Dealer Accused of Selling Banned Munitions to U.S. Army

From the International Herald Tribune:

The 22-year-old president of a Miami Beach arms-dealing company and three other people were charged Friday with selling prohibited Chinese ammunition to the Pentagon to supply Afghan security forces, U.S. officials said.

A federal grand jury in Miami indicted the munitions dealer, Efraim Diveroli, president of AEY, as well as two former employees and a business associate, on charges of fraud and conspiring to misrepresent the types of ammunition they sold to the Defense Department as part of a $298 million Army contract.

According to the indictment, Diveroli, his colleagues and the company sought “to unjustly enrich themselves” by shipping aged Chinese rifle cartridges to Afghanistan after claiming they were made in Albania. The Army contract and American law prohibit trading in Chinese arms.

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