BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK

UNCLAS SECTION 01 OF 02 STATE 130736 SIPDIS OTTAWA FOR LORI BALBI E.O. 12958: N/A TAGS: ETTC KOMC CA SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK ON LICENSE 050120452 REF: 2006 BLUE LANTERN GUIDEBOOK ¶1. This is an Action Request. See paragraphs 2 - 4. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests Post's assistance in conducting a post-license/pre-shipment check on license 050120452 for the export of carbines to Canada. Post is requested to complete this Blue Lantern check within 45 days. Lack of response to a Blue Lantern check will affect pending and future licenses involving parties to this license. ¶3. Reason for Request: The license is for fifty AR-15 carbines, which is considered a significant quantity of a powerful firearm. The purchase order from the end-user is for 250 AR-15s. The bona fides of end-user, Les Agences Michel Gravel Inc., have not been established by a Blue Lantern check in the past. ¶4. Action Request: Post is requested to establish the bona fides of end-user Les Agences Michel Gravel Inc. as a legitimate recipient of the United States Munitions List (USML) items listed below. Post should determine how many carbines were received under this authorization. Post should also question end-user on their familiarity with the International Traffic in Arms Regulation (ITAR),particularly regarding re-export or re-transfer. The following points are included for guidance: (To Les Agences Michel Gravel Inc.) -- How long has your company been in the business of importing and selling defense articles in Canada? -- What services and products are sold by your company? -- Who are your regular customers and where do they reside? -- How many carbines did your company receive under this export authorization? -- What are you annual sales of this type of firearm? -- Are you familiar with the regulations governing the import of U.S.-origin defense articles, including restrictions on re-transfer or re-export? In its reply, Post may also comment on any other information pertinent to these transactions such as security of facilities and concerns about the customers of Les Agences. ¶5. Details of license application: DTC Case: 050120452 QUANTITY/COMMODITY: 50 Bushmaster AR-15 Carbines (Model XM15E2S) License Value: USD $36,500 SELLER: Bushmaster Firearms International 999 Roosevelt Trail Windham, ME 04062 FOREIGN END-USER: Les Agences Michel Gravel Inc. 1530 Provinciale Quebec G1N4A2 Canada Tel: (418) 682-3000 PURPOSE: For commercial resale in Canada ¶6. Submitted in support of the license application were the STATE 00130736 002 OF 002 following documents (PM/DTCC will fax documentation to Posts upon request): DSP-83 signed by Adriana Maciocia dated 08/20/2008 and Shannon Shuman dated 08/25/2008 Import Certificate US0813211 (Ref ID 561335-07) dated 08/15/2008 Purchase Order No. 3778 from Les Agences Michel Gravel Inc. dated 08/13/2008 signed by Adriana Maciocia ¶7. 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. Department is grateful for Post's assistance in this matter. RICE