FOR IMMEDIATE RELEASE
Monday, June 29, 2009

CRM
(202) 514-2007
TDD (202) 514-1888

Former Executive of Philadelphia
Company Pleads Guilty to Paying Bribes
to Vietnamese Officials

A former executive of Philadelphia-based Nexus Technologies Inc. pleaded guilty today
in connection with his participation in a conspiracy to bribe Vietnamese government
officials in exchange for lucrative contracts to supply equipment and technology to
Vietnamese government agencies, in violation of the Foreign Corrupt Practices Act
(FCPA).

Joseph T. Lukas, 60, a resident of New Jersey, was a partner in Nexus Technologies Inc.
until 2005. According to court documents, Nexus Technologies Inc. was a privately
owned export company that identified U.S. vendors for contracts opened for bid by the
Vietnamese government to purchase a wide variety of equipment and technology,
including underwater mapping equipment, bomb containment equipment, helicopter
parts, chemical detectors, satellite communication parts and air tracking systems. Lukas
was responsible for overseeing the negotiation of contracts with suppliers in the United
States.

In connection with his guilty plea, Lukas admitted that from 1999 to 2005, he and other
employees of Nexus Technologies Inc. agreed to pay, and knowingly paid, bribes to
Vietnamese government officials in exchange for contracts with the agencies for which
the officials worked. The bribes were falsely described as "commissions" in the
company's records.

Lucas was arrested on Sept. 5, 2008, after being indicted by a federal grand jury in
Philadelphia on one count of conspiracy to bribe Vietnamese public officials in violation
of the FCPA and one substantive count of violating the FCPA. Lukas was indicted on
Sept. 4, 2008, along with the company and alleged co-conspirators Nam Nguyen, Kim
Nguyen and An Nguyen. Cases are still pending against the remaining defendants and the
company.

At sentencing, scheduled for April 6, 2010, Lukas faces a maximum
sentence of 10 years in prison.

The case is being prosecuted by Assistant U.S. Attorney Jennifer Arbittier Williams for
the Eastern District of Pennsylvania and Trial Attorney Kathleen M. Hamann of the
Criminal Division's Fraud Section. The case was investigated by the FBI and the U.S.
Department of Commerce, Office of Export Enforcement.

Open Letter to CEOs of SEC-Registered Firms

December 2, 2008

Dear CEO of SEC-Registered Firm:

During this time of financial and market turmoil, the Office of Compliance Inspections
and Examinations of the Securities and Exchange Commission reminds leaders of SEC-
registered firms, including broker-dealers, investment advisers, investment companies
and transfer agents, of the critical role played by your firm's compliance programs in
helping to meet your obligations under the securities laws. Your firm's compliance
function is critical to assure that your operations comply with the law and rules for
industry participation and to ensure that the interests of your customers, clients and
shareholders are protected. Moreover, compliance is a vital control function that
helps to protect the firm from conduct that could negatively impact the firm's
business and its reputation.

While many firms are considering reductions and cost-cutting measures, we remind you
of your firm's legal obligation to maintain an adequate compliance program reasonably
designed to achieve compliance with the law. As SEC Chairman Cox noted recently,
"[E]experience has taught us again and again that giving short shrift to regulatory
compliance subjects a company's investors, employees, management, directors, and every
other stakeholder to unacceptable risks….[C]compliance programs have made huge
strides in recent years in becoming more formalized and more robust…. Now more than
ever, companies need to take a long-term view on compliance and realize that their
fiduciary responsibility requires a constant commitment to investors. That means
sustaining their support for compliance during this market turmoil, and beyond it as
well."
Firms must be vigilant and proactive in preventing, detecting and correcting problems
that could occur. Firms should pay attention to ensuring that their interactions with
investors meet high standards, that sales and trading practices are appropriate, that
financial, valuation and risk controls are followed, and that all disclosure obligations are
met -- as well as meeting all other obligations in conformity with the securities laws.

By fulfilling their obligations, regulated firms in the financial services industry can help
to restore and bolster public confidence in the fairness and integrity of our markets and
market participants. Providing adequate resources to compliance programs and functions
and ensuring that CCOs and compliance personnel are integrated into the activities of the
firm are essential to that process.

Thank you for your focus on this important matter.

Very truly yours,

Lori A. Richards

Director

www.exportimportcompliance.com

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Last updated on 07/16/10.