BLUE LANTERN LEVEL 3 CASE 05-980351

UNCLAS ROME 001995 SIPDIS SIPDIS PM/DTCC - BLUE LANTERN COORDINATOR, RSTROBEL E.O. 12958: N/A TAGS: ETTC KOMC IT SUBJECT: BLUE LANTERN LEVEL 3 CASE 05-980351 REF: SECSTATE 111488 ¶1. Econoff, EconFSN, and EconIntern July 11 met Laboratorio Tevere Managing Director Giovanni Braghetti, per retel instructions. According to Braghetti, the four BAE Systems gyroscopes subject to the post-shipment end-check have not yet been received by Laboratorio Tevere. Braghetti provided EconOff a July 19 e-mail from BAE Systems employee Wayne Gamache, which states that the gyroscopes were seized by U.S. Customs because BAE Systems "filed an AES Transaction before filing the license with U.S. Customs." (Comment: AES refers to the Automated Export System. End Comment). According to Gamache, BAE Systems is required to pay a fine to release the gyroscopes, and he expects the gyroscopes to be shipped within the month. ¶2. Laboratorio Tevere is a private company that rents Wescams, gyro-stabilized imaging systems, to Italian media clients such as Mediaset and RAI. The purchased gyroscopes will be used to maintain the company's existing gimbals, the mechanical devices that allow the company's Wescams to rotate in three dimensions. ¶3. In post's assessment, Laboratorio Tevere appears to be a reliable recipient of the gyroscopes. The company has been working with Wescams for over eighteen years, and has previously purchased gyroscopes from the United States. Braghetti said that Laboratorio Tevere has been visited by both U.S. and Canadian Embassy officials, and that he understands the restrictions applying to the use and resale of gyroscopes. Further, Laboratorio Tevere's physical infrastructure appears to be secure. All windows are barred, and the site is connected to the local carabinieri via an infrared alarm system. SPOGLI