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Cablegate: Blue Lantern Level 3: Post-Shipment End-Use Check

VZCZCXYZ0005
RR RUEHWEB

DE RUEHC #2906 2751819
ZNR UUUUU ZZH
R 021759Z OCT 09
FM SECSTATE WASHDC
TO RUEHJA/AMEMBASSY JAKARTA 0000
INFO RUEHGP/AMEMBASSY SINGAPORE 0000
RUEKJCS/SECDEF WASHINGTON DC
RUCPDOC/USDOC WASHINGTON DC 0000
RHMCSUU/FBI WASHINGTON DC 0000
RUETIAA/DIRNSA FT GEORGE G MEADE MD
RUEAIIA/CIA WASHINGTON DC

UNCLAS STATE 102906

SIPDIS
JAKARTA FOR PABLO VALDEZ
ECON

E.O. 12958: N/A
TAGS: ETTC KOMC ID SN
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK
ON LICENSES 050106069 AND 050119782

REF: 2006 BLUE LANTERN GUIDEBOOK

1. This is an Action Request. See paragraphs 2-4.

2. The Department's Office of Defense Trade Controls
Compliance (PM/DTCC) requests Post's assistance in conducting
a post-shipment check on licenses 050106069 and 050119782 for
the export of International Traffic in Arms (ITAR)-controlled
F-16 and C-130 aircraft parts to Indonesia. Post is
requested to complete this Blue Lantern inquiry within 90
days. Lack of response to a Blue Lantern inquiry will affect
pending and future licenses involving parties to this license.

3. Reason for request: to confirm receipt of aircraft parts
by Indonesian Air Force; commodities with risk of diversion.

4. ACTION: The Department requests that Post make inquiries
with appropriate officials to determine if the Indonesian Air
Force received the aircraft parts listed below and that the
articles are being used for the purpose stated on the
licenses. Post should confirm with the Indonesian Air Force
its relationship with foreign consignee KFS Aviation.

END ACTION.

5. Details of license applications:

DTC CASE: 050106069

QUANTITY/COMMODITY:

Lot - Spare parts and components for the F-16 aircraft.

License Value: 1,000,000 USD

(COMMENT: According to U.S. Customs data, three shipments
with a total value of 99,562 USD have been made under this
license. Shipments dated 27 March, 9 June, and 30 July 2009.
END COMMENT.)

SELLER:

Multi-Pacific International
14690 Central Ave.
Chino, CA 91710
Tel: 909-597-5000
POC: Malele T. Malele

FOREIGN CONSIGNEE:

KFS Aviation
1 Scott Road #24-10 Shaw Centre
Singapore 228208
POC: Lawrence Kok, Director

FOREIGN END-USER:

Indonesian Air Force
Jalan Merdeka Barat 13
Jakarta
Indonesia
POC: Sunaryo Hw, Air Vice Marshal,
Commander of Material & Maintenance Command

PURPOSE:

Maintenance of F-16 aircraft operated of the Indonesian Air
Force.


DTC CASE: 050119782

QUANTITY/COMMODITY:

Lot - Spare parts and components for the C-130 aircraft.

License Value: 1,000,000 USD

(COMMENT: According to U.S. Customs data, six shipments with
a total value of 339,213 USD have been made under this
license. Shipments dated 30 October 2008, 28 January, 30
January, 19 May, 4 August, and 3 September 2009. END
COMMENT.)

SELLER:

Multi-Pacific International
14690 Central Ave.
Chino, CA 91710
Tel: 909-597-5000
POC: Malele T. Malele

FOREIGN CONSIGNEE:

KFS Aviation
1 Scott Road #24-10 Shaw Centre
Singapore 228208
POC: Lawrence Kok, Director

FOREIGN END-USER:

Indonesian Air Force
Jalan Merdeka Barat 13
Jakarta
Indonesia
POC: Sunaryo Hw, Air Vice Marshal,
Commander of Material & Maintenance Command

PURPOSE:

Maintenance of C-130 aircraft operated of the Indonesian Air
Force.

6. Submitted in support of the license applications were the
following documents (PM/DTCC will fax documentation to Post
upon request):

--Letters of Intent submitted to Multi-Pacific International,
signed by Sunaryo Hw, both dated 6 February 2008, one each
for F-16 parts and C-130 parts.

--Non-Transfer and Use Certificates (DSP-83s), one each for
F-16 parts and C-130 parts.

--Department of State License 050106069 for Permanent Export
of Unclassified Defense Articles and Related Unclassified
Technical Data, signed 29 May 2008, approved 30 June 2008.

--Department of State License 050119782 for Permanent Export
of Unclassified Defense Articles and Related Unclassified
Technical Data, signed 21 August 2008, approved 15 September
2008.

7. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR
and include the words "Blue Lantern" and the case number in
the subject line. POC is Meredith Sundlof. Phone:
202-663-3455; Email: SundlofME@state.gov; SIPRNET:
SundlofME@state.sgov.gov. The Blue Lantern Guidebook (ref)
is available as a PDF file at
http://www.intelink.sgov.gov/wiki/Blue Lantern End-Use
Monitoring Program.

8. Department is grateful for Post's assistance in this
matter.
CLINTON

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