NEW YORK, July 19 /PRNewswire-USNewswire/ -- Jilani Humayun, a/k/a "Zach H.," a/k/a "S. Humayun," was arrested today on charges relating to the export of defense articles listed on the U.S. Munitions List (the "Munitions List") to a company (the "Company") located in Malaysia announced Michael J. Garcia, the U.S. Attorney for the Southern District of New York, Julie Myers , the Assistant Secretary of Homeland Security for Immigration and Customs Enforcement ("ICE"), Darryl W. Jackson , the Assistant Secretary for Export Enforcement of the U.S. Department of Commerce, Bureau of Industry and Security ("BIS"), and Charles W. Beardall, the Director of the U.S. Department of Defense, Defense Criminal Investigative Service ("DCIS").
In particular, the complaint charges Humayun with eleven violations of the Arms Export Control Act, one count of conspiracy to commit mail fraud, and one count of conspiracy to commit money laundering. According to the complaint filed in Manhattan federal court: In 2003, while employed with an unrelated aviation parts employer, Humayun applied to the U.S. Department of State, Directorate of Defense Trade Controls ("DDTC") for an export license to send certain military equipment to the Company. The application indicated that the Company was planning to forward the parts to the Saudi Arabia Ministry of Defense and Aviation. However, by letter sent to Humayun's attention at his then employer, the DDTC advised that the application was denied because the Company was an unreliable recipient of items on the Munitions List.
Thereafter, in January 2004 , Humayun formed his own company, Vash International, Inc., to engage in the business of export management for defense and logistic support, including tanks, guided missiles and rocket launchers. Then, on eleven separate occasions between January 2004 and May 2006 , Humayun, via Vash International, exported to the Company F-5 and F-14 fighter jet parts, as well as certain Chinook Helicopter parts, listed on the Munitions List. Neither Humayun nor Vash International applied for or received the export license required to send the parts included in the eleven shipments outside the United States .
In his dealings with the Company, Humayun also admitted to federal agents that at the Company's request he undervalued the shipments on his export paperwork so that the Company could avoid paying Malaysian customs duties. This conduct forms the basis for the mail fraud conspiracy charged in the Complaint. Humayun is also charged with a money laundering conspiracy relating to the Company's wire transfer payments totaling
During an August 2006 interview conducted by federal agents, Humayun admitted to being familiar with the Munitions List and further knowing that items in the Munitions List cannot be exported unless the exporter is registered with and has obtained a license from DDTC. Humayun also admitted that Vash International is not and has never been registered with the Department of State to apply for export licenses.
However, a Vash International brochure recovered during a search of Vash International's business premises advertised that the company was registered with the DDTC and further stated that products are sold "in accordance with U.S. Department of State, Defense Trade Control and U.S. Commerce Department's existing regulations." Humayun also acknowledged during the interview that the Company is Vash International's largest customer and that Humayun did not know who the "end users" are of the items that were shipped to the Company.
Humayun 59, a resident of Lynbrook, New York, was arrested this morning at his residence. He is expected to be presented later today before Magistrate Judge Ronald L. Ellis in Manhattan federal court. As noted above, Humayun is charged with eleven counts of violating the Arms Export Control Act, one count of conspiracy to commit mail fraud, and one count of conspiracy to commit money laundering. If convicted, Humayun faces a maximum sentence of 10 years' imprisonment on each of the eleven Arms Export Control Act violations and 20 years on both the conspiracy to commit mail fraud and conspiracy to commit money laundering charges.