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

UNCLAS SECTION 01 OF 03 STATE 085332 SIPDIS BRATISLAVA FOR JON MARTINSON E.O. 12958: N/A TAGS: ETTC KOMC LO SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK ON LICENSES 050141348 AND 050151985 ¶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 licenses 050141348 and 050151985 for the export of firearms to Slovakia. 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: End-user Vel'koobchod Spol. S.R.O. has not been subject to a Blue Lantern end-use monitoring check. This request is for Post to establish the bona fides of the company. ¶4. Action Request: Post is requested to establish the bona fides of Vel'koobchod Spol. S.R.O. by making inquiries to representatives of the company and appropriate authorities of the Government of Slovakia. Post is also requested to verify that none of the firearms listed below have been re-exported outside Slovakia. Finally, Post is requested to report any derogatory information it may have regarding Vel'koobchod Spol. S.R.O. The following points are included for guidance: (To Vel'koobchod Spol. S.R.O.) --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 are your annual sales of U.S.-origin firearms? --Of the firearms you have received from these licenses, have any of them been sold to anyone that resides outside Slovakia? --Are you familiar with the regulations governing the import of U.S.-origin defense articles, including restrictions on re-transfer or re-export? (To Appropriate Import/Export and/or Law Enforcement Authorities) --Is Vel'koobchod Spol. S.R.O. properly authorized to import and sell defense articles in Slovakia? --Is there any record of Vel'koobchod Spol. S.R.O. re-exporting U.S.-origin firearms or other U.S.-origin defense articles outside Slovakia? --Do you have any information on Vel'koobchod Spol. S.R.O. that would question their reliability as a recipient of U.S. defense articles? In its reply, Post is encouraged to comment on any information pertinent to this transaction such as security of facilities and end-use. ¶5. Details of license applications: ¶A. DTC Case: 050141348 (NOTE: Not all shipments have yet been made on this license) QUANTITY/COMMODITY: 45 Model XL7 Rifles 120 Model 1894 Rifles 59 Model 1895 Rifles 3 Model 308 Rifles 125 Model 336 Rifles 25 Model 444 Rifles 50 Model 39 Rifles STATE 00085332 002 OF 003 73 Model 60 Rifles 15 Model 70 Rifles 25 Model 795 Rifles 10 Model 915 Rifles 56 Model 917 Rifles 105 Model 925 Rifles 10 Model 980 Rifles 10 Model 981 Rifles 10 Model 982SS Rifles 12 Model 982 Rifles 30 Model 983 Rifles 5 Model 25 Rifles 5 Model 17 Rifles License Value: USD $269,748 (NOTE: Actual exports are valued at approx. $30,380) SELLER: Freedom Group Inc Remington Arms Company 870 Remington Drive PO Box 700 Madison, NC 27025 FOREIGN END-USER: Vel'koobchod Spol. S.R.O. Zelena 11 49 05 Nitra 5 Slovakia Tel: 421 37 6512405 Email: lenka@frano-zbrane.sk PURPOSE: For commercial resale in Slovakia ¶B. DTC Case: 050151985 QUANTITY/COMMODITY: 98 Model 700 Rifles 28 Model 770 Rifles 9 Model 750 Rifles 6 Model Seven Rifles 19 Model 7600 Rifles 2 Model 715 Rifles 32 Model 597 Rifles 2 Model 552 Rifles 42,600 Centerfire Cartridges 480,000 Rimfire Cartridge License Value: USD $179,518 SELLER: Freedom Group Inc Remington Arms Company 870 Remington Drive PO Box 700 Madison, NC 27025 FOREIGN END-USER: STATE 00085332 003 OF 003 Vel'koobchod Spol. S.R.O. Zelena 11 49 05 Nitra 5 Slovakia Tel: 421 37 6512405 Email: lenka@frano-zbrane.sk PURPOSE: For commercial resale in Slovakia ¶6. Submitted in support of the license application were the following documents (PM/DTCC will fax documentation to Posts upon request): ¶A. Three Signed DSP-83 Nontransfer and Use Certificate signed by Gerge McHugh dated 09 January 2009 and Viliam Frano (Vel'koobchod) dated 16 December 2009 Import Authorization No. 1448/08-1054 issued by the Ministry of Economy signed by Viktor Lehotzky dated 7 October 2009 Purchase Order not/not numbered issued by Vel'koobchod-ZBRANE signed by Lenka Franova and Viliam Frano dated 16 December 2008 ¶B. Two Signed DSP-83 Nontransfer and Use Certificate signed by Gerge McHugh dated 20 March 2009 and Viliam Frano (Vel'koobchod) dated 3 March 2009 Import Authorization No. 1875/08-1054 issued by the Ministry of Economy signed by Viktor Lehotzky dated 29 January 2009 Import Authorization No. 4502/08-1054 issued by the Ministry of Economy signed by Viktor Lehotzky dated 13 February 2009 Purchase Order No. 0304/2009 issued by Vel'koobchod-ZBRANE signed by Lenka Franova dated 4 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 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 ¶8. Department is grateful for Post's assistance in this matter. CLINTON