety (ID: 16805) Export Compliance for Operational Departments (ID: 16806) Export Compliance for International Shipping (ID: 16807) Export Compliance and Purchasing (ID: 16808) Export Compliance and Collaboration (ID: 16810) Export Compliance and united States Sanctions Programs (ID: 16812)

What is Export Controls The U.S. Government regulates Transfer of Information Commodities Technology Software Important to National Security, Economic Security, and Foreign Policy Concerns.

What is an Export An export occurs whenever any item or information is sent from the U.S. to a foreign destination or provided to a foreign national here or abroad. The manner in which the transfer or release of the item or information occurs does not matter Some examples of export activities include: Shipment of items Written or oral communication (Deemed Export) Hand-carrying items when traveling Providing access to or visual inspection of equipment or facilities Providing professional services

Primary Government Agencies Department of Commerce Export Administration Regulation (EAR) Department of State International Traffic in Arms Regulations (ITAR) Department of Treasury Office of Foreign Assets Control (OFAC)

NDSU Policy Employees Comply with U.S. Laws and Regulations Most Research Protected from Export Controls Fundamental Research Exclusion Educational Information Exclusion Public Information Exclusion

Fundamental Research Qualifications Research Must Be: Conducted Freely and Openly No Restrictions on Publications No Restrictions on the Access by Foreign Persons

When Export Controls Apply Individual's Must: Contact Export Controls Monitor/Control Access to Restricted Information Safeguard Controlled Materials

What Acts Might Trigger Export Controls Research in Restricted Science and Engineering Areas Science and Engineering Research Space Technology & Satellites; Missile Technology Nuclear Technology; Military or Defense Articles and Services; High Performance Computing; Encryption Technology Chemical/ Biological Weapons; Select Agents and Toxins Dual Use Technologies; Medical Lasers

May Require Export License When Traveling With Overseas Travel High Tech Equipment Confidential Information Unpublished Information Proprietary Information Proprietary Data

Fundamental Research Protection Lost (FRE) Outside Activities Involving Proprietary Confidential Controlled Information Shipment of Items Outside Technology Not Protected under FRE Subject to Export Controls

Restrictions on Sponsored Research Fundamental Research Protection Lost (FRE) Primary Investigators Accept Restrictions on Sponsored Research Restrictions on Sponsored Research Personnel Access Publication Dissemination

All Subject to Export Controls Shipping Items Overseas Project Information Transfer Equipment Materials Technology All Subject to Export Control

International Transactions International Payment of Funds Must Be Verified Financial Support International Transactions Payment of Funds Non U.S. Persons Abroad Blocked Entity Sanctioned Entity

May Be Subject To Export Controls International Collaborations International Presentations Foreign National Faculty Foreign National Students Foreign National Staff Visiting Foreign Scientist Foreign Collaborator(s)

International Consulting Prohibited Professional Services Strictly Prohibited Embargoed or Sanctioned Countries International Consulting Prohibited Professional Services Iran Syria Cuba Sudan North Korea

Export Controls Violations The consequences for noncompliance are very serious for both the University and the investigator (including fines up to $1,000,000 and/or imprisonment up to 10 years for individuals). These penalties apply to single violations; multiple violations in the same project can easily result in enormous penalties. Violations under the EAR (Export Administration Regulations) can bring civil penalties of $10,000 to $120,000 per violation and criminal penalties of $50,000 to $1 million per violation along with up to 10 years in prison. Violations under OFAC regulations (Office of Foreign Assets Control) can bring civil penalties of $250,000 per violation and criminal penalties of up to 20 years in prison. Violations under the ITAR (International Traffic in Arms Regulations) can bring civil penalties of $500,000 per violation and criminal penalties of up to $1 million per violation along with up to 20 years in prison.

Academia and Export Controls – Case Study Export Controls Violations Academia and Export Controls – Case Study Dr. J Reece Roth was the sub-recipient of an U.S. Air Force (USAF) contract to develop plasma actuators to control the flight of small, subsonic, unmanned, military drone aircraft. These activities are controlled by the Arms Export Control Act which forms the basis for the International Traffic in Arms Regulations (ITAR). The Arms Export Control Act prohibits the export of defense-related materials, including the technical data, to a foreign national or a foreign nation.

Academia and Export Controls – Case Study Cont. Export Controls Violations Academia and Export Controls – Case Study Cont. During the course of that contract, He allowed two foreign national students to access export controlled data and equipment. He exported some of the data from the contract by taking his laptop on a trip to China. He had difficulties with his email while visiting China so he had a foreign national graduate student email a report on the project to a Chinese colleague. He was convicted of: One count of conspiring with the prime contractor to unlawfully export 15 different “defense articles” to a citizen of the People’s Republic of China in violation of the Arms Export Control Act. He was charged with Fifteen counts of violating the Arms Export Control Act. One count of wire fraud.

Lessons Learned Criminal penalties are a possibility for violating export control laws and regulations. While the Fundamental Research Exclusion covers many of the research activities at a university, it does have limitations. Care must be taken to insure that export control data and/or technology is not taken out of the country without the proper permits/licenses in place.

Thank You!