LEBANON: BLUE LANTERN LEVEL 3: POST SHIPMENT

UNCLAS BEIRUT 001791 SENSITIVE SIPDIS DEPT FOR NEA/ELA PM/DTCC BLUE LANTERN COORDINATOR E.O. 12958: N/A TAGS: EG ETTC GM KOMC LE SUBJECT: LEBANON: BLUE LANTERN LEVEL 3: POST SHIPMENT END-USE CHECK ON LICENSE 050057708 - CENTERFIRE AMMUNITION REF: STATE 117106 ¶1. (SBU) In response to reftel, questions regarding export license application 050057708 for the export of 10 million centerfire ammunition, calibers 5.56, 9mm, and 40S&W to the Lebanese Internal Security Forces (ISF) in Lebanon, Post confirms that this is a legitimate ISF purchase. In coordination with Embassy's Office of Defense Coordination (ODC) and Office of International Narcotics and Law (INL) Chief Virginia Ramadan, we confirm the following background information: ¶2. (SBU) Embassy PolMil officer and INL Section Chief Virginia Ramadan met with ISF General Director, Major General Achraf Rifi and General Ahmad Hneini of the ISF General Directorate on December 15 and with General Hneini and Mohammad Jamil, General Manager of the Mercantile Trading Company on December 16. ¶3. (SBU) General Hneini confirmed that the ISF placed the order for 10 million rounds of 5.56, 9mm and 40S&W caliper ammunition. He explained that recruitment efforts brought the ISF personnel levels to 23,500 and training anticipated for 2008 and 2009, for the enlarged force, required the larger amounts of ammunition. He noted that in 2009 there would be an emphasis in marksmanship training. ¶4. (SBU) General Hneini confirmed the ISF had placed the order in July 2007. Additionally, he confirmed that all the rounds on the license were delivered to or accounted for by the ISF . He denied any rounds were diverted from or shipped outside of Lebanon. Mr. Jamil presented Bills of Lading, shipping receipts, and survey reports that accounted for 10 million rounds of ammunition. ¶5. (SBU) The ammunition departed New York Harbor in two shipments, with eight containers of 127 pallets on the CMA CGM vessel "Eiffel" and one container of 17 pallets on CMA CGM vessel "Puget". Jamil explained th smaller shipment needed to pass through the Egytian Port of Said to fulfill the contract requirements with the shipper CMA CGM. CMA CGM was stipulated the shipment with one container would need to stop in Port Said Egypt before embarking on the last leg of the voyage to Beirut. CMA CGM vessel, "Puget" would make a stop at Port Said to rationalize the cargo onto a second Bulgarian flagged vessel "Burgas" and then transit to Beirut. ¶6. (SBU) One container with 17 pallets was transferred from the "Puget" to the "Burgas" in Port Said on 23 June 2008. The container was never opened. Documentation provided by Mercantile Trading substantiated the transshipment and arrival of the cargo in Said and Beirut. Additionally, a survey report of shortages was conducted at the request of Joseph Hajal, a sworn surveyor following a complaint from Mercantile Trading that the cargo showed signs of shortage. The survey disclosed that one carton of 1000 rounds was missing, one carton was missing one box of 20 rounds, and one torn carton, after being hit by a forklift, was found to have 20 boxes of 20 rounds damaged. There is no evidence that any ammunition on this license was shipped to an end-user outside of Lebanon and no end user other than the ISF. ¶7. (SBU) Post confirms the Lebanese ISF is familiar with the regulations governing import of U.S.-origen defense articles, including restrictions on re-transfer and re-export. SISON