[Federal Register Volume 74, Number 116 (Thursday, June 18, 2009)]
[Notices]
[Pages 28910-28911]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-14315]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security


Action Affecting Export Privileges; TAK Components, Inc.

    In the Matter of:

TAK Components, Inc., 2140 Fulham Dr., Apt. 18, Naperville, IL 
60564, Respondent.
Mr. Saied Shahsavarani, President, 2140 Fulham Dr., Apt. 18, 
Naperville, IL 60564, Related Person.

Order Denying Export Privileges

A. Denial of Export Privileges of TAK Components, Inc.

    On October 11, 2007, in the U.S. District Court for the Northern 
District of Illinois, TAK Components, Inc. (``TAK'') pled guilty to and 
was convicted of 16 counts of violating the International Emergency 
Economic Powers Act (50 U.S.C. 1701-1706 (2000)) (``IEEPA''). 
Specifically, TAK pled guilty to willfully exporting and transferring, 
and causing to be exported and transferred, from the United States to 
Iran, via the United Arab Emirates, replacement and service parts and 
equipment for agricultural machinery, without first having obtained the 
required authorization from the Department of Treasury's Office of 
Foreign Assets Control. TAK was sentenced to one year probation per 
count (to run concurrently), ordered to pay a special assessment of 
$400.00 per count (for a total special assessment of $6,400.00), and 
forfeited approximately $181,000 that had been obtained from the 
transactions.
    Section 766.25 of the Export Administration Regulations (``EAR'' or 
``Regulations'') \1\ provides, in pertinent part, that ``[t]he Director 
of the Office of Exporter Services, in consultation with the Director 
of the Office of Export Enforcement, may deny the export privileges of 
any person who has been convicted of a violation of the [Export 
Administration Act (``EAA'')], the EAR, or any order, license or 
authorization issued thereunder; any regulation, license, or order 
issued under the International Emergency Economic Powers Act (50 U.S.C. 
1701-1706); 18 U.S.C. 793, 794 or 798; section 4(b) of the Internal 
Security Act of 1950 (50 U.S.C. 783(b)), or section 38 of the Arms 
Export Control Act (22 U.S.C. 2778).'' 15 CFR 766.25(a); see also 
Section 11(h) of the EAA, 50 U.S.C. app. 2410(h). The denial of export 
privileges under this provision may be for a period of up to 10 years 
from the date of the conviction. 15 CFR 766.25(d); see also 50 U.S.C. 
app. 2410(h). In addition, Section 750.8 of the Regulations states that 
the Bureau of Industry and Security's Office of Exporter Services may 
revoke any Bureau of Industry and Security (``BIS'') licenses 
previously issued in which the person had an interest in at the time of 
his conviction.
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    \1\ The Regulations are currently codified in the Code of 
Federal Regulations at 15 CFR Parts 730-774 (2009). The Regulations 
issued pursuant to the EAA, which is currently codified at 50 U.S.C. 
app. 2401-2420 (2000). Since August 21, 2001, the EAA 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 July 
23, 2008 (73 FR 43603, July 25, 2008), has continued the Regulations 
in effect under the International Emergency Economic Powers Act (50 
U.S.C. 1701-1706 (2000)).
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    I have received notice of TAK's conviction for violating the IEEPA, 
and have provided notice and an opportunity for TAK to make a written 
submission to BIS, as provided in Section 766.25 of the Regulations. I 
have not received a submission from TAK. Based upon my review and 
consultations with BIS's Office of Export Enforcement, including its 
Director, and the facts available to BIS, I have decided to deny TAK's 
export privileges under the Regulations for a period of five years from 
the date of TAK's conviction. I have also decided to revoke all 
licenses issued pursuant to the Act or Regulations in which TAK had an 
interest at the time of its conviction.

B. Denial of Export Privileges of Related Person

    Pursuant to Sections 766.25(h) and 766.23 of the Regulations, the 
Director of BIS's Office of Exporter Services, in consultation with the 
Director of BIS's Office of Export Enforcement, may take action to name 
persons related to a Respondent by ownership, control, position of 
responsibility, affiliation, or other connection in the conduct of 
trade or business in order to prevent evasion of a denial order. Saied 
Shahsavarani (``Shahsavarani'') was the corporate president and 
registered agent of TAK responsible for all aspects of TAK's day-to-day 
operations. Shahsavarani pled guilty to Count 17 of the information, 
18.U.S.C. 1960(a), for knowingly aiding and abetting the operation of 
an unlicensed money transmitting business. Shahsavarani is related to 
TAK by ownership, control, position of responsibility, affiliation, or 
other

[[Page 28911]]

connection in the conduct of trade or business. BIS believes that 
naming Shahsavarani as a person related to TAK is necessary to avoid 
evasion of the denial order against TAK.
    As provided in Section 766.23 of the Regulations, I gave notice to 
Shahsavarani that his export privileges under the Regulations could be 
denied for up to 10 years due to his relationship with TAK and that BIS 
believes naming him as a person related to TAK would be necessary to 
prevent evasion of a denial order imposed against TAK. In providing 
such notice, I gave Shahsavarani an opportunity to oppose his addition 
to the TAK Denial Order as a related party. Having received no 
submission from Shahsavarani, I have decided, following consultations 
with BIS's Office of Export Enforcement, including its Director, to 
name Shahsavarani as a Related Person to the TAK Denial Order, thereby 
denying him export privileges for five years from the date of TAK's 
conviction.
    I have also decided to revoke all licenses issued pursuant to the 
Act or Regulations in which the Related Person had an interest at the 
time of TAK's conviction. The five-year denial period will end on 
October 11, 2012.
    Accordingly, it is hereby ordered
    I. Until October 11, 2012, TAK Components, Inc., 2140 Fulham Dr., 
Apt. 18, Naperville, IL 60564, when acting for or on behalf of TAK, its 
successors or assigns, agents or employees, (``the Denied Person'') and 
the following person related to the Denied Person as defined by Section 
766.23 of the Regulations: Saied Shahsavarani, President, 2140 Fulham 
Dr., Apt. 18, Naperville, IL 60564, and when acting for or on his 
behalf, employees, agents or representatives, (``the Related Person'') 
(together, the Denied Person and the Related Person are ``Persons 
Subject to This Order'') may not, directly or indirectly, participate 
in any way in any transaction involving any commodity, software or 
technology (hereinafter collectively referred to as ``item'') exported 
or to be exported from the United States that is subject to the 
Regulations, or in any other activity subject to the Regulations, 
including, but not limited to:
    A. Applying for, obtaining, or using any license, License 
Exception, or export control document;
    B. Carrying on negotiations concerning, or ordering, buying, 
receiving, using, selling, delivering, storing, disposing of, 
forwarding, transporting, financing, or otherwise servicing in any way, 
any transaction involving any item exported or to be exported from the 
United States that is subject to the Regulations, or in any other 
activity subject to the Regulations; or
    C. Benefitting in any way from any transaction involving any item 
exported or to be exported from the United States that is subject to 
the Regulations, or in any other activity subject to the Regulations.
    II. No person may, directly or indirectly, do any of the following:
    A. Export or reexport to or on behalf of the Persons Subject To 
This Order any item subject to the Regulations;
    B. Take any action that facilitates the acquisition or attempted 
acquisition by the Persons Subject To This Order 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 Persons 
Subject To This Order 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 Persons Subject To This Order of any 
item subject to the Regulations that has been exported from the United 
States;
    D. Obtain from the Persons Subject To This Order 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 Persons Subject To 
This Order, or service any item, of whatever origin, that is owned, 
possessed or controlled by the Persons Subject To This Order 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.
    III. In addition to the Related Person named above, after notice 
and opportunity for comment as provided in section 766.23 of the 
Regulations, any other person, firm, corporation, or business 
organization related to the Denied Person by affiliation, ownership, 
control, or position of responsibility in the conduct of trade or 
related services may also be made subject to the provisions of this 
Order if necessary to prevent evasion of the Order.
    IV. This Order does not prohibit any export, reexport, or other 
transaction subject to the Regulations where the only items involved 
that are subject to the Regulations are the foreign-produced direct 
product of U.S.-origin technology.
    V. This Order is effective immediately and shall remain in effect 
until October 11, 2012.
    VI. In accordance with Part 756 of the Regulations, TAK 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.
    VII. In accordance with Part 756 of the Regulations, the Related 
Person may also file an appeal of this Order with the Under Secretary 
of Commerce for Industry and Security.
    VIII. A copy of this Order shall be delivered to the Denied Person 
and the Related Person. This Order shall be published in the Federal 
Register.

    Entered this 10th day of June 2009.
Bernard Kritzer,
Director, Office of Exporter Services.
[FR Doc. E9-14315 Filed 6-17-09; 8:45 am]
BILLING CODE 3510-DT-P