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Friday, July 17,2008, | 18
Young pulls Gonax support
The US. representative's move is in reaction to Wednesday’s raid by federal agents.
Times Sey Wrens
ST, PETERSBURG ~ With
‘questions svirling a day after
the federal aid of Conax Frida
(Corp, US. Rep. CW. Bil Young.
‘on Tharsday withdrev support
fora $4 miblon funding request
‘for thedeferse contractor.
“The move puts some distance
between Conax and Young, who
‘nas socured $28.5 milion in fet
‘eral earmarks” for the company
‘snc: 2008.
‘Young’ spokesmaa saidhe dit
not pursue the money duting =
key budget hearing in Washing-
ton because ofthe investigation,
the scope and nature of which
remain urelear
“They decided they would
sce what develops with what
(investigators) are looking at”
syokesnan Harry Gens said.
‘Conax was open for business
‘Thursday, one day after fed
cra agents raided its St Peters.
barg complex oa 75th Steet
1N-On Wednesday, agents with
‘the Defense Criminal Invest
‘ative Service and several
Agencies searched the building
and carried out boxes and fles.
‘They would not comment on
‘what prompted the raid or what
theyfound. ‘the US. government the state
‘of Gibharn LifeSupport Systems, Te went onto cay that he com:
{sa division of British defense pany is cooperating fully and
fimCobham. Cobham released that the investigation could tke
specifications, manufacture and tensioning” restraint system
‘origin of parte used in the man- for Air Fores alerat platforms.
‘facture ef products supplied t See CONAY. 9B» CONAX continued from 1B
Young pulls his support
Conax produces life-support and
personal-survival equipment
for the military and NASA. Last
‘year, it generated $96 million in
revenue, representing just more
than 3 percent of Cobham total
revenue.
‘Young is the ranking Repub-
lican on the House Defense
Appropriations Committee,
‘which met in private Thursday
morning to work out details for
the 2010 budget. His out would
have almost certainly ensured
inclusion of the request, which
he supported, had it not been for
the investigation.
Young told the St. Petersburg
‘Times on Wednesday that he was
‘not sure what authorities were
ooking for but that the company
Thad performed well in the past.
Products created for the gov-
ernment have to follow strict
‘specifications that are identified
uring the bidding process and
then spelled out in a contract.
Ifa contractor supplies a prod-
uct such as a computer that fails
to meet one of the requirements
like having 10 chips instead of a
dozen, it doesn’t automatically
trigger a federal raid, said for-
mer Tampa defense contractor
Robert Castro. The government
‘could just alert the seller and tell
it to correct the mistake before
Jegalaction is taken, he said.
In the Conax investigation,
based on the number of agencies
involved, “it leads one to believe
that this is something far more
serious than just an oversight,”
Castro said.
‘American Data & Computer
Products, Castro's now-defunct
company, went out of business
because of a debacle involving
what Castro believes to be coun-
terfeit switches installed in sev-
eral US. submarines.
“It's one thing to counterfeit’
DVD or purse in New York's Chi-
natown? he said, “Its a different
‘thing when you have something
counterfeited being installed
in sensitive operational equip-
ment”
Ifa company didn’t recognize
it was dealing with counterfeit
parts, then sometimes it can get
off the hook, said lawyer David
Sugden, who deals with copy-
right and counterfeiting issues
as the managing partner for Call,
Jensen & Ferrell in Southern Cal-
‘ifomia.
“Ifthe governmeist concludes
. that the company was acting
in good faith, and they did not
‘know, the government may sim:
ply require them to replace the
counterfeit goods with genuine
goods, and perhaps the matter
will end there.” he said.
However, Sugden pointed
‘out, when it comes to counter-
felt products that affect safety, it
‘could become abigger deal.
“If we have a company that is
manufacturing vehicles such as
airplanes; and there are counter-
feit products, it puts into ques-
tion the entire integrity of the
product) he said.
Contractors who work with
the military have to adhere to
‘contracts but also follow.a strict
set of guidelines called the Fed-
eral Acquisition Regulation,
which are issued by the General
Services, :
Nicole Norfleet can be reached
cat nnorfleet@sptimes.omor
(727) 885-8786.