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

UNCLAS STATE 041098 SIPDIS SIPDIS BANGKOK FOR THOMAS HINES POLMIL E.O. 12958: N/A TAGS: ETTC KOMC TH SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON APPLICATION 050098466 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 050098466 for the export of night vision equipment to Thailand. 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 intermediate consignee. Foreign intermediate consignee Hollywood International Ltd. has appeared on only one previous license application, and its bona fides have never been verified by a Blue Lantern check. Post should make appropriate inquiries to verify the bona fides of Hollywood International Ltd. and confirm that the Royal Thai Supreme Command Headquarters Counter Terrorist Operations Center in fact ordered the exact type and quantity of items listed on the application. The following questions are provided as suggested guidance: For the Royal Thai Supreme Command Headquarters Counter Terrorist Operations Center: --Are you familiar with Hollywood International Ltd.? --Did you order from Hollywood International Ltd. the exact type and quantity of items listed on this application? --Will these image intensifier tubes be integrated into a large night vision system? If so, which system, and who will perform the integration? --Is Hollywood International Ltd. an official supplier/contractor for the Thailand MOD? Does the Thailand MOD have any other contracts with the company? For Hollywood International Ltd.: --Does the company have proper supporting documentation, including purchase orders from the Thailand 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? --Will the company deliver simply these image intensifier tubes to the Royal Thai Supreme Command Headquarters Counter Terrorist Operations Center, or will the tubes first be integrated into a night vision system? If so, who will perform the integration? --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 Hollywood International Ltd. 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: 050098466 QUANTITY/COMMODITY: 2 9350CIU-3F-1250 Gen II FOM 1250 image intensifier without auto-gated power supply License Value: USD 8,200.00 SELLER: Electrophysics Corp. 373 Route 46 West Fairfield, NJ 07004 Company contact: Michelle Intiso, tel. 973-882-0211, ext. 212 FOREIGN INTERMEDIATE CONSIGNEE: Hollywood International Ltd. 501/4-8 Phetburi Road, Kwang Thanonphayathai Khet Rajtaywee Bangkok 10400 Thailand Tel.: (662) 2516032-7, (662) 6538255-66 Fax: (662) 2539485, 6538267, 6538569 (Hollywood International is allegedly the acting distributor for Electrophysics Corp.) FOREIGN CONSIGNEE: Royal Thai Supreme Command Headquarters Counter Terrorist Operations Center Srongprapa Road Seegun, Donmuang Bangkok Thailand FOREIGN END-USER: Same as foreign consignee PURPOSE: Low light surveillance applications for anti-drug trafficking and counter-terrorism activities within Thailand only. ¶6. Submitted in support of the license application were the following documents (PM/DTCC can fax documentation to post upon request): --Purchase order no. EL-08-01 from Atchara Tang, Hollywood International Ltd., to Electrophysics, dated 18 March 2008 --Nontransfer and Use Certificate (Form DSP-83),signed by Ms. Atchara Rinchokechai, Vice President, Hollywood International Ltd., dated 2 April 2008; and signed by Lieutenant General Tanasak Patinapragorn, dated 9 April 2008 --End-use Application and Security Statement from the Counter Terrorist Operations Center, Royal Thai Supreme Command Headquarters, signed by Lieutenant General Tanasak Patimapragorn, dated 9 April 2008 --Product brochure, including technical drawings and specifications ¶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