BLUE LANTERN CHECK - LICENSE 050169035

UNCLAS YEKATERINBURG 000039 SIPDIS MOSCOW FOR N. KATSAKIS DEPT FOR PM/DTTC-BLUE LANTERN COORDINATOR E.O. 12958: N/A TAGS: ETTC KOMC RS SUBJECT: BLUE LANTERN CHECK - LICENSE 050169035 REF: STATE 54156 ¶1. On June 24, Pol/Econ officer drove to the address provided by the end-user - Pereulok Zvonkiy 12/43. This proved to be on the industrial outskirts of Yekaterinburg where a few Soviet era block apartment buildings are mixed with warehouses, cement and gravel supply companies, etc. It is clearly one of the less affluent areas of the city. It is a private address. No one was home, so we called Mr. Volovod on his cell phone. He was somewhere in the neighborhood and arrived within five minutes. He did not invite us in and we talked to him sitting in the consulate vehicle. ¶2. Volovod appeared to be about 30 years old. He says he is employed by a gun shop in the town of Rezh, about 80 kilometers north-west of Yekaterinburg. He hastened to explain that due to the economic downturn he is not working full time. He told us the bullet tips will be used by him and his friends for hunting and target shooting. He explained that the American quality is better than Russian, so the group decided to order tips from the U.S. When asked how he chose ABF Inc., Volovod told us the company employs some Russians and they advertise in Russian on the internet. Volovod does not know why "for use by the Commanding General personnel" was included on the license application. He stated that ABF had completed the application and that probably they added this statement. ¶3. Volovod says he is familiar with both Russian and U.S. regulations, including restrictions and re-export limitations. In the past he ordered 2-3 rifle scopes, which he uses himself. He personally uses 300-400 bullets per month. He ordered 24,000 because his friends also shoot and it is easier if one person places a large order. Once they receive the order they will divide the bullets among themselves. ¶4. We checked post records but found no information regarding the end-user. Our FSN investigator did a short check with the local police and found no adverse information. SANDUSKY