Sarine Technologies says that two Indian nationals were recently arrested in Tel Aviv on suspicion of trying to illegally obtain the device maker’s intellectual property.
In June, Sarine employees informed management that they had been approached by a party offering to buy the IP for Sarine’s diamond products. The company enlisted a private investigator who posed as a Sarine employee to correspond with the prospective buyers. They set up a meeting in Tel Aviv in June.
At the meeting, two men, as well as a relative who owns a local diamond company, handed over $100,000 in cash as an advance for a proposed $1 million payment to be paid for the schematics of Sarine’s Galaxy system, as well as a list of parts and software source code.
Immediately after the exchange, Israeli police detectives arrested two of the suspects and took them into custody. The relative was later released. The third man remains at large.
In a statement, David Block, CEO of Sarine, stated, “Unfortunately, this is another example of how far and how low unethical players will go to attain our technology illegally.”