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

VZCZCXYZ0006
RR RUEHWEB

DE RUEHC #4669 3101502
ZNR UUUUU ZZH
R 061443Z NOV 09
FM SECSTATE WASHDC
TO RUEHLO/AMEMBASSY LONDON 0000
RUEHRH/AMEMBASSY RIYADH 0000
INFO RUEAIIA/CIA WASHINGTON DC
RUETIAA/DIRNSA FT GEORGE G MEADE MD
RHMCSUU/FBI WASHINGTON DC 0000
RUCPDOC/USDOC WASHINGTON DC 0000
RUEKJCS/SECDEF WASHINGTON DC

UNCLAS STATE 114669

SIPDIS
RIYADH FOR KRISTIN BONGIOVANNI
LONDON FOR PAULA WIKLE

E.O. 12958: N/A
TAGS: ETTC KOMC UK SA
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK
ON LICENSE 050176047

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 license 050176047 for the export of
International Traffic in Arms (ITAR)-controlled C-130 and
L-100 aircraft parts and components to Saudi Arabia. Post is
requested to complete this Blue Lantern inquiry within 45
days. Lack of response to a Blue Lantern inquiry will affect
pending and future licenses involving parties to this license.

3. Reason for request: Airborne Product Support Ltd. (APS)
has a record of unfavorable Blue Lantern checks; no checks
have been conducted since 2001; no documentation from foreign
end-user, Royal Saudi Air Force (RSAF); commodities with risk
of diversion.

4. ACTION RIYADH: The Department requests that Post confirm
that the Foreign End-User, RSAF, ordered the items listed for
the purpose stated on the license application. In addition,
the Department requests that Post confirm RSAF's relationship
with APS (UK) or any other APS locations.

ACTION LONDON: The Department requests that Post make
inquiries with appropriate officials to establish the bona
fides of APS in the transaction. Post is also requested to
ask APS about its international subsidiaries. Conduct a site
visit to assess the company's reliability as a recipient of
United States Munitions List (USML) articles as well as an
assessment of the company's on-site security and operations.
If a site visit is not possible, please inform the PM/DTCC
case officer.

The following points are included for guidance:

--Can APS provide documentation that verifies the end-use of
the aircraft components, such as a contract or purchase order?

--What type of organizations are among its typical customers
and where are they located?

--Does APS have any subsidiaries or affiliates outside of the
UK? If so, where are they located (please provide specific
addresses)? When were these subsidiaries established?

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

END ACTION.

5. Details of license application:

DTC CASE: 050176047

QUANTITY/COMMODITY:

1 Lot - Minor parts and components for C-130 and L-100
aircraft operated by the RSAF.

License Value: 800,000.00 USD

(COMMENT: According to US Customs data, since 13 August 2009,
there have been thirteen (13) shipments under this license.
END COMMENT)

SELLER:

Arrow Dynamics LLC
1671 NW 144th Terrace Suite #105
Sunrise, FL 33323
Tel: 954-452-0699
POC: Nic Frucht

FOREIGN CONSIGNEE:

Airborne Product Support Ltd.
Office Suite No. 1,
Chatmohr Estate, Crawley Hill
West Wellow, Romsey
Hampshire, SO51 6AP
United Kingdom
Tel: 044 (0) 1794 519703
Fax: 044 (0) 1794 5197004
POC: Hatim Al-Khamash, Sr. Procurement Analyst
Company Registration No.: 3488063

FOREIGN INTERMEDIATE CONSIGNEE:

Al Salam Aircraft Co.
KKIA Industrial Park East Private Aviation
Riyadh
Saudi Arabia

(COMMENT: According to license application, Al Salam performs
maintenance for the RSAF. END COMMENT)

FOREIGN END-USER:

Royal Saudi Air Force
King Abdullah Airbase
Jeddah
Saudi Arabia

Royal Saudi Air Force
(Al Salam Co. Project) c/o Airborne Product Support Ltd.
Bin-Homran Building, Suite 404A Thahliya Street
Jeddah, 21352
Saudi Arabia

PURPOSE:

Maintenance and repair of C-130 and L-100 aircraft, T56 and
501D engines, QECs, and Hamilton Standard 54H60 series
propellers operated by the RSAF.

6. Submitted in support of license application 050183769 were
the following documents (PM/DTCC will fax documentation to
Post upon request):

--Letter of Intent submitted by APS, signed by Hatim
Al-Khamash, dated 15 June 2009.

--Department of State License for Permanent Export of
Unclassified Defense Articles and Related Unclassified
Technical Data, signed 22 June 2009, approved 13 July 2009.

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

© Scoop Media

 
 
 
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