blademaster
I'm moving to Brazil
+2,075|7065
Since 2006, when the insurgency in Afghanistan sharply intensified, the Afghan government has been dependent on American logistics and military support in the war against Al Qaeda and the Taliban.

But to arm the Afghan forces that it hopes will lead this fight, the American military has relied since early last year on a fledgling company led by a 22-year-old man whose vice president was a licensed masseur.

With the award last January of a federal contract worth as much as nearly $300 million, the company, AEY Inc., which operates out of an unmarked office in Miami Beach, became the main supplier of munitions to Afghanistan's army and police forces.

Since then, the company has provided ammunition that is more than 40 years old and in decomposing packaging, according to an examination of the munitions by The New York Times and interviews with American and Afghan officials. Much of the ammunition comes from the aging stockpiles of the old Communist bloc, including stockpiles that the State Department and NATO have determined to be unreliable and obsolete, and have spent millions of dollars to have destroyed.

In purchasing munitions, the contractor has also worked with middlemen and a shell company on a federal list of entities suspected of illegal arms trafficking.

Moreover, tens of millions of the rifle and machine-gun cartridges were manufactured in China, making their procurement a possible violation of American law. The company's president, Efraim E. Diveroli, was also secretly recorded in a conversation that suggested corruption in his company's purchase of more than 100 million aging rounds in Albania, according to audio files of the conversation.


http://www.huffingtonpost.com/2008/03/2 … 93710.html
ig
This topic seems to have no actual posts
+1,199|6942
change your name to useless news ticker

Mekstizzle
WALKER
+3,611|7041|London, England
Shit, looks like any bitch ass can get into the arms trade. What you say ig, shall we do it. Take over the mo'fuckin' world
HurricaИe
Banned
+877|6381|Washington DC

Mek-Izzle wrote:

Shit, looks like any bitch ass can get into the arms trade. What you say ig, shall we do it. Take over the mo'fuckin' world
what the fuck why not ask me?

fucking asshole go choke
ig
This topic seems to have no actual posts
+1,199|6942
dude cuz me and mekworth own like that

btw lez do it

Last edited by ig (2008-03-27 18:56:11)

blademaster
I'm moving to Brazil
+2,075|7065

HurricaИe wrote:

Mek-Izzle wrote:

Shit, looks like any bitch ass can get into the arms trade. What you say ig, shall we do it. Take over the mo'fuckin' world
what the fuck why not ask me?

fucking asshole go choke
Ill team up with u will open up a nuclear weapon trade

Last edited by blademaster (2008-03-27 18:59:11)

bugz
Fission Mailed
+3,311|6732

ig wrote:

dude cuz me and mekworth own like that

btw lez do it
You better watch out...Hurri's gonna find you out, and set the homepages for all the computers in your underground lair to 2g1c and make your log-on sound a really long annoying song.
HurricaИe
Banned
+877|6381|Washington DC

blademaster wrote:

HurricaИe wrote:

Mek-Izzle wrote:

Shit, looks like any bitch ass can get into the arms trade. What you say ig, shall we do it. Take over the mo'fuckin' world
what the fuck why not ask me?

fucking asshole go choke
Ill team up with u will open up a nuclear weapon trade
fuck yeah, and let's hijack the Ion Cannon network

mek you're a dead fucking man
Mekstizzle
WALKER
+3,611|7041|London, England



Lez Do It ig

Last edited by Mek-Izzle (2008-03-27 19:01:31)

13rin
Member
+977|6899
BUMP.

In case anyone cared...  Fast forward a year.

Looks like Efraim is going to do some time.  Good.

http://www.miamiherald.com/1374/story/1210533.html

BY JAY WEAVER
jweaver@MiamiHerald.com
A Miami Beach munitions dealer will face up to five years' imprisonment this fall after pleading guilty to defrauding the U.S. government by selling banned Chinese-made machine-gun rounds to the Army to supply allied forces in Afghanistan.

Efraim Diveroli, 24, admitted in a plea agreement Friday that he conspired with other employees of his company, AEY Inc., to sell the military $10.3 million of prohibited Chinese munitions that they tried to disguise as being made in Albania.

In return for pleading to one count of making false statements to the government, the U.S. attorney's office in Miami agreed to drop 84 other procurement charges and a forfeiture allegation. AEY also pleaded guilty Friday to the same count. Diveroli and his company may still have to pay restitution to the government.

Diveroli's deal with the Pentagon was only a fraction of his government business. His company contracted to sell about $300 million in weapons and munitions to the U.S. Army one year before he and three others were indicted on conspiracy and procurement offenses in March 2008. The indictment triggered congressional hearings on why the Pentagon was doing business with such a young man.

Two other employees, Alexander Podrizki and David Packouz, pleaded guilty in May, but an AEY investor, Ralph Merrill of Utah, still faces trial.

The case centered on a Chinese-made weapons embargo passed by Congress in 1989 in response to the massacre of dissidents in Tiananmen Square. Despite normalized trade relations with China, it has remained in effect.

Diveroli's lawyers, Howard Srebnick and Hy Shapiro, sought to have the indictment dismissed, saying he didn't violate the U.S. embargo because the Albanians acquired the Chinese munitions during the Cold War -- 15 to 30 years before the embargo took effect. Diveroli didn't buy them from Albania until late 2007.

But U.S. District Judge Joan Lenard disagreed, denying their motion to dismiss the high-profile case. Once that happened, Diveroli, described by his grandfather as a weapons ``genius,'' faced daunting odds if he had gone to trial. If convicted by a jury, he would have gone to prison for much longer than five years.

In 2007, the State Department e-mailed the young Miami Beach munitions dealer to tell him that he could not sell Chinese weaponry to the U.S. government to help supply allied forces in Afghanistan, according to an indictment.

But Diveroli, president of AEY, and three of his employees didn't take no for an answer, prosecutors said. They even arranged to have ``Made in China'' markings removed from the wooden crates shipped to Afghanistan to conceal the origins of the weaponry, prosecutors said in court papers.

``[They] ultimately chose to conceal the ammunition's Communist Chinese origin by having the ammunition removed from the wooden crates and metal tins that bore the Chinese markings, disposing of papers containing Chinese markings, and repacking the ammunition in cardboard boxes,'' according to a factual statement signed by Diveroli and the prosecutors.

After they devised a way to conceal the true origins of the 90 million machine-gun rounds, Diveroli and his employees used ``this issue'' as leverage to secure a lower price for the munitions from its subcontractor and Albania's Military Export and Import Co., Assistant U.S. Attorneys James Koukios and Eloisa Delgado Fernandez said.

By providing ammunition made in China, instead of Albania, AEY derived excess profits of about $360,000 from the government, the prosecutors said.
I stood in line for four hours. They better give me a Wal-Mart gift card, or something.  - Rodney Booker, Job Fair attendee.
Lai
Member
+186|6571
For the record, what's the main problem here? The fact that the company made too much profit or the fact that they sold the US military unreliable rounds (thus endangering soldiers)?

@Blademaster

Epic sig, you're Serbian I presume?
Mekstizzle
WALKER
+3,611|7041|London, England

Lai wrote:

For the record, what's the main problem here? The fact that the company made too much profit or the fact that they sold the US military unreliable rounds (thus endangering soldiers)?

@Blademaster

Epic sig, you're Serbian I presume?
No, the fact that 1) they broke some embargo on Chinese munitions that was in place because of the Tianamen massacre and 2) they lied to the government by saying it was from Albania.

The case centered on a Chinese-made weapons embargo passed by Congress in 1989 in response to the massacre of dissidents in Tiananmen Square. Despite normalized trade relations with China, it has remained in effect.
By providing ammunition made in China, instead of Albania, AEY derived excess profits of about $360,000 from the government, the prosecutors said.

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