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

UNCLAS STATE 119150 SENSITIVE SIPDIS GUATEMALA CITY FOR LANCE HEGERLE E.O. 12958: N/A TAGS: ETTC GT KOMC SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON LICENSES 050127380 AND 05012568 REF: 03 GUATEMALA 2501 ¶1. (U) This is an Action Request. See paragraphs 2 - 4. ¶2. (U) The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests Post's assistance in conducting a pre-license check on licenses 050127380 and 05012568 for the export of rifles to Guatemala. Post is requested to complete this Blue Lantern check within 30 days. Lack of response to a Blue Lantern check will affect pending and future licenses involving parties to this license. ¶3. (SBU) In previous unfavorable Blue Lantern check (REFTEL), Post was unable to establish Guatemalan company, Mainley SA, as a reliable recipient of United States Munitions List items. REFTEL indicates that representatives of the company previously operated as Santa Catarina S.A. and were not forthcoming in discussing past problems with Guatemalan licensing authorities, including the revocation of the Santa Catarina's license. This request is for Post to revisit the issues surrounding Mainley's operation to determine if the company has improved its business practices and if the company has been reinstated by the Guatemalan authorities. ¶4. (SBU) Action Request: Post is requested to establish the bona fides of Mainley SA (TEL: 502-2472-2058, 2440-4981) by making appropriate inquires to proper authorities of the Government of Guatemala and representatives of Mainley SA. In its reply, Post may also comment on any other information pertinent to these transactions such as security of facilities, end-use, and concerns about the entities involved. ¶5. (U) Details of license application: ¶A. DTC Case: 050127380 QUANTITY/COMMODITY: 250 Marlin Model 60 .22 Caliber Rifles 675 Minor Component Parts and Magazine Assemblies License Value: USD $38,503 SELLER: American Heritage Arms, Inc Remington Arms, Inc. 870 Remington Drive PO Box 700 Madison, NC 27025 FOREIGN END-USER: Mainley, SA Avenida de Petapa 7-78 Ciudad de Guatemala Zona 12 TEL: 502-2472-2058, 2440-4981 PURPOSE: For commercial resale in Guatemala ¶B. DTC Case: 05012568 QUANTITY/COMMODITY: 225 Marlin Model 60 .22 Caliber Rifles License Value: USD $29,250 SELLER: American Heritage Arms, Inc Remington Arms, Inc. 870 Remington Drive PO Box 700 Madison, NC 27025 FOREIGN END-USER: Mainley, SA Avenida de Petapa 7-78 Ciudad de Guatemala Zona 12 TEL: 502-2472-2058, 2440-4981 PURPOSE: For commercial resale in Guatemala ¶6. (U) Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): ¶A. DSP-83 signed by Danilo Miron dated 10/12/2008 and George McHugh dated 10/07/2008 Import License No. 151/ARM-2008 (File No. 1159369) from DECAM signed by David Napoleon Barrientos Giron Purchase Order No. REM/MAR 02-2008 from Mainley dated 09/25/2008 signed by Danilo Miron ¶B. DSP-83 signed by Danilo Miron dated 08/05/2008 and George McHugh dated 10/07/2008 Import License No. 131/ARM-2008 (File No. 1169234) from DECAM signed by David Napoleon Barrientos Giron Purchase Order No. REM/MAR 01-2008 from Mainley dated 08/08/2008 signed by Danilo Miron ¶7. (U) Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR and include the words "Blue Lantern" and the case number in the subject line. POC is Kyle M. Ballard, Phone: 202-663-1929; Email: BallardKM@state.gov; SIPRNET: BallardKM@state.sgov.gov. The Blue Lantern Guidebook (ref) is available as a PDF file in the Bunche Library's E-Book Collection on the DOS Intranet: http://virtuallibrary.state.gov/ BlueLanternGuidebook2006%2520 final .pdf ¶8. (U) Department is grateful for Post's assistance in this matter. RICE