Laboratory discloses improper computer code licensing

Interim Laboratory Director Pete Nanos last week disclosed that a Laboratory employee improperly sold licenses to unclassified computer code from 1992 until 1999.

Details regarding the precise nature of the transactions are still incomplete. However, it appears the individual took it upon himself to charge and collect licensing fees to companies and universities seeking the code, known as PARMELA, outside the Laboratory's approved licensing process. The funds acquired - by all accounts approximately $100,000 between 1992 and 1999 - were, in turn, allegedly used to purchase computers for use by the Laboratory's Code Development team; the computers were then bar coded and entered into the Laboratory's property inventory.

Preliminary information does not indicate that any funds were diverted to personal gain. All licensing of the code since 1999 has been performed through official Laboratory channels.

"I appreciate the actions by the employee, who brought this matter to management's attention himself, and the managers who also came forward when they learned of it," Nanos said.

Nanos has been urging any employee with information about improper activity to bring that information forward immediately without fear of reprisal.

"We have referred the case to the Inspector General through the Audits and Assessments (AA) Division, which now reports directly to the University of California. We will, of course, cooperate fully in any resulting investigations," Nanos added.

PARMELA, or phase and radial motion in electron linear accelerator, is unclassified computer code designed to simulate the performance of electron and ion accelerators and beam-transport lines. The major goals of the PARMELA code are flexibility and changeability. Potential uses of the unclassified PARMELA computer code are the design of particle accelerators and the characterization of accelerator performance.

The employee who improperly sold the computer code licenses, and who himself disclosed those actions to management yesterday, will be appropriately disciplined at the conclusion of the investigation.

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