BLUE LANTERN LEVEL 3: POST-LICENSE END USE CHECK

1. On December 22, EconChief and Econoff visited the offices
of Gulf and Middle East Technological Solutions (GMETS) to
verify that the company had received one chem/bio personal
protective kit (export license 05-870417), per reftel
instructions. Econoffs met with the company's managing
director, John Middleton, who showed them the protective kit,
which he said arrived last week. Middleton said he received
the product via Federal Express from two representatives of
US Cavalry Company, which sells the protective kits. The
representatives sent him the product from the United Arab
Emirates, where they were on a training assignment.



2. Middleton confirmed that the protective kit is being used
as a sample for evaluation by the Kuwaiti Ministry of
Interior (MOI) through its General Department of Civil
Defense. Middleton said that he has been dealing directly
with officials at Civil Defense, a department within MOI, and
that he received the kit under an export license for sample
only. He said that MOI granted his company approval to sell
the protective kits in Kuwait as the lone authorized importer
of the product. Middleton added that he intends to obtain a
license to import additional protective kits for sale in
Kuwait, while the sample kit will be retained for personal
use by his company.



3. GMETS appears to be a legitimate company with a range of
business activities in Kuwait and the region. Middleton said
the company has active contracts with the GOK, the Government
of Bahrain, and a number of defense contractors. Middleton
is also the Managing Director of International Vehicle and
Cargo Inspection Systems Company (IVACIS), which is pursuing
a contract to distribute large-scale electrical generators to
the US Military at Camp Doha. Middleton said his company
previously sold "clamshell" shelters to the US Military
during Desert Storm.
JONES