Federal Register / Vol. 72, No. 102 / Tuesday, May 29, 2007 / Notices 29483 

1The violations charged occurred in 2001–2002. 

The Regulations governing the violations at issue 

are found in the 2001–2002 versions of the Code of 

Federal Regulations (15 CFR Parts 730–774 (2001–

2002)). The 2007 Regulations govern the procedural 

aspect of the case. 

2Since August 21, 2001, the Act has been in lapse 

and the President, through Executive Order 13222 

of August 17, 2001 (3 CFR, 2001 Comp. 783 (2002)), 

which has been extended by successive Presidential 

Notices, the most recent being that of August 2, 

2006 (71 Fed. Reg. 44,551 (Aug. 7, 2006)), has 

continued the Regulations in effect under the 

International Emergency Economic Powers Act (50 

U.S.C. 1701–1706 (2000)) (‘‘IEEPA’’). 

3 15 CFR Supplemental No. 4 to Part 744. 

4 Id. 

calendar days following publication of 

this notice. Please follow the procedures 

set forth in Section 315.9 of EDA’s final 

rule (71 FR 56704) for procedures for 

requesting a public hearing. The Catalog 

of Federal Domestic Assistance official 

program number and title of the 

program under which these petitions are 

submitted is 11.313, Trade Adjustment 

Assistance. 

Dated: May 21, 2007. 

William P. Kittredge, 

Program Officer for TAA. 

[FR Doc. 07–2647 Filed 5–25–07; 8:45 am] 

BILLING CODE 3510–24–M 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

[Action Affecting Export Privileges; Data 

Physics Corporation; In the Matter of: Data 

Physics Corporation; 2025 Gateway Place, 

Suite 260, San Jose, CA 95110, Respondent. 

Order Relating to Data Physics 

Corporation 

The Bureau of Industry and Security, 

U.S. Department of Commerce (‘‘BIS’’) 

has initiated an administrative 

proceeding against Data Physics 

Corporation (hereinafter referred to as 

‘‘Data Physics’’), case number 06–BIS–

21, through the issuance of a charging 

letter, pursuant to Section 766.3 of the 

Export Administration Regulations 

(currently codified as 15 CFR parts 730–

774 (2007)) (‘‘Regulations’’) 1 and 

Section 13(c) of the Export 

Administration Act of 1979, as amended 

(50 U.S.C. app. 2401–2420 (2000)) 

(‘‘Act’’).2 BIS and Data Physics have 

agreed to settle case 06–BIS–21 based on 

the following five alleged violations of 

the Regulations. Specifically, the 

charges are: 

Charge 1 15 CFR 764.2(a)—Unlicensed 

Export to Listed Entity in China 

On or about December 20, 2001, Data 

Physics engaged in conduct prohibited by the 

Regulations when it exported a DP 550 

Vibration Controller, an item subject to the 

Regulations, to the Chines Academy of 

Launch Vehicle Technology (‘‘CALT’’) in the 

People’s Republic of China (‘‘China’’), an 

organization on BIS’s Entity List,3 without 

the license required by the Department of 

Commerce. A licensee was required for this 

export under Section 744.1 and Supplement 

No. 4 to Part 744 of the Regulations. In so 

doing, Data Physics committed one violation 

of Section 764.2(a) of the Regulations. 

Charge 2 15 CFR 764.2(e)—Acting With 

Knowledge of a Violation 

On or about December 20, 2001, in 

connection with the transaction described in 

Charge 1 above, Data Physics sold and/or 

forwarded a DP 550 Vibration Controller with 

knowledge that a violation of the Regulations 

would occur in connection with the item. At 

all times relevant hereto, Data Physics knew 

or should have known that an export license 

was required to ship a DP 550 Vibration 

Controller, an item subject to the Regulation, 

from the United States to CALT, an entity on 

BIS’s Entity List. Data Physics had reason to 

know that a license was required for this 

export since, inter alia ́ Office of Export 

Enforcement (‘‘OEE’’) special agents visited 

Data Physics in May 1999 where they 

informed Data Physics’ Chief Technology 

Officer and the Director of Manufacturing 

and Quality Systems, on the rules and 

requirements regarding exports to 

organizations on the BIS Entity list. The 

Chief Technology Officer then sent an e-mail 

to Sri Welaratna, company president, 

explaining the rules and included a link to 

BIS’s Entity List. In so doing, Data Physics 

committed one violation of Section 764.2(e) 

of the Regulations. 

Charge 3 15 CFR 764.2(a)—Unlicensed 

Export to Listed Entity in China 

On or abut March 15, 2002, Data Physics 

engaged in conduct prohibited by the 

Regulations when it exported a Signalstar 

Vector (DP 560) vibration controller, an item 

subject to the Regulations, to the Beijing 

Automation Equipment Institute (‘‘BACEI’’) 

in China, an organization on BIS’s Entity 

List,4 without the license required by the 

Department of Commerce. A license was 

required for this export under Section 744.1 

and Supplement No. 4 to Part 744 of the 

Regulations. In so doing, Data Physics 

committed one violation of Section 764.2(a) 

of the Regulations. 

Charge 4 15 CFR 764.2(e)—Acting With 

Knowledge of a Violation 

On or about March 15, 2002, in connection 

with the transaction described in Charge 3 

above, Data Physics sold and/or forwarded a 

Signalstar Vector (DP 560) vibration 

controller with knowledge that a violation of 

the Regulations would occur in connection 

with the item. At all times relevant hereto, 

Data Physics knew or should have known 

hereto, Data Physics knew or should have 

known that an export license was required to 

ship a Signalstar Vector (DP 560) vibration 

controller, an item subject to the Regulations, 

from the United States to BACEI, an entity on 

BIS’s Entity List. Data Physics had reason to 

know that a license was required for this 

export since, inter alia, OEE special agents 

visited Data Physics in may 1999 where they 

informed Data Physics’ Chief Technology 

Officer and the Director of Manufacturing 

and Quality Systems, on the rules and 

requirements regarding exports to 

organizations on the BIS Entity List. The 

Chief Technology Officer then sent an e-mail 

to Sri Welaratna, company president, 

explaining the rules and included a link to 

BIS’s Entity List. In so doing, Data Physics 

committed one violation of Section 764.2(e) 

of the Regulations. 

Charge 5 CFR 764.2(g)—False Statement on 

Shipper’s Export Declaration 

On or about March 15, 2002, in connection 

with the transaction described in Charges 3 

and 4 above, Data Physics made a false 

statement to the U.S. Government in 

connection with the submission of an export 

control document. Specifically, Data Physics 

filed a Shipper’s Export Declaration (‘‘SED’’) 

with the U.S. Government stating that the 

items that were the subject of the SED 

qualified for export as ‘‘NLR,’’ i.e., that no 

license was required.This representation was 

false, as a license was required for the 

Signalstar Vector (DP 560) vibration 

controller to be exported to the Beijing 

Automation Control Equipment Institute. In 

so doing, Data Physics committed one 

violation of Section 764.2(g) of the 

Regulations. 

BIS and Data Physics having entered 

into a Settlement Agreement pursuant to 

Section 766.18(b) of the Regulations 

whereby they agreed to settle this matter 

in accordance with the terms and 

conditions set forth therein, and the 

terms of the Settlement Agreement 

having been approved by me; 

It is Therefore Ordered: 

First, that Data Physics shall pay a 

civil penalty of $55,000 to the U.S. 

Department of Commerce to be paid 

within 30 days from the date of entry of 

the Order. Payment shall be made in the 

manner specified in the attached 

instructions. Additionally: 

A. Pursuant to the Debt Collection Act 

of 1982, as amended 931 U.S.C. 3701–

3720E (1983 and Supp. 2000)), the civil 

penalty owed under this Order accrues 

interest as more fully described in the 

attached Notice, and, if payment is not 

made by the due date specified herein, 

Data Physics will be assessed, in 

addition to the full amount of the civil 

penalty and interest, a penalty charge 

and an administrative charge, as more 

fully described in the attached Notice. 

B. The timely payment of the civil 

penalty set forth above is hereby made 

a condition to the granting, restoration, 

or continuing validity of any export 

license, license exception, permission, 

or privilege granted, or to be granted, to 

Data Physics. Accordingly, if Data 

Physics should fail to pay the civil 

penalty in a timely manner, the 

undersigned may enter an Order 


sroberts on PROD1PC70 with NOTICES
29484 Federal Register / Vol. 72, No. 102 / Tuesday, May 29, 2007 / Notices 

denying all of Data Physics’ export 

privileges for a period of one year from 

the date of entry of this Order. 

C. Data Physics shall perform an audit 

of its internal compliance program 

within 12 months from the date of entry 

of this Order. Said audit shall be in 

substantial compliance with the Export 

management Systems audit module, 

which is available from the BIS Web site 

at http://www.bis.doc.gov/ 

complianceandenforcement/ 

ExportManagementSystems.htm, which 

is incorporated by reference. A copy of 

said audit shall be transmitted to the 

Office of Export Enforcement, 96 North 

Third Street, Suite 250, San Jose, 

California 95112 no later than 13 

months from the date of entry of the 

Order. 

Second, that for a period of five years 

from the date of entry of the Temporary 

Denial Order against Data Physics on 

May 23, 2006, Data Physics Corporation, 

2025 Gateway Place, Suite 260, San 

Jose, CA 95110, its subsidiaries, 

successors or assigns, and, when acting 

for or on behalf of Data Physics, its 

officers, representatives, agents or 

employees (‘‘Denied Person(s)’’) may 

not, directly or indirectly, participate in 

any way in any transaction involving 

any commodity, software, or technology 

(hereinafter collectively referred to as 

‘‘item’’) that is subject to the Regulations 

and that is exported or to be exported 

from the United States to the People’s 

Republic of China (‘‘China’’), or in any 

other activity subject to the Regulations 

that involves China, including, but not 

limited to: 

A. Applying for, obtaining, or using 

any license, License Exception, or 

export control document that involves 

export to China; 

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 that is subject to the 

Regulations and that is exported or to be 

exported from the United States to 

China, or in any other activity subject to 

the Regulations that involves China; or 

C. Benefiting in any way from any 

transaction involving any item exported 

or to be exported from the United States 

to China that is subject to the 

Regulations, or in any other activity 

subject to the Regulations that involves 

China. 

Third, that no person may, directly or 

indirectly, do any of the actions 

described below with respect to an item 

that is subject to the Regulations and 

that has been, will be, or is intended to 

be exported or reexported to China: 

A. Export or reexport to or on behalf 

of a Denied Person any item subject to 

the Regulations to China; 

B. Take any action that facilitates the 

acquisition or attempted acquisition by 

a 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 to China, including financing or 

other support activities related to a 

transaction whereby a 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 a denied person of any 

item subject to the Regulations that has 

been exported from the United States to 

China; 

D. Obtain from a 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 to China; 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 to China and that is 

owned, possessed or controlled by a 

Denied person, or service any item, of 

whatever origin, that is owned, 

possessed or controlled by a 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 to China. For purposes 

of this paragraph, servicing means 

installation, maintenance, repair, 

modification or testing. 

F. This Order does not prohibit any 

export, reexport, or other transaction 

subject to the Regulations where the 

only items involved that are subject to 

the Regulations are the foreignproduced direct product of U.S.-origin 

technology. 

Fourth, that, after notice and 

opportunity for coment as provided in 

Section 766.23 of the Regulations, any 

person, firm, corporation, or business 

orgnaization related to Data Physics by 

affiliation, ownership, control, or 

postiion of responsibility in the conduct 

of trade or related services may also be 

made subject to the provisions of the 

Order 

Fifth, that the charging letter, 

amended charging letter, the Settlement 

Agreement, and this Order, and the 

record of the cases as defined by Section 

766.20 of the Regulations shall be made 

available to the public. BIS shall notify 

the administrative law judge that case 

06–BIS–21 is withdrawn from 

adjudication. 

Sixth, that this Order shall be served 

on the Denied Person and on BIS, and 

shall be pub lished in the Federal 

Register. 

This Order, which constitutes the 

final agency action in this matter, is 

effective immedicately. 

Entered this 15th day osf May 2007. 

Darryl W. Jackson, 

Assistant Secretary of Commerce for Export 

Enforement. 

[FR Doc. 07–2629 Filed 5–25–07; 8:45 am] 

BILLING CODE 3510–DT–M 

DEPARTMENT OF COMMERCE 

Bureau of Industry and Security 

Regulations and Procedures Technical 

Advisory Committee; Notice of 

Partially Closed Meeting 

The Regulations and procedures 

Technical Advisory Committee (RPTAC) 

will meet June 12, 2007, 9 a.m., Room 

3884, in the Herbert C. Hoover Building, 

14th Street between Constitution and 

Pennsylvania Avenues, NW., 

Washington, DC. The Committee 

advises the Office of the Assistant 

Secretary for Export Administration on 

implementation of the Export 

Administration Regulations (EAR) and 

provides for continuing review to 

update the EAR as needed. 

Agenda 

Public Session 

1. Opening remarks by the Chairman. 

2. Presentation of papers or comments 

by the Public. 

3. Opening remarks by the Bureau of 

Industry and Security. 

4. Published regulation update. 

5. Automated Export System (AES) 

update. 

6. Working group reports. 

Closed Session 

7. Discussion of matters determined to 

be exempt from the provisions relating 

to public meetings found in 5 U.S.C. 

app. 2 §§ 10(a)(1) and 10(a)(3). 

A limited number of seats will be 

available for the public session. 

Reservations are not accepted. To the 

extent that time permits, members of the 

public may present oral statements to 

the Committee. The public may submit 

written statements at any time before or 

after the meeting. However, to facilitate 

the distribution of public presentation 

materials to the Committee members, 

the Committee suggests that presenters 

forward the public presentation 

materials prior to the meeting to Ms. 

Yvette Springer at 

Yspringer@bis.doc.gov. 

The Assistant Secretary for 

Administration, with the concurrence of 


sroberts on PROD1PC70 with NOTICES