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

UNCLAS STATE 076533 SIPDIS HANOI FOR JUAN AVECILLA E.O. 12958: N/A TAGS: ETTC KOMC VN SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON APPLICATION 050112606 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 pre-license check on application 050112606 for the export of Integrated Engine Display Systems (IEDS) for the C-212 aircraft to Vietnam. 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: End user located in Vietnam, which is not a well-established destination for USML-items, and unfamiliar foreign intermediate consignee, Van Xuan General Import Company. ¶4. ACTION: Embassy is requested to make inquiries with appropriate Vietnam Marine Police officials to confirm if it ordered the items and that the articles will be used for the purpose stated on the license. Department also requests that Embassy conduct a site visit to Van Xuan General Import Company in order to assess its business operations, on-site security, and general reliability as a recipient of United States Munitions List (USML) items. Although no documentation or POC information exists from either the Vietnam Marine Police or Van Xuan, post may find it helpful to reference a Letter of Intent from the Spanish foreign consignee EADS-CASA signed by Gonzalo Rodriguez Borobio, Procurement Manager, on July 3, 2008. The following questions are offered as suggested guidance with Van Xuan: - Can Van Xuan provide documentation from the Vietnam Marine Police (e.g. purchase order, contract, or letter of intent) establishing it as the final end user of these items? - What is Van Xuan's exact role in this transaction? - Does the company keep proper, detailed records of its sales and customers? - Does the company understand the restrictions on United States Munitions List (USML) articles, particularly regarding re-export and retransfer? If a site visit is not possible, please inform PM/DTCC case officer. End action. ¶5. Details of license application: DTC Case: 050112606 QUANTITY/COMMODITY: 10 New Production Integrated Engine Display System (IEDS) Rogerson Kratos P/N 160M041 License Value: USD 423,090 SELLER: Rogerson Kratos Aviation Products 403 South Raymond Avenue Pasadena, CA 91109 FOREIGN CONSIGNEE: EADS-CASA Avenida de Aragon 404 Madrid 28022 Spain FOREIGN INTERMEDIATE CONSIGNEE: Van Xuan General Import Company VAXUCO, 1a Hoang Dieu Str. Hanoi, Vietnam FOREIGN END-USER: Vietnam Marine Police No. 276 Da Nang Str. Ngo Quyen Dist. Hai Phong City, Vietnam TEL: 84-31-375-25-34 PURPOSE: The unit is to be installed into a production C-212 aircraft. It is an Integrated Engine Display System (IEDS) that is compatible with night vision goggles. ¶6. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR and include the words "Blue Lantern" and the case number in the subject line. PM/DTCC can fax documentation to post upon request. POC is Tim Watkins, Phone: 202-663-2814; Email: WatkinsTR@state.gov; SIPRNET: WatkinsTR@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://buncheelectroniclibrary.state.gov/eboo ks/ BlueLanternGuidebook2006%20 final .pdf ¶7. Department is grateful for post's assistance in this matter. RICE