BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON

UNCLAS NEW DELHI 002516

SENSITIVE

SIPDIS

E.O. 12958 : N/A
TAGS: ETTC KOMC IN
SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON
APPLICATION 05120964

REF: STATE 094882


1. (SBU) Embassy New Delhi is transmitting this cable on behalf of
Consulate Hyderabad.


2. (SBU) AMCONSUL visited JD Technologies on September 15, 2008 and
was granted full access to the site. In response to REFTEL, AMCONSUL
collected the following information. The company was
established/registered on July 29th 2005. Mr. N.N. Rao is the
principal and his mother and maternal aunt are partners. The
company has a total of 3 employees including Mr. Rao and functions
primarily as an agent. The establishment appears legitimate. JD
Technologies supplies equipment such as regulators, ICs and similar
electronic parts, primarily to Indian defense establishments. Their
largest customer is RCI. The company is registered with RCI and is
either contacted by RCI for goods, or it bids on contracts
advertised by RCI. Upon winning a contract, JD Technologies
procures items from appropriate sources. JD Technologies is also an
agent for Intraco Technologies, a Singapore based firm. In the case
of items stated in State 94822, the order was placed with
International Rectifier Corporation (IRC) through Intraco for a
customized part since IRC only sells to its distributors and Intraco
is one of their distributors.


2. (SBU) Mr. Rao willingly provided documents showing the bids and
purchase orders on end-user Research Center Imarat's (RCI's)
solicitation related to REFTEL order. He stated that he is under
agreement with RCI to not provide copies of RCI specific documents
with other parties. He also stated that the radiation hardened
power converters and associated technical data were expected to go
into a power supply module to be used for a tank, but did not have
any additional information.


3. (SBU) JD Technologies ensures delivery of goods to RCI within
1-2 days of receipt, depending on the hours of RCI. In the interim
they store goods in their office, only if required. The office is
in a total of 3 rooms and one room is used as the storage area. The
room had about 8-10 packages at the time of visit. AMCONSUL
assesses the facility maintains adequate security. Mr. Rao
indicated that only the employees have access to the room. The room
remains locked and is opened during the day when required. The room
has a back door leading to a patio area that is kept closed. There
is also a window that is locked. AMCONSUL reinforced to Mr. Rao
that the goods must secured at all times.


4. (SBU) Mr. Rao was unfamiliar with U.S. Munitions List but was
attentive to AMCONSUL's guidance. AMCONSUL explained that the items
ordered were controlled and are in the USML, and are restricted from
re-export or re-transfer. Mr. Rao indicated that he understands the
sensitive nature of the goods and keeps them secure. Additionally,
he confirmed that he does not re-transfer or re-export the items,
and that the orders are only placed for the required number of items
per purchase orders placed by the vendors.

MULFORD