EXTRANCHECK: POST-SHIPMENT VERIFICATION: SAV COMPUTERS LLC

UNCLAS ABU DHABI 001284

STATE FOR PM/DTCC FOR BLUE LANTERN COORDINATOR
USDOC FOR 532/OEA/M.HAMES/D. FARROW
DHS FOR ICE/STRATEGIC

SIPDIS

E.O. 12958: N/A
TAGS: BEXP ETRD ETTC AE

SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION: SAV COMPUTERS LLC

REF: A. USDOC 06730

B. USDOC 06731

C. USDOC 06732

D. USDOC 06733

E. USDOC 06734

F. USDOC 06736


1. Reftels requested that post conduct post-shipment verifications
at SAV Computers, Bur Dubai, UAE for various computer parts exported
as no license required by AHLO, Miami, FL through Daisytek Computers
LLC, Bur Dubai, UAE.


2. On 6 Nov 2008, Export Control Officer (ECO) visited SAV
Computers, Bur Dubai, UAE who advised that they knew nothing about a
U.S. shipment and that ECO needed to talk with their main office
which is Daisytek Computers LLC. ECO met with Mr. Vishal Sapru,
Daiseytek Computers who stated that SAV is simply a branch office of
Daisytek. ECO explained that this was a routine post-shipment
verification of several items shipped from AHLO, Miami, FL. Sapru
stated that these items had been received and that they were
destined for customers in Baghdad, Iraq. He explained that these
Iraqi based customers had agents/branch offices in Dubai who were
receiving these items. ECO queried the names of these Dubai based
customers. Sapru advised he would forward the customer names via
email. However, he asked that ECO not contact them since it would
give Daisytek a bad image. Sapru advised nothing relating to this
AHLO order was destined for Iran.


3. Later the same day, ECO received a call from a Mr. Ashok,
Managing Director of Daisytek. Ashok queried why the U.S.
government was interested in his business dealings with AHLO and
said that he was upset that a U.S. Embassy officer had visited. ECO
explained it was a routine PSV and that ECO had been asked to
determine the end-use and end-user for the AHLO items. ECO visited
Daisytek again and met with Ashok and Sapru. Ashok explained that
Daisytek sold locally in Dubai and said that it was nearly
impossible to know the end use and end user for every item. Ashok
explained that he was troubled by the USG scrutiny and stated that
he would no longer be obtaining U.S. origin goods and that he was
doing a favor to AHLO because they were personal friends. ECO
attempted to explain the end use check process but Ashok remained
suspicious about what laid behind this PSV. Ashok requested
additional information on U.S. sanction programs. ECO said he would
provide his contact information to the OFAC attache at Post. ECO
asked if Sapru would still be providing the names of their
Dubai-Iraq customers; Ashok said there was no need to provide this
information.


4. Based on the interactions highlighted above, Post is unable to
make a conclusive determination on the ultimate end users and end
use for these items.

OLSON