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Firm Formerly Known as Blackwater Agrees to Pay $7.5 Million Fine in Arms Smuggling Case

HeadlineAug 08, 2012

The private military firm formerly known as Blackwater has agreed to a fine of $7.5 million to settle a number of federal criminal charges surrounding weapons smuggling worldwide. Blackwater, now known as Academi, was accused of violations including possessing unregistered automatic weapons, lying to arms regulators about foreign sales, and illegal shipments overseas. Two years ago, Blackwater paid a $42 million fine for actions including illegal weapons exports to Afghanistan, making unauthorized proposals to train troops in South Sudan and providing sniper training for Taiwanese police officers. In a news release announcing the payment of the fines, Academi initially claimed the settlement “does not involve any guilty plea or admit[ting] to any violations.” But after being reminded of a clause barring it from “contradicting any aspect” of the agreement publicly, Academi issued a clarification, saying: “There is a distinction between an admission of events taking place and an admission of guilt.”

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