Mr. ROBIN PEMBERTON (Official, NASCAR): The inspector discovered a substance on the floor or inside the intake manifold that was not like anything that he has seen in any of his inspections of any other race car.

NPR: Cheating Scandal Mars NASCAR's New Season

Smith says that by subcontracting some of the work abroad--for example, the intake manifold in a car's air system--these contractors can add 20 points to that gross margin, and that's after paying Smith his fee of 5% to 7% of the foreign invoices.

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