U.S. charges South Korea's Kolon Industries with trade theft

IndustrialsReuters

A U.S. grand jury charged South Korea-based Kolon Industries Inc with criminal trade theft in a long-running dispute over how the company produced high-strength fiber, according to an indictment unsealed on Thursday.

Kolon and five individuals face charges that they stole trade secrets belonging to DuPont Co, maker of Kevlar fabric used in body armor and other products, and Teijin Ltd, maker of the rival Twaron fabric.

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The United States threatens to take at least $226 million in assets from Kolon, which represents the gross proceeds of the company's sales of its fabric Heracron, according to the indictment.

(Reporting by David Ingram; Editing by Gerald E. McCormick)