[NEWyear]

2012-7-26 17:54:30 By Agencies

BRIDGEPORT, Conn. — A division of United Technologies Corp. pleaded guilty on Thursday to crimes related to the illegal export of software that
U.S. officials say was used by China to develop the country's first modern military attack helicopter.

The subsidiary, Pratt & Whitney Canada Corp.; Hartford-based UTC; and another subsidiary along with UTC agreed to pay more than $75 million in
fines in connection with the export violations and for providing misleading information to the U.S. government.

The U.S. attorney for Connecticut, David Fein, said Pratt & Whitney Canada knowingly committed the violations because it wanted to become the
exclusive supplier for a helicopter market in China with projected revenues of up to $2 billion.



Beginning in the 1990s, China sought to develop its attack helicopter under the guise of a civilian program to secure Western assistance, according
to U.S. authorities. Pratt & Whitney Canada delivered development engines to China for what become the Z-10, China's first military attack helicopter, in
2001 and 2002 after determining on its own that the engines did not require an export license because they were identical to engines already supplied to
China for a commercial helicopter, officials said.

U.S. authorities say the electronic engine control software, however, required a U.S. export license because it was modified for a military helicopter application.
Authorities say the Canadian subsidiary had six versions of the military software, made by UTC subsidiary Hamilton Sundstrand, sent to China in 2002 and
2003.

Pratt & Whitney Canada pleaded guilty to violating the Arms Export Control Act and making false statements in connection with the illegal export of software.