19 May 1998 Source: http://www.access.gpo.gov/su_docs/aces/aaces002.html ------------------------------------------------------------------------- [Federal Register: May 19, 1998 (Volume 63, Number 96)] [Notices] [Page 27561-27562] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr19my98-51] ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE Bureau of Export Administration Action Affecting Export Privileges; Sanford B. Groetzinger; Order Denying Permission to Apply for or Use Export Licenses In the Matter of: Sanford B. Groetzinger currently incarcerated at: Federal Correction Institute, Number 21423038, P.O. Box 7000, Fort Dix, New Jersey 08640, and with an address at: 82 Dennison Street, Gloucester, Massachusetts 01930. On September 26, 1997, Sanford B. Groetzinger (Groetzinger) was convicted in the United States District Court for the District of Massachusetts on four courts of violating Section 38 of the Arms Export Control Act (currently codified at 22 U.S.C.A. 2778 (1990 & Supp. 1998)) (the AECA). Specifically, Groetzinger was convicted of knowingly and willfully exporting and attempting to export defense articles to France, for transshipment to Iran, without obtaining the required export licenses from the Department of State. Section 11(h) of the Export Administration Act of 1979, as amended (currently codified at 50 U.S.C.A. app. Secs. 2401-2420 (1991 & Supp. 1998)) (the Act),\1\ provides that, at the discretion of the Secretary of Commerce,\2\ no person convicted of violating the AECA, or certain other provisions of the United States Code, shall be eligible to apply for or use any license, including any License Exception, issued pursuant to, or provided by, the Act or the Export Administration Regulations (currently codified at 15 CFR Parts 730-774 (1997)) (the Regulations), for a period of up to 10 years from the date of the conviction. In addition, any license [[Page 27562]] issued pursuant to the Act in which such a person had any interest at the time of conviction may be revoked. --------------------------------------------------------------------------- \1\ The Act expired on August 20, 1994. Executive Order 12924 (3 CFR 1994 Comp. 917 (1995)), extended by Presidential Notices of August 15, 1995 (3 CFR, 1995 comp. 501 (1996)), August 14, 1996 (3 CFR, 1196 Comp. 298 (1997)), and August 13, 1997 (62 FR 43629, August 15, 1997), continued the Export Administration Regulations in effect under the International Emergency Economic Powers Act (50 U.S.C.A. Secs. 1701-1706 (1991 & Supp. 1998)). \2\ Pursuant to appropriate delegations of authority, the Director, Office of Exporter Services, in consultation with the Director, Office of Export Enforcement, exercises the authority granted to the Secretary by Section 11(h) of the Act. --------------------------------------------------------------------------- Pursuant to Sections 766.25 and 750.8(a) of the Regulations, upon notification that a person has been convicted of violating the AECA, the Director, Office of Exporter Services, in consultation with the Director, Office of Export Enforcement, shall determine whether to deny that person permission to apply for or use any license, including any License Exception, issued pursuant to, or provided by, the Act or the Regulations, and shall also determine whether to revoke any license previously issued to such a person. Having received notice of Groetzinger's conviction for violating the AECA, and following consultations with the Acting Director, Office of Export Enforcement, I have decided to deny Groetzinger permission to apply for or use any license, including any License Exception, issued pursuant to, or provided by, the Act and the Regulations, for a period of eight years from the date of his conviction. The eight-year period ends on September 26, 2005. I have also decided to revoke all licenses issued pursuant to the Act in which Groetzinger had an interest at the time of his conviction. Accordingly, it is hereby Ordered I. Until September 26, 2005, Sanford B. Groetzinger, currently incarcerated at Federal Correction Institute, Number 21423038, P.O. Box 7000, Fort Dix, New Jersey 08640 and with an address at 82 Dennison Street, Gloucester, Massachusetts 01930, 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. Benefiting 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 do, directly or indirectly, any of the following: A. Export or reexport to or on behalf of the denied person any item subject to the Regulations; B. Take any action that facilitates the acquisition or attempted acquisition by 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, 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 the denied person of any item subject to the Regulations that has been exported from the United States; D. Obtain from the denied person in the United States any item subject to the Regulations with knowledge or reason to know that the item will be, or is intended to be, exported from the United States; or E. Engage in any transaction to service any item subject to the Regulations that has been or will be exported from the United States and which is owned, possessed or controlled by the denied person, or service any item, of whatever origin, that is owned, possessed or controlled by the denied person if such service involves the use of any item subject to the Regulations that has been or will be exported from the United States. For purposes of this paragraph, servicing means installation, maintenance, repair, modification or testing. III. After notice and opportunity for comment as provided in Section 766.23 of the Regulations, any person, firm, corporation, or business organization related to Groetzinger by affiliation, ownership, control, or position of responsibility in the conduct of trade or related services may also be subject to the provisions of this 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-producted direct product of U.S.-origin technology. V. This Order is effective immediately and shall remain in effect until September 26, 2005. VI. A copy of this Order shall be delivered to Groetziner. This Order shall be published in the Federal Register. Dated: May 11, 1998. Eileen M. Albanese, Director, Office of Exporter Services. [FR Doc. 98-13286 Filed 5-18-98; 8:45 am] BILLING CODE 3510-DT-M ---------------------------------------------------------------------- [Federal Register: May 19, 1998 (Volume 63, Number 96)] [Notices] [Page 27560-27561] From the Federal Register Online via GPO Access [wais.access.gpo.gov] [DOCID:fr19my98-50] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE Bureau of Export Administration Action Affecting Export Privileges; Summit Marketing, Inc., Order Denying Permission To Apply for or Use Export Licenses In the Matter of: Summit Marketing, Inc., 52 Blackburn Center, Gloucester, Massachusetts 01930. On September 26, 1997, Summit Marketing, Inc. was convicted in the United States District Court for the District of Massachusetts on four counts of violating Section 38 of the Arms Export Control Act (currently codified at 22 U.S.C.A. Sec. 2778 (1990 & Supp. 1998)) (the AECA). Specifically, Summit Marketing, Inc. was convicted of knowingly and willfully exporting and attempting to export defense articles to France, for transshipment to Iran, without obtaining the required export licenses from the Department of State. Section 11(h) of the Export Administration Act of 1979, as amended (currently codified at 50 U.S.C.A. app. Secs. 2401-2420 (1991 & Supp. 1998)) (the Act),\1\ provides that, at the discretion of the Secretary of Commerce,\2\ no person convicted of violating the AECA, or certain other provisions of the United States Code, shall be eligible to apply for or use any license, including any [[Page 27561]] License Exception, issued pursuant to, or provided by, the Act or the Export Administration Regulations (currently codified at 15 C.F.R. Parts 730-774 (1997)) (the Regulations), for a period of up to 10 years from the date of the conviction. In addition, any license issued pursuant to the Act in which such a person had any interest at the time of conviction may be revoked. --------------------------------------------------------------------------- \1\ the Act expired on August 20, 1994. Executive Order 12924 (3 C.F.R., 1994 comp. 917 (1995)), extended by Presidential Notices of August 15, 1995 (3 C.F.R., 1995 Comp. 501 (1996)), August 14, 1996 (3 C.F.R., 1996 Comp. 298 (1997)), and August 13, 1997 (62 Fed. Reg. 43629, August 15, 1997), continued the Export Administration Regulations in effect under the International Emergency Economic Powers Act (50 U.S.C.A. Secs. 1701-1706 (1991 & Supp. 1998)). \2\ Pursuant to appropriate delegations of authority, the Director, Office of Exporter Services, in consultation with the Director, Office of Export Enforcement, exercises the authority granted to the Secretary by Section 11(h) of the Act. --------------------------------------------------------------------------- Pursuant to Sections 766.25 and 750.8(a) of the Regulations, upon notification that a person has been convicted of violating the AECA, the Director, Office of Exporter Services, in consultation with the Director, Office of Export Enforcement, shall determine whether to deny that person permission to apply for or use any license, including any License Exception, issued pursuant to, or provided by, the Act or the Regulations, and shall also determine whether to revoke any license previously issued to such a person. Having received notice of Summit Marketing, Inc.'s conviction for violating the AECA, and following consultations with the Acting Director, Office of Export Enforcement, I have decided to deny Summit Marketing, Inc. permission to apply for or use any license, including any License Exception, issued pursuant to, or provided by, the Act and the Regulations, for a period of eight years from the date of its conviction. The eight-year period ends on September 26, 2005. I have also decided to revoke all licenses issued pursuant to the Act in which Summit Marketing, Inc. had an interest at the time of its conviction. Accordingly, it is hereby Ordered I. Until September 26, 2005, Summit Marketing, Inc., 52 Blackburn Center, Gloucester, Massachusetts 01930, 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. Benefiting 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 do, directly or indirectly, any of the following: A. Export or reexport to or on behalf of the denied person any item subject to the Regulations; B. Take any action that facilitates the acquisition or attempted acquisition by 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, 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 the denied person of any item subject to the Regulations that has been exported from the United States; D. Obtain from the denied person in the United States any item subject to the Regulations with knowledge or reason to know that the item will be, or is intended to be, exported from the United States; or E. Engage in any transaction to service any item subject to the Regulations that has been or will be exported from the United States and which is owned, possessed or controlled by the denied person, or service any item, of whatever origin, that is owned, possessed or controlled by the denied person if such service involves the use of any item subject to the Regulations that has been or will be exported from the United States. For purposes of this paragraph, servicing means installation, maintenance, repair, modification or testing. III. After notice and opportunity for comment as provided in Section 766.23 of the Regulations, any person, firm, corporation, or business organization related to Summit Marketing, Inc. by affiliation, ownership, control, or position of responsibility in the conduct of trade or related services may also be subject to the provisions of this 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 Regulations are the foreign-produced direct product of U.S.-origin technology. V. This Order is effective immediately and shall remain in effect until September 26, 2005. VI. A copy of this Order shall be delivered to Summit Marketing, Inc. This Order shall be published in the Federal Register. Dated: May 11, 1998. Eileen M. Albanese, Director, Office of Exporter Services. [FR Doc. 98-13288 Filed 5-18-98; 8:45 am] BILLING CODE 3510-DT-M