[Federal Register Volume 64, Number 61 (Wednesday, March 31, 1999)]
[Notices]
[Pages 15345-15346]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-7880]


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DEPARTMENT OF COMMERCE

Bureau of Export Administration


Order Denying Permission To Apply for or Use Export Licenses; 
Action Affecting Export Privileges; Harold J. Nicholson, Also Known as 
``Nevil R. Strachey'' and as ``Batman''

    In the Matter of: Harold J. Nicholson, also known as ``Nevil R. 
Strachey'' and as ``Batman'' currently incarcerated at: Sheridan 
Federal Correction Institute, Inmate Number 49535-083, 27072 
Ballston Road, Sheridan, Oregon 97378, and with an address at: 1699 
North Terry Sp 161, Eugene, Oregon 97492.

    On June 5, 1997, Harold J. Nicholson, also known as ``Nevil R. 
Strachey'' and as ``Batman'' (Nicholson), was convicted in the United 
States District Court for the Eastern District of Virginia on one count 
of violating Sections 794(a) and (c) of the Espionage Act (18 U.S.C.A. 
Secs. 792-799 (1976 & Supp. 1998)). Nicholson was convicted of 
unlawfully and knowingly combining, conspiring, confederating and 
agreeing with other persons, both known and unknown, including officers 
of the intelligence services of the Russian Federation, to knowingly 
and unlawfully communicate, deliver, and transmit, and attempt to 
communicate, deliver, and transmit, to representatives of a foreign 
government, specifically the Russian Federation, directly or 
indirectly, documents, photographic negatives and information relating 
to the national defense of the United States, with the intent and 
reason to believe that the same would be used to the injury of the 
United States and to the advantage of the Russian Federation.
    Section 11(h) of the Export Administration of 1979, as amended 
(currently codified at 50 U.S.C.A. app. Secs. 2401-2420 (1991 & Supp. 
1998)) the Act),\1\ provides that, at the discretion of the Secretary 
of Commerce,\2\ no person convicted of violating Sections 793, 794, or 
798 of the Espionage Act, or certain other provisions of the United 
States Code, shall be eligible to apply for or use any license, 
including any License Exception, issued pursuant to, or provided by, 
the Act or the Export Administration Regulations (currently codified at 
15 C.F.R. Part 730-774 (1998)) (the Regulations), for a period of up to 
10 years from the date of the conviction. In addition, any license 
issued pursuant to the Act in which such a person had any interest at 
the time of conviction may be revoked.
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    \1\ The Act expired on August 20, 1994. Executive Order 12924 (3 
C.F.R., 1994 Comp. 917 (1995)), extended by Presidential Notices of 
August 15, 1995 (3 C.F.R., 1995 Comp. 501 (1996)), August 14, 1996 
(3 C.F.R., 1996 Comp. 298 (1997)), August 13, 1997 (3 C.F.R., 1997 
Comp. 306 (1998)), and August 13, 1998 (63 FR 44121, August 17, 
1998), continued the Export Administration Regulations in effect 
under the International Emergency Economic Powers Act (50 U.S.C.A. 
Secs. 1701-1706 (1991 & Supp. 1998)).
    \2\ Pursuant to appropriate delegations of authority that are 
reflected in the Regulations, the Director, Office of Exporter 
Services, in consultation with the Director, Office of Export 
Enforcement, exercises the authority granted to the Secretary by 
Section 11(h) of the Act.
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    Pursuant to Sections 766.25 and 750.8(a) of the Regulations, upon 
notification that a person has been convicted of violating Sections 
793, 794, or 798 of the Espionage Act, the Director, Office of Exporter 
Services, in consultation with the Director, Office of Export 
Enforcement, shall determine whether to deny that person permission to 
apply for or use any license, including any License Exception, issued 
pursuant to, or provided by, the Act and the Regulations, and shall 
also determine whether to revoke any license previously issued to such 
a person.
    Having received notice of Nicholson's conviction for violating 
Sections 794(a) and (c) of the Espionage Act, and following 
consultations with the Director, Office of Export Enforcement, I have 
decided to deny Nicholson permission to apply for or use any license, 
including any License Exception, issued pursuant to, or provided by, 
the Act and the Regulations, for a period of 10 years from the date of 
his conviction. The 10-year period ends on June 7, 2007. I have also 
decided to revoke all licenses pursuant to the Act in which Nicholson 
had an interest at the time of his conviction.

    Accordingly, it is hereby

    Ordered

    I. Until June 7, 2007, Harold J. Nicholson, also known as ``Nevil 
R. Strachey'' and as ``Batman,'' currently incarcerated at: Sheridan 
Federal Correction Institute, Inmate Number 49535-083, 27072 Ballston 
Raod, Sheridan, Oregon 97378, and with an address at: 1699 North Terry 
Sp 161, Eugene, Oregon 97492, may not, directly or indirectly, 
participate in any way, in any transaction involving any commodity, 
software or technology (hereinafter collectively referred to as 
``item'') exported or to be exported from the United States, that is 
subject to the Regulations, or in any other activity subject to the 
Regulations, including, but not limited to:
    A. Apply for, obtaining, or using any license, License Exception, 
or export control document;
    B. Carrying on negotiations concerning, or ordering, buying, 
receiving, using, selling, delivering, storing, disposing of, 
forwarding, transporting, financing, or otherwise servicing in any way, 
any transaction involving any item exported or to be exported from the 
United States that is subject to the Regulations, or in any other 
activity subject to the Regulations; or
    C. Benefiting in any way from any transaction involving any item 
exported or to be exported from the United States that is subject to 
the Regulations, or in any other activity subject to the Regulations.
    II. No person may, directly or indirectly, do any of the following:
    A. Export or reexport to or on behalf of the denied person any item 
subject to the Regulations;
    B. Take any action that facilitates the acquisition or attempted 
acquisition by the denied person of the ownership, possession, or 
control of any item subject to the Regulations that has been or will be 
exported from the United States, including financing or other support 
activities related to a transaction whereby the denied person acquires 
or attempts to acquire such ownership, possession or control;
    C. Take any action to acquire from or to facilitate the acquisition 
or attempted acquisition from the denied person of any item subject to 
the Regulations that has been exported from the United States;
    D. Obtain from the denied person in the United States any item 
subject to the Regulations with knowledge or reason to know that the 
item will be, or is intended to be, exported from the United States; or
    E. Engage in any transaction to service any item subject to the 
Regulations that has been or will be exported from the United States 
and which is owned, possessed or controlled by the denied person, or 
service any item, of whatever origin, that is owned, possessed or 
controlled by the denied person if such service involves the use of any 
item subject to the Regulations that has been or will be exported from 
the United States. For purposes of this paragraph, servicing means 
installation,

[[Page 15346]]

maintenance, repair, modification or testing.
    III. After notice and opportunity for comment as provided in 
Section 766.23 of the Regulations, any person, firm, corporation, or 
business organization related to Nicholson by affiliation, ownership, 
control, or position of responsibility in the conduct of trade or 
related services may also be subject to the provisions of this Order.
    IV. This Order does not prohibit any export, reexport, or other 
transaction subject to the Regulations where the only items involved 
that are subject to the Regulations are the foreign-produced direct 
product of U.S.-origin technology.
    V. This Order is effective immediately and shall remain in effect 
until June 7, 2007.
    VI. A copy of this Order shall be delivered to Nicholson. This 
Order shall be published in the Federal Register.

    Dated: March 23, 1999.
Eileen M. Albanese,
Director, Office of Exporter Services.
[FR Doc. 99-7880 Filed 3-30-99; 8:45 am]
BILLING CODE 3510-DT-M