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

UNCLAS STATE 000135 SIPDIS SIPDIS BAGHDAD FOR EDWARD GALLAGHER E.O. 12958: N/A TAGS: ETTC IZ KOMC SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON LICENSE 05-050079420 ¶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 pre-license check on license 05-050079420 for the export of ammunition to Iraq. 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. Reason for Request: Large volume of ammunition is being exported directly to the Iraqi government end-user rather than going through USG. Caliber of this ammunition is uncommon for the Iraqi Army. ¶4. Action Request: Post is requested to contact appropriate officials in order to establish the bona fides of the end-user and the legitimacy of this order. Post is also requested to establish the bona fides of foreign consignee, Stuart Watkins, and verify his affiliations with those party of this transaction. ¶5. Details of license application: DTC Case: 05-050079420 QUANTITY/COMMODITY: 39,000,000 5.56mm x 45 mm M855 Full Metal Jacket Caliber Ammunition License Value: USD $10,140,000 SELLER: AEY Inc. 975 41st, Suite 211 Miami Beach, FL 33140 FOREIGN CONSIGNEE: Mr. Stuart Watkins 68 Abu Ghraib Warehouse, Ministry of Transportation Baghdad, Iraq FOREIGN END-USER: Abd Ali Jassim Director General, Armament and Surplus, Ministry of Defense Baghdad, Iraq PURPOSE: Training and duty use by the new Iraqi Army. ¶6. Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): Letter of explanation from lack of DSP-83 from AEY signed by Efraim Diveroli dated 12/11/07. Solicitation/Contract/Order for Commercial Items (Standard Form 1449) for contract W91GY0-08-C-0005. Dated 12/08/07. ¶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