Newsletter #259 (View other news stories)
Clark retiree pleads guilty, avoids trial
LEXINGTON, KY, United States
Thursday, 11 May 2006
A retired Clark vice president has pleaded guilty to lying to federal agents investigating illegal forklift parts shipments to Iran last year.
Tatum’s attorney Jeffrey Kent Wicker said David SC Tatum, 70, who retired from Clark last year, could face five years’ jail, although probation was possible, according to a Lexington Herald-Leader report.
"David Tatum is one of the finest gentlemen I’ve had the pleasure of knowing," Wicker said. Tatum regretted the incident and pleaded guilty to spare himself a lengthy trial, he said.
In December, former Clark vice president for global parts Robert E Quinn was found guilty of five counts of making illegal exports to Iran and one count of conspiracy. Quinn was sentenced to 39 months’ jail and is appealling against the conviction. His colleague, Michael Holland, was acquitted (Forkliftaction.com News #249).
About USD32,000 of Clark parts were allegedly forwarded to an Iranian company. Prosecutors have said the intended shipment could be worth USD1.2 million but federal agents blocked some shipments and others were never made, Lexington Herald-Leader reported.
Last week, the US District Court, in Washington, DC, charged Tatum with making a material false statement to federal agents on August 10, 2005.
When questioned by the agents, Tatum said he ordered Clark employees "to cease sending US-origin parts to that Iranian company either directly or through a third party", but prosecutors say the statement was false.
During Robert E Quinn and Michael Holland’s trial, their defence attorneys argued the pair was following orders and had not been informed of the embargo.
Tatum told the men they couldn’t do business with Iran but could "quote, bill and ship" through a Dubai company, one of the men’s defence attorney said.
David Tatum was released on bond last Thursday. He will be sentenced on August 4.
Clark Material Handling Company CEO Dennis Lawrence said the Lexington-based company was thinking of Tatum and his family. "However, Clark will not condone or tolerate violations of the law.
"We believe the investigation by the government is now over and no other Clark employees will be prosecuted," he said.
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