EXTRANCHECK: PRE-LICENSE CHECK: VF COMPANY,

UNCLAS MOSCOW 010720 SIPDIS USDOC FOR 532/OEA/MHAMES/DMUSLU USDOC FOR 3150/USFCS/OIO/CEENIS/MCOSTA USDOC FOR 532/OEE/MO'BRIEN SIPDIS E.O. 12958: N/A TAGS: BEXP ETRD ETTC RS SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: VF COMPANY, MOSCOW, RUSSIA, LICENSE NO. D363051 REFTEL: USDOC 04895 ¶1. Unauthorized disclosure of the information provided below is prohibited by Section 12C of the Export Administration Act. ¶2. Reftel requested a Pre-license check to determine the legitimacy and reliability of the end-user, Vtoroy Front Company (VF Company),Moscow, Russia. The company is listed on BIS license application D363051 as the ultimate consignee of holographic sighting device used as uni-powered optical sight for consumer/tactical, firearms applications. These items are controlled for foreign policy reasons under ECCN OA987. The licensee is L-3 Communications, 1215 South Clark st., Suite 1004, Arlington, VA 22202. ¶3. On September 13, 2006, Export Control Attache Donald Pearce and FSN Natalya Shipitsina conducted the requested pre-license check at the offices of VF Company, 9/2 Gen. Glagoleva st., Moscow, Russia. The export control team met with Anton Linkvist, President. ¶4. VF Company was founded in 1995 by Mr. Linkvist and his brother, and continues to be a family run business. "Vtorny Front" is Russian for "Second Front," and is an homage to the U.S. forces who opened up the western front during Second World War, a move seen as critical to the success of the Red Army on the eastern front. VF specializes in tactical clothing and accessories, and is a primary contractor for Government of Russia (GOR) military and law enforcement special operations units such as the Federal Security Service (Russian abbreviation FSB) "ALPHA" unit, the Minsitry of Internal Affairs (Russian Abbrviaion MVD) "OMON" (Special Purpose Detachment of Militsia) groups, and Ministry of Defense "SPETSNAZ" (Special Forces) groups. VF has been supplying the special operations community in Russia since 1995. VF also runs two hunting stores for clients from the general public, with hunting accessories and clothing. The company employs nine, and is headquartered at the General Glagoleva St. location in an office and showroom in an inner courtyard of a multiple-use building. The company has a low profile exterior appearance, with only a small sign marked "ARMY" next to the doorbell. ¶5. The company partners with suppliers based on the quality of the goods to be sold. VF prides itself on presenting only the highest quality products for tactical and/or hunting use. Major brands in stock include US companies such as Bianchi and Alpha Industries. The company participates in the annual "Shot Show" held in Las Vegas, Nevada, where it scouts new items for the market and makes contacts with U.S. exporters. ¶6. VF plans to market the sights noted in reftel primarally to the law enforcement and military market, with possible sales to hunters. Mr. Linkvist is looking to start with an initial order of 30 sights, as he already has an order for 10-15 sights from the FSB ALPHA unit. The primary role of ALPHA is counterterrorism, and the unit would deploy the sights for use in close-quarters battle situations. NOTE: ALPHA is ¶7. Mr. Linkvist is familiar with export controls. VF has been asked to procure U.S. Munitions List items in the past for GOR units, and is currently researching the possibility of obtaining night vision scopes for GOR end-users. Mr. Linkvist stressed the company policy of dealing only with the actual end user, and not "middle-men" or "wrong-looking" organizations. The company does no third party sales, insisting that the actual end user be the recipient of any consignment from VF. Security at the headquarters location consists of an electronic alarm system, with cameras and door/window sensors. The doors are reinforced steel with a remote electronic lock/passkey system. All stock is kept in a locked storeroom with a steel door. ¶8. Recommendations: Post recommends Vtoroy Front Company (VF Company),Moscow, Russia, as reliable recipients of sensitive U.S. origin commodities. It is requested that post be notified of final disposition of the application, and of any shipments for this organization in order to conduct appropriate FCS follow-up and statistical reporting. (FCS MOSCOW/SBOZEK/DPEARCE) BURNS