[Federal Register Volume 87, Number 140 (Friday, July 22, 2022)]
[Notices]
[Pages 43784-43785]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-15654]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security


In the Matter of: Scott Douglas Browning, 1455 H Bullard Road, 
Hope Mills, NC 28348-9458;

Order Denying Export Privileges

    On August 9, 2019, in the U.S. District Court for the Eastern 
District of North Carolina, Scott Douglas Browning (``Browning'') was 
convicted of violating Section 38 of the Arms Export Control Act (22 
U.S.C 2778) (``AECA''). Specifically, Browning was convicted of 
willfully exporting and causing to be exported from the United States 
to the Netherlands defense articles, that is, Image Intensifier 
Generation 3 MX-10130, Image Intensifier Generation 3 MX-10160, Image 
Intensifier Generation 3 MX-11769, and the BAE Systems OASYS SkeetIR 
Micro Thermal Imaging Monocular 640x480, which are all designated as 
defense articles on the United States Munitions List, without having 
first obtained from the Department of State a license for such export 
or written authorization for such export. Browning was also placed on 
the Department of State's debarred list. As a result of his conviction, 
the Court sentenced Browning to probation, $100 assessment, and 
$1,854,000 restitution.
    Pursuant to Section 1760(e) of the Export Control Reform Act 
(``ECRA''),\1\ the export privileges of any person who has been 
convicted of certain offenses, including, but not limited to, Section 
38 of the AECA, may be denied for a period of up to ten (10) years from 
the date of his/her conviction. See 50 U.S.C. 4819(e). In addition, any 
Bureau of Industry and Security (``BIS'') licenses or other 
authorizations issued under ECRA, in which the person had an interest 
at the time of the conviction, may be revoked. Id.
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    \1\ ECRA was enacted on August 13, 2018, as part of the John S. 
McCain National Defense Authorization Act for Fiscal Year 2019, and 
as amended is codified at 50 U.S.C. 4801-4852.
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    BIS received notice of Browning's conviction for violating Section 
38 of the AECA. BIS provided notice and opportunity for Browning to 
make a written submission to BIS, as provided in Section 766.25 of the 
Export Administration Regulations (``EAR'' or the ``Regulations''). 15 
CFR 766.25.\2\ BIS has not received a written submission from Browning.
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    \2\ The Regulations are currently codified in the Code of 
Federal Regulations at 15 CFR parts 730 through 774 (2022).
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    Based upon my review of the record and consultations with BIS's 
Office of Exporter Services, including its Director, and the facts 
available to BIS, I have decided to deny Browning's export privileges 
under the Regulations for a period of seven years from the date of 
Browning's conviction. The Office of Exporter Services has also decided 
to revoke any BIS-issued licenses in which Browning had an interest at 
the time of his conviction.\3\
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    \3\ The Director, Office of Export Enforcement, is now the 
authorizing official for issuance of denial orders, pursuant to 
recent amendments to the Regulations (85 FR 73411, November 18, 
2020).
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    Accordingly, it is hereby Ordered:
    First, from the date of this Order until August 9, 2026, Scott 
Douglas Browning, with a last known address of 1455 H Bullard Road, 
Hope Mills, NC 28348-9458, and when acting for or on his behalf, his 
successors, assigns, employees, agents or representatives (``the 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, 
including, but not limited to:
    A. Applying for, obtaining, or using any license, license 
exception, or export control document;

[[Page 43785]]

    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 engaging 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 from any other activity subject to the Regulations.
    Second, no person may, directly or indirectly, do any of the 
following:
    A. Export, reexport, or transfer (in-country) 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, pursuant to Section 1760(e) of ECRA (50 U.S.C. 4819(e)) and 
Sections 766.23 and 766.25 of the Regulations, any other person, firm, 
corporation, or business organization related to Browning by ownership, 
control, position of responsibility, affiliation, or other connection 
in the conduct of trade or business may also be made subject to the 
provisions of this Order in order to prevent evasion of this Order.
    Fourth, in accordance with Part 756 of the Regulations, Browning 
may file an appeal of this Order with the Under Secretary of Commerce 
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.
    Fifth, a copy of this Order shall be delivered to Browning and 
shall be published in the Federal Register.
    Sixth, this Order is effective immediately and shall remain in 
effect until August 9, 2026.

John Sonderman,
Director, Office of Export Enforcement.
[FR Doc. 2022-15654 Filed 7-21-22; 8:45 am]
BILLING CODE 3510-DT-P