On 26 October 2015, a jury in the US District Court of the Eastern District of New York convicted three former employees of Arc Electronics Inc. of Houston, Texas, on various counts stemming from the unauthorised export of $30 million of export-controlled equipment to Russia. According to the US government, from October 2008 to October 2012, Arc Electronics and eleven employees operated a network designed to evade US export controls to export sensitive microchips and other electronics to, among others, Russian military and intelligence agencies. The defendants will be sentenced at a later date. These convictions follow guilty pleas from five other Arc Electronics employees, including its co-founder Alexander Fishenko. As we reported in the previous issue of the Sanctions Alert, Fishenko pleaded guilty to being an unregistered agent of the Russian government in violation of the Foreign Agents Registration Act (“FARA”).