Local News

January 9, 2014

Former CEO of Dalton company sentenced for shipping commercial industrial machines to Iran

ROME — Mark Mason Alexander, aka Musa Mahmood Ahmed, has been sentenced to 18 months in prison for conspiring to send water-jet cutting machines manufactured in Dalton to Iran in violation of the United States trade embargo.

According to U.S. Attorney Sally Quillian Yates, the charges and other information presented in court: Between October 2006 and June 2008, Alexander conspired with two Iranian businessmen to sell Hydrajet water-jet cutting systems to customers in Iran. Hydrajet Technology, located in Dalton, of which Alexander was the CEO, manufactured the water-jet cutting systems which were used for the precision cutting of materials such as aluminum, glass, granite and steel. These machines were distributed to customers in the Middle East through Hydrajet Mena, another company that Alexander partly owned which was located in the United Arab Emirates and for which Alexander worked as the CEO.

In 2007, as part of the conspiracy, Alexander negotiated the sale of two water-jet cutting systems to companies located in the Islamic Republic of Iran: the Parand Machine Co. and the Negin Sanat Sadr Co.

In July 2007, after Alexander negotiated the terms of these sales and before the machines were shipped to the Islamic Republic of Iran, the Department of Commerce had conducted a community outreach meeting with Alexander, as the CEO of Hydrajet Technology. This outreach program was designed to make exporters, like Alexander, aware of the various export restrictions, including the trade embargo against Iran, and to educate exporters about the process for legally exporting items from the United States.

The evidence further established that the machines that Alexander conspired to sell were in fact manufactured in Dalton. He concealed the true destination of these machines by causing them to be trans-shipped to the Islamic Republic of Iran via Alexander’s company in the United Arab Emirates. Alexander additionally instructed Hydrajet Mena employees to travel to the Islamic Republic of Iran to install the machines and to conduct software training for the Iranians who would operate them.

 Alexander, 53, of Roswell, was sentenced by U.S. District Judge Harold L. Murphy to 18 months in prison to be followed by three years of supervised release. Alexander was found guilty by a jury on Sept. 26 of conspiracy to violate the International Emergency Economic Powers Act.

“Today’s sentence demonstrates that the United States will continue to vigorously pursue and bring to justice those who evade our economic sanctions,” said Yates. “The trade embargo against the Islamic Republic of Iran is not limited to those who specifically seek to supply the country with military items or with items for use in its nuclear weapon proliferation program. Rather, businesses and individuals who engage in commercial transactions with businesses and individuals in the Islamic Republic of Iran are cautioned that they are still subject to prosecution under existing sanctions.”

“This is the latest example of the commitment of the U.S. Department of Commerce’s Office of Export Enforcement to protect our national security through effective enforcement of U.S. export control laws” said Robert Luzzi, special agent-in-charge of the Office of Export Enforcement’s Miami Field Office. “We will continue to work aggressively with our law enforcement partners including Homeland Security Investigations (HSI), Atlanta Field Office, to investigate, arrest and convict those individuals who illegally export U.S technology to state sponsors of terrorism.”

“The magnitude and scope of the threats facing the United States is complex and wide-ranging, and that’s why HSI investigates individuals who try to export sensitive technologies to hostile nations,” said Brock D. Nicholson, special-agent-in-charge of HSI Atlanta. “Homeland Security Investigations, along with our partners like the Department of Commerce, take pride in protecting our country, and today’s sentencing is just the latest example of our effective investigative efforts.”

Assistant U.S. Attorney Tracia King prosecuted the case.


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