United States v. Lockheed Corp., Allen R. Love and Suleiman A. Nassar (N.D. Ga. 1994)

• Case Name
• United States v. Lockheed Corp., Allen R. Love and Suleiman A. Nassar (N.D. Ga. 1994)

• Date Filed
• 06/22/1994

• Enforcement Agency
• DOJ

• Foreign Official
• Lockheed’s consultant in Egypt between 1980 and 1990 (responsible for the development of markets and sales prospects for Lockheed), who then became a member of the Egyptian Parliament from 1987 through 1990 and used her influence with the Egyptian Ministry of Defense to direct business to Lockheed.

• Date of Conduct
• 1987 to 1990

• Nature of Business
• Manufacture of aircraft and associated components (primarily for sale to the U.S. Department of Defense and to foreign governments) by Lockheed Corp. (“Lockheed”), a Delaware corporation and an issuer.

• Influence to be Obtained
• Manufacture of aircraft and associated components (primarily for sale to the U.S. Department of Defense and to foreign governments) by Lockheed Corp. (“Lockheed”), a Delaware corporation and an issuer.

• Enforcement
• Amount of fine.  Lockheed pled guilty to conspiracy to violate the FCPA bribery section, agreed to cooperate and paid a $21.8 million fine and a $3 million civil settlement.  The $24.8 million total penalty was calculated under the alternative fine provisions, based on twice the gain to the defendant.
   
  Individuals charged and their relationship with the business.  Nassar, a regional vice president (for Lockheed International), and Love, a sales director (for Lockheed Aeronautical).  In a related case, Love pled guilty to a single count and was fined $20,000.  Nassar pled guilty to two counts and was sentenced to one and a half years in prison.
   
  Other crimes charged.  Conspiracy to defraud the U.S. government’s foreign military funds programs.  The final count charged Love, the sales director, with perjury.
   

• Amount of the Value
• $600,000 for each C-130 aircraft sold to Egypt; a total of $1 million was transferred.

• Amount of Business Related to Payment
• A $79 Million Contract for Three Aircraft.

• Intermediary
• The Foreign Official’s Husband.

• Total Sanction
• $ 24,800,200

• Compliance Monitor
• No

• Reporting Requirements
• No

• Case is Pending?
• No

• Total Combined Monetary Sanction
• $ 24,800,200

Lockheed Corp.

• Citation
• United States v. Lockheed Corp., No. 1:94-cr-00226 (N.D. Ga. 1994).

• Date Filed
• 06/22/1994

• Filed Under Seal
• No

• FCPA Statutory Provision
• • Conspiracy: Anti-Bribery
  • Conspiracy: Books-and-Records

• Other Statutory Provision
• Conspiracy (Anti-Bribery); Anti-Bribery.

• Disposition
• Plea Agreement

• Defendant Jurisdictional Basis
• Issuer, Conspiracy, Aiding and Abetting

• Defendant's Citizenship
• United States

• Individual Sanction
• $24,800,200.

Allen R. Love 

• Citation
• United States v. Lockheed Corp., No. 1:94-cr-00226 (N.D. Ga. 1994).

• Date Filed
• 06/22/1994

• Filed Under Seal
• No

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

• Other Statutory Provision
• Perjury; Conspiracy (Wire Fraud).

• Disposition
• Guilty Plea

• Defendant Jurisdictional Basis
• Agent of Issuer

• Defendant's Citizenship
• United States

• Individual Sanction
• 36-Months Probation; $20,025 Criminal Fine. 

Suleiman A. Nassar

• Citation
• United States v. Lockheed Corp., No. 1:94-cr-00226 (N.D. Ga. 1994).

• Date Filed
• 06/22/1994

• Filed Under Seal
• No

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

• Other Statutory Provision
• Conspiracy (Wire Fraud)

• Disposition
• Guilty Plea

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

• Defendant's Citizenship
• Switzerland

• Individual Sanction
• 18-Months Imprisonment; $125,050 Criminal Fine.