Virginia tech CEO, Russian national accused of hiding firm’s Russian ties from U.S. government

• Prosecutors allege Davydov and four other Russian nationals secretly owned and controlled Oxygen Forensics, with software development conducted by a Russia-based team, while the company certified itself as independent to U.S. agencies
• The false certifications helped Oxygen secure a five-year, $12 million contract with a Secret Service training unit in 2024, and investigators seized the company's bank accounts and roughly 57 web domains
• The charges followed public allegations made by a fired employee in a YouTube video in February, prompting Oxygen to sue him for defamation in August, weeks before the criminal case became public

Summary: Virginia Tech CEO and Russian National Charged with Concealing Russian Ownership

Key Facts

The U.S. Department of Justice 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 face maximum sentences of 20 years.

Arrests and Legal Action

• Reiber was arrested in Boise, Idaho on Sunday and released on bond; awaiting arraignment in Los Angeles
• Davydov was arrested at London's Heathrow Airport; U.S. authorities seeking extradition
• Investigators seized Oxygen's corporate bank accounts and approximately 57 web domains under a September 19 warrant

Company Background

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

Fraud Allegations

Prosecutors allege that while Oxygen claimed to be independently owned and U.S.-operated, Davydov and four other Russian nationals secretly controlled the company through a Cyprus holding company. The software was reportedly developed by a Russia-based team directed by Davydov. Reiber 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.

Whistleblower Connection

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, weeks before the criminal case became public.