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Cablegate: Blue Lantern Level 2: Post-Shipment End-Use Check

VZCZCXYZ0010
RR RUEHWEB

DE RUEHC #4880 3411408
ZNR UUUUU ZZH
R 071406Z DEC 09
FM SECSTATE WASHDC
TO RUEHBK/AMEMBASSY BANGKOK 0000
INFO RUEHHK/AMCONSUL HONG KONG 0000
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 124880

SIPDIS
BANGKOK FOR THOMAS HINES
POL-MIL

E.O. 12958: N/A
TAGS: ETTC KOMC TH HK
SUBJECT: BLUE LANTERN LEVEL 2: POST-SHIPMENT END-USE CHECK
ON LICENSE 050177954

REF: A. A. 2006 BLUE LANTERN GUIDEBOOK
B. B. 05 STATE 21858
C. C. 05 BANGKOK 1191

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 050177954 for the
export of International Traffic in Arms
(ITAR)-controlled aircraft batteries to Thailand. 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: Foreign consignee, Topcast Aviation
Supplies Co. (Topcast) is an entity of concern due to a
previous unfavorable Blue Lantern end-use check (see refs B
and C) and other derogatory reporting. The subject license
was approved given the substantial supporting documentation
that was submitted with the application.

4. ACTION: The Department requests that Post confirm that the
foreign end-user, the Royal Thai Air Force (RTAF), has
received the batteries listed below and that the items are
being used for the purpose stated on the license application.
To date, 345 of the 375 batteries authorized have been
exported. Post is requested to confirm if and when the RTAF
will take delivery of the remaining 30 batteries authorized
for export. Note that this is a Level 2 Blue Lantern check
(see ref A) due to the nature of concerns about the foreign
consignee, Topcast Aviation.

END ACTION.

5. Details of license application:

DTC CASE: 050177954

QUANTITY/COMMODITY:

5 - Aircraft Battery, Type MS24496-2, SAFT P/N 17315, NSN
6140-01-072-3125
6 - Aircraft Battery, Enersys P/N 9750S0746, NSN
6140-01-458-4863
54 - Aircraft Battery Cell, Marathon P/N 24805-04C, Type
12M220C, NSN 6140-01-040-4408
3 - Aircraft Battery, Type MS24496-2, SAFT P/N 17315, NSN
6140-01-072-3125
50 - Aircraft Battery Cell, Marathon P/N 24805-04C, Type
12M220C, NSN 6140-01-040-458-4863
4 - Aircraft Battery, Enersys P/N 9750S0746, NSN
6140-01-458-4863
1 - Aircraft Battery, Type MS24497-5, SAFT P/N 17118, NSN
6140-00-912-8935
20 - Aircraft Battery Cell, Type M81757/1-4, SAFT P/N
017191-000, NSN 6140-01-099-0251
3 - Aircraft Battery, Type BB433A/A, SAFT P/N 017677-000,I/W
29717, NSN 6140-01-046-1116
113 - Aircraft Battery Cell, Type M81757/1-6, SAFT P/N
023475-000, NSN 6140-01-131-9696
2 - Aircraft Battery, Type BB433A/A, SAFT P/N 017677-000, I/W
29717, NSN 6140-01-146-116
113 - Aircraft Battery Cell, Type M81757/1-6, SAFT P/N
023475-000, NSN 6140-01-131-9696
1 - Aircraft Battery, Marathon P/N 30030-001,I/W 14-60915-3,
NSN 6140-01-096-4272

License Value: 148,953.000 USD

(COMMENT: According to US Customs data, 345 batteries valued
at 144,957.00 USD were exported on 4 September 2009. END
COMMENT)

SELLER:

McKechnie Aerospace Investments, Inc.
via subsidiary, Aero Quality Sales
47 Harbor View Avenue
Stamford, CT 06902
Tel: 203-351-8500
POC: Tom Kirsch

FOREIGN CONSIGNEE:

Topcast Aviation Supplies Co.
23/F World Peace Center
55 Wo Tong Tsui Street
Kwai Chung
Hong Kong
Tel: 852-2305-411
POC: Sharon Ng
Email: sharon.ng@topcast.com

FOREIGN END-USER:

Royal Thai Air Force
Directorate of Aeronautical Engineering
Air Support Command
Dusit
Bangkok
Thailand
Fax: 662-243-4414
POC: Thavonritt Kavownark, Group Captain
POC: Jamlong Khemaprapa, Air Marshal

PURPOSE:

To support the following aircraft of the RTAF: F-5, F-16,
Nomad, UH-1H, and Alpha Jet.

6. Submitted in support of license application 050177954 were
the following documents (PM/DTCC will email documentation to
Post upon request):

--Purchase Order No. 068217, submitted by Topcast, dated 26
August 2008.

--Non-Transfer and Use Certificate (DSP-83) signed by Clark
Wong of Topcast and Thavonritt Kavownark of the RTAF.

--End-User Statement from the RTAF, dated 8 January 2009,
referencing Contract No. 2/2551P. dated 4 August 2008, signed
by Jamlong Khemaprapa, Air Marshal.

--End User Statement from RTAF, dated 12 January 2009,
referencing Contract No. 1/2551P. dated 4 August 2008, signed
by Jamlong Khemaprapa, Air Marshal.

--End-User Statement from RTAF, dated 22 February 2009,
referencing Contract No. 2/2551P. dated 4 August 2008, signed
by Jamlong Khemaprapa, Air Marshal.

--End-User Statement from the RTAF, dated 22 February 2009,
referencing Contract No. 1/2251P. dated 4 August 2008, signed
by Jamlong Khemaprapa, Air Marshal.

--End-User Statement from the RTAF, dated 16 January 2009
marked with RTAF document No. 0611.3(10)/176, signed by
Thavonritt Kavownark, Group Captain.

--End-User Statement from the RTAF, dated 22 January 2009
marked with RTAF document No. 0611.3(10)/277, signed by
Thavonritt Kavownark, Group Captain.

--Department of State License for Permanent Export of
Unclassified Defense Articles and Related Unclassified
Technical Data, signed 2 July 2009, approved 22 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

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