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

UNCLAS STATE 041077

SIPDIS

SIPDIS
KUALA LUMPUR FOR WYNN S. PINKSTON
ECON

E.O. 12958: N/A
TAGS: ETTC KOMC MY
SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK
ON APPLICATION 050096734

REF: BLUE LANTERN GUIDEBOOK 2006


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 application 050096734 for the export
of night vision goggles to Malaysia. 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 applications involving parties to this license.


3. Reason for request: unfamiliar foreign consignee and large
quantity of sensitive items being exported to region of
concern. Foreign consignee Anafield Sdn Bhd has appeared on
only a few previous license applications, and its bona fides
have never been verified by a Blue Lantern check. Post
should make appropriate inquiries to verify the bona fides of
Anafield Sdn Bhd, to confirm that the Malaysia Ministry of
Internal Security did in fact order the exact type and
quantity of night vision goggles listed on this application,
and to obtain a more precise description of the intended
end-use. The following questions are provided as suggested
guidance:

For the Malaysia MOD:

--Are you familiar with Anafield Sdn Bhd?

--Did you order from Anafield Sdn Bhd the exact type and
quantity of items listed on this application?

--Is Anafield an official supplier/contractor for the
Malaysia MOD? Does the Malaysia MOD have any other contracts
with the company?

For Anafield Sdn Bhd:

--Does the company have proper supporting documentation,
including purchase orders from the Malaysia MOD, 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?

--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 understand the restrictions on United
States Munitions List (USML) items, especially the
prohibition against unauthorized re-transfers and re-exports?


4. Department requests that post conduct a site visit to
Anafield Sdn Bhd in order to provide Department with an
assessment of its business operations and on-site security.
If a site visit is not possible, please inform PM/DTCC case
officer. Finally, post is asked to assess whether the
company appears to be a reliable recipient of USML items.
End action.


5. For background, the following details of the license in
question are provided:

DTC Case: 050096734

QUANTITY/COMMODITY:

150 ATN NVM14-3l Night Vision Monocular, Generation 3,
Figure of Merit less than 1250
120 ATN NightSadow-3l Night Vision binocular, Generation 3,
Figure of Merit less than 1250
100 ATN PS22-3l Night Vision Front Sight, Generation 3,
Figure of Merit less than 1250

License Value: USD 1,722,280.00

SELLER:

American Technologies Network, Corp.
1341 San Mateo Avenue
South San Francisco, CA 94080
Company contact: James Scott Munn, tel. 650-989-5106, ext. 106

FOREIGN CONSIGNEE:

Anafield Sdn Bhd
Lot 3-M, Sentral Exhibition Mall Jalan Tun Sambanthan
50470 Kuala Lumpur
Malaysia
Tel.: 603 2273 8652, 603 2274 2548
Fax: 603 2273 5781
E-Mail: anafield@sireamyx.com

FOREIGN END-USER:

Kementerian Keselamatan Dalam Negeri
Ministry of Internal Security
Malaysia Bahagian Perolehan
Aras 5, Blok D1, Kompleks D Pusat Pentadbiran Kerajaan
Persekutuan
52645 Putrajaya
Malaysia
Tel.: 6 03-88863000
Fax: 6 03-88810184

PURPOSE:

Will be used by the Royal Malaysian Police (as a scope for
police service weapon)


6. Submitted in support of the license application were the
following documents (PM/DTCC can fax documentation to post
upon request):

--Nontransfer and Use Certificate (Form DSP-83),signed by
Mohd-Noor B Yusoff, Managing Director, Anafield Sdn Bhd,
dated January 20, 2008; and signed by Suhaimi bin Abdullah,
Bahagian Perolehan, Keselamatan Dalam Negeri, dated Sept. 27,
2007

--Lesen Membawa Masuk Senjata-Senjata Dan Peluru (Licence to
Import Arms and Ammunition) no. 520904-10-5673, licensing
officer's serial no. 5/2008, signed by Zainuddin bin Ahmad,
Ketua Polis Daerah, Sentul, Kuala Lumpur, dated 18/3/2008

--End Use Statement by Ministry of Internal Security,
Kementerian Keselamatan Dalam Negeri, Bahagian Perolehan,
signed by Suhaimi bin Abdullah, undated

--Purchase order no. ANA-01/1004 from Anafield to American
Technologies Network Corp., signed by Mohd Noor B Yusoff,
dated 16-Jan-08

--Cover letter from American Technologies Network Corp.
explaining proposed transaction, signed by James Munn, dated
March 31, 2008

--Product brochures, including technical specifications and
drawings


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 Judd Stitziel, PM/DTCC, Phone:
202-663-3455; email: StitzielJD@state.gov; SIPRNET:
StitzielJD@state.sgov.gov. The Blue Lantern Guidebook (ref)
is available as a PDF file in the Bunche Library's Electronic
Library 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