Indian-American found guilty of espionage in US

Indian-American Noshir Gowadia faces life imprisonment in US for selling technology to China.

Washington: Indian-American Noshir S
Gowadia, a former B-52 stealth bomber engineer, faces life
imprisonment after a US federal jury convicted him of selling
sensitive cruise missile technology and other classified
information to China.

The sentencing is scheduled for November 22, 2010.

"Gowadia provided some of our country`s most sensitive
weapons-related designs to the Chinese government for money.
Today, he is being held accountable for his actions,"
Assistant Attorney General for National Security, David Kris

Gowadia, 66, now faces life imprisonment.

The court found Gowadia guilty of five criminal
offences relating to his design for China of a low signature
cruise missile exhaust system capable of rendering the Chinese
a cruise missile resistant to detection by infrared missiles.

It also convicted him of illegally communicating
classified information on three other occasions and unlawfully
exporting technical information on those three occasions,
illegally retaining defence information, and filing false tax
returns between 2001 and 2002.

"This prosecution should serve as a warning to others
who would compromise our nation`s military secrets for profit.
I commend the many prosecutors, analysts, and agents --
including those from the FBI and the Air Force -- who were
responsible for this investigation and prosecution," Kris said
in a statement.

Noting that the United States entrusts people with
important and sensitive information critical to the nation`s
defence, Attorney Florance Nakakuni said the verdict
demonstrates that there is a serious consequence to betraying
that trust.

Gowadia was first arrested in October 2005 on a
criminal complaint alleging that he wilfully communicated
national defence information to a person not entitled to
receive it.

He was charged with additional violations in a 2005
indictment, a 2006 superseding indictment and a 2007 second
superseding indictment.

Gowadia was an engineer with Northrop Grumman
Corporation from 1968 to 1986, during which he contributed to
the development of the unique propulsion system and low
observable capabilities of the B-2 Spirit bomber, sometimes
referred to as the `Stealth` bomber.

He also continued to work on classified matters as a
contractor with the US government until 1997, when his
security clearance was terminated.

Evidence at the trial revealed that from July 2003 to
June 2005, Gowadia took six trips to China PRC to provide
defence services in the form of design, test support and test
data analysis of technologies for the purpose of assisting the
Chinese with its cruise missile system by developing a stealth
exhaust nozzle.

He was paid at least USD 110,000 by China.

The jury convicted Gowadia of two specific
transmissions of classified information: a PowerPoint
presentation concerning the exhaust nozzle of a PRC cruise
missile project and an evaluation of the effectiveness of a
redesigned nozzle, and a computer file providing his signature
prediction of a PRC cruise missile outfitted with his modified
exhaust nozzle and associated predictions in relation to a US
air-to-air missile.

The prosecution also produced evidence which
documented Gowadia`s use of three foreign entities he
controlled, including a Liechtenstein charity purportedly for
the benefit of children, to disguise the income he received
from foreign countries.

In addition to demonstrating that Gowadia under-
reported his income and falsely denied having control over
foreign bank accounts for the two tax years involved in his
convictions, the evidence at trial revealed that he had not
paid any income tax since from at least 1997 until 2005 when
he was arrested.


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