ITAR - International Traffic in Arms Regulations 127.3 and 127.10: Understand criminal and civil penalty exposure and licensing consequences

Wilful violation of sections 38 or 39 of the AECA or ITAR rules, or of undertakings required by Part 124, and wilful untrue statements or material omissions in registrations, applications or reports are punishable on conviction by fine or imprisonment or both under 22 U.S.C. 2778(c) (127.3). The Assistant Secretary for Political-Military Affairs may impose civil penalties for each violation of 22 U.S.C. 2778 up to the greater of $1,271,078 or twice the value of the transaction, and set maxima for violations of 22 U.S.C. 2779a and 2780, in addition to or instead of other penalties, and DDTC may make payment or completion of administrative action a condition of issuing, restoring or continuing licences (127.10).