Colorado Co. Pleads Guilty to Trade Secret Thefts in Texas

PLANO, Texas – In a landmark settlement, Colorado-based ADA-ES, Inc., and ADA Environmental Solutions, LLC have pleaded guilty to allegations of trade secret theft in the Eastern District of Texas. The Department of Justice (DOJ) announced the resolution, which involves a substantial payment and stringent compliance measures.

Between 2000 and 2006, ADA, along with another corporation, developed activated carbon technology for North American markets. This product is crucial in removing mercury emissions from industrial waste gas. However, ADA was accused of mishandling confidential information provided by its partner.

The non-prosecution agreement between ADA and the U.S. Attorney’s Office mandates that ADA provide extensive training and compliance checks to safeguard trade secrets. ADA also committed to a $40.5 million payment and ongoing royalties to the affected corporation until 2018.

U.S. Attorney John M. Bales emphasized the gravity of the case, stating, “Information is akin to currency in the modern world. Corporations that acquire protected information have a duty to guard its confidentiality.” The agreement underscores the DOJ’s commitment to ensuring proper handling of such sensitive data.

The investigation was conducted by the Federal Bureau of Investigation (FBI), with Assistant U.S. Attorneys Shamoil T. Shipchandler and J. Kevin McClendon negotiating the settlement.

This case serves as a stark reminder of the legal implications for corporations that fail to protect trade secrets, emphasizing the importance of compliance and vigilance in today’s information-driven economy.

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