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

UNCLAS STATE 076386 SIPDIS E.O. 12958: N/A TAGS: ETTC KOMC AIT SUBJECT: BLUE LANTERN LEVEL 3: PRE-LICENSE END-USE CHECK ON APPLICATION 050180288 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 AIT-Taipei's assistance in conducting a pre-license check on application 050180288 for the export of three International Traffic in Arms Regulations (ITAR) - controlled power amplifiers to Taiwan. AIT-Taipei is requested to complete this Blue Lantern 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: Unfamiliar Foreign Consignee May Geng Duo Development Co., Ltd; to verify role of unlisted foreign party Channel Link Inc. in this transaction (Note: May Geng Duo Development and Channel Link Inc. used same telephone and fax numbers in their documentation, but they do not appear to be co-located); no documentation from End-User. ¶4. ACTION: Department requests that AIT-Taipei make inquiries to establish the bona fides of May Geng Duo Development Co., Ltd and Channel Link Inc. in the proposed transaction. Conduct site visits to assess these firms' reliability as recipients of United States Munitions List (USML) articles as well as their operations and on-site security. Also, confirm with Chung Shan Institute of Science and Technology that it ordered the items listed for the purpose stated on the application. The following questions provide suggested guidance for May Geng Duo Development Co. Ltd and Channel Link Inc.: - Can your company provide documentation (e.g. purchase order, contract, or letter of intent) from Chung Shan Institute of Science and Technology firmly establishing it as the end user of the items? - What is your company's exact role in this transaction? - Documents submitted in support of the application include an order confirmation from Channel Link Inc., Hsintien, Taiwan, to Dage Corporation dated 30 June 2009. This firm's name, however, does not appear on the application. Why was Channel Link Inc.'s name not included on the application? - Who are this firm's main customers and where are they located? - What other products are sold by your company? - How long has your company been in the business of importing and selling defense articles? - Are you familiar with the restrictions against the unauthorized re-export or retransfer of U.S.-origin defense articles? (To Chung Shan Institute for Science & Technology (CSIST)): - Please confirm an order for the items listed on license application 050180288. - How long has CSIST done business with May Geng Duo Development Co. Ltd, and with Channel Link Inc., respectively? - What is the specific role of each firm in the proposed transaction? - Documents submitted in support of the application include an order confirmation from Channel Link Inc., Hsintien, Taiwan, to Dage Corporation dated 30 June 2009. This firm's name, however, does not appear on the application. Why was Channel Link Inc.'s name not included on the application? End ACTION request. ¶5. Details of license application: DTC Case: 050180288 QUANTITY/COMMODITY: 3 X Band 80W Power Amplifiers - Keragis Model Number KHPA0910-80W License Value: USD $51,000.00 SELLER: Peter Sterling Dage Corporation 1011 High Ridge Road Stamford, CT 06905 Tel:(203) 461-9000 ext. 311 FOREIGN CONSIGNEE: May Geng Duo Development Co., Ltd. 11-6/F., No 23, Sec. 1, Chang An East Road Taipei City Taiwan Republic of China Tel: 886 2 2938 6003 Fax: 886 2 2938 6023 or 1F, No. 169 Baoyi Road Wunshan District Taipei City 116 Taiwan Republic of China UNSPECIFIED ROLE: George Chang, General Manager Channel Link Inc. Fl. 4 No. 568 Chung Cheng Road Hsintien Taiwan Republic of China Tel: 886 2 2938 6003 Fax: 886 2 2938 6023 FOREIGN END-USER: Chung Shan Institute for Science & Technology No. 481 Jia-An Sec., Zhong-Zheng Road Jia-An Village Lung Tan Tao Yuan 32500 Taiwan Tel: 03 471 2201 Fax: 03 471 1494 PURPOSE: The amplifiers will only be used for the telemetry system on the Ground-Launched Tien-Chien II Missile Launch System. ¶6. Submitted in support of the license application was the following document (PM/DTCC will fax documentation to AIT Taipei upon request): -- Department of State Application for Permanent Export of Unclassified Defense Articles and Related Unclassified Technical Data (prepared 17 July 2009); -- Channel Link Inc. Order Confirmation dated 23 June 2009 that references Purchase Order No. MGD 980020. ¶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 AIT Taipei's assistance in this matter. CLINTON