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

UNCLAS STATE 128516 SIPDIS GABORONE FOR SCOTT HAMILTON LONDON FOR PAULA WIKLE E.O. 12958: N/A TAGS: ETTC KOMC BC UK SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON LICENSE 050205274 ¶1. This is an Action Request. See paragraph 4 - 5. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests Post's assistance in conducting a pre-license check on license 050205274 for the export of ammunition and explosives to Botswana. 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. ¶3. Reason for Request: The items on this license request are particularly sensitive due to their vulnerability to diversion and their lethality. In addition to the items listed below, the purchase order from Clover Industrial Supplies and the End User Certificate from the Botswana Police Service includes detonators, fuses, and detonator chords. This check is to establish the bona fides of the transaction and the parties involved. ¶4. Action Gaborone: Post is requested to establish the bona fides of this transaction and the parties involved by making inquiries to representatives of Clover Industrial Supplies and appropriate authorities of the Government of Botswana. The following points are included for guidance: (To Clover Industrial Supplies) --When was your company established and who are its principals? --What other companies are part of the Clover Group? Who are the principals of the Clover Group? --What products and services does your company provide? Please explain why your company email address is "cloverchemicals@mega.bw" and describe the elements of your business that involve the use and/or sale of chemicals. --Who are your regular customers and where do they reside? --What are your annual sales of U.S.-origin defense articles? --Do you sell defense articles to customers that reside outside Botswana? If so, who are these customers and where do they reside? --What role is your company playing in this transaction? What role does Qurtermaster's Ltd. of the United Kingdom play in this transaction? --The import permit issued by the Central Arms Registry of the Botswana Police Service grants permission to "Stores Officer Quarter of Master Stores P.O. Box 10037 Gaborone." What role is Clover Industrial Supplies playing in this transaction? --Will you ever have physical possession of the defense articles listed below? If so, please describe the security measures and procedures your company has in place. --Are you familiar with the regulations governing U.S.-origin defense articles, including restrictions on unauthorized re-transfer or re-export? (To Botswana Police Service) --Can you confirm that your agency placed this order? Please verify the exact commodities and quantities you require. --For what will these items be used? --The import permit issued by the Central Arms Registry (Form No. 4) is titled as an "Acquisition Permit" but "Acquisition" is crossed out and "Import" is handwritten. Is this a valid import permit? --The import permit grants permission to "Stores Officer Quarter of Master Stores P.O. Box 10037 Gaborone." What role is Clover Industrial Supplies playing in this transaction? Does Clover Industrial Supplies require import authorization from the Government of Botswana? --Will any company ever have physical possession of these items? In its reply, Post may also comment on any other information pertinent to these transactions such as security of facilities, end-use, and concerns about the entities involved. ¶5. Action London: Post is requested to establish the bona fides of this transaction and Quartermaster's Ltd. by making inquiries to representatives of the company. The following points are included for guidance: (To Quartermaster's Ltd.) --When was your company established and who are its principals? --What products and services does your company provide? --Who are your regular customers and where do they reside? --What role is your company playing in this transaction? Were your products and services sought by ALS Technologies of the United States of by Clover Industrial Supplies of Botswana? --What role is Clover Industrial Supplies playing in this transaction? What is your relationship to Clover Industrial Supplies and/or the Clover Group? --Will you ever have physical possession of the defense articles listed below? If so, please describe the security measures and procedures your company has in place. ¶6. Details of license applications: DTC Case: 050205274 QUANTITY/COMMODITY: 170,000 Round of Ammunition, 7.62 x 39mm Ball 2 C4 RDX Plastic Explosives 1,000 ALSG972 Smoke Grenades License Value: USD $49,170 SELLER: ALS Technologies Inc 1103 Central Blvd Bull Shoals, AR 72619 FOREIGN INTERMEDIATE CONSIGNEE: Quartermaster's Ltd. Trinity House, Heather Park Drive Wembley, Middlesex, HAO ISU United Kingdom FOREIGN CONSIGNEE: Clover Industrial Supplies PTY LTD Plot No. 1277 Old Labatse Road Gaborone Botswana Tel: 3953035 Email: cloverchemicals@mega.bw FOREIGN END-USER: Botswana Police Service Metsimotlhabe Road Village, Gaborone Botswana Tel: 267 3956390 PURPOSE: For use by the Botswana Police Service only. ¶7. Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): DSP-83 signed by Paola Gutierrez (ALS Technologies) dated 09/01/2009; Illegible (Quarter Mater Stores, Botswana Police Service) dated 07/23/2009; Raphael Motsamai (Botswana Police Service) dated 07/23/2009; and Kalum Mandana (Clover Industrial Supplies) dated 07/23/2009 End User Certificate Ref No OC.24/13 I (40) issued by Quarter Master Stores, Botswana Police Services signed by David Baale dated 07/24/2009 Form No. 4 Import Permit No. 23204 issued by the Central Arms Registry of the Botswana Police Service signed by Illegible dated 09/07/2009 Purchase Order No. 0052 from Clover Industrial Supplies signed by Kalum Nandana dated 07/23/2009 ¶8. 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 on Intellipedia: http://www.intelink.gov/wiki/ Blue Lantern End-Use Monitoring Program ¶9. Department is grateful for Post's assistance in this matter. CLINTON