United States v. Herbert B. Steindler, Rami Dotan and Harold Katz (S.D. Ohio 1994)

• Case Name
• United States v. Herbert B. Steindler, Rami Dotan and Harold Katz (S.D. Ohio 1994)

• Date Filed
• 03/17/1998

• Enforcement Agency
• DOJ

• Countries
• Israel

• Foreign Official
• Rami Dotan, an Israeli Air Force (“IAF”) officer, who oversaw the purchase and maintenance of the IAF’s aircraft engines.

• Date of Conduct
• 1984 to 1990

• Nature of Business
• Manufacture and sale of aircraft engines and related products and services by General Electric Co. (“GE”), a corporation and an issuer.

• Influence to be Obtained
• To obtain business with the Israeli government for aircraft engines and related services.

• Enforcement
• In an 89-count indictment, the grand jury charged Steindler, the international sales manager of GE, with six counts of violating the FCPA bribery section.  Steindler and Dotan, an Israeli citizen, were charged with one count of violating the books-and-records section of the FCPA.  One count alleged that Steindler, Dotan and Katz, an Israeli and U.S. citizen, conspired to divert U.S. funds from contracts with the Israeli Air Force to their personal accounts.  Sixteen counts addressed mail fraud, six alleged wire fraud, and 57 counts charged the three individuals with money laundering.  Steindler pled guilty to three counts of conspiracy, wire fraud and money laundering and was sentenced to 84 months’ incarceration and a forfeiture of $1,741,453.  On February 23, 2016, the District Court for the Southern District of Ohio dismissed all counts against Dotan and Katz in the interest of justice, based on Dotan’s imprisonment in Israel for the same conduct and Katz’s old age.

• Amount of the Value
• $7.875 million.

• Amount of Business Related to Payment
• Contracts exceeding $300 million.

• Intermediary
• Harold Katz, an Israeli attorney, set up an elaborate scheme of transferring funds into cash and smuggling them across the Swiss-German border to deposit them in Swiss bank accounts.

• Compliance Monitor
• No

• Reporting Requirements
• No

• Case is Pending?
• No

Herbert B. Steindler

• Citation
• United States v. Steindler, No. 1:94-cr-29 (S.D. Ohio 1994).

• Date Filed
• 03/17/1998

• Filed Under Seal
• No

• FCPA Statutory Provision
• • Aiding and Abetting: Anti-Bribery
  • Aiding and Abetting: Books-and-Records
  • Anti-Bribery
  • Books-and-Records

• Other Statutory Provision
• Conspiracy (Wire Fraud); Conspiracy (Mail Fraud); Conspiracy (Money Laundering); Aiding and Abetting (Wire Fraud); Aiding and Abetting (Money Laundering); Aiding and Abetting (Mail Fraud); Aiding and Abetting (False Statements); Aiding and Abetting (Travel Act); Wire Fraud; Money Laundering; Mail Fraud; False Statements; Travel Act; Criminal Forfeiture.

• Disposition
• Plea Agreement

• Defendant Jurisdictional Basis
• Aiding and Abetting, Agent of Issuer

• Defendant's Citizenship
• United States

• Individual Sanction
• $1,741,453 and 84 months imprisonment

Rami Dotan 

• Citation
• United States v. Steindler, No. 1:94-cr-29 (S.D. Ohio 1994).

• Date Filed
• 03/17/1998

• Filed Under Seal
• No

• FCPA Statutory Provision
• • Aiding and Abetting: Books-and-Records
  • Books-and-Records

• Other Statutory Provision
• Conspiracy (Wire Fraud); Conspiracy (Mail Fraud); Conspiracy (Money Laundering); Aiding and Abetting (Wire Fraud); Aiding and Abetting (Money Laundering); Aiding and Abetting (Mail Fraud); Wire Fraud; Money Laundering; Mail Fraud; Criminal Forfeiture.

• Disposition
• Charges Dismissed

• Defendant Jurisdictional Basis
• Aiding and Abetting, Agent of Issuer

• Defendant's Citizenship
• Israel

• Individual Sanction
• None

Harold Katz 

• Citation
• United States v. Steindler, No. 1:94-cr-29 (S.D. Ohio 1994).

• Date Filed
• 03/17/1998

• Filed Under Seal
• No

• FCPA Statutory Provision

• Other Statutory Provision
• Conspiracy (Wire Fraud); Conspiracy (Mail Fraud); Conspiracy (Money Laundering); Aiding and Abetting (Wire Fraud); Aiding and Abetting (Money Laundering); Aiding and Abetting (Mail Fraud); Wire Fraud; Money Laundering; Mail Fraud; Criminal Forfeiture.

• Disposition
• Charges Dismissed

• Defendant Jurisdictional Basis
• Unknown

• Defendant's Citizenship
• Israel, United States

• Individual Sanction
• None.