Virginia tech CEO, Russian national charged with hiding firm's Russian ties from U.S. government

• Prosecutors allege Davydov and four other Russian nationals secretly controlled Oxygen Forensics through a Cyprus holding company, while the firm falsely claimed to be independently owned and U.S.-operated to secure government contracts
• The company obtained a five-year, $12 million Secret Service contract in 2024 after Reiber allegedly signed false certifications in December 2022 and October 2023 denying any external ownership
• The charges closely mirror allegations made by former employee Max Weissberg in a February YouTube video, prompting Oxygen to sue him for defamation in August, weeks before the criminal case became public

Summary

Key Developments:

The U.S. Department of Justice has charged Lee Reiber, 55, CEO of Virginia-based Oxygen Forensics, and Russian national Oleg Davydov, 52, with conspiracy to commit wire fraud for allegedly concealing the company's Russian ownership from the U.S. government. Both were arrested on the same day—Reiber in Boise, Idaho, and Davydov at London's Heathrow Airport, where U.S. authorities are seeking his extradition.

Company Background:

Oxygen Forensics sells digital forensics software used by law enforcement to extract and analyze data from devices. Major customers included the U.S. Secret Service, Homeland Security Investigations, and the Department of War (Pentagon).

Allegations:

Prosecutors claim that while Oxygen represented itself as independently owned and U.S.-operated, Davydov and four other Russian nationals secretly controlled the company through a Cyprus holding company. The software was allegedly developed by a Russian team under Davydov's direction. Reiber, who became CEO in March 2022, allegedly signed false government certifications in December 2022 and October 2023 denying external ownership, helping secure a five-year, $12 million Secret Service contract in 2024.

Timeline and Evidence:

The charges follow allegations made by former employee Max Weissberg in a February YouTube video claiming Russian control and Kremlin ties. Oxygen sued Weissberg for defamation in August. Prosecutors cited a recorded March call where Reiber denied Russian involvement to undercover agents. Authorities seized corporate bank accounts and approximately 57 web domains under a September 19 warrant.

Penalty:

The conspiracy charge carries a maximum 20-year prison sentence. Both defendants are presumed innocent pending trial.