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Important information

• Pending Government Action:

  Government Action: BBB reports on known government actions involving business’ marketplace conduct:

  3:21-cr-00220-VAB All Defendants USA v. Patel et al
  

  As of February 18, 2022

  
  

  A
  federal grand jury in Bridgeport, Connecticut, returned an indictment
  yesterday charging a former manager of a major aerospace engineering
  company and five executives of outsource engineering suppliers
  (Suppliers) for participating in a long-running conspiracy to restrict
  the hiring and recruiting of employees among their respective companies.
  The conspiracy affected thousands of engineers and other skilled
  workers in the aerospace industry who perform services in the design,
  manufacturing and servicing of aircraft components for both commercial
  and military purposes.

  
  

  According to the one-count felony indictment unsealed today in the
  U.S. District Court for the District of Connecticut, six individuals —
  Mahesh Patel, of Connecticut; Robert Harvey, of South Carolina; Harpreet
  Wasan, of Connecticut; Steven Houghtaling, of Connecticut; Tom Edwards,
  of Connecticut; and Gary Prus, of Florida — conspired with unnamed
  others to allocate employees by agreeing not to hire or solicit
  employees from each other’s companies.

  
  

  This indictment is the first in an ongoing investigation into labor
  market allocation in the aerospace engineering services industry. Patel,
  described as a leader of the conspiracy given his position and
  authority as the Suppliers’ common customer, was previously charged by
  complaint. He was arrested and appeared before a federal magistrate
  judge on the charge last week, and was released on a $100,000 appearance
  bond. The remaining defendants are expected to appear before federal
  district courts in different districts this week.

  
  According to the indictment, the defendants and co-conspirators
  recognized the mutual financial benefit of the conspiracy — namely,
  reducing the rise in labor costs that would occur when aerospace workers
  were free to find new employment in a competitive environment. Patel
  and certain other co-conspirators explicitly appealed to this financial
  benefit when communicating with each other about the agreement.
  

  The charges
  are the result of an ongoing federal antitrust investigation into labor
  market allocation in the aerospace engineering services industry,
  conducted by the Antitrust Division’s New York Office, the U.S.
  Attorney’s Office for the District of Connecticut, and the New Haven and
  New York Resident Agencies of DCIS. Anyone with information in
  connection with this investigation should contact the Antitrust
  Division’s Complaint Center at 888-647-3258, or visit
  
  http://www.justice.gov/atr/report-violations.

  
  

  An indictment merely alleges that a crime has been committed, and all
  defendants are presumed innocent until proven guilty beyond a
  reasonable doubt in a court of law.

  
  

  LINK:

  
  

  As of February 18, 2022

  
  

  A
  federal grand jury in Bridgeport, Connecticut, returned an indictment
  yesterday charging a former manager of a major aerospace engineering
  company and five executives of outsource engineering suppliers
  (Suppliers) for participating in a long-running conspiracy to restrict
  the hiring and recruiting of employees among their respective companies.
  The conspiracy affected thousands of engineers and other skilled
  workers in the aerospace industry who perform services in the design,
  manufacturing and servicing of aircraft components for both commercial
  and military purposes.

  
  

  According to the one-count felony indictment unsealed today in the
  U.S. District Court for the District of Connecticut, six individuals —
  Mahesh Patel, of Connecticut; Robert Harvey, of South Carolina; Harpreet
  Wasan, of Connecticut; Steven Houghtaling, of Connecticut; Tom Edwards,
  of Connecticut; and Gary Prus, of Florida — conspired with unnamed
  others to allocate employees by agreeing not to hire or solicit
  employees from each other’s companies.

  
  

  This indictment is the first in an ongoing investigation into labor
  market allocation in the aerospace engineering services industry. Patel,
  described as a leader of the conspiracy given his position and
  authority as the Suppliers’ common customer, was previously charged by
  complaint. He was arrested and appeared before a federal magistrate
  judge on the charge last week, and was released on a $100,000 appearance
  bond. The remaining defendants are expected to appear before federal
  district courts in different districts this week.

  
  

  
  According to the indictment, the defendants and co-conspirators
  recognized the mutual financial benefit of the conspiracy — namely,
  reducing the rise in labor costs that would occur when aerospace workers
  were free to find new employment in a competitive environment. Patel
  and certain other co-conspirators explicitly appealed to this financial
  benefit when communicating with each other about the agreement.
  

  
  

  The charges
  are the result of an ongoing federal antitrust investigation into labor
  market allocation in the aerospace engineering services industry,
  conducted by the Antitrust Division’s New York Office, the U.S.
  Attorney’s Office for the District of Connecticut, and the New Haven and
  New York Resident Agencies of DCIS. Anyone with information in
  connection with this investigation should contact the Antitrust
  Division’s Complaint Center at 888-647-3258, or visit
  
  http://www.justice.gov/atr/report-violations.

  
  

  An indictment merely alleges that a crime has been committed, and all
  defendants are presumed innocent until proven guilty beyond a
  reasonable doubt in a court of law.

  
  

  LINK: https://www.justice.gov/usao-ct/pr/six-aerospace-executives-and-managers-indicted-leading-roles-labor-market-conspiracy-1

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