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