(S) GERMANY REQUESTS ADDITIONAL INFORMATION ON

S E C R E T BERLIN 001103

SIPDIS
STATE FOR ISN/CB (KRISTEN GASS) AND EUR/CE

E.O. 12958: DECL: 08/12/2033
TAGS: PARM PINR ETTC CBW IN IR GM
SUBJECT: (S) GERMANY REQUESTS ADDITIONAL INFORMATION ON
UNITED PHOSPHORUS LTD PROLIFERATION CONCERN

REF: A. BERLIN 973

B. STATE 85368

C. BERLIN 1096

Classified By: Global Affairs Unit Chief Don L. Brown for
reasons 1.4 (b) and (d).


1. (U) THIS IS AN ACTION REQUEST. PLEASE SEE PARA 4.


2. (S) After reviewing a USG supplied nonpaper (REF B)
detailing USG proliferation concerns with the Indian company
United Phosphorus Ltd. (UPL),Germany is still inclined to
approve a permit to export Australia Group listed items to
UPL for legal reasons unless more evidence is supplied by the
USG. On August 12, MFA Export Control Division Deputy Office
Director, Markus Klinger, told Global Affairs Officer that
the USG nonpaper did not provide a compelling justification
of proliferation concern in connection with UPL.


3. (S) Klinger specifically pointed to a bullet in the
nonpaper referencing a 2005 Iranian pharmaceutical company
price request for nerve agent chemical precursors from UPL as
not/not reason to assume a malicious activity by UPL. He
explained that one can not assume that a simple price request
or inquiry of a potential dual use good by an Iranian company
implies that the vendor would have entertained the request.
Klinger asked the USG to provide information detailing the
background of the Iranian company and how UPL responded to
this request. Klinger said that without further information
indicating UPL's intentions, Germany "would not have legal
grounds" to deny this export. Klinger emphasized that
Germany needs to make a decision on this export request
"soon" and requested an indication from the USG of their
intention to provide additional information by Friday, August

15.


4. (SBU) ACTION REQUEST: Post requests Department guidance
in responding to the questions raised in paragraph 3.
TIMKEN JR