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

UNCLAS STATE 036490 SIPDIS SIPDIS OUAGADOUGOU FOR BREANNA GREEN BRUSSELS FOR PAUL ROHRLICH E.O. 12958: N/A TAGS: BE ETTC KOMC UV SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON LICENSE 050095506 ¶1. This is an Action Request. See paragraphs 2 - 5. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests Post's assistance in conducting a pre-license check on license 050095506 for the export of manual ammunition link machine to Burkina Faso. 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: To establish the bona fides of this transaction. Also, the license application states that the manual machine linker will be operated by A.D. Trade LTD, Belgium in order to link ammunition that will then be sold to the Ministry of Defense of Burkina Faso. Posts are requested to determine the ultimate destination for the defense articles listed below. ¶4. ACTION OUAGADOUGOU: Post should make appropriate inquiries to verify the legitimacy of the proposed transaction. The following questions for the Ministry of Defense are provided as suggested guidance: --Did you order from AD Trade the exact type and quantity of items listed on this application? -- Does MOD have a service agreement with AD Trade under which AD Trade will use the manual machine linker listed below? Will MOD retain possession of all items listed on this application once AD Trade has completed its services involving said items? -- Is MOD familiar with the restrictions on United States Munitions List (USML) items, especially the prohibition against unauthorized re-transfers and re-exports? ¶5. ACTION BRUSSELS: Post should make appropriate inquiries to establish the bona fides of foreign consignee, AD Trade LTD, Belgium. The following questions for AD Trade LTD, Belgium are provided as suggested guidance: --Does the company have proper supporting documentation, including purchase orders from the Ministry of Defense of Burkina Faso for this proposed transaction? --Will the company be handling or storing the items listed on the application? If so, does it have secure facilities and proper accounting and security procedures for handling these sensitive USML items? What will become of the manual machine linker once AD Trade has sold the ammunition to the MOD of Burkina Faso? --When was the company established and who are its principals? --What is the nature of its business -- what types of items does it handle, does it serve as a broker? --What types of organizations are among its typical customers and where are the customers located? Does the company have an established customer base? --Does the company keep proper, detailed records of its sales and customers? --Does the company understand the restrictions on United States Munitions List (USML) items, especially the prohibition against unauthorized re-transfers and re-exports? ¶6. Details of license applications: ¶A. DTC Case: 050095506 QUANTITY/COMMODITY: 1 Manual Machine Linker for Cartridges 800,000 Links M1 for Cartridges (7.62x51 mm for US 0.3 Browning) License Value: USD $56,550 SELLER: SARCO Inc 323 Union Street Stirling, NJ 07980 FOREIGN CONSIGNEE: A.D. Trade LTD Vredebaan 69 2640 Mortsel Belgium Tel: 32-(9)3-844 24 84 FOREIGN END-USER: Ministry of Defense Ouagadougou Burkina Faso Tel: (226)50.30.72.14 PURPOSE: Used by A.D. Trade LTD, Belgium, to link ammunition which is being sold to the Ministry of Defense of Burkina Faso. ¶7. Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): DSP-83 signed by Yero Boly (MOD, Burkina Faso) dated 01/04/2008; Michael DiMaggio of SARCO Inc. 01/24/2008; and Marcel Zuckerman of AD Trade dated 12/06/2007 Purchase Order No. US 01/07 from AD Trade signed by Marcel Zuckerman dated 12/10/2007 Purchase Order No. BF 27/2007 from Ministerie La Defense signed by Noufou Beremwoudougou dated 12/03/2007 ¶8. 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 ¶9. Department is grateful for Post's assistance in this matter. RICE