Common use of Criminal Fine Clause in Contracts

Criminal Fine. (Plea Agreement). PWC agrees to pay $4.6 million to the United States Treasury as set forth in the plea agreement between PWC and the Office. The basis for this payment is as follows: Ten development engines supported by the EEC software were actually delivered to China; two of the 10 development engines were used on a ground test version, PT01; six engines were used on each of three flight test aircraft, PT02, PT03 and PT03A; and the remaining two engines were used as spare development engines. The total revenues for the 10 development engines and associated spare parts and support, tooling, technical support for engine installation, operations and maintenance and support of the engines during the flight test program, minus the costs for producing such materials, is reasonably estimated by the parties to be $2 million. PWC subsequently overhauled and repaired one of those engines, resulting in a gross profit from that work reasonably estimated to be $300,000. Accordingly, the total gross gain to PWC is reasonably estimated by the parties to be $2.3 million. Accordingly, the $4.6 million fine represents twice the gross gain to PWC resulting from the offense conduct. See 18 U.S.C. §3571(d).

Criminal Fine. (Plea Agreement). PWC agrees to pay $4.6 million to the United States Treasury as set forth in the plea agreement between PWC and the Office. The basis for this payment is as follows: Ten development engines supported by the EEC software were actually delivered to China; two of the 10 development engines were used on a ground test version, PT01; six engines were used on each of three flight test aircraft, PT02, PT03 and PT03A; and the remaining two engines were used as spare development engines. The total revenues for the 10 development engines and associated spare parts and support, tooling, technical support for engine installation, operations and maintenance and support of the engines during the flight test program, minus the costs for producing such materials, is reasonably estimated by the bythe parties to be $2 million. PWC subsequently overhauled and repaired one of those engines, resulting in a gross profit from that work reasonably estimated to be $300,000. Accordingly, the total gross gain to PWC is reasonably estimated by the parties to be $2.3 million. Accordingly, the $4.6 million fine represents twice the gross gain to PWC resulting from the offense conduct. See 18 U.S.C. §3571(d).