[Federal Register Volume 67, Number 180 (Tuesday, September 17, 2002)]
[Notices]
[Pages 58584-58585]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-23548]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security


Action Affecting Export Privileges; P&M Trading, Inc.

    In the Matter of: P&M Trading, Inc., 93 Coyote Place, PO Box 
1313, San Ramon, California 94583.

Order Denying Export Privileges

    On October 20, 2000, a U.S. District Court in the District of 
Maryland convicted P&M Trading, Inc. of violating the International 
Emergency Economic Powers Act (50 U.S.C. 1701-1706 (1994 & Supp. V 
1999)) (IEEPA). Specifically, the Court found that P&M Trading, Inc. 
willfully, knowingly and unlawfully violated the embargo against Iran 
by attempting to export and causing the exportation of a Shimadzu GC-
14A Transformer Oil Gas Analysis System from the United States to Iran 
via the United Arab Emirates.
    Section 11(h) of the Export Administration Act of 1979, as amended 
(currently codified at 50 U.S.C. app. 2401-2420 (1994 & Supp. V 1999)) 
(the Act) \1\ provides that, at the discretion of the Secretary of 
Commerce,\2\ no person convicted of violating any of a number of 
federal criminal statutes including the IEEPA shall be eligible to 
apply for or use any export license issued pursuant to, or provided by, 
the Act or the Export Administration Regulations

[[Page 58585]]

(currently codified at 15 CFR parts 730-774 (2002)) (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\ From August 21, 1994 through November 12, 2000, the Act was 
in lapse. During that period, the President, through Executive Order 
12924, which had been extended by successive Presidential Notices, 
the last of which was August 3, 2000 (3 CFR 2000 Comp. 397 (2001)), 
continued the Regulations in effect under the International 
Emergency Economic Powers Act (50 U.S.C. 1701-1706 (1994 & Supp. V 
1999)) (IEEPA). On November 13, 2000, the Act was reauthorized and 
it remained in effect through August 20, 2001. Since August 21, 
2001, the Act has been in lapse and the President, through Executive 
Order 13222 of August 17, 2001 (66 FR 44025 (August 22, 2001)), has 
continued the Regulations in effect under IEEPA.
    \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 the IEEPA, 
the Director, Office of Exporter Services, in consultation with the 
Director, Office of Export Enforcement, shall determine whether to deny 
that person's export privileges for a period of up to 10 years from the 
date of conviction and shall also determine whether to revoke any 
license previously issued to such a person.
    Having received notice of P&M Trading, Inc.'s conviction for 
violating the IEEPA, and after providing notice and an opportunity for 
P&M Trading, Inc. to make a written submission to the Bureau of 
Industry and Security before issuing an Order denying its export 
privileges, as provided in section 766.25 of the Regulations, and 
following consultations with the Director, Office of Export 
Enforcement, I have decided to deny P&M Trading, Inc.'s export 
privileges for a period of 10 years from the date of its conviction. 
The 10-year period ends on October 20, 2010. I have also decided to 
revoke all licenses issued pursuant to the Act in which P&M Trading, 
Inc. had an interest at the time of its conviction.
    Accordingly, it is hereby ordered:
    I. Until October 20, 2010, P&M Trading, Inc., 93 Coyote Place, P.O. 
Box 1313, San Ramon, California 94583, (``the denied person'') and, 
when acting in behalf of it, all of its successors or assigns, 
officers, representatives, agent and employees, 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. 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, 
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. Benefitting 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, 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 P&M Trading, Inc. 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 October 20, 2010.
    VI. In accordance with Part 756 of the Regulations, P&M Trading, 
Inc. may file an appeal from this Order with the Under Secretary for 
Industry and Security. The appeal must be filed within 45 days from the 
date of this Order and must comply with the provisions of part 756 of 
the Regulations.
    VII. A copy of this Order shall be delivered to P&M Trading, Inc. 
This Order shall be published in the Federal Register.

    Dated: September 9, 2002.
Eileen M. Albanese,
Director, Office of Exporter Services.
[FR Doc. 02-23548 Filed 9-16-02; 8:45 am]
BILLING CODE 3510-DT-M