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

VZCZCXYZ0002
RR RUEHWEB

DE RUEHUL #1823 3220529
ZNR UUUUU ZZH
R 180529Z NOV 09
FM AMEMBASSY SEOUL
TO RUEHC/SECSTATE WASHDC 6261
RUCPDOC/USDOC WASHDC 9420
RUEKJCS/SECDEF WASHINGTON DC
RUEAIIA/CIA WASHINGTON DC
RHMFIUU/FBI WASHINGTON DC
RUETIAA/DIRNSA FT GEORGE G MEADE MD

UNCLAS SEOUL 001823

SIPDIS

STATE FOR PM/DTCC-BLUE LANTERN COORDINATOR

E.O. 12958: N/A
TAGS: AU ETTC KOMC KS
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK ON
LICENSE 050185114

REF: A) STATE 109784

1. Per reftel, Post contacted UI Helicopter (UIH), the ROK Defense
Acquisition and Procurement Administration (DAPA) and the ROK Army
Logistics Command by phone, facsimile and email to verify the bona
fides of the above-referenced transaction.

2. Woo Kwang-hee, senior manager of UIH confirmed to Post that the
company received the deck assembly from Universal Technologies
Corporation in the United States on September 8, 2009. Woo informed
Post that the company completed the overhaul maintenance by
incorporating the deck assembly into the ROK Army Logistics
Command's UH-1H helicopter on October 6, 2009.

3. Yang Seung-dae, deputy director of the ROK Army Logistics
Command also confirmed to Post that the UH-1H helicopter overhauled
by UIH was received on October 7, 2009.

4. UIH, formerly known as Korea Bell, was founded as a
joint-venture with U.S.-based Bell Helicopter in 1986 to handle
sales, overhaul maintenance and production of helicopters. In May
1994, UIH acquired the total stake from the U.S. partner. In July
2009, Korea Bell changed its company name to UI Helicopter Co. Ltd.
Prior to the termination of the joint-venture in 1994, Korea Bell
dealt only in Bell Helicopters from the United States. The main
purpose of changing its company name was to expand its business
product base to handle additional helicopters unrelated to the Bell
brand. It is common for South Korean companies to change names
frequently in order to promote a specific corporate image.

5. DAPA verified that the company has been recognized as UIH since
it changed its business name from Korea Bell. DAPA also confirmed
that since 1990 UIH has been an official supplier of defense
materials.

6. UIH is headquartered at Hangjong Building, 1460-10, Seocho-dong,
Seocho-gu, Seoul, the Republic of Korea (ROK). Its maintenance and
production facility is located at 8-10, Hyorim-ri, Sapgyeo-eup,
Yesan-gun, South Chooncheong Province, ROK.

7. This investigation was conducted by phone, facsimile and email.
Supporting documents will be separately sent by email.

STEPHENS

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