FOLLOW UP: BLUE LANTERN LEVEL POST-LICENSE

UNCLAS STATE 149630 SIPDIS SIPDIS PRETORIA FOR BAIMBA YILLA POL/ECON PRETORIA FOR RAYMOND L. BROWN POL E.O. 12958: N/A TAGS: ETTC KOMC SF SUBJECT: FOLLOW UP: BLUE LANTERN LEVEL POST-LICENSE END-USE CHECK ON LICENSE 05-1003562 REF: A. STATE 118130 ¶B. PRETORIA 3604 ¶C. STITZIEL-YILLA-MARBURG EMAILS OF 16-24 OCTOBER 2007 ¶1. This is an Action Request. See paragraphs 4-5. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) thanks post for its initial response (Ref B) to our Blue Lantern request concerning license 05-1003562 (Ref A). ¶3. However, post's findings did not enable PM/DTCC to close the case. PM/DTCC and desk have made several attempts to follow up with post (Ref C) but have not received any response. ¶4. Ref B reported that foreign intermediate consignee Connector & Wire Services (CWS) returned and canceled all consignments exported under license 05-1003562. As explained in Ref C, it appears that CWS may have confused two separate orders/licenses, 05-1003562 and 05-1005743. The following details the history of these two licenses: --License 05-1003562: 30 units of M28840/502WA were exported to CWS in August 2006. 25 units of M28840/11AB1P1 were exported to CWS in September 2006 and then an additional five (5) units were exported to CWS in October 2006. According to the U.S. exporter (Joslyn Sunbank Co LLC),none of these units were ever returned. --License 05-1005743: 55 units of M28840/11AB1P1 were authorized for export to South Africa but were never shipped because CWS canceled the order, according to Joslyn Sunbank. 70 units of M28840/502WA were shipped in October 2006 but were to returned to Joslyn Sunbank in November 2006. ¶5. Thus, it is understandable that CWS might be under the impression that it returned all connectors of both types to Joslyn Sunbank in November 2006. However, according to the U.S. exporter, CWS never returned and should still have all 60 connectors exported under license 05-1003562. ¶6. Department requests that post re-contact CWS in order to obtain the information necessary to close this Blue Lantern check. Post should ask CWS to recheck its records in an attempt to resolve the discrepancies between its initial response as reported in Ref B and the records obtained from Joslyn Sunbank. If CWS admits that it in fact did not return the connectors exported under license 05-1003562, post should make appropriate inquiries to determine the current disposition and use of the items, as outlined in PM/DTCC's original Blue Lantern request cable (Ref A). ¶7. Failure to close this Blue Lantern check will affect pending and future licenses involving parties to this license. ¶8. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR and include the words "Blue Lantern" and the case number in the subject line. POC is Judd Stitziel, PM/DTCC, Phone: 202-663-3455. RICE