EXTRANCHECK: PRE-LICENSE CHECK: LOJA DE ARMAS

UNCLAS HONG KONG 003588

SIPDIS

USDOC FOR 532/OEA/LHINES/DFARROW
USDOC FOR 3132 FOR FCS/OIO REGIONAL DIRECTOR WILLIAM
ZARIT
BICE FOR OFFICE OF STRATEGIC INVESTIGATIONS

SIPDIS

E.O. 12958: N/A
TAGS: BMGT BEXP HK ETRD ETTC
SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: LOJA DE ARMAS

REF: A) USDOC 01598 B) EXP.LIC. D355059


1. Unauthorized disclosure of the information provided
below is prohibited by Section 12C of the Export
Administration Act.


2. As per reftel A request and at the direction of the
Office of Enforcement Analysis (OEA) of the USDOC
Bureau of Industry and Security (BIS),Export Control
Officer Philip Ankel (ECO) and Export Enforcement
Special Agent (SA) John McKenna, conducted a pre-
license check at Loja De Armas Rua de S. Lourengo 18-
18A, R/C, Macau. The purpose of the visit was to
determine the suitability of Loja De Armas, Macau to be
a recipient of ten Model 870P 12 gauge shotguns (valued
at USD $3,300) that are the subject to export license
application D355059. The shotguns (ECCN 0A984) are
controlled for crime control (CC) reasons. The license
applicant is Remington Arms Co., Inc. 870 Remington
Drive, Box 700, Madison, N.C.


3. On August 18 the ECO and SA McKenna visited Loja De
Armas Macau at the address above and met with Veng
Cheong Ieong, Managing Director. Mr. Ieong stated that
Loja De Armas Macau has been in business since 2000 and
that it presently employs approximately seven people.


4. Mr. Ieong further stated that he is one of only
three authorized firearms dealers in Macau and that he
takes his responsibilities seriously. He produced
copies of his business registration certificate and
other documents verifying his comments about his
corporate history and registration as an arms dealer in
Macau.


5. Mr. Ieong stated that he only sells to the Macau
Police Department and Macau government sanctioned
independent security companies. Mr. Ieong stated that
the firearms laws within Macau are very restrictive and
the government closely tracks the sales of all firearms
and related material. Mr. Ieong informed the ECO that
each time he receives a shipment of firearms, the Macau
government inspects the order at the airport, verifies
that the firearms ordered are authorized for sale in
Macau and then deliver the order to his business.


6. The shotguns in question will be resold to a private
security company in Macau for use in Macau.


6. At the time visited, the consignee appeared to be a
suitable recipient of the subject controlled items
since it cooperated with the PLC and provided
documentation reflecting appropriate controls over the
items. In addition, the consignee operates a line a
business that is consistent with the potential use of
the items ordered, and understands restrictions on
reexport of the items in question. The ECO recommends
that this PLC be classified as Favorable.

Cunningham