EXTRANCHECK: POST-SHIPMENT VERIFICATION AT INNOVATION

UNCLAS NEW DELHI 000644 SIPDIS USDOC FOR 532/OEA/HINES/GAINES USDOC FOR 3131/USFCS/OIO/ANESA/KREISSL USDOC FOR 4530/MAC/ANESA/OSA ICE HQ FOR STRATEGIC INVESTIGATIONS STATE FOR EB/ESP E.O. 12958: N/A TAGS: BEXP ETRD ETTC IN SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION AT INNOVATION COMMUNICATIONS SYSTEMS LTD, HYDERABAD, INDIA ¶1. Unauthorized disclosure of the information provided below is prohibited by Section 12(c) of the Export Administration Act. ¶2. On March 24, 2009, Export Control Officer (ECO) Paul Cushman and FSN Shailendra Srivastava conducted a Post-Shipment Verification (PSV) at Innovation Communications Systems Limited (ICS). ¶3. BIS requested a PSV at ICS, located in Banjara Hills, Hyderabad. ICS was listed as the ultimate consignee for one Pathfinder Infrared Camera System manufactured by FLIR Systems of Goleta, California. Export License: D373568. ECCN: 6A003. ¶4. ECO and FSN Srivastava met with Mr. B.K. Murti, Executive Director, Mr. B.V. Verma, Director for Business Development, in the ICS conference room. ¶5. ICS representatives were not familiar with BIS regulations and this was the first visit by BIS officials to their facility. Verma provided copies of the following documents pertaining to this transaction: ICS Purchase Order, ICS End-Use Certificate, FLIR Commercial Invoice, Export License D373568, Air Waybill and a receipt for duties paid to the Indian Customs Authority. Verma confirmed that he understood, had complied with, and would continue to comply with the license conditions. ¶6. Verma explained that the infrared camera was procured on behalf of GOI's National Mineral Development Corporation (NMDC). ICS has developed a heads-up display to be used by equipment operators at NMDC's Chattisgarh mine where foggy conditions routinely bring the operation to a halt. ¶7. At the conclusion of the meeting, the camera was presented for inspection. ECO physically verified the serial number as 627915052 and the model number as 334-0001-00P. A private security guard is on duty at the facility around the clock. ¶8. Established in 1988, Innovation Communication Systems Limited is a developer of telecommunication products and provides software services to various telecom companies. ICS employs 60 personnel. ¶9. Recommendation: At the time of this visit, Innovation Communications Systems Limited appeared to be a reliable recipient of this controlled technology. The item on check was physically verified and was being used in a manner consistent with the Export Administration Regulations. WHITE