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Institutions Suspected by the Russian Government of Violating Export Control Legislation

On 15 July 1998, the Russian news agency ITAR-TASS released a report that the Russian Government Commission on Export Control, chaired by Minister of the Economy Yakov Urinson, had examined accusations of export control violations by a number of Russian companies and institutions which had attempted to illegally export dual-use commodities connected with weapons of mass destruction and missile systems for their delivery. A source in the commission told ITAR-TASS that as a result of this examination, the commission had decided to conduct further "special investigations" of nine companies and institutions, which could lead to "administrative, and in certain cases, criminal charges." The source named these companies: Glavkosmos; the INOR Scientific Production Center; the Grafit State Scientific Research Institute; the Polyus Scientific Research Institute; the Tikhomirov Instrument-Building State Research Institute; the Komintern Plant; the "MOSO" company; Evropalas 2000; and the Baltic State Technical University. The Clinton administration hailed the Russian announcement, and declared that it would immediately suspend any US goverment program or assistance to these nine companies and institutions and would "proceed expeditiously to impose trade restrictions on them." Clinton Adminstration spokesman Michael McCurry said that the transactions under investigation by the Russian government had involved Iran, North Korea, and Libya. Several of the companies under investigation had been repeatedly charged in Western media reports during 1997 and 1998 with providing technical assistance to Iran's ballistic missile program.

On 28 July 1998, President Clinton announced that the United States had imposed economic sanctions against seven of the nine firms under investigation by the Russian government. The companies that have been sanctioned are Glavkosmos, the INOR Scientific Production Center, the Grafit State Scientific Research Institute, the Polyus Scientific Research Institute, the "MOSO" company, Evropalas 2000, and the Baltic State Technical University. The US sanctions bar the seven companies from exporting or importing goods to the United States and also block them from receiving any US assistance. As of late August 1998, the Russian investigation was still pending, and no formal charges had yet been brought by Russian authorities against any of the nine companies. Critics of the Russian investigation have pointed out that a number of other firms that have been accused in both American and Israeli reports with assisting the Iranian missile program are not among the nine firms under investigation. These firms include the Russian Space Agency, the state-owned arms export firm Rosvooruzheniye, the Bauman State Technical University, the Central Aerohydrodynamics Institute (TsAGI), and NPO Trud.

The chart below provides an overview of available information from open sources about the nine companies and institutions currently under investigation by the Russian government, their main activities and products, previous known international dealings, and specific allegations of export control violations that have been made against them in both Western and Russian sources.

{Compiled 8/26/98 by Scott Parrish and Fred Wehling}
 

Sources:

1. Charles Vick and Maxim Tarashenko, "Glavkosmos," Federation of American Scientists Space Policy Project, 2 May 1998, http://www.fas.org/spp/civil/russia/glavkosm.htm.
2. Sarah Berman and Charles Vick, "State Scientific Research Institute of Graphite (NIIGRAFIT)," Federation of American Scientists Space Policy Project, 11 May 1997, http://www.fas.org/spp/civil/russia/niigrafit.htm.
3. Yekaterina Bogatova, "Results," Delovoy Mir, 2 April 1997, p. 4, in FBIS-SOV-97-071, 2 April 1997.
4. Bill Gertz, "Russia Sells Iran Missile Metals," Washington Times, 20 October 1997, p. 1.
5. "India to Get Russian Cryogenic Engines," Khaleej Times (India), 11 December 1995; in Strategic Digest, March 1996, pp. 423-424.
6. Hindu (Madras), 20 June 1996; in "Kerala Cabinet Reopens ISRO Espionage Case Investigation," FBIS-NES-96-12.
7. Le Point (Paris), 8 November 1997, p. 33; in "US Technologies May Help Iranian Weapons Via Russia," FBIS-WEU-97-316.
8. ITAR-TASS, 3 June 1998; in "Russia, France to Cooperate Over Sale of Artillery Shell," FBIS-TAC-98-154.
9. Steve Rodan, Secret Israeli Data Reveals Iran Can Make Missile in Year, Defense News, 6-12 October 1997, p. 4.
10. Bill Gertz, Russia, China Aid Irans Missile Program, Washington Times, 10 September 1997, p. A1.
11. ITAR-TASS, 13 July 1998; in"Security Service Cracks Down on Weapons Technology Exports," FBIS-SOV-98-194.
12. Dmitriy Kaledin, "Interview with Nikolay Kovalev, Director of the Russian Federation Federal Security Service," Novyye Izvestiya, 17 July 1998, pp. 1, 7; in "Russia: FSB's Kovalev Interviewed on Israel Talks," FBIS-TAC-98-198.
13. Embassy of the Russian Federation, Press Release, 2 October 1997, No Facts of Transferring Missile Technology to Iran, Russian Security Service Says.
14. ITAR-TASS, 17 June 1998; in "Russia to Stop Technical Training for Iranians," FBIS-SOV-98-174.
15. Michael R. Gordon with Eric Schmitt, "Russia Fails to Intercept Missile Material Bound for Iran," New York Times, 25 April 1998 (electronic edition).
16. Aleksey Rey, "Iran-Gate Again. Russian Companies Suspected in Supply of Missile Technologies to Iran," available at the PIR Center web site, http://www.pircenter.org/reportsr/messages/42.htm

Comments or questions? Contact John Lepingwell at MIIS CNS: JLepingwell@miis.edu

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