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

UNCLAS STATE 123038

SIPDIS
KUALA LUMPUR FOR WYNN PINKSTON
ECON

E.O. 12958: N/A
TAGS: ETTC KOMC MY
SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK
ON APPLICATION 050202451

REF: 2006 BLUE LANTERN GUIDEBOOK

This is an Action Request. See paragraphs 2-4.



2. The Department's Office of Defense Trade Controls
Compliance (PM/DTCC) requests Post's assistance
in conducting a pre-license check on application 05020451 for
the export of united States Munitions List (USML)-controlled
Radar Altimeter Indicators to Malaysia. Post is requested to
complete this Blue Lantern inquiry within 30 days. Lack of
response to a Blue Lantern inquiry will affect pending and
future licenses involving parties to this license.



3. Reason for request: To substantiate the bona fides of
unfamiliar Foreign Intermediate Consignee Qiblatin Synergy
Sdn Bhd in the proposed transaction. Also, there is as
discrepancy between quantity of Indicators listed on license
application and supporting documents.



4. Action: Department requests that Post make inquiries
within the Government of Malaysia to confirm the bona fides
of Qiblatin Synergy Sdn Bhd in the proposed transaction. If
possible, conduct a site visit to assess the company's
reliability as a recipient of USML items as well as its
operations and on-site security. Emphasize that the
unauthorized re-export or retransfer of USML items is
strictly prohibited. As a discrepancy exists between the
amounts listed on the license application and supporting
documentation, confirm quantity of Radar Altimeter Indicators
that were ordered by end-user for the purpose stated on the
application. See paragraph six, below, reference Qiblatin
Synergy's purchase order. Determine whether any other
Malaysian-based firms are involved in the procurement of the
items.

The following questions are provided for guidance:

- Please confirm an order for the items listed on license


050202451.

- Does Qiblatin Synergy understand the restrictions against
the unauthorized re-export or retransfer of U.S.-origin
defense articles?

- Does Qiblatin Synergy serve as a broker of USML articles
with any countries besides Malaysia? If so, where? If your
company has offices abroad, where are they located? Has this
company ever used any other names?

- How long has your company been in the business of
importing and selling defense articles?

- What other products are sold by this company?

- How long has Qiblatin Synergy been involved in business
operations with the Royal Malaysian Air Force (RMAF); do you
have a regular business relationship with RMAF?


End Action Request.



5. Details of license application:

DTC Case: 0501202451

QUANTITY/COMMODITY:

10 Radar Altimeter Indicators
P/N JG1209AC01NVG

License Value: USD $225,000.

SELLER:

S.O.I Aviation
Attn: Linda Sandberg
23965 Ventura Boulevard
Calabasas, CA 91302
Tel: 818-591-3166 ext. 218


FOREIGN INTERMEDIATE CONSIGNEE:

Lieutenant Kdr (R) Syed Rusli Bin Syed Ibrahim
Managing Director
Qiblatin Synergy Sdn Bhd (277252M)
C-5-1 Setiawangsa Business Suite
Jalan Setiawangsa 11
Taman Setiawangsa 54200
Kuala Lumpur
Malaysia
Tel: 603 4261 1884/3882/3887
Fax: 603 4251 4886
Email: bintang@qiblatin.com



FOREIGN CONSIGNEE:

Royal Malaysian Air Force
Logistics Headquarters c/o Kuala Lumpur Air Base
Old Airport Road
Kuala Lumpur 50460
Malaysia
Tel: 03 2117 1133
Fax: 03 2148 7035

END-USER:

Zainal Bin Abdul Manaf
Lieutenant Colonel, for Commander
Toharudin Abd Rasid
Colonel, Chief of Staff Services
Royal Malaysian Air Force
Air Logistics Headquarters
c/o Kuala Lumpur Air Base
Old Airport Road
Kuala Lumpur 50460
Malaysia
Tel: 03 2117 1133
Fax: 03 2148 7035

PURPOSE:

Spare parts for the repair and maintenance of Radar Altimeter
Indicator for the S-61 Sikorsky helicopter. The radar
altimeter indicator provides an accurate indication of the
altitude of an aircraft over all types of terrain, including
water and land.



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

-- U.S. Department of State Nontransfer and Use Certificate
(DSP-83) dated 21 October 2009;

-- Air Logistic HQ Purchase Order No. QD/EU/1146/2009
referencing Contract No. KP/PERO-3/D/T362/06/20 (OE) with
Qiblatin Synergy dated 21 October 2009;

-- Qiblatin Synergy Purchase Order No. QSSB/PO/157-09 dated
13 October 2009 for 8 (EIGHT) Radar Altimeter Indicators
valued at $200,000 USD VICE TEN USML ITEMS LISTED on the
DSP-5 LICENSE APPLICATION valued at 225,000.



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 Rachael-Therese S. Joubert-Lin,
Phone: 202-663-2950; Email: JoubertLinRS@state.gov; SIPRNET:
JoubertLinRS@state.sgov.gov. The Blue Lantern Guidebook
(ref) is available as a PDF file at
http://www.intelink.sgov.gov/wiki/Blue Lantern End-Use
Monitoring Program.



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