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

UNCLAS STATE 053300 SIPDIS AIT TAIPEI FOR MATTHEW O'CONNOR E.O. 12958: N/A TAGS: ETTC KOMC TW SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON APPLICATION 050170334 REF: 2006 BLUE LANTERN GUIDEBOOK ¶1. This is an Action Request. See paragraphs 2-4. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests AIT Taipei's assistance in conducting a pre-license check on application 050170334 for the export of a mobile optical tracking system to Taiwan. AIT Taipei 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: sensitive commodity and unfamiliar foreign consignee, U&U International, Inc. The company has not appeared on previous licenses nor have the company's bona fides been verified by a Blue Lantern check. ¶4. ACTION AIT TAIPEI: AIT Taipei is requested to make inquiries with appropriate authorities to determine if Chung Shan Institute of Science and Technology (CSIST) ordered the mobile tracking system from U&U International, Inc. (U&U) and if so, verify that the item will be used for the purpose stated on the license. PM/DTCC also requests that post conducts a site visit to U&U in order to provide Department with an assessment of its business operations and on-site security. Finally, post is asked to assess whether the company appears to be a reliable recipient of USML items. If a site visit is not possible, please inform the PM/DTCC officer. The following questions are provided as suggested guidance: --Does the company have supporting documentation for this proposed transaction? --Does the company have secure facilities and proper accounting and security procedures for handling sensitive USML items? --What is the exact end-use for this USML item? --When was the company established and who are its principals? --What is the nature of its business -- what type of items does it handle, does it serve as a broker? --What type of organizations are among its typical customers and where are the customers located? --Does the company understand the restrictions on United States Munitions List (USML) items, especially the prohibition against unauthorized re-transfer and re-export? END ACTION ¶5. Details of license application: DTC Case: 050170334 QUANTITY/COMMODITY: 1 Nano-Sextant tracking pedestal with servo controller License Value: USD 226,780.00 SELLER: Photo-Sonics, Inc. 820 S. Mariposa St. Burbank, CA 91506 POC is Marilyn Murray, Tel. 818-531-3209 FOREIGN CONSIGNEE: U&U International, Inc. Unit 6, 9F, 77, Tun Hua South Rd. Section 2 Taipei Taiwan POC is Jessie Wu, Tel. 886-2-2706-2110 FOREIGN END-USER: Chung Shan Institute of Science and Technology No. 481, Chia-An Sec., Chung-Chen Road Chia-An Village Lung-Tan Taiwan POC is Chief, Flight Test Section, System Development Center, No Tel. provided PURPOSE: Nano-Sextant will be assembled with TV camera and installed at the Chio-Pen Test Range, Taiwan for optical tracking. ¶6. Submitted in support of the license application were the following documents (PM/DTCC can fax documentation to post upon request): --Purchase Order No. 090416 submitted by U&U International, Inc. signed by Jessie Wu on 21 April 2009. --End Use Statement submitted by Chung Shan Institute of Science and Technology, signed by Chief, Flight Test Section, System Development Center, Feng-Yue Chang on 31 March 2009. ¶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 Tim Mazzarelli, Phone: 202-663-3867; Email: MazzarelliTP@state.gov; SIPRNET: MazzarelliTP@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://buncheelectroniclibrary.state.gov/eboo ks/ BlueLanternGuidebook2006%20 final .pdf ¶8. Department is grateful for post's assistance in this matter. CLINTON