BLUE LANTERN: VERIFYING BONA FIDES OF SUWIT

UNCLAS BANGKOK 002987 SIPDIS FOR PM/DTCC - BLUE LANTERN COORDINATOR E.O. 12958: N/A TAGS: ETTC KOMC TH SUBJECT: BLUE LANTERN: VERIFYING BONA FIDES OF SUWIT KHANDHAWIT, CASE NO. K-0144 REF: STATE 99602 ¶1. (U) According to the Thai Ministry of Commerce, International Electronics & Defence Co., Ltd. was listed as follows: Registration No. 0105522008368 Registered Date: April 25, 1979 Status: Limited Partnership Capital Registration: 2,000,000 baht Partners: Suwit Khandhawit and Rojana Khandhawit Company Location: 4 12/1, Soi Prachachuen 37 (Noppha Kao), Prachachuen Rd., Bang Sue District, Bangkok The company has submitted annual financial reports for 1999-2008. This company was previously registered as the Italthai Electronics & Yutthaphan Co., Ltd., and was renamed in April 11, 1991. Purpose of Company: To conduct business in electrical engineering, machinery, motoring engine, and their engineering ¶2. (U) The company was listed in the phone directory as reftel. The house number indicated reftel is incorrect, the correct house number, as indicated by the phone directory and commercial registration, and site visit was 412/1. The directory also showed that the company has another office at 94 Chinnawat Building, Soi Sukhumvit 23, Sukhumvit Rd., Khlong Toei Nua Sub-District, Watthana District, Bangkok, Tel. 02 260 9735-6. ¶3. (U) We visited IED October 5 and met Suwit Khandhawit. The company was located on a quiet housing estate with a home and office. The house is protected by a high wall, an alarm system, and CCTVs. No guard was present. This company was under the Blue Lantern investigation once in December 2004. - Confirm that this entity is in the business of brokering defense articles and defense services at the location (s indicated under its legal name (s Response: This was confirmed by the Ministry of Commerce's commercial registration. The location was confirmed by the site visit and the commercial registration. - Determine whether this entity is authorized to conduct such activities in its home country. Response: This was confirmed by the registration with the Ministry of Commerce. The company is not required to register with any other state agency else (such as Ministry of Defense or Police Department). - Whether the entity has any criminal or other derogatory background. Response: Suwit stated that the neither the company executives nor the company has a criminal record. An the �A;internet search found no derogatory information. - Whether Post has any information on its brokering or arms export activities that may involve proscribed entities such as countries under U.S. or international sanctions, or designated state sponsors of terrorism. Response: Suwit said his company does not have any business link or connection with the countries categorized above. His company has business relationships with the U.S., the United Kingdom, and Sweden. - Will the brokering firm be handling or storing USML items on behalf of its clients? Response: The company does not handle or store the USML items. It acts as a facilitator and coordinator between the foreign manufacturers and potential Thai purchasers. When the purchased products arrive at the port of entry, the clients will do customs and port clearance. - When was the company established and who are its principals? How many employees? Response: The company was established in April, 1979 with two principals, Suwit and his wife, Rojana. The company has five employees: Suwit as Managing-Director, an accountant, a messenger, a driver, and a janitor. - What is the nature of its business and What other types of items does it handle? Response: The company is a sales and marketing consultant on defense articles for the Royal Thai Armed Forces. It is also a sales representative of companies from the U.S. and the U.K., namely, Lockheed Martin, Northrop & Grumman, ITT, BAE, and Rolls-Royce. Suwit characterized the role of his company as a liaison to bridge manufacturers and buyers. The defense articles the company deals with are various types of the sea-land-air military equipment, helicopters, electronic warfare equipment, sonar systems, missile launch systems, ship weapon systems, aircraft engines, and ships engines. - What types of organizations are among its typical clients and in What countries are they located? Response: The company's clients include the Royal Thai Army, the Royal Thai Navy, the Royal Thai Air Force, and the Royal Thai Armed Forces Command. They are all government agencies and located in Thailand. The company conducts business in Thailand and does not have a business contact with the clients in the foreign countries. - Does the company understand the restrictions on USML items, especially the prohibition against unauthorized re-transfers and re-exports? Response: Yes, Suwit said he understands the restrictions and, as a U.S. graduate, he said understood well the U.S. legal and ethical system. JOHN