[Federal Register Volume 66, Number 178 (Thursday, September 13, 2001)]
[Notices]
[Pages 47630-47632]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-22948]


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DEPARTMENT OF COMMERCE

Bureau of Export Administration


Action Affecting Export Privileges; Infocom Corporation, Inc., 
Tetrabal Corporation, Inc., Bayan Medhat Elashi, Ghassan Elashi, Basman 
Medhat Elashi, Ihsan Medhat, Ishan Medhat ``Sammy'' Elashi, Hazim 
Elashi, Fadwa Elafrangi

    In the Matter of: Infocom Corporation, Inc., 630 International 
Parkway, Suite 100, Richardson, Texas 75081; Respondent and Tetrabal 
Corporation, Inc., 316 Candlewood Place, Richardson, Texas 75081; 
Bayan Medhat Elashi, 1810 Auburn, Richardson, Texas 75081; Ghassan 
Elashi, 304 Town House Lane, Richardson, Texas 75081; Basman Medhat 
Elashi, 1506 Willow Crest Drive, Richardson, Texas 75081; Ihsan 
Medhat ``Sammy'' Elashi, 316 Candlewood Place, Richardson, Texas 
75081; Hazim Elashi, 937 Stone Trail Drive, Plano, Texas 75023; 
Fadwa Elafrangi, 306 Town House Lane, Richardson, Texas 75081, 
Related persons.

Order Temporarily Denying Export Privileges

    Through the Office of Export Enforcement (``OEE''), the Bureau of 
Export Administration (``BXA''), U.S. Department of Commerce, has asked 
me to issue an order pursuant to Sec. 766.24 of the Export 
Administration Regulations (currently codified at 15 CFR parts 730-774 
(2001)) (``EAR'' or ``Regulations'') \1\, temporarily denying all U.S. 
export privileges to Infocom Corporation, Inc., 630 International 
Parkway, Suite 100, Richardson, Texas 75081 (``Infocom''). BXA has also 
asked that, pursuant to Secs. 766.24(c) and 766.23 of the regulations, 
the order apply to the following persons who are related to Infocom:

    \1\ The Regulations were issued pursuant to the Export 
Administration Act of 1979 (``Act''), 50 U.S.C. app. secs. 2401-2420 
(1994 & Supp. IV 1998), as reauthorized by Act of November 13, 2000, 
Pub. L. 106-508, 114 Stat. 2360. The Act lapsed on August 20, 2001. 
Pursuant to the International Emergency Economic Powers Act (50 
U.S.C. 1701-1706 (1994 & Supp. IV 1998)), the President, through 
Executive Order 13222 of August 17, 2001 (66 FR 44025 (August 22, 
2001)), has continued the Regulations in force.
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Tetrabal Corporation, Inc., 316 Candlewood Place, Richardson, Texas 
75081
Bayan Medhat Elashi, 1810 Auburn, Richardson, Texas 75081
Ghassan Elashi, 304 Town House Lane, Richardson, Texas 75081
Basman Medhat Elashi, 1506 Willow Crest Drive, Richardson, Texas 
75081
Ihsan Medhat ``Sammy'' Elashi, 316 Candlewood Place, Richardson, 
Texas 75081
Hazin Elashi, 937 Stone Trail Drive, Plano, Texas 75023

[[Page 47631]]

Fadwa Elafrangi, 306 Town House Lane, Richardson, Texas 75081

    In its request, BXA states that, based upon an investigation by 
OEE, it believes that Infocom has violated the Regulations by shipping 
and attempting to ship goods to Libya and Syria without obtaining the 
necessary authorizations from BXA. Specifically, BXA has determined 
that Infocom made three shipments of computer equipment without the 
required export licenses from BXA. These were:
    (1) A 1997 shipment of computer accessories to Malta that was, 
immediately upon its arrival in Malta, shipped to Libya. Infocom had 
dealt with a representative of the ultimate end-user in Libya in a 
manner that suggests that Infocom was aware that the goods were 
ultimately intended for that country. Infocom did not have the 
appropriate U.S. Government authorization to ship the goods to Libya. 
Additionally, Infocom did not disclose the identity of the ultimate 
consignee on the shipper's export declaration it filed for the 
shipment, listing instead a forwarder in Malta.
    (2) An April 1999 shipment of one computer as well as memory chips 
and central processing units (``CPUs'') to Syria. Infocom made this 
shipment directly from Texas to Syria. The Regulations required Infocom 
to obtain an export license from BXA to make the shipment to Syria 
because the shipment contained items that were controlled for anti-
terrorism reasons. Infocom did not receive an export license for this 
transaction.
    (3) An August 2000 shipment of a computer to Syria without the 
required export license from BXA. In addition, Infocom undervalued the 
goods in this shipment on the export control documents.
    Additionally, in June 1999, Infocom made an attempted shipment of 
CPUs to Syria. It used the same freight forwarder as the April 1999 
shipment above. When the freight forwarder questioned whether the 
shipment required an export license, Infocom's Logistics Manager, 
Basman Elashi, stated that he had checked, and that it did not. Infocom 
did not complete the shipment through this freight forwarder. In fact, 
the shipment would have required a license from BXA.
    In addition to these transactions, OEE's investigation also 
establishes that Infocom offered price quotations to other customers in 
Syria. It also suggests that Infocom has many contacts in third 
countries through whom it could send goods to Syria and Libya as it did 
the 1997 shipment through Malta.
    Thus, OEE's investigation demonstrates that Infocom has made 
repeated exports without the required U.S. government authorization, 
and that it has attempted to conceal these shipments by undervaluing 
goods, filing false and deceptive SEDs, and avoiding freight forwarders 
that ask uncomfortable questions.
    OEE's investigation has disclosed that one corporation and six 
natural persons are closely related by their ownership, control, 
affiliation, or connection with Infocom. All of the natural persons 
have received wages from Infocom. Their names, addresses, and 
relationships to Infocom are set out below as listed in documents 
available to OEE:

Tetrabal Corporation, Inc., 316 Candlewood Place, Richardson, Texas 
75081
A business owned and operated by the same principals as Infocom and 
located at the same address.

Bayan Medhat Elashi, 1810 Auburn, Richardson, Texas 75081
Chief Executive Officer of Infocom

Ghassan Elashi, 304 Town House Lane, Richardson, Texas 75081
Vice President of Marketing of Infocom

Basman Medhat Elashi, 1506 Willow Crest Drive, Richardson, Texas 
75081
Logistics Manager of Infocom

Ihsan Medhat ``Sammy'' Elashi, 316 Candlewood Place, Richardson, 
Texas 75081
Systems Consultant for Infocom

Hazim Elashi, 937 Stone Trail Drive, Plano, Texas 75023
Manager of Personal Computers Division of Infocom

Fadwa Elafrangi, 306 Town House Lane, Richardson, Texas 75081
Majority owner of Infocom

(During the course of the investigations, OEE investigators 
discovered different spellings for ``Elashi'' including: ``El 
Ashi,'' ``Elashyi,'' ``Elashye,'' and ``Ashi.'')

    In light of the evidence cited above that Infocom has committed 
repeated violations of the regulations that are deliberate and covert, 
that its principals have actively sought to engage in further export 
transactions, and that, given the nature of the items shipped, future 
violations could go undetected. In addition, a temporary denial order 
is needed to give notice to companies in the United States and abroad 
that they should cease dealing with Infocom in export transactions 
involving U.S.-origin items. Such a temporary denial order is clearly 
consistent with the public interest to preclude future violations of 
the Regulations.
    Accordingly, I am issuing this order because I have concluded that 
a TDO is necessary, in the public interest, to prevent an imminent 
violation of the regulations. This order is issued on an ex parte basis 
without a hearing based upon BXA's showing that expedited action is 
required.
    It Is Therefore Ordered:
    First, that Infocom Corporation, Inc., 630 International Parkway, 
Suite 100, Richardson, Texas 75081 (``the denied person'') and the 
following persons subject to the order by their relationship to the 
denied person, Tetrabal Corporation, Inc., 316 Candlewood Place, 
Richardson, Texas 75081; Bayan Medhat Elashi, 810 Auburn, Richardson, 
Texas 75081; Ghassan Elashi, 304 Town House Lane, Richardson, Texas 
75081; Basman Medhat Elashi, 1506 Willow Crest Drive, Richardson, Texas 
75081; Ihsan Medhat ``Sammy'' Elashi, 316 Candlewood Place, Richardson, 
Texas 75081; Hazim Elashi, 937 Stone Trail Drive, Plano, Texas 75023; 
Fadwa Elafrangi; 306 Town House Lane; Richardson, Texas 75081 (``the 
related persons'') (together, the denied person and the related persons 
are ``persons subject to this order'') 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 Export Administration Regulations (EAR), or in any other 
activity subject to the EAR, including, but not limited to:
    A. Applying 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, 
transaction involving any item exported or to be exported from the 
United States that is subject to the EAR, or in any other activity 
subject to the EAR; 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 EAR, or in any other activity subject to the EAR.
    Second, that no person may, directly or indirectly, do any of the 
following:
    A. Export or reexport to or on behalf of a person subject to this 
order any item subject to the EAR;
    B. Take any action that facilitates the acquisition or attempted 
acquisition by a person subject to this order of the ownership, 
possession, or control of any item subject to the EAR that has been or 
will be exported from the United States, including financing or other 
support activities related to a transaction whereby a person subject to 
this order

[[Page 47632]]

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 a person subject to this order of any 
item subject to the EAR that has been exported from the United States;
    D. Obtain from a person subject to this order in the United States 
any item subject to the EAR 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 EAR 
that has been or will be exported from the United States and which is 
owned, possessed or controlled by a person subject to this order, or 
service any item, of whatever origin, that is owned, possessed or 
controlled by a person subject to this order if such service involves 
the use of any item subject to the EAR that has been or will be 
exported from the United States. For purposes of this paragraph, 
servicing means installation, maintenance, repair, modification or 
testing.
    Third, that, in addition to the related persons named above, after 
notice and opportunity for comment as provided in Sec. 766.23 of the 
EAR, any other person, firm, corporation, or business organization 
related to the denied person by affiliation, ownership, control, or 
position of responsibility in the conduct of trade or related services 
may also be made subject to the provisions of this order.
    Fourth, that this order does not prohibit any export, reexport, or 
other transaction subject to the EAR where the only items involved that 
are subject to the EAR are the foreign-produced direct product of U.S.-
origin technology.
    In accordance with the provisions of Sec. 766.24(e) of the 
regulations, Infocom may, at any time, appeal this Order by filing a 
full written statement in support of the appeal with the Office of the 
Administrative Law Judge, U.S. Coast Guard ALJ Docketing Center, 40 
South Gay Street, Baltimore, Maryland 21202-4022. A related person may 
appeal to the Administrative Law Judge at the aforesaid address in 
accordance with the provisions of Sec. 766.23(c) of the regulations.
    This Order is effective immediately and shall remain in effect for 
180 days.
    In accordance with the provisions of Sec. 766.24(d) of the 
regulations, BXA may seek renewal of this Order by filing a written 
request not later than 20 days before the expiration date. Infocom may 
oppose a request to renew this Order by filing a written submission 
with the Assistant Secretary for Export Enforcement, which must be 
received not later than seven days before the expiration date of the 
Order.
    A copy of this Order shall be served on Infocom and each related 
person and shall be published in the Federal Register.

    Entered this 6th day of September, 2001.
Michael J. Garcia,
Assistant Secretary for Export Enforcement.
[FR Doc. 01-22948 Filed 9-12-01; 8:45 am]
BILLING CODE 3510-DT-M