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

VZCZCXYZ0013
RR RUEHWEB

DE RUEHC #2391 3341325
ZNR UUUUU ZZH
R 301316Z NOV 09
FM SECSTATE WASHDC
TO RUEHOT/AMEMBASSY OTTAWA 0000
INFO RUEHON/AMCONSUL TORONTO 0000
RHMCSUU/FBI WASHINGTON DC 0000
RUEAIIA/CIA WASHINGTON DC
RUCPDOC/USDOC WASHINGTON DC 0000
RUEKJCS/SECDEF WASHINGTON DC
RUEPINS/HQ BICE INTEL WASHINGTON DC 0000

UNCLAS STATE 122391

SIPDIS
OTTAWA FOR LORI BALBI

E.O. 12958: N/A
TAGS: ETTC KOMC CA
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK
ON THE EXPORT OF U.S. DEFENSE ARTICLES CITING THE CANADIAN
EXEMPTION

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 Embassy's assistance in
conducting a post-shipment check on a transaction citing the
Canadian exemption for the export of accelerometers to
Canada. Embassy is requested to complete this Blue Lantern
check within 45 days. Lack of response to a Blue Lantern
check will affect pending and future licenses involving
parties to this license.

3. Reason for request: Under ITAR 126.5 (Canadian Exemption),
certain United States Munitions List (USML) items may be
exported to Canada without a license. Some items on USML
Category VII - which includes accelerometers - may be subject
to Missile Technology Control Regime (MTCR) restrictions and
may require a license depending on commodity specification
and type. DDTC requests this check based on vague
description of commodity and end-use in export filing.

4. ACTION OTTAWA: Mission Canada is requested to make
inquiries with appropriate General Dynamics Land System -
Canada (GDLS) officials to obtain all relevant details
regarding the export of accelerometers to Canada citing the
Canadian exemption, including exact commodity description and
technical parameters for performance and capability, number,
type, dollar value, and serial number of items. (See
paragraph 5 for details of export, including filer
identification and shipping reference numbers.)

The following questions are provided as suggested guidance:

--What were the exact United States Munitions List (USML)
articles exported to you on September 11th 2008? (Automated
Export System (AES) filing data provides the following
information, "accelerometer".) Please provide detail on
model, type and technical specifications.

--What is the exact end-use for these USML items? Will GDLS
be the sole end-user and retain positive control over the
accelerometers at all times? Will they be transferred to
other end-users in Canada or re-exported?

--Does the company understand the restrictions on USML items,
especially the prohibition against unauthorized re-transfer
and re-export?

END ACTION.

5. Details of the AES filings:

--EXPORT 1 - QUANTITY/COMMODITY:

Quantity not provided

Commodity - Vague description cited as, "accelerometer"

Stated Value: USD 752.00

Export Date - 11 September 2008

ITAR Exemption Number - 126.5B

Filer Identification Number - 540582680

Shipping Reference Number - YTC800909-001

Export Identification Code - 54058268000

U.S. EXPORTER:

General Dynamics Land Systems
Yuma Province Ground
2503 Hovatter Road
Yuma, AZ 85365
POC is Mr. Brown, Tel. 586-825-7468

ULTIMATE CONSIGNEE

General Dynamics Land Systems - Canada
C/O Ceva Logistics Canada
15745 Robins Hill Rd.
London
Canada N5V5C3
No POC provided

6. 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 Tim Mazzarelli, Phone:
202-663-3867; Email: MazzarelliTP@state.gov; SIPRNET:
MazzarelliTP@state.sgov.gov. The Blue Lantern Guidebook
(ref) is available as a PDF file on Intellipedia:
http://www.intelink.gov/wiki/
Blue Lantern End-Use Monitoring Program.

7. Department is grateful for post's assistance in this
matter.
CLINTON

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