Home > Data Theft > Federal Court Rules That Government’s Service Attempts Fail In Criminal Trade Secret Matter

A federal judge in Virginia recently held that the United States Department of Justice’s attempts to serve Kolon Industries, Inc and five of its executives with criminal summons in a high profile criminal trade secrets action were ineffective, finding, among other things, that service on its U.S. subsidiary was not sufficient.

In the complaint, which was unsealed last October, the DOJ alleged Kolon engaged in a multi-year campaign to steal trade secrets from a competitor. Kolon allegedly poached its competitor’s employees over a seven year period, intending to use its competitor’s technology for its own research and development  projects. Additionally, Kolon allegedly retained five employees from its competitor for purposes of obtaining information about the company’s R & D, pricing, and designs. Kolon’s employees also allegedly attempted to obtain additional information regarding its competitor’s products from current employees.

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