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

UNCLAS STATE 095391 SIPDIS SEOUL FOR HEATHER GRELL E.O. 12958: N/A TAGS: ETTC KOMC KS SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON APPLICATION 050120453 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 050120453 for the export of electronic component parts to South Korea. 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: Unfamiliar foreign intermediate consignee Yeonhab Precision Co., Ltd. The company has not appeared on any previous license applications, nor have the bona fides of the company been verified by a Blue Lantern check. ¶4. ACTION: Department requests that Embassy make appropriate inquiries to verify the bona fides of foreign intermediate consignee Yeonhab Precision Co., Ltd., and to confirm the legitimacy of this proposed transaction. PM/DTCC also requests that post conducts a site visit to the company in order to provide Department with an assessment of its business operations and on-site security. Finally, post is asked to assess whether the company appears to be a reliable recipient of USML items. If a site visit is not possible, please inform the PM/DTCC officer. The following questions are provided as suggested guidance: --Does the company have supporting documentation for this proposed transaction? --Does the company have secure facilities and proper accounting and security procedures for handling sensitive USML items? --What is the exact end-use for this USML item? Will Yeonhab Precision retain positive control over the electrical component parts at all times? --When was the company established and who are its principals? --What is the nature of its business -- what type of items does it handle, does it serve as a broker? --What type 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? END ACTION ¶5. Details of license application: DTC Case: 050120453 QUANTITY/COMMODITY: 30 MS24185-D1, RELAY 30 MS24187-D1, RELAY 30 6041H11, RELAY 30 M13516/8-7, CIRCUIT BREAKER License Value: USD 27,150.00 SELLER: Selectron Industrial Company 901 W. Walnut St. Compton, CA 90220 POC is Jasmine Song, Tel. 310-638-1881 ext. 129 FOREIGN CONSIGNEE: Samsung Techwin Co., Ltd. 647-9, Korea Invention Promotion Association, Yeoksam-dong, Gangnam-gu Seoul South Korea FOREIGN INTERMEDIATE CONSIGNEE Yeonhab Precision Co., Ltd. 242-1, Sosa-ri, Mockcheon-myeon, Cheonan City, Chungcheonagnam-do South Korea POC is I.S. Kim (President),Tel. 82-41-620-3100 FOREIGN END-USER: Defense Aquisition Program Administration (DAPA, ROK Marine Corps) 23 YongSango-Gil, Yongsan-Gu Seoul South Korea PURPOSE: The electrical component parts will be used for the power distribution box manufactured by Yeonhab Precision. The power distribution box will be integrated into the Korean Amphibious Assault Vehicle (KAAV) by Samsung Techwin for final end-use by the ROK Marine Corps. ¶6. Submitted in support of the license application were the following documents (PM/DTCC can fax documentation to post upon request): --Purchase Order No. M12809793 submitted by Yeonhab Precision Co., Ltd. on 21 June 2008, signed by (President) I.S. Kim. --End Use / User Statement submitted by Yeonhab Precision Co., Ltd. on 25 August 2008, signed by General Manager Hyun Seung Yoo ¶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 Tim Mazzarelli, Phone: 202-663-3867; Email: MazzarelliTP@state.gov; SIPRNET: MazzarelliTP@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 ¶8. Department is grateful for post's assistance in this matter. RICE