Feeds

Sun settles with the Feds on China server sales

Renegade kit

  • alert
  • submit to reddit

Intelligent flash storage arrays

Sun Microsystems will cough up $291,000 to settle charges brought by the U.S. Commerce Department for the sale of rogue servers to China and Egypt.

The main system of ill repute is a 14-processor E5000 server shipped off to China in 1997. Sun papers said the box was heading for the Automated Systems Ltd. Warehouse in Hong Kong, but the Feds found the server at the Changsha Institute of Science and Technology in mainland China. This institute happens to dabble in some military research, which put Sun in violation of a rigorous set of export restrictions that require a license for certain high-powered computer sales.

Similar charges followed for sending gear to a military customer in Egypt and shipping computer upgrades to Colombia and Venezuela. Sun settled the charges without admitting or denying the charges - a favorite practice of big business.

The whole affair does not come as much of shock. Sun has been updating investors of progress in the matter via SEC filings over the past two years.

Sun HQ will pay $269,000, while its Hong Kong-based subsidiaries Sun Microsystems China Ltd. and Sun Microsystems California Ltd. will each shell out $11,000. ®

Beginner's guide to SSL certificates

More from The Register

next story
729 teraflops, 71,000-core Super cost just US$5,500 to build
Cloud doubters, this isn't going to be your best day
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
Want to STUFF Facebook with blatant ADVERTISING? Fine! But you must PAY
Pony up or push off, Zuck tells social marketeers
Oi, Europe! Tell US feds to GTFO of our servers, say Microsoft and pals
By writing a really angry letter about how it's harming our cloud business, ta
You think the CLOUD's insecure? It's BETTER than UK.GOV's DATA CENTRES
We don't even know where some of them ARE – Maude
SAVE ME, NASA system builder, from my DEAD WORKSTATION
Anal-retentive hardware nerd in paws-on workstation crisis
Astro-boffins start opening universe simulation data
Got a supercomputer? Want to simulate a universe? Here you go
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Getting ahead of the compliance curve
Learn about new services that make it easy to discover and manage certificates across the enterprise and how to get ahead of the compliance curve.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.