Page A-4 Registration: The First Step in Defense Trade, August 1993

Sample Transmittal Leiter

Prepared by the American Widget Corporation on letterhead to accompany the Sample Form DSP-9. Letter
is signed by a senior official from Block 7 who also signed the Form DSP-9 Applicant's Statement in Block 14.

American Widget Corporation

1233 Sunrise Blud., PO Box 9999
Ourtown, US 12345-6789

Phone (123) 456-7890
Datafax (123) 456-7777

Mr. William B. Robinson

March 24, 1993

Director, Office of Defense Trade Controls (PM/DTC)
Room 200, SA-6

Department of State

Washington, DC 20522-0602

Dear Mr. Robinson:

In compliance with 22 CFR § 122.2(b) (1)

authorized senior officer of American Widget Corporation.

that:

Neither the intended registrant,

chief executive officer,
presidents, other senior officers or officials (e.g., comptroller,

and (b)(2), I hereby state that I am an

Furthermore, I state

president, vice-
treasurer,

general counsel) nor any member of the board of directors:

(i) has ever been indicted for or convicted of violating any of the U.S.
criminal statutes enumerated in 22 CFR § 120.24; or

(ii) is ineligible to contract with, or
approval to import defense articles
an export license or other approval

In accordance with CFR § 122.2(b)(2), I
neither owned nor controlled by foreign

to receive a license or other
or defense services from, or to receive
from any agency of the U.S. Government.

state that American Widget Corporation is
persons (as defined in CFR § 122.2({c)).

John S. Doe
President
American Widget Corporation

An American Corporation * Proudly * Serving Americans Since 1959



LL a

Vill. Agreements and Other Services, 22 C.F.R. Part 124
A. Manufacturing License Agreement

B. Technical Assistance Agreement
C. Offshore Procurement and Warehousing Agreement
D. Required information and clauses for agreements
E. Supporting documentation for request for approval
F. Amendments
IX. Technical Data
A. Technical Data exports, 22 C.F.R. Part 125
B. Public Domain
C. Exemptions

D. Foreign Nationals in the U.S. (Plant Visits), Transmitting Technical Data toa
foreign person

E. Foreign Nationals Employed by U.S. Company, Transmitting Technical Data to a
foreign person

F. Procedures for Unclassified Technical Data Licenses

X. Political Contributions, Fees, and Commissions, 22 C.F.R. Part 130
A. Purpose
B. Definitions

C. Procedures and Obligation to Furnish Information including reporting and
record-keeping

XI. Retransfers

A. Definition - Procedure Utilized to Obtain Written U.S. Department of State Approval
Prior to the Retransfer of an Item/Technical Data/Defense Service that was Exported
and Subject to ITAR Controls

B. U.S. Person May Submit Request to Office of Defense Trade Controls for Prior
Written Approval

C. Foreign End-User May Submit Request to Office of Defense Trade Controls for Prior
Written Approval

Page 14 Defense Trade News, Volume 4, Number 3, July 1993



‘OMB APPROVAL NO. 1405-0002
EXPIRATION DATE: 3-31-96
ESTIMATED BURDEN: 1 HOUR *

INSTRUCTIONS
STATEMENT OF REGISTRATION

1. Complete all items. If “none” applies to an item, so state. If more space is required to complete an item, use plain white papet.

2 Item 1. Show the business name, home office address and telephone number of the parent company, as it appears on Federal
income tax forms.

3. Item 2. If you have been in the past, or are currently registered with the Office of Defense Trade Controls (DTC), give your
DTC registrant code number.

4, Item 3. Circle the number of years required and enter the amount of fee enclosed. Fee Schedule:
$250

1 year

2 years $500

3 years $700 ($50 savings)

4 years $850 ($150 savings)

5 years $1,000 ($250 savings)

You are encouraged to register for the maximum period of five years to reduce administrative overhead and take advantage
of the reduced fees. DO NOT SEND CASH. Make your check or money order payable to "Department of State.”

5. Item 4, Give the most applicable organizational description.
6 Item 5. Indicate the nature of your business.
7. Item 6. Enter the date, city, county and state where your organization commenced doing business.

8. Item 7. Enter the name, title, date and place of birth, SSN, residential address, and country of citizenship for all principal
executive officers.

9, Item 8. Enter U.S. Munitions List (USML) category (§121 of the International Traffic In Arms Regulations (ITAR)),
generic name, and U.S. Government agency (if applicable) for which manufactured.

10. Item 9. List U.S. subsidiaries manufacturing and/or exporting USML articles or services.
11. Item 10. List foreign subsidiaries manufacturing and/or exporting USML articles or services.
12. Item 11. Give complete address of your official business representative, as this entity will be added to the DTC’s mailing list.

13. Items 12 and 13. Company or corporate divisions or subsidiaries may not register separately unless they are required by law
to file separate Federal tax returns

14. Item 14. The individual signing this form must be a senior official empowered by the intending registrant. Violations and
penalties are explained in §127 of the ITAR.

15. Item 15. All additional pages must bear the corporate seal. If there is no corporate seal, enter "N/A" in this block.
16. DTC will acknowledge in writing receipt of your application and fee, and assign a new registrant code number
17. IMPORTANT: Changes in the information contained in this application must be reported promptly to:
Compliance Division (Registration)
Office of Defense Trade Controls
Room 200, SA-6

U.S. Department of State
Washington, D.C. 20522-0602

* Public reporting burcien for this collection of information is estimated to average 1 hour per response, including time required for searching existing data
sources, gathering the necessary data, providing the information required, and reviewing the final collection. Send comments on the accuracy of this,
estimate of the burden and recommendations for reducing it to. Department of State (O1S/RA/DR) Washington, DC 20520-0264, and to the Otfice of
information and Regulatory Affairs, Oftice of Management and Budget, Paperwork Reduction Project (1405-0002), Washington, DC 20503.

FORM
11-92 DSP-9 (DESTROY PREVIOUS EDITIONS)


What Our Readers Say

Summary of 1993 Readers’ Questionnaire

To determine the effectiveness of our service,
we published our annual reader question-
naire in the January / April issue of Defense
Trade News (Vol 1, Nos. 1&2). Due to dis-
tribution problems, many readers were late
receiving this issue. Despite this, responses
to our questions have begun to arrive. Fol-
lowing is a preliminary summary of the re-
sponses we've received to date which will be
updated as more questionnaires are received.

Overall View. We are pleased to learn that
the majority of our early respondents think
that we do a good job.

50
40
30
20

10

Excl Good Fair Poor
Fig.1 Overall Quality

The overall quality of the publication is rated
as “excellent” by 48% of respondents and
“good” by 48%. Four percent of the respon-
dents rated Defense Trade News as “fair”.

60

oO

50

40

30

Too About
Infrequent Right

Fig. 2 Frequency

Although 44% of the readers think that we
don’t publish often enough, 56% agree that a
quarterly publication schedule is adequate.

Some readers would prefer a monthly publi-
cation, even if it were smaller. Writing style
and content were “excellent” for 44 and 30%
respectively, and “good” for 52 and 62%.
Four and eight percent respectively rated
these areas as “fair”.

Usefulness. Respondents generally agreed
that Defense Trade News is a useful publication
that serves as a valuable link between defense
industry and the foreign policy community.
88% of the surveys received to date indicate
that articles are both useful and interesting,
and 62% of the respondents indicated that
they read a hundred percent of each issue.
Articles are considered to be appropriately
targeted by 96% of the respondents, but four
percent indicated that articles are too simple.

Widely Read Publication. Preliminary sur-
vey results indicate that each issue of Defense
Trade News gets passed around.

80
70
60
50
40
30
20
10

fe}

EES am

1-5 6-10 114-20 204
Fig.3 Readers for each copy

76% of the respondents thus far stated that
each issue is read by from one to five persons;
ten percent said that six to ten people read it;
ten percent said there are 11 to 20 readers;
and four percent indicated that each issue is
read by more than 20 persons. Survey
respondents have included manufacturers,
exporters, and consultants, as well as other
individuals involved either directly or indi-
rectly with defense exporting.

We have reprinted this survey on page 27 to
enable more of our ‘multiple’ readers to
express their views. @

Defense Trade News, Volume 4, Number 3, July 1993

Page 5



Registration:

The First Step in Defense Trade, August 1993

SAMPLE

PageA-5

LORS, GOVERNMENT USE
PM/DTC DATE RECEIVED

UNITED STATES OF AMERICA
DEPARTMENT OF STATE
STATEMENT OF REGISTRATION
{INSTRUCTIONS ON REVERSE SIDE) NEW REGISTRANT CODE
1. Registrant's name and address: 2. Current registrant code:
1234-5678

3.
$250.00

4 enclosed for(1)2 3 4 & (circle one) years’ registration.
American Widget Corporation
i 4, Registrant is:
a Sunrise Boulevard O individual [1 parinerstip [1 company [I corporation
Ox
Ourtown, US 12345-6789 5. Registantis: 1 anufacturer andlor

£1] exporter of Munitions List articies and/or

CD exporter of defense services.

6. Incorporation or commencement of business: dato__ October 1, 1959
in Ourtown, OurCounty, US
Telephone number: (123) 456-7890 (City, county, and state)
7. Principal executive officers, partners, owners: ‘RAIEAND
‘NAME (Last. Fre. cinta Posimion PLACEOFBIRTH SOCIAL SECURITY NUMBER HOME ADDRESS ‘CUIENSHIP
John $. Doe President. 5/1/44 _150-45-6700 150 Walker Rd USA
Ourtown,_US Ourtown, US.
Mary A. Doe Vice-Pres 9/20/48__395-88-2244 150 Walker Rd USA
OQurtown,_US Ourtown, US

8. U.S. Munitions List articles manufactured and/or exported,

or defense services provided:

cATEGORY ‘SOMMONITYSERVICE PURCHASING U.S, GOVERNMENT AGENCY (7 Amalicatie)
I (a) Firearms U.S. Army
VII Tanks & Military Vehicles U.S. Marine Corps

‘Names and addresses of registrant's wholly and
partially-owned USS. subsidiaries (if any)

G.U.N. Corporation
2500 Sunset Boulevard

16 Names and addresses of ragistrant’s whally and
partially-owned foreign subsidiaries (if any):

Armored Vehicles
602 Parker Street

Sacramento, CA 90005-0234 Montreal, Quebec 1Y163
Canada
11. Name, address and telephone number of registrant's 12, Name, address and telephone number of registrant's *

business representative (if any):

George Sanders
1400 Pennsylvania Avenue,
Washington, DC 20008-9876
(202) 998-5599

N.W.

parent company (if any)

Flanders Firearms Corporation
200 American Way

Anyplace, US 30013-0001

(123) 444-5555

13. Does registrant submit Federal income tax forms separately from company in Block 12? [3 yes

Uno

18. Corporate or Notary Seal:

14, Registrant's statement:

Under penalty according to Federal law (see 22 CFR 127: 22 USC 2778;18 USC 1001)

I, John S$. Doe
(Typed Full Name}

warrant the truth of all statements made herein.

qidget ,
An

a American *
i Corporation “x.

Proudly Serving ©

3/24/93 Americans Since

Cignatarey

President

Date}

“4
%, 1959 9

Titlefpostiony

“Pony 32

FORM

11-92 DsP-9

(DESTROY PREVIOUS EDITIONS)

"OMB APPROVAL NO. 1406-0002
EXPIRATION DATE: 331-96
ESTIMATED BURDEN: 1 HOUR *

SAMPLE


Training—Available at DTC

The Office of Defense Trade Controls (DTC) can design a seminar on export licensing policies and
procedures with your specific needs in mind. Seminars are held in DTC’s main conference room
on the second floor at 1701 N. Fort Myer Drive, Arlington, VA.

DTC normally holds two seminars per month as demand warrants. Seating constraints limit atten-
dance to 30 persons per seminar. Normal training sessions are half-day, but they can be extended
according to the needs of the participants. Small companies are encouraged to apply for these
training sessions. We combine participants from different companies each month to make up a
session. Larger companies might have enough personnel to take up all of the available spaces ina
session, in which case, we will schedule a special session for that company.

In order to request a training seminar, please complete the application below and return it to DTC.

1. Type(s) of Training Desired:

_____Completion of Applications _____Registration Requirements
____Country Licensing Policies ____ Congressional Requirements
____COCOM Requirements ____ Agreement Requirements
_____US Customs EXODUS Program _____Commodity Jurisdiction Requests
_____ Processing of Requests ____Licensing Foreign Nationals

(Fold on this line)

Other subject areas you wish covered:

2. Number of individuals wishing to attend from your firm.

3. Please list the primary U.S. Munitions List category(ies) of defense articles, services, and/or
technical data in which your firm usually deals.

1. 2. 3. 4.

4. Name of Company / Individual

DTC Registration Code -

Address

City & State, ZIP

Point of Contact

Phone ( ) -. ( ) -
Direct Line DataFax

5. Would your company be interested in briefing DTC about your products or services?

Yes No


FO8.S. GOVERNMENT USE ONLY
PM/DTC DATE RECEIVED
UNITED STATES OF AMERICA
DEPARTMENT OF STATE
STATEMENT OF REGISTRATION
NEW REGISTRANT CODE
(INSTRUCTIONS ON REVERSE SIDE)
1. Registrant's name and address: 2. Current registrant code
3
$________ enclosed for 1 2 3 4 5 (circle one) years’ registration
4. Registrant is:

Dindividuat () partnership (company C1 corporation

6, Registrant is:
CG manutacturer andor ~—-L) exporter of Munitions List articles and/or

LO exporter of defense services.

6. Incorporation or commencement of business: date

in
Telephone number: (City, county, and state)
7. Principal executive officers, partners, owners: DATEAND
‘MAME (Last, Firet Miglin initial) POSITION PLACE OF BIRTH SOCIAL SECURITY NUMBER HOME ADDRESS ‘CUIZENSHIP

8. U.S. Munitions List articles manufactured and/or exported, or defense services provided:

CATEGORY COMMODIT Y/SERVICE PURCHASING U.S, GOVERNMENT AGENCY (if Arplicatie}
9. Names and addresses of registrant's wholly and 10. Names and addresses of registrant's wholly and
partially-owned U.S. subsidiaries (if any) partially-owned foreign subsidiaries (if any):
11. Name, address and telephone number of registrant's 12. Name, address and telephone number of registrant's
business representative (if any): parent company (if any):
13. Does registrant submit Federal income tax forms separately from company in Block 12? [yes L]) no 18. Corporate or Notary Seal

14. Registrant's statement
Under penalty according to Federal law (see 22 CFR 127: 22 USC 2778;18 USC 1001)

I, warrant the truth of all statements made herein.
Typed Fuk Name)

Cigratirey Toate}

Titerpestion}

FORM ‘OMB APEROVALNO 1405-0002
41-92 psP-9 {DESTROY PREVIOUS EDITIONS) ESTNATED BUNGENT HOUR


Page A-2 Registration: The First Step in Defense Trade, August 1993

Transmittal Letter Instructions

Please adapt the format of the transmittal letter to fit your business situation (e.g.,
individual, partnership, corporation, etc.)

The intending registrant must include two statements in the Transmittal Letter:

1. A statement as to whether the chief executive officer, president, vice
president(s), other senior officers or officials (e.g., comptroller, treasurer, general
counsel) or any member of the board of directors;

(i) has ever been indicted or convicted of violations of any of the U.S.
Criminal Statutes enumerated in 22 CFR § 120.24 of the ITAR; or

(ii) is ineligible to contract with, or to receive a license or other approval to
import defense articles or defense services from, or to receive an export
license or other approval from, any agency of the U.S. Government.

* NOTE: If your business has been indicted or convicted of any of the above
stated violations of the ITAR, or has an ineligible situation to declare, please
provide full details in the text of your Transmittal Letter.

2. In the last paragraph of the Transmittal Letter, the intending registrant must
declare whether the firm is owned or controlled by foreign persons (as defined in
22 CER § 122.2(c)).

“Ownership” means that more than 50 percent of the outstanding voting
securities of the firm are owned by one or more foreign persons.

“Control” means that one or more foreign persons have the authority or
ability to establish or direct the general policies or day-to-day operations of
the firm. Control is presumed to exist where foreign persons own 25 per
cent (25%) or more of the outstanding voting securities if no U.S. persons
control an equal or larger percentage.

%& NOTE: Please include in your statement the words “owned” and

“controlled”. If these words are missing from your declaration, your transmit-
tal letter is not complete. Additionally, if your company is owned andlor con-
trolled by foreign persons, you should state whether or not you are incorporated
or otherwise authorized to do business in the United States.

\.



« Apply the corporate seal to all addendum
pages. If you do not have a seal, type or print
“CORPORATE SEAL N/A” in the bottom
right-hand corner of all pages of the
Continuation Sheet.

¢ Enclosed a check made payable to the
Department of State for the appropriate
registration fee (See fee schedule in ITAR

§ 122.3 or on back of form DSP-9).

Preparing the § 122.2 Transmittal
Letter.

Section 122.2(b) of the ITAR requires that a
Transmittal Letter accompany the completed
DSP-9 Statement of Registration. This
transmittal letter is frequently called a “122.2”
letter, referring to the ITAR section that
requires it.

Note: The 122.2 transmittal letter differs signifi-
cantly from a 126.13 letter. The 126.13 letter
accompanies only export license applications and

is not acceptable with the Form DSP-9, Registration
Statement.

Please note that the § 122.2 Transmittal Letter
contains the following information:

¢ A statement as to whether the intending
registrant or any senior company officer has
been indicted for or convicted of violating
any of the U.S. criminal statutes listed in
ITAR 120.27. If such indictments or convic-
tions exist, a detailed explanation is appropri-
ate.

¢ A statement as to whether the intending
registrant or any senior company officer is
ineligible to contract with, or to receive a
license or other approval to import defense
articles or defense services from, or to receive
an export license or other approval from, any
agency of the U.S. Government.

¢ A statement as to whether the intending
registrant is owned or controlled by foreign
persons (see ITAR § 122.2(c) for definitions of
foreign ownership or control). If the intend-
ing registrant is owned or controlled by
foreign persons, the letter shall also state
whether the intending registrant is incorpo-
rated or otherwise authorized to engage in
business in the United States.

The person signing the Transmittal Letter
should be a senior officer listed in Block 7
who has been empowered by the intended
registrant to sign such a document. See the
appendix for the Transmittal Letter Format
and a Sample § 122.2 Transmittal Letter.

Mailing Your Registration

Mail your registration materials and fee to
the following address:

PM/DTC, SA-6, Room 200

ATTN: REGISTRATION

Office of Defense Trade Controls
Bureau of Political Military Affairs
U.S. Department of State
Washington, DC 20522-0602

Note: Instructions printed on the back of previous
editions of the Form DSP-9 directed you to mail
your fee to the Cashier's Office of the Department
of State. This procedure is no longer in effect. Mail
your fee with the Form DSP-9, Statement of
Registration, and 122.2 letter.

Whom Do I Contact for Additional
Information? Mrs. Wendy Payne, the Com-
pliance Operation Specialist in DTC, person-
ally handles all registration submissions. Her
phone number is (703) 875-6653. Please
address requests for the booklet, or any other
facsimile transmission about registration, to:

Registration

Compliance and Enforcement Branch
Compliance Division

Office of Defense Trade Controls
PM/DTC/CEB

(703) 875-5563 @

Page 10

Defense Trade News, Volume 4, Number 3, July 1993



To Order

1. To speed the processing of your order, please be sure
to complete this special order form carefully. Photo-
copies of the form are acceptable.

2. Type or print your complete name and address, your
order number (if any), your Superintendent of Docu-
ments deposit account number (if applicable), your VISA
or MasterCard number (if applicable), and expiration
date in proper places on the form. If order is to be
shipped to a third party, fill in address in the box indi-
cated. Please include your office/home telephone num-
ber.

3. When ordering non-subscriptions, type or print the
stock number (the number preceded by “S/N” at the
bottom of each annotation), quantity, title, price, and
total payment enclosed. Allow 4 weeks for delivery
(longer for international orders).

4. When ordering subscriptions, type or print the quan-
tity, list ID, title, unit price, and total payment enclosed.
Allow 4-6 weeks plus mailing time for processing. All
subscriptions are for 1 year unless otherwise noted.
Subscribers will be notified in ample time to renew.

5. Please include payment with your order. Please
make check or money order payable to the Superinten-
dent of Documents. You may charge your order by
using your Superintendent of Documents deposit ac-
count, your VISA, or MasterCard account. Do not send
cash or stamps.

6. Shipping is by regular mail. United Parcel Service
(UPS), first class, and airmail services are available for an
additional charge. Please contact us in advance for rates
if you desire this service at (202) 783-3238 and indicate
on your order if you desire special postage.

7. Mail this form (or a photocopy) to: Superintendent of
Documents, U.S. Government Printing Office, P.O. Box
371954, Pittsburgh, PA 15250-7954.

8. Please wait until at least 6 weeks have elapsed to
inquire about your order. After that, to inquire about
subscriptions, write to the Subscription Service Section,
Stop: SSOM, US. Government Printing Office, Washing-
ton, DC 20402-9375. To check on orders for non-sub-
scriptions, write to the Publications Service Section,
Stop: SSOS, U.S. Government Printing Office, Washing-
ton, DC 20402-9329.

9. You may also call (202) 512-2457 for non-subscription
inquiries and (202) 512-2303 for subscription inquiries.

10. If our shipment is incorrect, return the shipping
cards for adjustment.

Please do not return books until notified to do so. All
claims must be submitted within 6 months.

Bookdealers

Designated bookdealers and educational institution
bookstores are authorized a 25 percent discount on the
domestic price of any publication ordered if delivered to
the dealer’s normal place of business. This rule applies
to single as well as multiple copies of a publication,
except on items specifically designated “no discount
allowed.” No discounts are allowed when the publica-
tion, pamphlet, periodical, or subscription service is
mailed to a third party (unless in quantities of 100 or
more), or on those periodicals or subscription services
that fall into a special pricing category. The maximum
discount allowed is 25 percent.

Orders of 100 or More Copies

Any customer ordering 100 or more copies of a single
subscription or other publication for delivery to a single
destination will be allowed a 25 percent discount on the
domestic price of the item (except those items specifi-
cally designated “no discount allowed”).

Deposit Accounts

More than 30,000 customers find the use of a prepaid
deposit account with the Superintendent of Documents
a convenient way to do business. A deposit account
may be established by sending a minimum of $50.00
and receiving a unique deposit account number, which
can be used to charge future purchases. Order blanks
are provided and monthly statements are mailed to
customers with active deposit accounts. Telephone
orders will be accepted on any deposit account if suffi-
cient funds are available in the account. For more infor-
mation, please write: Superintendent of Documents,
Deposit Accounts Section, Stop: SSOR, U.S. Govern-
ment Printing Office, Washington, DC 20402, or call
(202) 512-0822

International Orders

Orders sent directly to GPO for delivery outside the
United States will be subject to a 25-percent surcharge
for special handling required by international mailing
regulations. Such orders will be shipped by surface
mail. Airmail delivery is available at additional cost
based on the International Postal Zone of the recipient.
If you wish to have your order sent by air, you should
contact us in advance by mail, telephone (1-202-783-
3238), telex (710-822-9413 USGPO WSH), or fax (1-202-
512-2233) for the total cost of your order. Remittance in .
U.S. dollars should accompany every order sent directly
to GPO. We accept an remittance: checks drawn on US.
or Canadian banks, UNESCO coupons, International
Postal Money Orders, and charges to prepaid Superin-
tendent of Documents or NTIS deposit accounts and
international VISA and MasterCard accounts. Please
include your credit card number and date of expiration
with your charge order. Checks and money orders
should be made payable to the Superintendent of Docu-
ments. Note: We cannot accept checks drawn on Cana-
dian banks for less than U.S. $4.00. Orders sent directly
to GPO must be in English. We cannot accept foreign
currency, checks on foreign banks, or postage stamps.
Allow a minimum of 10 weeks for delivery. GPO’s
order address: Superintendent of Documents, U.S. Gov-
ernment Printing Office, Washington, DC 20402 U.S.A.

*U.S, G.P.0.:1993-342-828: 80041


Zaire

Effective April 29, 1993, all licenses and other
approvals to export or otherwise

transfer defense articles or defense services to
Zaire are suspended until further notice. It is
the policy of the U.S. Government to deny all
license applications and other approvals to
export or otherwise transfer defense articles
or defense services to Zaire. This action also
precludes using any exemption from
licensing or other ITAR approval requirement
in connection with Zaire. Please see Federal
Register Notice, Vol. 58, No. 81, page 26024, on
April 29, 1993, for further information.

Termination of Arms Embargo
Against Angola

Effective July 2, 1993, the Department of State
has terminated the domestic arms embargo
against Angola. Section 126.1(a) of the ITAR
is being amended to reflect this change in
policy with respect to the commercial export
of defense articles and services to Angola.
Effective July 2, 1993, it is the policy of the
U.S. Government to review all licenses and
approvals authorizing the export or other
transfer of defense articles or defense services
to Angola ona case-by-case basis, with a

presumption of denial for lethal articles.
Approvals for export of defense articles or
defense services bound for Angola will be
considered for non-lethal defense articles or
services. For the purpose of this policy, “non-
lethal defense articles” means an article that
is not a weapon, ammunition, or other equip-
ment or material that is designed to inflict
serious bodily harm or death (See, e.g., 10
U.S.C. section 2547). Please see Federal
Register Notice, Vol. 58, No. 126, page 35864,
on July 2, 1993, for further information.

Point of Contact . For further information
about any of these policies, contact:

Clyde G. Bryant, Jr., Chief,
Compliance and Enforcement Branch,
Compliance Division

Office of Defense Trade Controls
Bureau of Political Military Affairs
U.S. Department of State,
Washington, D.C. 20522-0602

Phone (703) 875-6650
Fax (703) 875-5663 #

State Department Plans Appeal Mechanism
DTAG Recommends State Appeal Review Process (SARP)

DTAG Recommendation. Asa result of a
suggestion made by the Defense Trade
Advisory Group (DTAG), the Department of
State has agreed to establish a standardized,
infor-mal appeal procedure when the licens-
ing review process has determined that a
denial of an application is anticipated.

The SARP. Tentatively called the State
Appeal Review Process (SARP), the new
system will provide industry witha
pre-denial mechanism to submit information
that, upon further review, could result in
reconsideration of an application. Details of
the system will be published in a future
edition of Defense Trade News. #

Defense Trade News, Volume 4, Number 3, July 1993

Page 7



New Defense Trade Actions

Armour of America, Burma, Guatemala, Zaire and Angola Subject to New U.S. Policies

Armour of America Suspended

On December 31, 1992, the Office of Defense
Trade Controls suspended all existing licenses
and other approvals (including manufactur-
ing license agreements, technical assistance
agreements, and retransfer authorizations),
granted pursuant to § 38 of the Arms Export
Control Act (AECA) that authorized the ex-
port or transfer of defense articles or services
by, for, or to Armour of America, Inc., Los
Angeles, California (Armour) and any of its
subsidiaries or associated companies, and
Arthur G. Schreiber, President and Chief
Executive Officer of Armour.

In addition, it shall be the policy of the
Department of State to deny all export
license applications and other requests for
approval involving, directly or indirectly,
Armour and Arthur G. Schreiber. Also, these
persons are precluded from using any
exemption from license or other approval
included in the International Traffic in Arms
Regulations (ITAR).

These actions were taken because the Depart-
ment of State has a reasonable basis to believe
that Armour and/or Arthur G. Schreiber have
violated § 38 of the AECA and its implement-
ing regulations, the ITAR , by attempting to
export from the United States defense articles
without the requisite approval of the Depart-
ment of State and/or by using an export
control document containing a false statement
or misrepresenting or omitting a material fact
for the purpose of exporting defense articles.
Notice regarding this suspension action was
published in the Federal Register (Vol. 58, No.
9, January 14, 1993), page 4450, Public Notice
1753.

Denial for [tems to Burma

Commercial Exports. Federal Register, Vol. 58,
June 16, 1993, page 33293, provides public
notice announcing the State Department's
post-1988 policy of denial for export to
Burma of all U.S. Munitions Lists items. The
U.S. Government continues its policy of deny-
ing all applications for licenses and other
approvals to export or otherwise transfer de-
fense articles and defense services to Burma.

Further, all licenses and all previously issued
authorizations and other approvals to export
or otherwise transfer defense articles or
defense services to Burma continue to be
suspended. This includes manufacturing
license agreements, technical assistance
agreements, technical data, and commercial
military exports of any kind subject to the
Arms Export Control Act. This action also
precludes the use in connection with Burma
of any exemption from licensing or other
approval requirements included in the Inter-
national Traffic in Arms Regulations (ITAR).

Security Assistance, including FMS. All U.S.
Security Assistance to Burma, including
government-to-government cash sales and
Foreign Military Sales (FMS) , have been
suspended since 1988. This policy will
remain in effect until further notice.

Review for Exports to Guatemala

Effective July 8, 1993, it is the policy of the
U.S. Government to review all licenses and
approvals authorizing the export or other
transfer of defense articles or defense services
to Guatemala, including the armed forces of
Guatemala, on a case-by-case basis.

Page 6

Defense Trade News, Volume 4, Number 3, July 1993



Registration: The First Step in Defense Trade, August 1993 Page A-3

Transmittal Letter Format

Unstructions: All instructions are in brackets and italicized. Items in quotations,” ”, can be copied verbatim.

1. Prepare the transmittal letter on your company letterhead.

2. The suggested format will satisfy the requirements of 22 CFR § 122.2(b) when there is no conviction, indict-
ment, or ineligibility to declare. If any such considerations apply, however, their full particulars must be pro-
vided in the body of the letter. Adapt this format to suit your situation.

3. Type the signature block of an authorized senior official as listed in Block 7 of the Form DSP-9. Have the
official review and sign the Transmittal Letter.]

"Mr. William B. Robinson

Director, Office of Defense Trade Controls (PM/DTC)
Room 200, SA-6

Department of State

Washington, DC 20522-0602"

“Dear Mr. Robinson:

"In compliance with 22 CFR § 122.2(b)(1) and (b)(2), I hereby state that I am
an authorized senior officer of [insert the intended registrant's name as listed in Block 1 of the
Form DSP-9]. Furthermore, I state that:"

"Neither the intended registrant, chief executive officer, president, vice-
presidents, other senior officers or officials (e.g., comptroller, treasurer,
general counsel) nor any member of the board of directors:"

“(i) has ever been indicted for or convicted of violating any of the U.S.
criminal statutes enumerated in 22 CFR § 120.24; or"

"(ii) is ineligible to contract with, or to receive a license or other
approval to import defense articles or defense services from, or to receive
an export license or other approval from, any agency of the U.S. Government.

"In accordance with CFR § 122.2(b)(2), I state that [insert the intended registrant's
name as listed in Block 1 of the Form DSP-9] is neither owned nor controlled by
foreign persons (as defined in CFR § 122.2(c))."

[Signature of Senior Officer}

[Signature Block of Senior Official
in Block 7 of Form DSP-9.
Include Full Name and Official Title]


a

Registration: The First Step in Defense Trade

Guidelines for Registration

New DSP-9, Statement of Registration.
The Office of Management and Budget
(OMB) recently approved a revised Form
DSP-9, Statement of Registration . A copy of
this new form (designated series 11-92 in the
lower left-hand corner) appears on page 25,
and can be photocopied for registrants ‘ use.
This new form should reduce the burden on
industry while enabling government to more
efficiently perform its legally mandated
functions.

High volume of registrations. Each year,
the Office of Defense Trade Controls (DTC)
processes approximately 350 first-time
registrations, and 900 renewals. About 100
(or 15%) of the renewals are from firms
which have allowed their registration to
lapse, and require reinstatement as wellas
renewal.

In the past, registration statements were
returned because intending registrants did
not provide complete information in Block 7
(information regarding principal officers,
partners, and owners) of the old form (DSP
series 1-85). Form revisions have reduced the
number of submissions that must be re-
turned, thereby speeding up the registration
process.

Common mistakes. Processing of registra-
tions often cannot be completed for one of
two principal reasons:

¢ Intending registrants fail to include
documents which authorize them to do
business in the United States. (See ‘Helpful
Hints’ below.)

¢ Intending registrants do not submit the
letter required by § 122.2 of the International
Traffic in Arms Regulations (ITAR.) Fre-
quently, the letter submitted is the one
required by § 126.13, which is the certification
required for license applications. These two
letters are not interchangeable.

Relief - getting it right the first time. DTC
has taken two aggressive steps to improve
registration submissions. Redesigning the
form was the first step. In addition, DTC
published a booklet, Registration: The First Step
in Defense Trade, and began its distribution,
with a copy of the ITAR, in July 1992. The
booklet contains both background informa-
tion and registration instructions. The
appendix contain transmittal letter instruc-
tions and format, a reproducible copy of the
Form DSP-9, and samples of a completed
DSP-9 and § 122.2 letter. Many firms still
have the booklet with the old appendices
Since the main body of the booklet is still
valid, we ask that you remove the old appen-
dices and insert the revised appendices on
pages 19 thru 26.

Helpful Hints. The following helpful hints
will assist you in completing your registration
package correctly.

¢ Carefully follow these instructions when
completing the Form DSP-9, Statement of
Registration. These instructions amplify the
instructions printed on the back of the Form
DSP-9. Review the sample form DSP-9 in
Appendix A before completing your DSP-9.

¢ Inaddition to the completed DSP-9,
provide three copies of one of the following
documents that authorizes you to do business
in the United States. Acceptable documents
include your current:

* State Incorporation Certificate;

* State Certificate of Good Standing;

* State, County, or City Business License;

* Federal Firearms License (FFL) issued by
the Bureau of Alcohol, Tobacco, and
Firearms (BATF) of the Department of
the Treasury (DOT);

* State Articles of Incorporation (include
only the pages with your firm’s name
and the official State Seal).

« Review the sample Transmittal Letter
before preparing the letter required by 22 CFR
122.2 (See discussion on Transmittal Letter).

Defense Trade News, Volume 4, Number 3, July 1993

Page 9



Reader Questionnaire
Dear Reader,

DTC would like to get a sense of how we at Defense Trade News are doing and what you'd like
to see us do in the future. Please complete this survey and return as soon as possible.

1. The agency /organization receiving this publication is (Check all that apply):
___ Manufacturing Exporter Attorney Consultant Freight Forwarder___ U.S. Embassy
____ U.S. Customs ___ U.S. Armed Forces _____ Other U.S. Government Agency ____ Foreign Gvnt Agency
____ Other (Please specify)

2. Your position or tide within the agency/organization:

3. Approximate number of people who read this copy of Defense Trade News: (Check only one)

1-5 6-10 11-20 20+
4. How many articles do you read in each issue?

100 % 75 % 50 % 25 % Less than 25 %
5. Article length is generally: Too long About right Too short
6. Article content is generally: Too complex About Right Too simple
7. Articles are generally: _____ Useful and interesting _____._ Useful but not interesting

Interesting but not useful Neither interesting or useful

8. Publication frequency is: —— Too often _—— About right ___ Too infrequent

Note: This is a quarterly publication (Jan., Apr., July, Oct.).

9, If Defense Trade News were only available by GPO subscription,

would your agency/organization pay a modest fee? __ Yes ____ No ____ Don'tknow
10. If you subscribed, how many copies would your agency/organization require? copies.
11. Please score the following topics or columns according to your interest:
1 Very Interested 2 Somewhat interested 3 Slightly interested 4 Not interested
____ Defense Trade Policy ___.. Trade Legislation ____ Compliance Cases &Tips
_____ DTC Procedures ____ Licensing Procedures ____ Federal Register Notices
___ US Customs at DTC _____ Personnel Updates ____ Tips & Tidbits
_____ Publications for Exporters _——— Commodity Jurisdiction ____ Summaries of Prosecuted
Determinations Court Cases
____ OTHER (Please Specify)
12. Rate Defense Trade News on each of the following categories:
Excellent Good Fair Poor

Overall Quality

Writing Style

Content

Appearance

13. On what subject (s) would you like to see future articles?

ADDITIONAL COMMENTS:



United States Department of State ° Bureau of Political Military Affairs

Defense Trade News

The Bulletin of the Center for Defense Trade

Volume 4, Number 3 ° Washington, D.C. e July 1993

Features

Revised ITAR Published
International Traffic in Arms Regulations Amended

Meeting with DTC Director
Companies Encouraged to Meet Face-to-Face

What Our Readers Say
Summary of 1993 Readers Questionnaire

New Defense Trade Actions
Armour of America, Burma, Guatemala, Zaire, and Angola Subject to New U.S. Policies

State Department Plans Appeal Mechanism
DTAG Recommends State Appeal Review Process (SARP)

Specially Designated Nationals List Expands
Treasury Department Publishes Lists for Yugoslavia and Haiti

CN |® |O1 | |G

Registration: The First Step in Defense Trade 9
Guidelines for Registration

Company Export Procedures Manual

A Suggested "Table of Contents” for an Internal Operations Manual 1 2
ROBB - The Electronic Assistant

A Review of the Features of the Remote Electronic On-Line Bulletin Board 1 6 :
Departments

Commodity Jurisdiction Determinations 17
Personnel Updates 19
Tips and Tidbits 20
Revised Appendices Registration: The First Step in Defense Trade 21
Reader Questionnaire & Training Form 29
GPO OrderForm 33

Written and Edited by the Center for Defense Trade


eS

Company Export Procedures Manual
A Suggested ‘Table of Contents’ for an Internal Operations Manual

To avoid unauthorized exports and any re-
sultant penalty that might be imposed, each
person and company engaged in business
exporting defense articles and services should
have a compliance program. Defense Trade
News has published articles about specific
elements that should be included in a compli-
ance program: “Company Export Procedures
Manuals” (Vol. 2, No. 1, Jan 1991, pages 14-
15) and “Ombudsman Compliance Proce-
dure” (Vol. 3, No. 3, July 1992, pages 11-12).

One very important element of a compliance
Program is an export procedures manual. To
assist industry in preparing such a manual, a
sample Table of Contents for a U.S.
company’s compliance procedures manual is
provided. Your manual should include these
topics and related procedures.

Point of Contact. DTC would be pleased to
assist companies to ensure that their compli-
ance manuals adequately address U.S. Export
concerns. The point of contact for informa-
tion contained in this article is:

Mary Sweeney

Compliance and Enforcement Branch
Compliance Division

Office of Defense Trade Controls
Bureau of Political Military Affairs
U.S Department of State,
Washington, D.C. 20522-0602

Phone (703) 875-6650 or Fax (703) 875-5663

Table of Contents for a U.S. Company
Compliance Procedures Manual

I. Introduction

A. Purpose and Responsibility for Compliance with § 38 of the Arms Export Control Act
(AECA) and the International Traffic in Arms Regulations (ITAR) in exporting defense
articles and related technical data and furnishing defense services

B. Senior management statement of company’s commitment to export control activities to
ensure compliance with §§ 38, 39 and 40 of the AECA and the ITAR

C. What constitutes an export

D. Method for the company to be kept informed of changes in the applicable laws,

regulations, and policies

Il. Registration

A. Requirements: application, fees, authorization to do business, and letter of transmittal,

22 C.F.R. Part 122

B. Notification of any change in Registration Information, 22 C.F.R. § 122.4

Page 12

Defense Trade News, Volume 4, Number 3, July 1993



The Final Review
The Registration Checklist
Have you carefully read and followed all instructions

in this manual? Have you reviewed the samples in
the Appendices ?

N

Have you included the Full Name, Date and Place of
Birth, and Social Security Number for each principal
and senior officer listed in Block 7 of the Form DSP-9,
Statement of Registration?

S

Has a principal officer listed in Block 7 signed the
Form DSP-9, Statement of Registration?

S

Have you imprinted your corporate seal on the Form
DSP-9 and Form DSP-9 Continuation Sheet(s), or typed
“Corporate Seal N/A” on both these documents?

S

Have you enclosed three copies of one of your
authorizations to do business in the United States ?

S

Have you prepared and enclosed a completed
transmittal letter following § 122.2(b) of the ITAR?

S

Has an individual listed in Block 7 of the Form DSP-9,
Statement of Registration, signed the § 122.2 Transmit-
tal Letter?

S

B BRB BB B B

Have you enclosed a check made out to the
“Department of State” in the correct amount?

S

XK S

Defense Trade News, Volume 4, Number 3, July 1999 Page 11



DEFENSE TRADE NEWS
United States Department of State
Washington, D.C. 20522-0602

OFFICIAL BUSINESS
PENALTY FOR PRIVATE USE $300

Address Correction Re

BULK RATE
POSTAGE & FEES PAID
US Department of State
Pemnit No. G-130

SMON SPP4L 8SU3}8C ayeyg yo yueunsedag Sn

e661 Aine

EON ‘p“IOA


LS NS

Contacting the Center for Defense Trade

Director, Center for Defense Trade

PM, Room 7321
Bureau of Political Military Affairs
US Department of State
Washington, D.C. 20520-7815
Office of Defense Trade Controls Office of Defense Trade Policy
(PM/DTC) (PM/DTP)

PM/DTC, SA-6, Room 200

Office of Defense Trade Controls
Bureau of Political Military Affairs

US Department of State

Washington, D.C. 20522-0602

PM/DTC, Room 200

Office of Defense Trade Controls
Bureau of Political Military Affairs

US Department of State

1701 N. Fort Myer Drive (Nash St. Entrance)

Arlington, VA 22209-3113

General Information:
Licensing:

Registration /Compliance:
Office Director & Deputies:
Defense Trade News:
Congressional Cases:
Commodity Jurisdictions:
License Status Staff:

Postal Mailing Address

PM/DTP, Room 7815
Office of Defense Trade Policy
Bureau of Political Military Affairs

US Department of State

Express Mail and Courier Delivery Address

PM/DTP, Room 7815
Office of Defense Trade Policy
Bureau of Political Military Affairs

Washington, D.C. 20520-7815

US Department of State

Telephone Numbers

Washington, D.C. 20520-7815

(703) 875-6644 General Information: (202) 647-4231

(703) 875-6644 #3 Embassy Support:

(703) 875-6650
(703) 875-7050

(703) 875-5660/5671 6624
(703) 875-6641

(703) 875-7041 /5655

(703) 875-6652

Automated License Status System:

ALISS (Telephonic):
Information about ROBB :

(703) 875-7374
(703) 875-6650

(Remote Electronic Bulletin Board)

For Management, Forms,
or Licensing:

For Registration, ROBB,
or Compliance:

Facsimile Numbers

PM/DTP:

(703) 875-6647

(703) 875-5663

(202) 647-4231

(202) 647-4232

Department of State Publication 9783
Bureau of Political Military Affairs
Revised July 1993


el
Specially Designated Nationals List Expands

Treasury Department Publishes Lists for Yugoslavia and Haiti

USS. persons are prohibited from doing
business or engaging in other transactions
with any entity or individual identified as a
Blocked Entity or Specially Designated
Nationals (SDNs) by the Treasury
Department's Office of Foreign Assets
Control (OFAC). Since Defense Trade

News last reported on SDNs, two more
economic sanctions programs have been
imposed by the President.

Yugoslavia. On July 6, 1992, OFAC re-
leased an initial list of Blocked Entities and
Specially Designated Nationals (BE/SDNs)
of the Federal Republic of Yugoslavia
(Serbia and Montenegro). Since that time a
series of General Notices from OFAC has
increased the number to nearly 800 names
of entities and individuals on the BE/SDN
list, plus 55 blocked merchant vessels,
located in more that 50 countries. These
involve nine international business net-
works of the former Yugoslavia as well as
its shipping fleet and their front companies
and includes banking, trading firms, and
other businesses. Entities in the United
States have been closed. The list is being
shared with other U.N. members as part of
the United States’ continuing efforts to
bring as much pressure as possible to bear
against the former Yugoslavia and to close
off its international financial and business
connections. OFAC expects to publish
many more names under the Yugoslavia
program.

Haiti. Since the September 30, 1991 military
overthrow of the democratically elected
president of Haiti, The U.S. has supported
UN, OAS, and other international efforts to
restore the duly elected regime. In
response to the President's orders, On June
4, 1993, OFACreleased a list of 83 individu-
als and 35 entities that were determined to
be SDNs of the defacto regime in Haiti.

Since that occurred, steady progress has been
made toward restoration of democracy in Haiti;
and the UN Security Council, the OAS, and the
United States have now suspended the eco-
nomic sanctions against Haiti. As a result, all
83 individuals and the Banque de l'Union
Haitienne have been removed from the SDN
list. Remaining on the Haiti SDN list are 34
Government of Haiti entities with which trade
and transactions can now occur, but whose
blocked assets will be unfrozen on a case-by-
case basis.

General. OFAC administers economic sanc-
tions, including SDN programs, against Cuba,
Haiti, Iraq, Libya, North Korea, Vietnam, and
Yugoslavia (Serbia & Montenegro). The import
prohibitions affecting Iran do not involve an
SDN program. A revised, comprehensive list of
all BE/SDNs in those seven sanctions programs
will be published in the Federal Register later in
the fall.

Point of Contact. To obtain these lists and to
report any additional information, contact:

Office of Foreign Assets Control

U.S. Department of the Treasury
Washington, D.C. 20220

Phone (202) 622-2420 Fax: (202) 622-1657

Editors note: Previous articles about Specially Des-
ignated Nationals (SDNs) include: “Publications
for Exporters - List of Iraqi Vessels” (Vol. 3, No.
4, Oct 1992, pgs. 31-37); “Vessels in Which Spe-
cially Designated Nationals Have an Interest”
(Vol. 3, No. 3, July 1992, Pgs 21-24) ; and “Sanc-
tioned Governments” and “Publications for Ex-
porters ~ Prohibited Sources and Business Enti-
ties” (Vol. 3, No. 2, April 1992, pgs 10-11 and 23 -
38 respectively.) #

Page 8

Defense Trade News, Volume 4, Number 3, July 1993



1. Complete all items. If "none” applies to an item, so state. If more space is required to complete an item, use plain white paper.
2 Item 1. Show the business name, home office address and telephone number of the parent company, as it appears on Federal
income tax forms.
3. Item 2. If you have been in the past, or are currently registered with the Office of Defense Trade Controls (DTC), give your
DTC registrant code number.
4. Item 3. Circle the number of years required and enter the amount of fee enclosed. Fee Schedule:
year
2 years $500
3 years $700 ($50 savings)
4 years $850 ($150 savings)
5 years $1,000 ($250 savings)
You are encouraged to register for the maximum period of five years to reduce administrative overhead and take advantage
of the reduced fees. DO NOT SEND CASH. Make your check or money order payable to “Department of State.”
5. Item 4. Give the most applicable organizational description.
6 Item 5. Indicate the nature of your business.
7. Item 6. Enter the date, city, county and state where your organization commenced doing business.
8. Item 7. Enter the name, title, date and place of birth, SSN, residential address, and country of citizenship for all principal
executive officers.
9. Item 8. Enter U.S. Munitions List (USML) category (§121 of the International Traffic In Arms Regulations (ITAR)),
generic name, and U.S. Government agency (if applicable) for which manufactured.
10. Item 9. List U.S. subsidiaries manufacturing and/or exporting USML articles or services.
11, Item 10. List foreign subsidiaries manufacturing and/or exporting USML articles or services.
12. Item 11. Give complete address of your official business representative, as this entity will be added to the DTC’s mailing list.
13. Items 12 and 13. Company or corporate divisions or subsidiaries may not register separately unless they are required by law
to file separate Federal tax returns
14. Item 14. The individual signing this form must be a senior official empowered by the intending registrant. Violations and
penalties are explained in §127 of the ITAR.
15. Item 15. All additional pages must bear the corporate seal. If there is no corporate seal, enter "N/A" in this block.
16. DTC will acknowledge in writing receipt of your application and fee, and assign a new registrant code number
17. IMPORTANT: Changes in the information contained in this application must be reported promptly to:
Compliance Division (Registration)
Office of Defense Trade Controis
Room 200, SA-6
U.S. Department of State
Washington, D.C. 20522-0602
* Public reporting burden for this collection of information is estimated to average 1 hour per response, including time requited for searching existing date
‘sources, gathering the necessary data, providing the information required, and reviewing the final collaction. Send comments on the accuracy ofthis
‘estimate of the burden and recommendations for reducing it to: Department of State (O!S/RA/DR) Washington, DC 20520-0264. and to the Office of
Information and Regulatory Affairs, Office of Management and Budget, Paperwork Recluction Project (1405-0002), Washington, DC 20503.
FORM

Page A-6 Registration: The First Step in Defense Trade, August 1993
OMB APPROVAL NO. 1405-0002,

EXPIRATION DATE: 3-31-96
ESTIMATED BURDEN: 1 HOUR *

INSTRUCTIONS
STATEMENT OF REGISTRATION

11-92 DSP-9 (DESTROY PREVIOUS EDITIONS)


Tape Edge Before Mailing

Training Seminars

PM/DTC, SA-6, Room 200

Office of Defense Trade Controls
Bureau of Political Military Affairs
U.S. Department of State

Washington, D.C. 20522-0602


* The definition of ‘public domain’ is ex-
panded to exempt from control certain funda-
mental research.

¢ Inaddition to the Director of the Office of
Defense Trade Controls (DTC), PM’s Assis-
tant Secretary and Deputy Assistant Secretary
for Defense Trade are identified as having the
authority to approve licenses.

Ordering Information. DTC does not have
copies of the revised ITAR available for
general distribution. The Bureau of Political
Military Affairs is making an initial
distribution of the new regulations to U.S.
Government agencies and offices which are
routinely involved in the defense trade

process. Other agencies and the public may
purchase copies from the Government
Printing Office (GPO) . See the GPO order
form on page 33 for further instructions.

Questions about the ITAR. Please direct
substantive written questions regarding the
revised ITAR to:

PM/DTC, SA-6, Room 200

ATIN: ITAR

Office of Defense Trade Controls
Bureau of Political Military Affairs
Washington, DC 20522-0602

To expedite, fax your correspondence to:
(703) 875-6647 or (703) 875-5663.

Meeting with DTC Director

Companies Encouraged to Meet Face-to-Face

Mr. William B. Robinson, Director of the
Office of Defense Trade Controls (DTC),
maintains an ‘open door’ policy to industry.
Company representatives are encouraged to
arrange face-to-face meetings with him to

discuss their pending cases and/or present
information on new products or product
improvements. Appointments may be
arranged by calling Ms. Sandra Glenn at
(703) 875-7050.

Page 4

Defense Trade News, Volume 4, Number 3, July 1993



AS
XII. Advisory Opinions, 22 C.F.R. § 126.9

XII. Prohibited Exports and Sales to Certain Countries
A. Countries addressed at 22 C.F.R. § 126.1

B. Specific Country Suspension /Revocation noticed in the Federal Register

XIV. Criteria for Denial of License Applications and Other Written Requests for
Approval, 22 C.F.R. § 126.7

XV. Awareness of Possible Illegal Exportation of Defense Articles and Related
Technical Data and Defense Services

A. High Risk Standards to Combat Illegal Exportation of Defense Articles, Related Technical
Data and Defense Services (53 Federal Register 37382, September 26, 1988)

B. Report suspicious illegal export activity to U.S. Customs Service or Office of Defense
Trade Controls, U.S. Department of State

C. ‘Voluntary Disclosure of Unauthorized Exports of Defense Articles, Related Technical
Data and Defense Services, ‘(Defense Trade News, Volume 3, Number 2, April 1992, pgs 12-13)

XVi. Company Training Program

A. Internal Company Training Program for Employees Concerning Laws,
Regulations, and Company Policies and Procedures Applicable to the Export of Defense

Articles and Defense Services

B. External Sources of Training for Employees Concerning Laws, Regulations, and Company
Policies and Procedures Applicable to the Export of Defense Articles and Defense Services

C. Procedures to Update Training for Employees to be Knowledgeable about Changes in
Laws, Regulations, and Company Policies and Procedures Applicable to the Export of Defense
Articles and Defense Services

XVII. Violations and Penalties, 22 C.F.R. Part 127
A. AECA-Related Violations in General, Civil and Criminal
B. Misrepresentation and Omission of Fact
C. Civil and Criminal Monetary Penalties

D. State Department Sanctions
1. Suspension
2. Statutory Debarment after AECA-Related Conviction
3. Administrative Proceeding, 22 C.F.R. Part 128

E. U.S. Customs Authority - Seizures and Forfeitures o
Defense Trade News, Volume 4, Number 3, July 1993 Page 15



Registration: The First Step in Defense Trade, August 1993 Page A-1

Appendices

Registration:
The First Step in Defense Trade

Updated Edition, as published in
Defense Trade News, July 1993


Revised ITAR Published

International Traffic in Arms Regulations Amended

New ITAR Finalized. The Final Rule
amending 22 C.F.R. Parts 120-130, the
International Traffic in Arms Regulations
(ITAR), appeared in the Federal Register on
Thursday, July 22, 1993 as Part II, Vol. 58, No.
139, pages 39279 thru 39326. This major
amendment, the first since 1984, represents
the culmination of a two-year commitment by
the Department of State to the U.S. exporting
community to make defense trade regulations
clearer and easier to follow. This commitment
was part of an overall effort to modernize the
defense trade function at State. Designed to
retain the Department's ability to control
defense exports for national security or
foreign policy purposes, the new ITAR does
not ease the controls governing exports of
major weapons systems, Significant Military
Equipment (SME), or proliferation-related
items. The new regulations do, however,
incorporate many industry suggestions which
clarify and simplify the previous version.

Substantive Changes. Some key changes to
the ITAR include:

* The validity period of a munitions license
for exports and temporary imports has been
increased from three to four years.

¢ U.S. Munitions List (USML) items con-
trolled for Missile Technology Control
Regime (MTCR) purposes are enumerated

¢ The criteria for defining defense articles in
the future will take into consideration the
amount of civilian application and fundamen-
tal equivalence to civil goods.

¢ The section on Commodity Jurisdiction (CJ)
is amended to establish (1) specific criteria
which the Department of State will use to de-
termine export licensing jurisdiction and (2) a
specific time line for appeals of CJ

decisions.

* New exemptions from licensing require-

ments apply to the export and import of cer-
tain unclassified defense articles. These
include exemptions for:

— Defense articles exported in further-
ance of a DTC-approved Manufacturing
License Agreement, Technical
Assistance Agreement, or Distribution
Agreement, provided the articles are
specifically identified in the agreement.
- Components or spare parts valued at
less than $500, when the components or
spare parts are going to a previously-
approved end-user for the support of a
previously-approved export of a defense
article, and the articles do not enhance
the capability of the defense article.

- Temporary imports of a U.S.-origin
article if the article is unclassified and
serviced without being enhanced.

in any manner, and is subsequently
returned to the original foreign country.
- Temporary imports of articles to be
incorporated into other items approved
by DTC for permanent export, and
items for temporary exhibition in the
US.

~ Temporary exports of minor compo-
nents or parts to a subsidiary, affiliate or
facility owned or controlled by a U.S.
person.

- Articles previously licensed for
exhibition at a trade or air show for
which a valid DTC license exists.
Exemptions do not apply to prohibited
destinations.

* Re-transfers of defense articles which are
not Significant Military Equipment (SME),
which do not meet the threshold dollar value
for Congressional notification, and are not
controlled for purposes of the Missile
Technology Control Regime would be exempt
from prior approval for retransfer to the
governments of NATO countries, Japan, and
Australia.

Defense Trade News, Volume 4, Number 3, July 1993

Page 3



Tape Edge Before Mailing

Editor, Defense Trade News
PM/DTC, SA-6, Room 200

Office of Defense Trade Controls
Bureau of Political Military Affairs
U.S. Department of State

Washington, D.C. 20522-0602


Secretary of State

Warren Christopher

Assistant Secretary
of State for
Political Military
Affairs

Robert L. Galiucci

Deputy Assistant
Secretary for
Export Control

Michael H. Newlin, Acting

Executive Editor
Charles A. Ray

Managing and
Production Editor
Marsha S. Finley

Layout Design
Paula M. Lorfano

Graphics Design
Richard E. Florence

Contributing Editors
Commodity Jurisdictions:
Major Gary Oncale

U.S. Customs at DTC:
James McShane

Defense Trade News (ISSN 1051-2845) is a quarterly publication (Janu-
ary, April, July, October) of the Center for Defense Trade, Bureau of
Political Military Affairs, U.S. Department of State. Its purpose is to
provide the public, Congress, government agencies, and American in-
dustry with information on defense trade policy, licensing practices, and
compliance issues. Newsletter contents include official policy state-
ments and other official documents. Special features, articles, and other
supportive materials (such as maps, charts, graphs, tables, and photo-
graphs) provide additional information on current issues but should not
necessarily be interpreted as official U.S. policy statements. The
Secretary of State has determined that the publication of this periodical
is necessary in the transaction of public business required by law.

Subscription and Address Changes: Firms registered with the Office of
Defense Trade Controls automatically receive this publication at their
registered address in the name of the registrant in Block 14 of Form
DSP-9. To change a mailing address, registrants must notify the Office
of Defense Trade Controls in writing, citing the applicant code, and
amending their Form DSP-9 (ITAR 122.4), since these addresses actually
change the registration information.

The editorial staff maintains a separate list for other interested persons
and organizations. These mailing labels have an asterisk (*) in the first
line. Readers on this mailing list may simply contact the Managing,
Editor, via mail or datafax (703-875-6647), for addition to or address
changes. Mailing to other associated U.S. Government offices is also
done via the editorial mailing list (e.g. to all U.S. Customs Regional and
District offices, to all Defense Investigative Service (DIS) offices, etc).

Copyright: Most of this publication's contents are in the public domain
and are not copyrighted. Such items may be reprinted; citation of their
source as Defense Trade News is appreciated. Permission to reproduce
any copyrighted material (including photographs) must be obtained
from its original source.

Limited Reprint Authorization: All addressees who are registered with
the Office of Defense Trade Controls may reproduce this entire edition
(excluding postal mailing label) for distribution within their respective
organizations. This permission is given to ensure proper distribution “
throughout companies with multiple locations or offices and to reduce
mailing costs.

Corrections, Contributions, and Correspondence: Address to Editor,
Defense Trade News, PM/DTC, SA-6, Room 200, U.S. Department of
State, Washington, D.C. 20522-0602.

Postmaster: Send address changes to Defense Trade News, PM/DTC, SA-
6, Room 200, U.S. Department of State, Washington, D.C. 20522-0602.

Postage: Third-class postage paid in Washington, D.C. 20522-0602.



Phone

Datafax (24 hours)

GPO Order Form

Copy this form for easy ordering

Publications & Subscriptions

(64 EST) (202) 783-3238

(202) 512-2250

Press 1,6

Superintendent of Documents Publications and Subscriptions Order Form

Data Processing Code Charge your order. Gea
*7143 It'seasy!
To fax your orders and inquiries—(202) 275-0019
PUBLICATIONS Please Type or Print (Form is aligned for typewriter use.)
Price Total
ary Stock Number Title Each Price
1 021-602-000-01-9 Catalog—Bestselling Government Books FREE FREE
069-001—000-58-1 International Traffic in Arms Regulations (ITAR) $4.50
I Total for Publications
SUBSCRIPTIONS
List ' Price Total
ary D Tite Each Price
‘Total for Subscriptions
NOTE: Prices include regular domestic postage and handling. Publication prices Total Cost of Order
are good through 12/93. After that date, please call Order and Information Desk
at 202-783-3238, to verify prices. Subscription prices are subject to change at any time.
Please Choose Method of Payment:
(Company or personal name) (Please type or print) [Z7 Check payable to the Superintendent of Documents

(Additional address /attention line)

(Street address)

[1] crovepesit Account [TT TT ITTI-D

[C1 Visa or MasterCard Account

LCLLITTTTiTtT ttt ttt tt)

(City, State ZIP Code)

¢

(Daytime phone including area code)

(Credit card expiration date)

Thank you for your order

YES NO (Gignature)
May we make your name/address available to other mailers? [7] []

Mail To: New Orders, Superintendent of Documents
P.O, Box 371954, Pittsburgh, PA 15250-7954

5/92

Federal Express or United Parcel Service shipment available for credit card orders


a
Ill. Commodities Controlled by the U.S. Munitions List

IV. Proposals to Foreign Persons Relating to Significant Military Equipment,

Vv.

Vi.

Vil.

A. USML Articles, 22 C.F.R. § 121.1
B. Company’s List of USML Articles

C. Commodity Jurisdiction Procedure, 22 C.F.R. § 120.5

22 C.F.R. § 126.8

Licensing Requirements - Unclassified Exports
A. Statutory and Regulatory (22 C.F.R. Part 123) Requirement for Export Licensing

B. Permanent Export License (DSP-5)

C. Temporary Import (Intransit) License (DSP-61)

D. Temporary Export License (DSP-73)

E. Supporting documentation for license applications

F. Country of Ultimate Destination Statement, 22 C.F.R. § 123.9 (b)

G. Requirements for Using the ‘Nontransfer and Use Certificates’ (Form DSP-83),
22 C.E.R. § 123.10

H. Exemptions for Licenses

1. Lodging of Licenses, Filing of Shipper’s Export Declarations (22 C.F.R. § 123.25),
Shipments by Mail (22 C.F.R. § 123.26)

J. Amending a License

Classified Exports
A. Procedures for Classified Technical Data/ Hardware Licenses, 22 C.F.R. § 125.3

B. Department of Defense Industrial Security Manual Procedures

Procedures for the Foreign Military Sales (FMS) Program, 22 C.F.R. § 126.6
A. Filing of DSP-94 form accompanied by Department of Defense Letter of Offer and

Acceptance and Shipper’s Export Declaration

B. Freight Forwarder registered with Office of Defense Trade Controls, Department of State

Defense Trade News, Volume 4, Number 3, July 1993

Page 13



a
ROBB - The Electronic Assistant

A Review of the Features of the Remote Electronic Bulletin Board

The Office of Defense Trade Controls (DTC)
has available for each registered individual
and company an electronic licensing status
system and a message bulletin board. It is
called the Remote On-line Bulletin Board,
better known as ROBB.

Licensing information available Information
available from ROBB licensing status systems
includes:

+ License/ Application type and number

¢ Referral status

* Dollar value of Application/License

* Date application prepared

* Country of ultimate destination

* Licensing Officer

* Date sent to the Congress

* Date of final action by Licensing Officer

* Date transmitted to outside agencies for
recommendation

« Date referral response returned to DTC

* Status (A = Approved, D = Denied,

R = Returned Without Action, P = Approved
with Provisos, X = Pending, W = Withdrawn
by Applicant)

* Agencies to which case has been referred

© Date of referral

* Date of final action by DTC

Information on the Bulletin Board. The mes-
sage bulletin board provides information on
the publication of Federal Register Notices
dealing with licensing, country policy, and
procedures. There is no fee for signing up or
using ROBB. Since the ROBB program oper-
ates on a WANG Minicomputer, subscribers
must possess Terminal Emulation Software
(TES) in order to reach the system from PCs.
TES can be installed either on dual-floppy
systems or hard disk systems with an inter-
nal or external 2400 baud modem. The M/H
Group’s VsCom (version 7.4 or higher) soft-
ware will permit proper hook-up to ROBB.
DTC will provide specific information about
VsCom in the sign-up package.

For information on ROBB, or to request access
to the system, contact Jim DePalma, DTC
Computer Systems Manager by mail, fax or
phone:

Office of Defense Trade Controls
ATTN: Jim DePalma

PM/DTC, Room 200, SA-6
Department of State
Washington, DC 20520-0602

Phone (703) 875-7391
Datafax (703) 875-5663

Page 16

Detense Trade News, Volume 4, Number 3, July 1993