[Federal Register Volume 71, Number 202 (Thursday, October 19, 2006)]
[Notices]
[Pages 61706-61708]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-8771]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security

[Docket No: 060920245-6245-01]


Revision to the Unverified List--Guidance as to ``Red Flags''

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Notice.

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[[Page 61707]]

SUMMARY: On June 14, 2002, the Bureau of Industry and Security 
(``BIS'') published a notice in the Federal Register that set forth a 
list of persons in foreign countries who were parties to past export 
transactions where pre-license checks or post-shipment verifications 
could not be conducted for reasons outside the control of the U.S. 
Government (``Unverified List''). Additionally, on July 16, 2004, BIS 
published a notice in the Federal Register that advised exporters that 
the Unverified List would also include persons in foreign countries in 
transactions where BIS is not able to verify the existence or 
authenticity of the end-user, intermediate consignee, ultimate 
consignee, or other party to the transaction. Those notices advised 
exporters that the involvement of a listed person as a party to a 
proposed transaction constitutes a ``red flag'' as described in the 
guidance set forth in Supplement No. 3 to 15 CFR part 732, requiring 
heightened scrutiny by the exporter before proceeding with such a 
transaction. This notice adds fourteen entities to the Unverified List. 
The entities are: Semicom Technology International LLC, in the UAE, 
Amiran Trading Company in the UAE, Sarelica (Sar Elica) FZC in the UAE, 
Fuchs Oil Middle East in the UAE, Parto Abgardan in the UAE, Vitaswiss 
Limited in the UAE, Al-Thamin General Trading LLC, in the UAE, Reza 
Nezam Trading in the UAE, Davood Khosrojerdi, dba Al Musafer Tourism 
and Cargo in the UAE, Part Tech Co., in the UAE, Bazar Trading Co., in 
the UAE, Al Aarif Factory Equipment Trading LLC in the UAE, Centre 
Bright Company in Hong Kong, and IC Trading Ltd., in Russia.

DATES: This notice is effective October 19, 2006.

FOR FURTHER INFORMATION CONTACT: Marcus Cohen, Office of Enforcement 
Analysis, Bureau of Industry and Security, Telephone: (202) 482-4255.

SUPPLEMENTARY INFORMATION: In administering export controls under the 
Export Administration Regulations (15 CFR parts 730 to 774) (``EAR''), 
BIS carries out a number of preventive enforcement activities with 
respect to individual export transactions. Such activities are intended 
to assess diversion risks, identify potential violations, verify end-
uses, and determine the suitability of end-users to receive U.S. 
commodities or technology. In carrying out these activities, BIS 
officials, or officials of other Federal agencies acting on BIS's 
behalf, selectively conduct pre-license checks (``PLCs'') to verify the 
bona fides of the transaction and the suitability of the end-user or 
ultimate consignee. In addition, such officials sometimes carry out 
post-shipment verifications (``PSVs'') to ensure that U.S. exports have 
actually been delivered to the authorized end-user, are being used in a 
manner consistent with the terms of a license or license exception, and 
are otherwise consistent with the EAR.
    In certain instances BIS officials, or other Federal officials 
acting on BIS's behalf, have been unable to perform a PLC or PSV with 
respect to certain export control transactions for reasons outside the 
control of the U.S. Government (including a lack of cooperation by the 
host government authority, the end-user, or the ultimate consignee). 
BIS listed a number of foreign end-users and consignees involved in 
such transactions in the Unverified List that was included in BIS's 
Federal Register notice of June 14, 2002. See 67 FR 40910. On July 16, 
2004, BIS published a notice in the Federal Register that advised 
exporters that the Unverified List would also include persons in 
foreign countries where BIS is not able to verify the existence or 
authenticity of the end user, intermediate consignee, ultimate 
consignee, or other party to an export transaction. See 69 FR 42652.
    The June 14, 2002 and July 16, 2004 notices advised exporters that 
the involvement of a listed person in a transaction constituted a ``red 
flag'' under the ``Know Your Customer'' guidance set forth in 
Supplement No. 3 to 15 CFR part 732 of the EAR. Under that guidance, 
whenever there is a ``red flag,'' exporters have an affirmative duty to 
inquire, verify, or otherwise substantiate the proposed transaction to 
satisfy themselves that the transaction does not involve a 
proliferation activity prohibited in 15 CFR part 744, and does not 
violate other provisions of the EAR. The Federal Register notices 
further stated that BIS may periodically add persons to the Unverified 
List based on the criteria set forth above, and remove persons when 
warranted.
    This notice advises exporters that BIS is adding to the Unverified 
List the following entities: Al Aarif Factory Equipment Trading LLC, 
Sheikh Fahad Saad Alsbah Bldg., Al Maktoum Street, P.O. Box 28162, 
Dubai, UAE (also located in Al Quoz district of Dubai), Al-Thamin 
General Trading LLC, P.O. Box 41364, Dubai, UAE, Amiran Trading 
Company, Arbift Tower, 1st Floor, Flat No. 1803, Deira, UAE, also P.O. 
Box 6 1463, Jebel Ali, Dubai, UAE, Bazar Trading Co, Baniyas Tower, 
Suite 212, Dubai, UAE. Centre Bright Company, Unit 7A, Nathan 
Commercial Building, 430-436 Nathan Road, Kowloon City, Hong Kong, 
Davood Khosrojerdi, dba Al Musafer Tourism and Cargo, Concord Tower, Al 
Maktoum Street, PO Box 77900, Dubai, UAE, Fuchs Oil Middle East, 
Sharjah Airport International Free Zone, Sharjah, UAE, IC Trading Ltd, 
Yauzskaya Str. 8, Bldg 2, Moscow, Russia, Part Tech Co, Baniyas Tower, 
Suite 212, Dubai, UAE, Parto Abgardan, Showroom 5, Sheikh 
Rashid bin Khalifa al Maktoum building, Dubai, UAE, Reza Nezam Trading, 
Al Dana Center, Al Maktoum Street, P.O. Box 41382, Dubai, UAE, Sarelica 
(Sar Elica) FZC, Bldg. 3, Office No. 3 G-08, P.O. Box 41 71 0, 
Hamariya Free Zone, Sharjah, UAE, Semicom Technology International LLC, 
Office No. 18, 6th Floor, Horizons Business Centre, Al-Doha Centre, Al-
Maktoum St., P.O. Box 41096, Dubai, UAE, and Vitaswiss Limited, P.O. 
Box 61069, Office R/A 8 CB03, UAE, BIS has determined that it 
is appropriate to add these entities to the Unverified List because BIS 
was unable to conduct a PLC, a PSV, and/or was unable to verify the 
existence or authenticity of an end user, intermediate consignee, 
ultimate consignee, or other party to an export transaction. A ``red 
flag'' now exists for transactions involving these entities due to 
their inclusion on the Unverified List. As a result, exporters have an 
affirmative duty to inquire, verify, or otherwise substantiate the 
proposed transaction to satisfy themselves that the transaction does 
not involve a proliferation activity prohibited in 15 CFR part 744, and 
does not violate other provisions of the EAR.
    The Unverified List, as modified by this notice, is set forth 
below.

    Dated: October 11, 2006.
Darryl W. Jackson,
Assistant Secretary of Commerce for Export Enforcement.

Unverified List (As of October 19, 2006)

    The Unverified List includes names, countries, and last known 
addresses of foreign persons involved in export transactions with 
respect to which: the Bureau of Industry and Security (``BIS'') could 
not conduct a pre license check (``PLC'') or a post shipment 
verification (``PSV'') for reasons outside of the U.S. Government's 
control; and/or BIS was not able to verify the existence or 
authenticity of the end user, intermediate consignee, ultimate 
consignee or other party to an export transaction. Any transaction to 
which a listed person is a party will be deemed to raise a ``red flag'' 
with respect to such transaction within the meaning of the guidance set 
forth in Supplement No. 3 to 15 CFR part 732. The red flag applies

[[Page 61708]]

to the person on the Unverified List regardless of where the person is 
located in the country included on the list.

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                  Name                              Country                        Last known address
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Lucktrade International.................  Hong Kong Special            P.O. Box 91150Tsim Sha TsuiHong Kong.
                                           Administrative Region.
Brilliant Intervest.....................  Malaysia...................  14-1, Persian 65C, Jalan Pahang Barat,
                                                                        Kuala Lumpur, 53000.
Dee Communications M SDN.BHD............  Malaysia...................  G5/G6, Ground Floor, Jin GerejaJohor
                                                                        Bahru.
Peluang Teguh...........................  Singapore..................  203 Henderson Road 09-
                                                                        05HHenderson Industrial Park.
Lucktrade International PTE Ltd.........  Singapore..................  35 Tannery Road 01-07 Tannery
                                                                        BlockRuby Industrial ComplexSingapore
                                                                        347740.
Arrow Electronics Industries............  United Arab Emirates.......  204 Arbift Tower, Benyas Road Dubai.
Jetpower Industrial Ltd.................  Hong Kong Special            Room 311, 3rd Floor, Wing On Plaza, 62
                                           Administrative Region.       Mody Road, Tsim Sha Tsui Est, Kowloon.
Onion Enterprises Ltd...................  Hong Kong Special            Room 311, 3rd Floor, Wing On Plaza, 62
                                           Administrative Region.       Mody Road, Tsim Sha Tsui Est, Kowloon.
Litchfield Co. Ltd......................  Hong Kong Special            Room 311, 3rd Floor, Wing On Plaza, 62
                                           Administrative Region.       Mody Road, Tsim Sha Tsui Est, Kowloon.
Sunford Trading Ltd.....................  Hong Kong Special            Unit 2208, 22/F118 Connaught Road West.
                                           Administrative Region.
Parrlab Technical Solutions, LTD........  Hong Kong Special            1204, 12F Shanghai Industrial Building,
                                           Administrative Region.       48-62 Hennesey Road, Wan Chai.
T.Z.H. International Co. Ltd............  Hong Kong Special            Room 23, 2/F, Kowloon Bay Ind Center, No.
                                           Administrative Region.       15 Wany Hoi Rd, Kowloon Bay.
Design Engineering Center...............  Pakistan...................  House 184, Street 36, Sector F-10/1,
                                                                        Islamabad.
Kantry..................................  Russia.....................  13/2 Begovaya Street, Moscow.
Etalon Company..........................  Russia.....................  20B Berezhkovskaya Naberezhnaya, Moscow.
Pskovenergo Service.....................  Russia.....................  47-A Sovetskaya Street, Pskov, Russia
                                                                        Federation, 180000.
Sheeba Import Export....................  Yemen......................  Hadda Street, Sanaa.
Aerospace Consumerist Consrtium FZCO....  United Arab Emirates.......  Sheikh Zayed Road, P.O. Box 17951, Jebel
                                                                        Ali Free Zone, Dubai and Dubai
                                                                        International Airport, Dubai, 3365.
Medline International LLC...............  United Arab Emirates.......  P.O. Box 86343 Dubai.
Al Aarif Factory Equipment Trading LLC..  United Arab Emirates.......   Sheikh Fahad Saad Alsbah Bldg., Al
                                                                        Maktoum Street, P.O. Box 28162, Dubai,
                                                                        UAE (also located in Al Quoz district of
                                                                        Dubai).
Al-Thamin General Trading LLC...........  United Arab Emirates.......  P.O. Box 41364, Dubai, UAE.
Amiran Trading Company..................  United Arab Emirates.......  Arbift Tower, 1st Floor, Flat No. 1803,
                                                                        Deira, UAE, also P.O. Box 6 1463, Jebel
                                                                        Ali, Dubai, UAE.
Bazar Trading Co........................  United Arab Emirates.......  Baniyas Tower, Suite 212, Dubai, UAE.
Davood Khosrojerdi, dba Al Musafer        United Arab Emirates.......  Concord Tower, Al Maktoum Street, PO Box
 Tourism and Cargo.                                                     77900, Dubai, UAE.
Fuchs Oil Middle East...................  United Arab Emirates.......  Sharjah Airport International Free Zone,
                                                                        Sharjah, UAE.
Part Tech Co............................  United Arab Emirates.......  Baniyas Tower, Suite 212, Dubai, UAE.
Parto Abgardan..........................  United Arab Emirates.......  Showroom 5, Sheikh Rashid bin
                                                                        Khalifa al Maktoum building, Dubai,UAE.
Reza Nezam Trading......................  United Arab Emirates.......  Al Dana Center, Al Maktoum Street, P.O.
                                                                        Box 41382, Dubai, UAE.
Sarelica (Sar Elica) FZC................  United Arab Emirates.......  Bldg. 3, Office No. 3 G-08, P.O.
                                                                        Box 41 71 0, Hamariya Free Zone,
                                                                        Sharjah, UAE.
Semicom Technology International LLC....  United Arab Emirates.......  Office No. 18, 6th Floor, Horizons
                                                                        Busienss Centre, Al-Doha Centre, Al-
                                                                        Maktoum St., P.O. Box 41096, Dubai, UAE.
Vitaswiss Limited.......................  United Arab Emirates.......  PO Box 61069, Office R/A 8 CB03,
                                                                        UAE.
Centre Bright Company...................  Hong Kong Special            Unit 7A, Nathan Commercial Building, 430-
                                           Admnistrative Region.        436 Nathan Road, Kowloon City, Hong
                                                                        Kong.
IC Trading Ltd..........................  Russia.....................  Yauzskaya Str. Bldg 2, Moscow, Russia.
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[FR Doc. 06-8771 Filed 10-18-06; 8:45 am]
BILLING CODE 3510-33-P