[Federal Register Volume 59, Number 196 (Wednesday, October 12, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-25092]


[[Page Unknown]]

[Federal Register: October 12, 1994]


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DEPARTMENT OF STATE
Office of Defense Trade Controls
[Public Notice 2090]

 

Munitions Exports Involving Lockheed Aeronautical Systems 
Company, Suleiman A. Nassar and Allen R. Love

AGENCY: Department of State.

ACTION: Notice.

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SUMMARY: Notice is hereby given that it shall be the policy of the 
Department of State to deny all export license applications and other 
requests for approval pursuant to section 38 of the Arms Export Control 
Act, that request authorization for the export or transfer by, for or 
to, or involve directly or indirectly, LOCKHEED AERONAUTICAL SYSTEMS 
COMPANY, SULEIMAN A. NASSAR AND ALLEN R. LOVE and any of their 
subsidiaries, or successor entities in connection with the transfer of 
defense articles of defense services. (This denial policy does not 
affect any other divisions of Lockheed Corporation.) This policy also 
precludes the use in connection with such entities of any exemptions 
from license or other approval included in the International Traffic in 
Arms Regulations (ITAR) (22 CFR Parts 120-130) except as those 
exemptions directly pertain to licenses or other written approvals 
granted prior to June 22, 1994.

EFFECTIVE DATE: June 22, 1994.

FOR FURTHER INFORMATION CONTACT:
Mary F. Sweeney, Acting Chief, Compliance and Enforcement Branch, 
Office of Defense Trade Controls, Bureau of Political-Military Affairs, 
Department of State (703-875-6650).

SUPPLEMENTARY INFORMATION: A nine (9) count indictment was returned on 
June 22, 1994, in the U.S. District Court, Northern District of 
Georgia, charging Lockheed Corporation (Lockheed Aeronautical Systems 
Company, a division of Lockheed Corporation), Suleiman A. Nassar 
(employee of Lockheed Corporation International S.A.) and Allen R. Love 
(employee of Lockheed Aeronautical Systems) with conspiracy (18 U.S.C. 
Sec. 371) to violate and violation of section 104 of the Foreign 
Corrupt Practices Act (15 U.S.C. Sec. 78dd-1 and 78ff(c)(2). The 
indictment charges that the defendants conspired to retain a 
consultant, who was a member of the Egyptian Parliament, to use 
influence with Egyptian government officials in an effort to assist 
Lockheed in procuring a contract for the sale of three C-130 Hercules 
Aircraft to Government of Egypt. (United States v. Lockheed 
Corporation, et al., U.S. District Court, Northern District of Georgia, 
Criminal Docket No. 1:94-CR-226).
    On June 22, 1994, the Department of State instituted a policy of 
denial of all requests for licenses and other written approvals 
(including all activities under manufacturing license and technical 
assistance agreements) concerning exports of defense articles and 
provision of defense services, by, for or to, or involving directly or 
indirectly, the above-named defendants and any of their subsidiaries or 
successor entities. Furthermore, the Department precluded the use in 
connection with those defendants of any exemptions from license or 
other approval included in the ITAR except as those exemptions directly 
pertain to licenses or other written approvals granted prior to June 
22, 1994.
    This action has been taken pursuant to sections 38 and 42 of the 
Arms Export Control Act (AECA) (22 U.S.C. Secs. 2778 & 2791) and 22 CFR 
126.7(a)(2) and 126.7(a)(3) of the ITAR. It will remain in force until 
rescinded.
    Exceptions may be made to this denial policy on a case-by-case 
basis at the discretion of the Office of Defense Trade Controls. 
However, such an exception would be granted only after a full review of 
all circumstances, paying particular attention to the following 
factors: whether an exception is warranted by overriding U.S. foreign 
policy or national security interests; whether an exception would 
further law enforcement concerns; and whether other compelling 
circumstances exist which are consistent with the foreign policy or 
national security interests of the United States, and which do not 
conflict with law enforcement concerns.
    As a result of a recent review of the policy involving indicted 
persons, a person (as defined at 22 CFR 120.14) named in an indictment 
for an AECA-related violation may submit a written request for 
reconsideration of the denial decision to the Office of Defense Trade 
Controls. Such request for reconsideration should be supported by 
evidence of remedial measures taken to prevent future violations of the 
AECA and/or the ITAR and other pertinent documented information showing 
that the person would not be a risk for future violations of the AECA 
and/or the ITAR. The Office of Defense Trade Controls will evaluate the 
submission in consultation with the Departments of Treasury, Justice, 
and other necessary agencies. After a decision on the request for 
reconsideration has been rendered by the Assistant Secretary for 
Political-Military Affairs, the requester will be notified whether the 
exception has been granted.

    Dated: August 17, 1994.
Thomas E. McNamara,
Acting Assistant Secretary, Bureau of Political-Military Affairs, 
Department of State.
[FR Doc. 94-25092 Filed 10-11-94; 8:45 am]
BILLING CODE 4710-25-M