BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK

C O N F I D E N T I A L STATE 011875

SIPDIS
ASUNCION FOR LUIS HERNANDEZ

E.O. 12958: DECL: 02/06/2019
TAGS: ETTC KOMC PA
SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK
ON LICENSE 050139000

REF: 08 ASUNCION 151

Classified By: David C. Trimble, for reasons 1.4(a),(b),and (d)

(U) 1. This is an Action Request. See paragraphs 2 - 4.

(U) 2. The Department's Office of Defense Trade Controls
Compliance (PM/DTCC) requests Post's assistance in conducting
a pre-license check on license 050139000 for the export of
ammunition to Paraguay. Post is requested to complete this
Blue Lantern check within 30 days. Lack of response to a Blue
Lantern check will affect pending and future licenses
involving parties to this license.

(C) 3. Reason for Request: End-user TSB Sport has been the
end-user on only one other approved export license for 800
rounds of ammunition. The current license request for more
than 3 million rounds represents a significant increase in
the quantity of ammunition for this end-user. Also, REFTEL
indicates that ammunition over .22 caliber is of little use
for hunters in Paraguay. This request is to establish the
bona fides of this transaction and end-user.

(U) 4. Action Request: Post is requested to establish the
bona fides of this transaction and the bona fides of end-user
TSB Sport by making appropriate inquires to authorities of
the Government of Paraguay and representatives of the
company. The following point are included for guidance:

(To TSB Sport)

--Can you confirm that the ammunition listed below was
purchased for commercial resale in Paraguay only? Who are
your regular customers and where do they reside? For what
will ammunition of these caliber be used in Paraguay?

--What are your annual sales of U.S.-origin firearms and
ammunition? Can you explain why the quantity of ammunition on
this license is so large?

--Are you familiar with the regulations governing the import
of U.S.-origin defense articles, including restrictions on
re-transfer or re-export?

In its reply, Post may also comment on any other information
pertinent to these transactions such as derogatory
information obtained from local law enforcement, security of
end-user facilities, and end-use.

(U) 5. Details of license applications:

DTC Case: 050139000

QUANTITY/COMMODITY:

2,051,000 Rounds of Assorted Ammunition (a list will be
provided via email and/or fax)

20,000 Boxes of .22LONG Caliber Ammunition (50 Rounds per Box)

200 Boxes of .22SHORT Caliber Ammunition (50 Rounds per Box)

License Value: USD $665,550

SELLER:

Lou's Police Distributors
7815 West 4 Avenue
Hialeah, FL 33014

FOREIGN END-USER:

TSB Sport Caza-Pesca-Municiones
Montevideo 258 E/Palma y PTE. Franco
Asuncion, Paraguay
Tel: 595-21-493 434
Email: tsb@telesurf.com.py

PURPOSE:

For commercial resale in Paraguay

(U) 6. Submitted in support of the license application were
the following documents (PM/DTCC will fax documentation to
Posts upon request):

DSP-83 signed by Subeldia Benitez (TSB Sport) dated
09/04/2008 and Linda Riccobono dated 12/23/2008

Import Authorization No. 155/2008 issued by Direccion De
Material Belico dated 08/19/2008 signed by Oscar Javier Gomez.

Purchase Order from TSB Sport signature and date cut off

(U) 7. Please slug reply for PM/DTCC - BLUE LANTERN
COORDINATOR and include the words "Blue Lantern" and the case
number in the subject line. POC is Kyle M. Ballard, Phone:
202-663-1929; Email: BallardKM@state.gov; SIPRNET:
BallardKM@state.sgov.gov. The Blue Lantern Guidebook (ref) is
available as a PDF file in the Bunche Library's E-Book
Collection on the DOS Intranet:
http://virtuallibrary.state.gov/
BlueLanternGuidebook2006%2520 final .pdf

(U) 8. Department is grateful for Post's assistance in this
matter.
CLINTON