RESULT OF BLUE LANTERN: VERIFICATION OF BONA FIDES OF

UNCLAS JAKARTA 001885 SIPDIS DEPT FOR EAP/IET, PM/DTCC/BLUE LANTERN COORDINATOR - RACHAEL-THERESE ¶S. JOUBERT-LIN E.O. 12958: N/A TAGS: KOMC ETTC ECON ID SUBJECT: RESULT OF BLUE LANTERN: VERIFICATION OF BONA FIDES OF REGISTERED BROKER HANS MARAMIS - CASE NO K-2164 REF: A. 09 STATE 99629 ¶B. SECTION 38(B) (1) (A) (II) OF THE ARMS EXPORT CONTROL ¶C. ACT (AECA) (22 U.S.C. 2778) ¶1. Summary: We visited PT Iroda Mitra - an Indonesian entity dealing in telecommunication satellites - on November 4, 2009. We met with President Commissioner Hans Maramis to verify the bona fides of the company requested in reftel. We found the company to be legitimate and Mr. Maramis was aware of the restrictions on United States Munition List (USML) items, particularly the prohibition of unauthorized re-transfers and re-exports. End summary. Background and Fact Finding -------------- ¶2. On the morning of Wednesday 04 November 2009, Econoff visited the offices of Pt. Iroda Mitra (Iroda) located on the 11th floor of the Menara Sudirman building in central Jakarta. Iroda was located in a large modern office building and their presence there was clearly marked. In setting up the appointment, Econoff was easily able to contact Iroda and speak with an individual who clealy identified herself as a representative of the company. Setting up a meeting date at the Iroda office was transparent and easy. ¶3. Econoff spoke for approximately 60 minutes with Iroda President Commisioner, Hans Maramis. Mr. Maramis was friendly, engaging and thorough in discussing varying aspects of the Iroda business functions. Econoff learned that Iroda currently provides services related to the launching of telecommunications satellites in Indonesia. To date, Iroda has provided essential equipment to five separate launchings in Indonesia. Iroda currently only represents one US company, Loral. Mr. Maramis believes that Loral offers the best satellite space system product on the market and is attempting to get their total electronic systems into subsequent Indonesian satellites. Mr. Maramis noted that Loral's prices were considerably higher than his Russian and Chinese competition. Additionally, due to increasing reliance on the "e-auction" method to solicit prices from competing entities, Loral had recently pulled out of the bidding process in Indonesia. As a rule, Loral does not participate in online "e-auction" bidding competitions. ¶4. Iroda was established circa 1994 and currently has approximately 300 employees. In addition to Iroda, Mr. Maramis also acts as director for Mortar Utama and Primacon, both related to the construction industry in Indonesia. ¶5. Econoff is unaware of any derogatory background information on Iroda. Econoff highlighted to Mr. Maramis the important position that he occupies as a named and authorized representative of USML products and urged him to always comply with regulations which regulated businesses such as his, and primarily with regards to end user information. Mr. Maramis stated that he understood the importance of this issue and that he was never to re-transfer or re-export and piece of equipment not strictly authorized for this purpose. OSIUS