A federal grand jury has indicted a Hawaii man, alleging violation of the Atomic Energy Act (AEA), making false statements,  obstructing agency work and bank fraud, a news release said.

Mark Kazee, 57, was the regional manager of an industrial radiography company, which uses a radiation source and a special camera to examine materials beneath the surface for flaws, the news release said.

"Kazee made a surreptitious plan to take over his employer’s business by, among other things, misappropriating his employer’s equipment and personnel," the Department of Justice news release said. "As alleged in the indictment, he set up two other companies,  APINDE and Hawaii Testing & Technology (HTT), as part of the takeover attempt. In doing so, he violated the AEA, submitted false statements to the NRC and fraudulently obtained a significant line of  credit from a Hawaii bank."

The new companies established by Kazee would need a new radiographic camera, which would require a license from the Nuclear Regulatory Commission, the news release said. 

"He did not have a trained radiation safety officer (RSO), which all materials licensees are required to have," the news release said. "Nevertheless, he prepared an application that  falsely claimed he had a qualified RSO, among other things. In response  to NRC questions about the application, he submitted more false  information about training and qualifications."

Kazee also provided false information to the Bank of Hawaii for a revolving line of credit, prosecutors said.

"Radiography is a marvelous technology, and when it is used with proper safeguards, it increases safety and improves lives,” Assistant  Attorney General Todd Kim said in a statement. “The Justice Department will vigorously  prosecute those like Kazee who would circumvent those safeguards and treat worker safety as an afterthought as part of a criminal scheme.”