[Federal Register Volume 71, Number 129 (Thursday, July 6, 2006)]
[Notices]
[Pages 38362-38363]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-5999]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security


Action Affecting Export Privileges; Terry Tengfang Li

    In the Matter of: Terry Tengfang Li, 1132 Seagull Lane, Cherry 
Hill, NJ 08054, Respondent.

Order Relating to Terry Tengfang Li (AKA ``Terry Li'')

    The Bureau of Industry and Security, U.S. Department of Commerce 
(``BIS'') has notified Terry Tengfang Li (hereinafter referred to as 
``Terry Li'') of its intention to initiate an administrative proceeding 
against Terry Li, President of Universal Technology, Inc., in his 
individual capacity, pursuant to section 766.3 of the Export 
Administration Regulations (currently codified at 15 CFR parts 730-774 
(2006)) (``Regulations''),\1\ and Section 13(c) of the Export 
Administration Act of 1979, as amended (50 U.S.C. app. 2401-2420 
(2000)) (``Act'') \2\ by issuing a proposed

[[Page 38363]]

charging letter to Terry Li that alleged that Terry Li committed 49 
violations of the Regulations. Specifically, the charges are:
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    \1\ The violations charged are alleged to have occurred from 
2000 through 2004. The Regulations governing the violations at issue 
are found in the 2000-2004 versions of the Code of Federal 
Regulations (15 CFR parts 730-774 (2000-2004)). The 2006 Regulations 
set forth the procedures that apply to this matter.
    \2\ 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 (2000)) 
(``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 (3 CFR, 2001 Comp. 783 (2002)), as extended 
by the Notice of August 2, 2005 (70 FR 45273 (August 5, 2005)), has 
continued the Regulations in effect under the IEEPA.
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    1. 17 Violations of 15 CFR 764.2(a)--Exporting Electronic 
Components to the People's Republic of China Without the Required 
Licenses: On 17 occasions, between on or about July 21, 2000 and on or 
about April 21, 2004, Terry Li engaged in conduct prohibited by the 
Regulations by exporting or causing to be exported electronic 
components classified under Export Control Classification Number 
(``ECCN'') 3A001 to the People's Republic of China (``PRC'') without 
the Department of Commerce (the ``Department'') licenses required by 
Section 742.4 of the Regulations.
    2. 17 Violations of 15 CFR 764.2(e)--Exporting Electronic 
Components to the People's Republic of China With Knowledge That 
Violations Would Occur: In connection with he transactions described 
above, Terry Li caused the export of electronic components to the PRC 
with knowledge that violations of the Regulations would occur. 
Specifically, Terry Li had knowledge that Department of Commerce 
licenses were required to export the electronic components from the 
United States to the PRC and Terry Li caused the export of the items 
with knowledge that such licenses would not be obtained.
    3. 15 Violations of 15 CFR 764.2(e)--False Statement on Shipper's 
Export Declarations Concerning Authority to Export: In connection with 
15 exports of electronic components subject to the regulations to the 
PRC described above, Terry Li made false statements to the U.S. 
Government in connection with the submission of export control 
documents. Specifically Terry Li filed or caused to be filed with the 
U.S. Government Shipper's Export Declarations stating that the exports 
did not require Department of Commerce licenses (``NLR'' or ``No 
License Required''). These statements were false because licenses were 
required to export these items.
    Whereas, BIS and Terry Li have entered into a Settlement Agreement 
pursuant to Section 766.18(a) of the Regulations whereby they agreed to 
settle this matter in accordance with the terms and conditions set 
forth therein; and
    Whereas, I have approved of the terms of such Settlement Agreement; 
It is therefore ordered:
    First, that for a period of 20 years from the date of entry of this 
Order, Terry Tengfang Li (aka ``Terry Li''), 1132 Seagull Lane, Cherry 
Hill, NJ 08054, and when acting for or on behalf of Terry Li, his 
representatives, agents, assigns or employees (``Denied Person'') 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.
    Second, that 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.
    Third, that, after notice and opportunity for comment as provided 
in Section 766.23 of the Regulations, any person, firm, corporation, or 
business organization related to Terry Li 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 the 
Order.
    Fourth, that 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.
    Fifth, that the proposed charging letter, the Settlement Agreement, 
and this Order shall be made available to the public.
    Sixth, that this Order shall be served on the Denied Person, and 
shall be published in the Federal Register.
    This Order, which constitutes the final agency action in this 
matter, is effective immediately.

    Entered this 23rd day of June 2006.
Darryl Jackson,
Assistant Secretary of Commerce for Export Enforcement.
[FR Doc. 06-5999 Filed 7-5-06; 8:45 am]
BILLING CODE 3510-DT-M