EXTRANCHECK: PRE-LICENSE CHECK: STREIT MIDDLE EAST FZCO;

UNCLAS ABU DHABI 000897

STATE FOR PM/DTCC FOR BLUE LANTERN COORDINATOR
USDOC FOR 532/BIS/OEA/TWILLIS/EHOLLAND/LHINES/RJERSEKI
DHS FOR ICE/STRATEGIC

SIPDIS

E.O. 12958: N/A
TAGS: BEXP ETRD ETTC AE

SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: STREIT MIDDLE EAST FZCO;
STREIT GROUP FZE, DUBAI, UAE.

REF: USDOC OEA Email dated 9/05/09



1. Ref email requested that post conduct four pre-license checks to
determine the disposition of numerous armored vehicles shipped by
Streit USA Armoring, North Charleston, SC to its middle east
subsidiary, Streit Middle East FZCO/Streit Group FZE located in the
Jebal Ali Freezone, Dubai, UAE. These vehicles are controlled under
ECCN 9A018.


2. On September 7, 2009, BIS Export Control Officer (ECO) Nasir Khan
and Immigration and Customs Enforcement (ICE) Special Agent Henry
Casillas met with the Ms. Natalya Kalashnikova, Logistics Manager
and Mr. Dmitri Khazanski, Director of Sales and Marketing for Streit
Middle East FZCO/Streit Group FZE at their Jebel Ali offices. All
on-site observations were consistent with an armored vehicle sales
and retrofitting company (www.armored-cars.com).


3. Initially, Kalashnikova was unable to understand the purpose
behind ECO's visit and asked several times what the U.S. Embassy's
"relationship is with these vehicles". ECO explained (multiple
times) that these vehicles required U.S. export licenses and end use
checks were conducted by the USG to determine the end user and
destinations of controlled items. Kalashnikova said the Streit USA
was responsible for the export license and that as Logistics Manager
she was only aware of destinations to which vehicles would be
shipped based on specific vehicle VIN numbers. She had little
knowledge of the U.S. export control process or specific export
license numbers for these transactions. (Note: Based on information
on PLC form it appears that Streit USA Armoring ships vehicles to
Streit Middle East under License D385766.)


4. Kalashnikova asked Dmitri Khazanski, Streit Middle East, Sales
and Marketing Director to join the meeting since she knew little
about the end users. Regarding the vehicle shipments in question
Kalashnikova and Khazanski provided the following information:

a. License D418478: 5 Toyota Land Cruisers - Khazanski stated
that they did not receive Toyota Land Cruisers from the U.S. since
they actually purchased and armored -retrofitted Land Cruisers in
the UAE themselves. He explained that the only vehicles coming from
the U.S. would be Chevrolet Suburbans. Khazanski advised that U.S.
origin armor from Streit USA was being used in the locally
retrofitted Land Cruisers. ECO stated that use of US origin armor
technology may be the reason why it required a license. Khazanski
stated that these particular vehicles are most likely for
maintaining a stock for resale to the local market. Kalashnikova
advised without vehicle VINs the status of these vehicles could not
be provided.

b. License D422471: 8 Chevrolet Suburbans - Khazanski stated
that these are destined for the Office of the Secretary General of
the Patriotic Union of Kurdistan located in Baghdad, Iraq. He
explained the original order was for 10 but was recently changed to
8 vehicles. Again, without the specific VINs she was unable to track
status of these vehicles.

c. License D422409: 2 Chevrolet Suburbans - (VINs
3GNGK26KX8G307221 AND 3GNGK26K58G307952). Kalashnikova advised that
these vehicles were received in the UAE and have already been
shipped to Capitol Oil and Gas Industries located in Lagos,
Nigeria.

d. License D422293: 1 Chevrolet Suburban - (VIN
1GNGK26K98G307470). Kalashnikova advised that this vehicle was also
shipped to Nigeria but she was unable to provide an end user. (Note:
An internet search for the end user listed on the PLC form for this
shipment: IMUS Car Center, Aguinaldo Hwy, Imus Cavite revealed that
that Imus is a City in the Cavite Province of the Philippines just
south of Manila.)


5. ECO requested documentation relating to all four license
transactions that would help determine the ultimate end users for
these shipments. Kalashnikova advised that she would not be able to
release any documents without the approval of the Streit Group
Management and as such she requested ECO provided an official email
detailing our request and upon approval she would provide all
relevant documents. ECO has submitted a request to Kalashnikova and
will forward all documents to OEE WAFO when obtained.

GREENE