TAIWAN: RESULTS OF BLUE LANTERN POST-SHIPMENT END-USE CHECK

UNCLAS AIT TAIPEI 000834 STATE FOR EAP/TC, PM/DTCC AND ISN/MTR STATE PASS TO AIT/W PM/DTCC FOR BLUE LANTERN COORDINATOR RACHAEL-THERESE JOUBERT-LIN SIPDIS FROM AIT KAOHSIUNG BRANCH OFFICE E.O. 12958: N/A TAGS: ETTC KOMC TW SUBJECT: TAIWAN: RESULTS OF BLUE LANTERN POST-SHIPMENT END-USE CHECK ON LICENSE NO.050096839 REF: STATE 054489 ¶1. (SBU) Per reftel request, the AIT Kaohsiung branch office (AIT/K) Deputy Principal Officer and Economic Section Assistant visited Gon Cheng Precision Instruments Co. Ltd in Pingtung City, Taiwan and interviewed the company's Manager, Jason Lee. AIT/K also conducted telephone interviews with Commander Tang Chen-gung, the officer in charge of procurement for the First Air Logistics Center of the Taiwan Air Force. ¶2. (SBU) Gon Cheng Precision Instruments Manager Jason Lee told AIT/K that, on August 24, 2007, Taiwan Ministry of National Defense Chung-Shan Institute of Science and Technology (CSIST)selected his company as contractor to order two Cathode Ray Tubes. He found an American supplier, Thomas Electronics, from his research on the internet. He received his order from Thomas Electronics on May 26, ¶2008. ¶3. (SBU) Lee told us that his main customer for the past seven years has been the Taiwan military. He claimed he does not do business outside of Taiwan, nor does he operate offices overseas. Lee said he signed an agreement not to transfer this equipment to a third party and claimed he was familiar with U.S. restrictions on the procurement of USML items. ¶4. (SBU) Gon Cheng's office is on the bottom floor of a three-floor building; the two floors above his office are used as residential space. The office appears to be secure and is equipped with a security alarm. ¶5. (SBU) AIT/K also did a phone interview with the end user, Commander Tang Chen-gung of the First Air Logistics Center of the Taiwan Air Force. Tang confirmed that his institute procured the two Cathode Ray Tubes, and that and Gon Cheng installed the tubes in an OS208/UPM-137 oscilloscope used for radar testing. Tang also confirmed that Gon Cheng is a reliable supplier and contractor for Taiwan's Air Force. Wang