EXBS: TAIWAN MONTHLY REPORTING CABLE - JANUARY 2009

UNCLAS AIT TAIPEI 000127

SENSITIVE
SIPDIS

STATE FOR ISN/ECC - YWONG, ACHURCH, NJOHANSON, AND ROWEN
STATE FOR EAP/TC - MTOYRYLA, DPARKER
STATE FOR ISN/MTR - PDURHAM, SBOYER, JMAYES, AND RPALMIERO
DHS/CBP/INA FOR MAWATT
DOE/NNSA/INECP FOR TPERRY AND SJONES

E.O. 12958: N/A
TAGS: ETTC MNUC PARM PREL KSTC KNNP TW
SUBJECT: EXBS: TAIWAN MONTHLY REPORTING CABLE - JANUARY 2009

REF: 08 TAIPEI 1374


I. BROAD ITEMS OF INTEREST TO ADVISORS AND AGENCY MANAGERS:


1. (SBU) The Advisor was in the U.S. for the month of January on
personal leave and consultations. During the consultation week, the
Advisor met with State/ISN/ECC, ISN/MTR, ISN/CB, ISN/CPI, EAP/TC,
PM/DDTC; DHS/Customs and Border Protection, Immigration and Customs
Enforcement; DOC/Bureau of Industry and Security; and University of
Georgia, Center for International Trade and Security. The Advisor
briefed each office on specific areas of interest on
nonproliferation/export control development in Taiwan.


2. (SBU) As a follow-up to reftel, on December 22, 2008, the
Advisor received from the Ministry of Justice Investigation Bureau
information on the final disposition of a case involving Answer
Technology Company and its two representatives, Lee Jiu-Shi and Lee
Jui-Fan. On November 12, 2008, the court found the two individuals
and the company guilty of making 13 shipments of analog-to-digital
converters, digital-to-analog converters, and microcomputer
controllers to Xing Hang Yuan Technology, in Shenzhen city, the PRC,
without proper authorization. (The Xing Hang Yuan changed its name
to Fu-Rei Co. at the end of 2007.) The court found that the Lees
knew that the U.S.-origin items required licenses for exports from
Taiwan and that Xing Hang Yuan was an arms sales agent providing
weapons and electronic parts to the aerospace, aviation, and arms
industries in the PRC. All items were made by Analog Device Inc., a
U.S. company. The two individuals were assessed a fine of
NTD300,000 (approximately USD10,000) each, and the company was
assessed a fine of NTD400,000 (approximately USD13,000).

II. COMPLETED ACTIONS FOR THE REPORTING PERIOD


A. SITE ASSESSMENTS AND MEETINGS DURING REPORTING PERIOD:

None


B. BLUE LANTERN:

None.

III. TRAINING CONDUCTED DURING REPORTING PERIOD:

None.

IV. UPCOMING TRAINING:


1. (U) Internal Control Program software completion and deployment
workshops:

ICP pilot test with Taiwan companies/users - February 13;
Train-the-trainer workshop - March 11 - 13, 2009;
Kick-off Conference - March 31, 2009;
Deployment 1 (Hsinchu) - April 16 - 17, 2009;
Deployment 2 (Taichung) - May 2009;
Deployment 3 (Tainan) - June 2009; and
Deployment 4 (Kaoshiung) - July 2009.


2. (U) From April 6 - 10, 2009, Incident Command Systems Training,
implemented by Customs and Border Protection, is scheduled to take
place in Taipei. (This program replaces the originally-scheduled
Hazardous Materials Response Training.)


3. (U) From April 27 - May 1, 2009, Radiological Detection Training,
implemented by the Department of Energy, is scheduled to take place
in the State of Washington.


4. (U) A Commodity Identification Training, implemented by the
Department of Energy, is notionally scheduled for the second-half of
May.


V. RED FLAG ISSUES:

None.

POC for this report is Mi-Yong Kim, EXBS Advisor. Telephone +886 2
2162 2347.

YOUNG