BLUE LANTERN RESPONSE: END-USER CHECK LICENSE

UNCLAS CANBERRA 000863 SENSITIVE SIPDIS STATE FOR PM/DTCC MAZZARELLI E.O. 12958: N/A TAGS: ETTC ECON AS SUBJECT: BLUE LANTERN RESPONSE: END-USER CHECK LICENSE 050112139 REF: A. SECSTATE 77222 ¶B. CANBERRA 771 ¶C. CANBERRA 715 ¶1. (U) This is an action request, please see para 6. ¶2. (SBU) Rotorlift Ltd., Tasmania's only helicopter rescue and patrol operator, appears to maintain adequate security, record keeping, and positive control over night vision devices imported from the U.S. (ref A). Econoff conducted a site visit with RotorLift helicopters in Hobart, Tasmania on September 11. ¶3. Rotorlift operates several single and twin-engined helicopters for both tourism and under contract with Tasmanian state police authorities to provide medevac, search and rescue (SAR),coastal patrol, wildfire fighting and other police missions. Tasmania is the only Australian state where police-specific aviation operations are carried out by a private contractor (other state governments contract out SAR, patrol and medevac to private corporations - ref B). Rotorlift is the first company in Australia to be licensed by CASA (Civil Aviation Safety Administration) to use night-vision devices and conducts training for all other private operators in Australian jurisdictions and many of the state police aviation units in their use. ¶4. (SBU) During the visit, econoff viewed eight night vision devices used by the company (5 for training and 3 for operations) stored on the facility in Hobart. Two of these devices are the set issued under the license in reftel from Aviation Specialties Unlimited, Inc. (ASU). The three units for flight operations are stored in a cipher-locked ready room adjacent to the flight hangar, and the other five units are stored in a safe at the company's ground school engineering facility. All units are signed for by the operational pilot, or, in the case of ground instruction, the chief engineer. These units are serviced and maintained by an ITT certified service in Otago, New Zealand. ¶5. (SBU) Rotor-lift Managing Director and chief pilot Roger Corbin said that the company applies for appropriate approvals from the Department for shipment of these units to New Zealand for maintenance. Corbin showed econoff copies of CASA certification of night-vision goggle use and training authorization, as well as DSP-83 and other documentation for importing the units. Corbin stressed that prior to the company investing in NVG capability, the state of Tasmania, with mountainous terrain and frequent bad weather, had limited life-saving aviation capacity, and that the use of NVGs was now considered critical to any operation, so any failure to comply with U.S. export laws would be extremely harmful to both the company and their role. That capability had been specifically required under their contract from the Tasmanian police authorities. That contract expires next year and will be re-tendered, and will again include night-vision capability as a specific requirement. He gave U.S. exporter ASU high marks for stressing the importance of complying fully with legal requirements and said that the company had been briefed prior to post contacting them that end-use verification would be a component of their purchasing these items. ISSUE RAISED ABOUT COMPETITOR -------------- ¶6. (SBU) Corbin raised one issue that he said was "delicate". According to Corbin, who trains instructors for CareFlight operations in New South Wales (ref C),that company is now conducting training of other pilots in NVG use. Corbin alleged that the existing export license for NVGs to CareFlight did not include training as a stated end use and had urged the company to amend its license paperwork. Post requests PM/DTCC review CareFlight's stated use in its Qrequests PM/DTCC review CareFlight's stated use in its license and inform us if additional discussions with CareFlight are necessary. ¶7. (SBU) The systems serial numbers of the night-vision devices viewed by econoff are: 21630, 21631, 21632, 21633, 21634, 21635 (imported under case #1012014) and 25330, 25331 (imported under case #050112139). ¶8. (SBU) Corbin confirmed to econoff that the company understands that theft, loss or diversion of these items may be considered to be a violation of 27 USC Sec 2278 and the ITAR. He also confirmed that Rotorlift understands its obligation to seek a new license to resale or transfer these items in the future. CLUNE