{"id":85889,"date":"2023-09-19T15:26:40","date_gmt":"2023-09-19T15:26:40","guid":{"rendered":"https:\/\/one.sightlinemg.com\/armytimes\/uncategorized\/2023\/09\/19\/us-charges-russian-man-with-smuggling-microelectronics-amid-ukraine-war\/"},"modified":"2026-08-08T18:54:47","modified_gmt":"2026-08-08T18:54:47","slug":"us-charges-russian-man-with-smuggling-microelectronics-amid-ukraine-war","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/armytimes\/flashpoints\/2023\/09\/19\/us-charges-russian-man-with-smuggling-microelectronics-amid-ukraine-war\/","title":{"rendered":"US charges Russian man with smuggling microelectronics amid Ukraine war"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">WASHINGTON \u2014 Authorities arrested a man living in Hong Kong accused of deceiving U.S. companies and shuttling sensitive microelectronics into Russia amid its bloody invasion of neighboring Ukraine.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Maxim Marchenko, originally from Russia, was arrested outside the U.S. this week and extradited to Westchester County, New York, documents filed in federal court show. He\u2019s <a href=\"https:\/\/www.justice.gov\/opa\/pr\/russian-international-money-launderer-arrested-illicitly-procuring-large-quantities-us\" target=\"_blank\">facing several charges<\/a>, including alleged conspiracy to defraud the U.S., conspiracy to commit wire fraud and the smuggling of goods.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The dual-use technologies Marchenko is accused of surreptitiously middle-manning for Russia \u2014 namely OLED micro-displays from a company based in Dutchess County, New York \u2014 can be used for medical imaging and rifle scopes, video games and night-vision goggles, according to the U.S. Department of Justice.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The tech is subject to export administration regulations, which <a href=\"https:\/\/www.defensenews.com\/congress\/2023\/09\/05\/aukus-standoff-australia-uk-wait-on-congress-to-approve-pact\/\" target=\"_blank\">govern shipments overseas<\/a>. Shell companies allegedly run by Marchenko funneled more than $1 million into the U.S. between May 2022 and August 2023.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cWe are laser-focused on rooting out the procurement networks fueling the Russian war machine,\u201d Assistant Secretary for Export Enforcement Matthew Axelrod said in a statement Sept. 18. \u201cWorking hand-in-hand with our federal law enforcement partners, we will continue to identify and disrupt Russia\u2019s use of front companies in the People\u2019s Republic of China and elsewhere to evade our controls.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Microelectronics play a critical role in modern military technology. And erosion of microelectronic capacities threatens national security, U.S. analysts have warned. The <a href=\"https:\/\/www.defensenews.com\/congress\/2022\/07\/26\/after-years-of-inattention-congress-scrambles-to-save-defense-supply-chain\/\" target=\"_blank\">CHIPS and Science Act<\/a>, passed last summer, allocated $2 billion for related research, fabrication and workforce training.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/c4isrnet\/artificial-intelligence\/2023\/09\/06\/sluggish-deployment-of-emerging-tech-hampers-us-military-officials-say\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"225\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/GettyImages-1292192586.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">Sluggish deployment of emerging tech hampers US military, officials say<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">The Pentagon rolled out its largest-ever innovation and modernization budget earlier this year, requesting $145 billion from Congress for fiscal 2024.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">Russian military hardware, including drones, radios and electronic warfare devices, are reliant upon Western-sourced components, the court documents note. To access them, especially now, as export controls tighten, \u201cRussia relies on third-party transshipment hubs and clandestine procurement and payment networks,\u201d they continue.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cDisrupting the efforts of facilitators and procurement agents like Marchenko, who use their skills and connections to advance the agenda of the Russian war machine, is one of the most important priorities\u201d of <a href=\"https:\/\/www.defensenews.com\/news\/your-military\/2022\/10\/20\/nearly-a-dozen-face-charges-for-sending-military-tech-oil-to-russia\/\" target=\"_blank\">Task Force KleptoCapture<\/a>, said its co-director, David Kim.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The task force was launched in March to enforce sanctions, export restrictions and other economic measures the U.S. levies in response to Russia\u2019s continued attacks on Ukraine. Task force members include agents and analysts from the FBI, Marshals Service, Secret Service and Department of Homeland Security.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Marchenko <a href=\"https:\/\/www.navytimes.com\/news\/your-navy\/2023\/09\/06\/felony-convictions-vacated-for-4-navy-officers-in-fat-leonard-case\/\" target=\"_blank\">could face tens of years in prison<\/a>. Conspiracy to defraud the U.S. carries a maximum penalty of five years, for example. Conspiracy to commit wire fraud carries 20.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Court documents show Marchenko is represented by a federal public defender and is expected to seek bail.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>\u201cWe are laser-focused on rooting out the procurement networks fueling the Russian war machine,\u201d said Matthew Axelrod, an export enforcement official.<\/p>\n","protected":false},"author":7,"featured_media":112579,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":8,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[100,8,25],"tags":[],"coauthors":[3362],"class_list":["post-85889","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-flashpoints","category-newsletters"],"acf":{"subheadline":"","legacy_arc_id":"66CFWTWFQJBYLOWNP45UAOIKTM","arc_canonical_url":"\/industry\/2023\/09\/19\/us-charges-russian-man-with-smuggling-microelectronics-amid-ukraine-war\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>US charges Russian man with smuggling microelectronics amid Ukraine war - Army Times<\/title>\n<meta name=\"description\" content=\"\u201cWe are laser-focused on rooting out the procurement networks fueling the Russian war machine,\u201d said Matthew Axelrod, an export enforcement official.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/one.sightlinemg.com\/c4isrnet\/industry\/2023\/09\/19\/us-charges-russian-man-with-smuggling-microelectronics-amid-ukraine-war\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"US charges Russian man with smuggling microelectronics amid Ukraine war\" \/>\n<meta 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