BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK

UNCLAS STATE 054155 SIPDIS RIYADH FOR KRISTEN BONGIOVANNI E.O. 12958: N/A TAGS: ETTC KOMC SA SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK ON LICENSE 050132756 ¶1. 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 post-shipment check on license 050132756 for the export of firearms to Saudi Arabia. Post is requested to complete this Blue Lantern check within 45 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 firearms listed in para 5 are sniper rifles with significant capacity. This request is to verify that the rifles and scopes were received by the Saudi General Intelligence Presidency and to establish the bona fides of foreign intermediate consignee, Saudi Eraad Defense Systems. ¶4. Action Request: Post is requested to verify that the end-user received the sniper rifles and scopes listed in para 5 by making appropriate inquiries to the Saudi General Intelligence Presidency. Post is also requested to establish the bona fides of Saudi Eraad Defense Systems by making appropriate inquiries to representatives of the company and local authorities. The following points are included for guidance: (To Saudi General Intelligence Presidency) --Can you confirm the order of the rifles and scopes listed below? Did you receive all of the rifles and scopes? --What role did Saudi Eraad Defense Systems play in this transaction? (To Saudi Eraad Defense Systems) --When was your company established and who are its principles? --What goods and services does your company provide? Who are your regular customers and where do they reside? --What is your role in these transactions? Did you ever have physical possession of the firearms during the course of this transaction? --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 is encouraged to comment on any information pertinent to this transaction such as security of facilities, end-use, and concerns about the entities involved. ¶5. Details of license applications: DTC Case: 050132756 QUANTITY/COMMODITY: 3 McMillan TAC-50 Bolt Action Rifles, .50 Caliber 12 McMillan TAC-300A Bolt Action Rifles, .300 Caliber 12 McMillan TAC-308A Bolt Action Rifles, .308 Caliber 4 McMillan M1AC M1 Semi-Automatic Rifles, .308 Caliber 24 Nightforce NSX 8.5-32x56mm Rifle Scopes License Value: USD $214,615 SELLER: Falcon Defense Group 3940 Bardstown Road, Suite 2C Louisville, KY 40218 FOREIGN INTERMEDIATE CONSIGNEE: Saudi Eraad Defense Systems Office No. 4 Building 8542 Aldairi Alshamali Road Riyadh, Saudi Arabia Tel: 966-12077773 FOREIGN END-USER: Saudi General Intelligence Presidency (Re'asat al Istikhabarat al A'amah) Building 1054, Al Orouba Street (in front of Panda Market) P.O. Box 277 Riyadh 11972, Saudi Arabia PURPOSE: For official use by the General Intelligence Presidency ¶6. Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): Purchase Order No. GIP 05 issued by Saudi Eraad signed by Faisal Ben Humaid dated 22 October 2008 DSP-83 Nontransfer and Use Certificate signed by Steven Herberth (Falcon Defense) dated 5 November 2008, COL Youssef Suliman El Qrton (GIP) dated 11 October 2008, and Faisal Ben Humaid (Saudi Eraad Defense Systems) dated 22 October 2008 ¶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 ¶8. Department is grateful for Post's assistance in this matter. CLINTON