BLUE LANTERN LEVEL 3: PRE-LICENSE CHECK ON

C O N F I D E N T I A L KUWAIT 001286 SIPDIS SIPDIS PM/DTCC BLUE LANTERN COORDINATOR E.O. 12958: DECL: 08/21/2017 TAGS: KU KOMC ETTC SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE CHECK ON APPLICATION 05-050045971 REF: A. SECSTATE 97637 ¶B. 06 KUWAIT 3366 Classified By: CDA Alan Mishenheimer for reasons 1.4 (b) and (d). ¶1. (SBU) In response to Ref A, on 23 July, Econoff and Econ Specialist met with Abdullah Al-Muzayan at the Al-Muzayan International (AMI) store. Abdullah Al-Muzayan said he took over the business from his father in 1987 and plans to pass it on to his son. He has a license allowing him to import up to three million rounds of ammunition. (Note: A scan of the original license and an English translation can be provided upon request.) There are two hunting seasons in Kuwait, one in March and another in September. Al-Muzayan said demand is strong because Remington is very popular. He noted that his last order of 1 million rounds was also delayed and hopes his current order of 1.5 million rounds will clear soon so he can meet the demand. Of the 1 million rounds he received in May 2007, only 9,000 rounds remain. ¶2. (SBU) Al-Muzayan initially said he was a wholesaler supplying ammunition to other Ministry of Interior (MOI) licensed stores. He provided a copy of a receipt showing bulk sales and indicated that some 800,000 rounds out of a previous purchase of 1 million rounds went to other stores. We asked him to write the names of the stores next to the totals and send us a fax. He sent a fax without the names and later called to clarify that this was actually a tally by type of rounds sold to individuals. Apparently, his employee writes down how much he sells and then Al-Muzayan adds it up. He discards the individual sheets after updating the ledger. They do not collect civil IDs as this is apparently not required by the MOI. AMI does ask for a license, but Al-Muzayan indicated that they are not difficult for Kuwaitis or diplomats to obtain. ¶3. (SBU) Al-Muzayan explained that shipments are received by Customs and transferred, under guard, to the MOI for inspection. When the MOI clears the shipment, AMI picks it up and brings it back to their store. The store has a shutter and an alarm although the latter is currently broken. Al-Muzayan insists that the area is safe because it is right across from the main government palace complex and next to central bank. He noted that the GOK does not allow just anyone to sell weapons and ammunition in front of the palace. He added that the MOI checks his records at least twice a month, and he is required to submit a final report of all sales. ¶4. (SBU) Al-Muzayan also imports Remington buckshot from Italy. He attended a private high school in Maryland in the late 70s. ¶5. (C) Queries of Post's Office of Military Cooperation, DAO, and GRPO have yielded neither adverse information nor any explanation for the high rate of sales other than recreational hunting. RSO requested that Kuwait State Security conduct a background check on Al-Muzayan, but as of 22 August, that background check has not been completed. ¶6. (C) Neither in this investigation nor in a previous investigation in August 2006 (Ref B) has Post encountered any evidence to indicate that AMI has used or intends to use the ammunition it purchases from the United States for undesirable purposes. Nevertheless, the current order quantity seems excessive, and based on AMI's inability to either justify this order quantity or adequately account for previous sales, Post finds no basis for concluding definitively that AMI is a reliable recipient of United States Munitions List (USML) items. ********************************************* * For more reporting from Embassy Kuwait, visit: http://www.state.sgov.gov/p/nea/kuwait/?cable s Visit Kuwait's Classified Website: http://www.state.sgov.gov/p/nea/kuwait/ ********************************************* * MISENHEIMER