[Federal Register Volume 61, Number 114 (Wednesday, June 12, 1996)]
[Notices]
[Pages 29784-29785]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-14826]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF STATE
Office of Defense Trade Controls
[Public Notice 2395]
Statutory Debarment Under the International Traffic in Arms
Regulations
AGENCY: Office of Defense Trade Controls, Department of State.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: Notice is hereby given of which persons have been statutorily
debarred pursuant to Sec. 127.7(c) of the International Traffic in Arms
Regulations (ITAR) (22 CFR Parts 120-130).
EFFECTIVE DATE: June 12, 1996.
FOR FURTHER INFORMATION CONTACT:
Philip S. Rhoads, Chief, Compliance Enforcement Branch, Office of
Defense Trade Controls, Department of State (703-875-6650).
SUPPLEMENTARY INFORMATION: Section 38(g)(4)(A) of the Arms Export
Control Act (AECA), 22 U.S.C. Sec. 2778, prohibits licenses or other
approvals for the export of defense articles and defense services to be
issued to a person, or any party to the export, who has been convicted
of violating certain U.S. criminal statutes, including the AECA. The
term ``person'', as defined in 22 C.F.R. Sec. 120.14 of the
International Traffic in Arms Regulations (ITAR), means a natural
person as well as a corporation, business association, partnership,
society, trust, or any other entity, organization or group, including
governmental entities. The ITAR, specifically Sec. 126.7(e), defines
the term ``party to the export'' to include the president, the chief
executive officer, and other senior officers and officials of the
license applicant; the freight forwarders or designated exporting agent
of the license applicant; and any consignee or end-user of any item to
be exported. The statue permits certain limited exceptions to this
prohibition to be made on a case-by-case basis. 22 U.S.C.
Sec. 2778(g)(4).
The ITAR, Section 127.7, authorizes the Assistant Secretary of
State for Political-Military Affairs to prohibit certain persons
convicted of violating, or conspiring to violate, the AECA, from
participating directly or indirectly in the export of defense articles
or in the furnishing of defense services for which a license or
approval is required. Such a prohibition is referred to as a
``statutory debarment,'' which may be imposed on the basis of judicial
proceedings that resulted in a conviction for violating, or of
conspiring to violate, the AECA. See 22 C.F.R. Sec. 127.7(c). The
period for debarment will normally be three years from the date of
conviction. At the end of the debarment period, licensing privileges
may be reinstated at the request of the debarred person following the
necessary interagency consultations, after a thorough review of the
circumstances surrounding the conviction, and a finding that
appropriate steps have been taken to mitigate any law enforcement
concerns, as required by the AECA, 22 U.S.C. Sec. 2778(g)(4).
Statutory debarment is based solely upon a conviction in a criminal
proceeding, conducted by a United States court. Thus, the
administrative debarment procedures, as outlined in the ITAR, 22 CFR
Part 128, are not applicable in such cases.
The Department of State will not consider applications for licenses
or requests for approvals that involve any person or any party to the
export who has been convicted of violating, or of conspiring to
violate, the AECA during the period of statutory debarment. Persons who
have been statutorily debarred may appeal to the Under Secretary for
International Security Affairs for reconsideration of the ineligibility
determination. A request for reconsideration must be submitted in
writing within 30 days after a person has been informed of the adverse
decision. 22 CFR Sec. 127.7(d).
The Department of State policy permits debarred persons to apply
for reinstatement of export privileges one year after the date of the
debarment, in accordance with the AECA, 22 U.S.C. Sec. 2778(g)(4)(A),
and the ITAR, Section 127.7. A reinstatement request is made to the
Director of the Office of Defense Trade Controls. Any decision to
reinstate export privileges can be made only after the statutory
requirements under Section 38(g)(4) of the AECA have been satisfied
through a process administered by the Office of Defense Trade Controls.
If reinstatement is granted, the debarment will be suspended.
Pursuant to the AECA, 22 U.S.C. Sec. 2778(g)(4)(A), and the ITAR,
22 CFR Sec. 127.7, the Assistant Secretary for Political-Military
Affairs has statutorily debarred three persons who have been convicted
of conspiring to violate or violating the AECA.
Teledyne Industries, Inc. d/b/a Teledyne Wah Chang Albany has been
debarred for a one-year period from the date of its most recent
conviction pursuant to a Consent Agreement between the Department of
State and Teledyne Industries, Inc. d/b/a Teledyne Wah Chang Albany.
All other persons listed below have been debarred for a three-year
period following the date of their conviction, and have been so
notified by a letter from the Office of Defense Trade Controls.
Pursuant to ITAR, Section 127.7(c), the names of these persons, their
offense, date(s) of conviction and court(s) of conviction are hereby
being published in the Federal Register. Anyone who requires additional
information to determine whether a person has been debarred should
contact the Office of Defense Trade Controls.
This notice involves a foreign affairs function of the United
States encompassed within the meaning of the military and foreign
affairs exclusion of the Administrative Procedure Act. Because the
exercise of this foreign affairs function is discretionary, it is
excluded from review under the Administrative Procedure Act.
In accordance with these authorities the following persons are
debarred for a period of three years following their conviction for
conspiring to violate or violating the AECA (name/address/offense/
conviction date/court citation):
1. Teledyne Industries, Inc., d/b/a Teledyne Wah Chang Albany, P.O.
Box 460, 1600
[[Page 29785]]
N.E. Old Salem Road, Albany, OR 97231-0460, 18 U.S.C. Sec. 371
(conspiracy to violate 22 U.S.C. Sec. 2778) January 30, 1995, United
States v. Teledyne Industries, et al., U.S. District Court, District
of Columbia, Criminal Docket No. CR-94-0286
2. Teledyne Industries, Inc., d/b/a Teledyne Wah Chang Albany, P.O.
Box 460, 1600 N.E. Old Salem Road, Albany, OR 97231-0460, 18 U.S.C.
Sec. 371 (conspiracy to violate 22 U.S.C. Sec. 2778) January 26,
1995, United States v. Teledyne Industries, et al., U.S. District
Court, Southern District of Florida, Criminal Docket No. 93-241-CR-
Highsmith
3. Swissco Management Group. Inc., 15485 Eagle Nest Lane, #210,
Miami Lakes, FL 33014, 18 U.S.C. Sec. 371 (conspiracy to violate 22
U.S.C. Sec. 2778), August 7, 1995, United States v. Teledyne
Industries, et al., U.S. District Court, Southern District of
Florida, Criminal Docket No. 93-241-CR-Highsmith
4. Edward A. Johnson, 1655 Ferguson Drive, N.W., Albany, OR 18
U.S.C. Sec. 371 (conspiracy to violate 22 U.S.C. Sec. 2778), and 22
U.S.C. Sec. 2778 (violating the AECA), August 7, 1995, United States
v. Teledyne Industries, et al., U.S. District Court, Southern
District of Florida, Criminal Docket No. 93-241-CR-Highsmith
Dated: May 6, 1996.
Michael T. Dixon,
Acting Director, Office of Defense Trade Controls, Bureau of Political-
Military Affairs, Department of State.
[FR Doc. 96-14826 Filed 6-11-96; 8:45 am]
BILLING CODE 4710-25-M
