Press Releases
BRAZILIAN MAN SENTENCED TO THIRTEEN MONTHS IN FEDERAL PRISON FOR EXPORT ENFORCEMENT VIOLATIONS
May 23, 2008
FOR IMMEDIATE RELEASE
NELSON S. GALGOUL, age 57, a resident of Rio de Janeiro, Brazil, was sentenced yesterday by U. S. District Judge Lance M. Africk to thirteen (13) months imprisonment for violating the International Emergency Economic Powers Act and the Iranian Transactions Regulations, announced U.S. Attorney Jim Letten. In addition to the term of imprisonment, Judge Africk imposed a fine of $100,000 and ordered GALGOUL to forfeit an additional $109,291. Judge Africk also imposed three (3) years of supervised release following the term of imprisonment during which time the defendant will be under federal supervision and risks an additional term of imprisonment should he violate any terms of his supervised release.
According to court documents, GALGOUL is the director of SUPORTE, a Brazilian consulting engineering firm which acted as an agent for Engineering Dynamics, Inc. (EDI), a Kenner, Louisiana engineering company that designed, produced, marketed, and supported Structural Analytical Computer Software (SACS), an engineering software program intended to assist in the design of offshore oil and gas structures. Due to the product’s sophistication and its potential use, SACS is a controlled product under various United States laws and regulations.
On August 2, 2007, NELSON S. GALGOUL entered a guilty plea before Judge Africk admitting that beginning in March, 1995 and continuing through February, 2007, GALGOUL knowingly conspired to violate the International Emergency Economic Powers Act and the Iranian Transactions Regulations by exporting and attempting to export the SACS engineering software program to Iran without having first obtained the required authorizations from the Office of Foreign Assets Control. Specifically, GALGOUL acted as an agent for EDI in the marketing and support of SACS and also provided training to engineers and technical personnel in the use of SACS. In particular, GALGOUL marketed and serviced SACS and trained users of the software in Iran from 1995 through 2007.
The Court imposed a sentence within the recommended guidelines range. GALGOUL was ordered to surrender to the Bureau of Prisons on June 9, 2008.
This investigation was conducted by Special Agents of U.S. Immigration and Customs Enforcement, the Department of Commerce, and the Federal Bureau of Investigation. The prosecution was handled by Assistant United States Attorneys Michael W. Magner and Gregory Kennedy.
