"As a company which has worked for years to help protect the safety of our warfighters from the silent scourge of counterfeit parts, and to contribute to the health of an electronics supply system under attack, we applaud this moment."
STONY BROOK, NY (PRWEB) May 08, 2014
May 8, 2014. Applied DNA Sciences, Inc. (OTCQB: APDN), (Twitter: @APDN), a biotechnology firm that provides DNA-based authentication and security solutions and services, today issued an important statement by Dr. James A. Hayward, President and CEO, concerning the new set of regulations for defense suppliers published in the Federal Register yesterday*. "This is the day when federally required anti-counterfeiting processes and technologies became, not just law, but law with teeth," said Dr. Hayward. Calling it "an historic day," Dr. Hayward stated that the new regulations "will change everything in electronics."
*Details of the new regulations are documented here:
The new regulations implement the anti-counterfeiting provisions in the National Defense Authorization Act for Fiscal Year 2012, Section 818, and a section of the National Defense Authorization Act for Fiscal Year 2013, both of which required direct suppliers to bring anti-counterfeiting systems online, and held them strictly liable financially and even, in extreme cases, legally.
Publication in the Federal Register is required for implementation, and signals that the regulations are officially in effect.
At their heart, the new regulations demand for the first time that defense contractors must establish policies and procedures to eliminate counterfeit electronics from their parts lists destined for the military. Contractors must “monitor and detect” counterfeits, or face rework and replacement charges, or legal remedies including suspension and debarment. "We believe," commented Dr. Hayward, "that the counterfeiters, will surely face much stricter defenses, and far more powerful interdiction technologies such as the ones we offer."
Dr. Hayward pointedly commented, "Business as usual? Just another empty government edict? Not quite. Indeed, only a month after Section 818 was signed into law by President Obama, the Council of Defense and Space Industry Associations (CODSIA) wrote in a letter that the law would "fundamentally change the nature of the existing global supply chain for the defense industrial base.”
He continued, "As a company which has worked for years to help protect the safety of our warfighters from the silent scourge of counterfeit parts, and to contribute to the health of an electronics supply system under attack, we applaud this moment. While the regulations are not perfect, and will continue to be shaped--either for better or worse--we stand proud to be in the mainstream of those offering solutions to the counterfeit crisis, the target of today's event. In our opinion, SigNature® DNA will prove capable of fulfilling many of the requirements of the new regulations."
APDN's SigNature® DNA technology is now required by the US Defense Logistics Agency, for use by their suppliers of certain categories of electronic parts.
To read Dr. Hayward's complete statement, please click here.:
About Applied DNA Sciences
APDN is a provider of botanical-DNA based security and authentication solutions and services that can help protect products, brands, entire supply chains, and intellectual property of companies, governments and consumers from theft, counterfeiting, fraud and diversion. SigNature® DNA describes the uncopyable marker that is at the heart of all of our security and authentication solutions. SigNature DNA is at the core of a family of products such as DNAnet®, our anti-theft product, SigNature® T, targeted toward textiles, and digitalDNA®, providing powerful track and trace. All provide a forensic chain of evidence and can be used to prosecute perpetrators.
The statements made by APDN may be forward-looking in nature. Forward-looking statements describe APDN’s future plans, projections, strategies and expectations, and are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of APDN. Actual results could differ materially from those projected due to our short operating history, limited financial resources, limited market acceptance, market competition and various other factors detailed from time to time in APDN’s SEC reports and filings, including our Annual Report on Form 10-K filed on December 20, 2013 (amended on May 1, 2014) and our subsequent quarterly reports on Form 10-Q/A (for the quarterly period ended December 31, 2013) and Form 10-Q. APDN undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date hereof to reflect the occurrence of unanticipated events.