82 FR 43216 - Order Denying Export Privileges
DEPARTMENT OF COMMERCE
Bureau of Industry and Security Federal Register Volume 82, Issue 177 (September 14, 2017)
Bureau of Industry and Security
Federal Register Volume 82, Issue 177 (September 14, 2017)
| Page Range | 43216-43217 | |
| FR Document | 2017-19526 |
[Federal Register Volume 82, Number 177 (Thursday, September 14, 2017)] [Notices] [Pages 43216-43217] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-19526] ======================================================================== Notices Federal Register ________________________________________________________________________ This section of the FEDERAL REGISTER contains documents other than rules or proposed rules that are applicable to the public. Notices of hearings and investigations, committee meetings, agency decisions and rulings, delegations of authority, filing of petitions and applications and agency statements of organization and functions are examples of documents appearing in this section. ======================================================================== Federal Register / Vol. 82, No. 177 / Thursday, September 14, 2017 / Notices [[Page 43216]] DEPARTMENT OF COMMERCE Bureau of Industry and Security Order Denying Export Privileges In the Matter of: Ambar Esthela Morales, Inmate Number: 42245-408, FMC Carswell, Federal Medical Center, P.O. Box 27137, Fort Worth, TX 76127; On March 23, 2016, in the U.S. District Court for the District of Arizona, Ambar Esthela Morales (``Morales'') was convicted of violating Section 38 of the Arms Export Control Act (22 U.S.C. 2778 (2012)) (``AECA''). Specifically, Morales was convicted of knowingly and willfully attempting to export from the United States to Mexico defense articles designated on the United States Munition List, namely, 7,942 rounds of 7.62 x 39mm caliber ammunition, without the required U.S. Department of State license. Morales was sentenced to three years in prison, three years of supervised release, and a $100 assessment. 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 EAA [Export Administration Act], 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. 4610(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. 4610(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 pursuant to the Export Administration Act (``EAA'' or ``the Act'') or the Regulations in which the person had an interest at the time of her conviction. --------------------------------------------------------------------------- \1\ The Regulations are currently codified in the Code of Federal Regulations at 15 CFR parts 730-774 (2017). The Regulations issued pursuant to the Export Administration Act (50 U.S.C. 4601- 4623 (Supp. III 2015) (available at http://uscode.house.gov)) (``EAA'' or ``the Act''). Since 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 15, 2017 (82 FR 39005 (Aug. 16, 2017)), has continued the Regulations in effect under the International Emergency Economic Powers Act (50 U.S.C. 1701, et seq. (2012)). --------------------------------------------------------------------------- BIS has received notice of Morales's conviction for violating Section 38 of the AECA, and has provided notice and an opportunity for Morales to make a written submission to BIS, as provided in Section 766.25 of the Regulations. BIS has not received a submission from Morales. 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 Morales's export privileges under the Regulations for a period of five years from the date of Morales's conviction. I have also decided to revoke all licenses issued pursuant to the Act or Regulations in which Morales had an interest at the time of her conviction. Accordingly, it is hereby ordered: First, from the date of this Order until March 23, 2021, Ambar Esthela Morales, with a last known address of Inmate Number: 42245-408, FMC Carswell, Federal Medical Center, P.O. Box 27137, Fort Worth, TX 76127, and when acting for or on her behalf, her successors, assigns, employees, agents or representatives (``the Denied Person''), may not, directly or indirectly, participate in any way in any transaction involving any commodity, software or technology (hereinafter collectively referred to as ``item'') exported or to be exported from the United States that is subject to the Regulations, including, but not limited to: A. Applying for, obtaining, or using any license, license exception, or export control document; B. Carrying on negotiations concerning, or ordering, buying, receiving, using, selling, delivering, storing, disposing of, forwarding, transporting, financing, or otherwise servicing in any way, any transaction involving any item exported or to be exported from the United States that is subject to the Regulations, or engaging in any other activity subject to the Regulations; or C. Benefitting in any way from any transaction involving any item exported or to be exported from the United States that is subject to the Regulations, or from any other activity subject to the Regulations. Second, no person may, directly or indirectly, do any of the following: A. Export 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 the Denied Person of the ownership, possession, or control of any item subject to the Regulations that has been or will be exported from the United States, including financing or other support activities related to a transaction whereby the Denied Person acquires or attempts to acquire such ownership, possession or control; C. Take any action to acquire from or to facilitate the acquisition or attempted acquisition from the Denied Person of any item subject to the Regulations that has been exported from the United States; D. Obtain from the Denied Person in the United States any item subject to the Regulations with knowledge or reason to know that the item will be, or is intended to be, exported from the United States; or E. Engage in any transaction to service any item subject to the Regulations that has been or will be exported from the United States and which is owned, possessed or controlled by the Denied Person, or service any item, of whatever origin, that is owned, possessed or controlled by the Denied Person if such service involves the use of any item subject to the Regulations that has been or will be exported from the United States. For purposes of this paragraph, servicing means installation, maintenance, repair, modification or testing. [[Page 43217]] Third, 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 Morales by ownership, control, position of responsibility, affiliation, or other connection in the conduct of trade or business may also be made subject to the provisions of this Order in order to prevent evasion of this Order. Fourth, in accordance with part 756 of the Regulations, Morales may file an appeal of this Order with the Under Secretary of Commerce for Industry and Security. The appeal must be filed within 45 days from the date of this Order and must comply with the provisions of part 756 of the Regulations. Fifth, a copy of this Order shall be delivered to Morales, and shall be published in the Federal Register. Sixth, this Order is effective immediately and shall remain in effect until March 23, 2021. Dated: September 8, 2017. Karen H. Nies-Vogel, Director, Office of Exporter Services. [FR Doc. 2017-19526 Filed 9-13-17; 8:45 am] BILLING CODE P
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Notices Federal Register
Vol. 82, No. 177
Thursday, September 14, 2017
This section of the FEDERAL REGISTER license or order issued under the A. Applying for, obtaining, or using
contains documents other than rules or International Emergency Economic any license, license exception, or export
proposed rules that are applicable to the Powers Act (50 U.S.C. 1701–1706); 18 control document;
public. Notices of hearings and investigations, U.S.C. 793, 794 or 798; section 4(b) of B. Carrying on negotiations
committee meetings, agency decisions and the Internal Security Act of 1950 (50 concerning, or ordering, buying,
rulings, delegations of authority, filing of receiving, using, selling, delivering,
petitions and applications and agency
U.S.C. 783(b)); or section 38 of the Arms
statements of organization and functions are Export Control Act (22 U.S.C. 2778).’’ 15 storing, disposing of, forwarding,
examples of documents appearing in this CFR 766.25(a); see also Section 11(h) of transporting, financing, or otherwise
section. the EAA, 50 U.S.C. 4610(h). The denial servicing in any way, any transaction
of export privileges under this provision involving any item exported or to be
may be for a period of up to 10 years exported from the United States that is
DEPARTMENT OF COMMERCE from the date of the conviction. 15 CFR subject to the Regulations, or engaging
766.25(d); see also 50 U.S.C. 4610(h). In in any other activity subject to the
Bureau of Industry and Security addition, Section 750.8 of the Regulations; or
Regulations states that the Bureau of C. Benefitting in any way from any
Order Denying Export Privileges Industry and Security’s Office of transaction involving any item exported
In the Matter of: Ambar Esthela Exporter Services may revoke any or to be exported from the United States
Morales, Inmate Number: 42245–408, Bureau of Industry and Security (‘‘BIS’’) that is subject to the Regulations, or
FMC Carswell, Federal Medical Center, licenses previously issued pursuant to from any other activity subject to the
P.O. Box 27137, Fort Worth, TX 76127; the Export Administration Act (‘‘EAA’’ Regulations.
On March 23, 2016, in the U.S. or ‘‘the Act’’) or the Regulations in Second, no person may, directly or
District Court for the District of Arizona, which the person had an interest at the indirectly, do any of the following:
A. Export or reexport to or on behalf
Ambar Esthela Morales (‘‘Morales’’) was time of her conviction.
of the Denied Person any item subject to
convicted of violating Section 38 of the BIS has received notice of Morales’s
the Regulations;
Arms Export Control Act (22 U.S.C. conviction for violating Section 38 of B. Take any action that facilitates the
2778 (2012)) (‘‘AECA’’). Specifically, the AECA, and has provided notice and acquisition or attempted acquisition by
Morales was convicted of knowingly an opportunity for Morales to make a the Denied Person of the ownership,
and willfully attempting to export from written submission to BIS, as provided possession, or control of any item
the United States to Mexico defense in Section 766.25 of the Regulations. subject to the Regulations that has been
articles designated on the United States BIS has not received a submission from or will be exported from the United
Munition List, namely, 7,942 rounds of Morales. States, including financing or other
7.62 x 39mm caliber ammunition, Based upon my review and support activities related to a
without the required U.S. Department of consultations with BIS’s Office of transaction whereby the Denied Person
State license. Morales was sentenced to Export Enforcement, including its acquires or attempts to acquire such
three years in prison, three years of Director, and the facts available to BIS, ownership, possession or control;
supervised release, and a $100 I have decided to deny Morales’s export C. Take any action to acquire from or
assessment. privileges under the Regulations for a to facilitate the acquisition or attempted
Section 766.25 of the Export period of five years from the date of acquisition from the Denied Person of
Administration Regulations (‘‘EAR’’ or Morales’s conviction. I have also any item subject to the Regulations that
‘‘Regulations’’) 1 provides, in pertinent decided to revoke all licenses issued has been exported from the United
part, that ‘‘[t]he Director of the Office of pursuant to the Act or Regulations in States;
Exporter Services, in consultation with which Morales had an interest at the D. Obtain from the Denied Person in
the Director of the Office of Export time of her conviction. the United States any item subject to the
Enforcement, may deny the export Accordingly, it is hereby ordered: Regulations with knowledge or reason
privileges of any person who has been First, from the date of this Order until to know that the item will be, or is
convicted of a violation of the EAA March 23, 2021, Ambar Esthela Morales, intended to be, exported from the
[Export Administration Act], the EAR, with a last known address of Inmate United States; or
or any order, license, or authorization Number: 42245–408, FMC Carswell, E. Engage in any transaction to service
issued thereunder; any regulation, Federal Medical Center, P.O. Box 27137, any item subject to the Regulations that
Fort Worth, TX 76127, and when acting has been or will be exported from the
1 The Regulations are currently codified in the
for or on her behalf, her successors, United States and which is owned,
Code of Federal Regulations at 15 CFR parts 730–
774 (2017). The Regulations issued pursuant to the
assigns, employees, agents or possessed or controlled by the Denied
Export Administration Act (50 U.S.C. 4601–4623 representatives (‘‘the Denied Person’’), Person, or service any item, of whatever
asabaliauskas on DSKBBXCHB2PROD with NOTICES
(Supp. III 2015) (available at http:// may not, directly or indirectly, origin, that is owned, possessed or
uscode.house.gov)) (‘‘EAA’’ or ‘‘the Act’’). Since participate in any way in any controlled by the Denied Person if such
August 21, 2001, the Act has been in lapse and the
President, through Executive Order 13222 of August
transaction involving any commodity, service involves the use of any item
17, 2001 (3 CFR, 2001 Comp. 783 (2002)), which software or technology (hereinafter subject to the Regulations that has been
has been extended by successive Presidential collectively referred to as ‘‘item’’) or will be exported from the United
Notices, the most recent being that of August 15, exported or to be exported from the States. For purposes of this paragraph,
2017 (82 FR 39005 (Aug. 16, 2017)), has continued
the Regulations in effect under the International
United States that is subject to the servicing means installation,
Emergency Economic Powers Act (50 U.S.C. 1701, Regulations, including, but not limited maintenance, repair, modification or
et seq. (2012)). to: testing.
VerDate Sep<11>2014 16:41 Sep 13, 2017 Jkt 241001 PO 00000 Frm 00001 Fmt 4703 Sfmt 4703 E:\FR\FM\14SEN1.SGM 14SEN1](https://thefederalregister.org/doc/82_FR_43393/page/1.svg)
![Federal Register / Vol. 82, No. 177 / Thursday, September 14, 2017 / Notices 43217
Third, after notice and opportunity for and under the jurisdiction of the Bureau Person’’), may not, directly or indirectly,
comment as provided in Section 766.23 of Industry and Security (‘‘BIS’’), U.S. participate in any way in any
of the Regulations, any other person, Department of Commerce (‘‘DOC’’), transaction involving any commodity,
firm, corporation, or business without the required BIS/DOC license. software or technology (hereinafter
organization related to Morales by Karpenko was sentenced to time served collectively referred to as ‘‘item’’)
ownership, control, position of and an assessment of $100.00. exported or to be exported from the
responsibility, affiliation, or other Section 766.25 of the Regulations United States that is subject to the
connection in the conduct of trade or provides, in pertinent part, that ‘‘[t]he Regulations, including, but not limited
business may also be made subject to Director of the Office of Exporter to:
the provisions of this Order in order to Services, in consultation with the A. Applying for, obtaining, or using
prevent evasion of this Order. Director of the Office of Export any license, license exception, or export
Fourth, in accordance with part 756 of Enforcement, may deny the export control document;
the Regulations, Morales may file an privileges of any person who has been B. Carrying on negotiations
appeal of this Order with the Under convicted of a violation of the EAA concerning, or ordering, buying,
Secretary of Commerce for Industry and [Export Administration Act], the EAR, receiving, using, selling, delivering,
Security. The appeal must be filed or any order, license, or authorization storing, disposing of, forwarding,
within 45 days from the date of this issued thereunder; any regulation, transporting, financing, or otherwise
Order and must comply with the license or order issued under the servicing in any way, any transaction
provisions of part 756 of the International Emergency Economic involving any item exported or to be
Regulations. Powers Act (50 U.S.C. 1701–1706); 18 exported from the United States that is
Fifth, a copy of this Order shall be U.S.C. 793, 794 or 798; section 4(b) of subject to the Regulations, or engaging
delivered to Morales, and shall be the Internal Security Act of 1950 (50 in any other activity subject to the
published in the Federal Register. U.S.C. 783(b))[;] or section 38 of the Regulations; or
Sixth, this Order is effective Arms Export Control Act (22 U.S.C. C. Benefitting in any way from any
immediately and shall remain in effect 2778).’’ 15 CFR 766.25(a); see also transaction involving any item exported
until March 23, 2021. Section 11(h) of the EAA, 50 U.S.C. or to be exported from the United States
4610(h). The denial of export privileges that is subject to the Regulations, or
Dated: September 8, 2017.
under this provision may be for a period from any other activity subject to the
Karen H. Nies-Vogel, of up to 10 years from the date of the Regulations.
Director, Office of Exporter Services. conviction. 15 CFR 766.25(d); see also Second, no person may, directly or
[FR Doc. 2017–19526 Filed 9–13–17; 8:45 am] 50 U.S.C. 4610(h). In addition, Section indirectly, do any of the following:
BILLING CODE P 750.8 of the Regulations states that BIS’s A. Export or reexport to or on behalf
Office of Exporter Services may revoke of the Denied Person any item subject to
any BIS licenses previously issued the Regulations;
DEPARTMENT OF COMMERCE pursuant to the Export Administration B. Take any action that facilitates the
Act (‘‘EAA’’ or ‘‘the Act’’) or the acquisition or attempted acquisition by
Bureau of Industry and Security the Denied Person of the ownership,
Regulations in which the person had an
interest at the time of his conviction. possession or control of any item subject
In the Matter of: Dmitrii Karpenko, to the Regulations that has been or will
a/k/a Simon Fox, Pavlova St 11–75, BIS has received notice of Karpenko’s
conviction for violating IEEPA, and has be exported from the United States,
Nevinnomyssk, Stavropol Region, including financing or other support
Russia; Order Denying Export provided notice and an opportunity for
Karpenko to make a written submission activities related to a transaction
Privileges whereby the Denied Person acquires or
to BIS, as provided in Section 766.25 of
On April 28, 2017, in the U.S. District the Regulations. BIS has not received a attempts to acquire such ownership,
Court for the Eastern District of New submission from Karpenko. possession or control;
York, Dmitrii Karpenko, a/k/a Simon Based upon my review and C. Take any action to acquire from or
Fox (‘‘Karpenko’’) was convicted of consultations with BIS’s Office of to facilitate the acquisition or attempted
violating the International Emergency Export Enforcement, including its acquisition from the Denied Person of
Economic Powers Act (50 U.S.C. 1701, Director, and the facts available to BIS, any item subject to the Regulations that
et seq. (2012)) (‘‘IEEPA’’). Specifically, I have decided to deny Karpenko’s has been exported from the United
Karpenko was convicted of violating export privileges under the Regulations States;
Section 206 of IEEPA, 50 U.S.C. 1705, for a period of five (5) years from the D. Obtain from the Denied Person in
by willfully conspiring with others to date of Karpenko’s conviction. I have the United States any item subject to the
export from the United States to Russia also decided to revoke all licenses Regulations with knowledge or reason
microelectronics items controlled issued pursuant to the Act or to know that the item will be, or is
pursuant to the Export Administration Regulations in which Karpenko had an intended to be, exported from the
Regulations (‘‘EAR’’ or ‘‘Regulations’’),1 interest at the time of his conviction. United States; or
Accordingly, it is hereby ordered: E. Engage in any transaction to service
1 The Regulations are currently codified in the First, from the date of this Order until any item subject to the Regulations that
Code of Federal Regulations at 15 CFR parts 730– April 28, 2022, Dmitrii Karpenko, a/k/ has been or will be exported from the
asabaliauskas on DSKBBXCHB2PROD with NOTICES
774 (2017). The Regulations issued pursuant to the a Simon Fox, with a last known address United States and which is owned,
Export Administration Act (50 U.S.C. 4601–4623 possessed or controlled by the Denied
(Supp. III 2015) (available at http:// of Pavlova Street 11–75, Nevinnomyssk,
uscode.house.gov)) (‘‘EAA’’ or ‘‘the Act’’). Since Stavropol Region, Russia, and when Person, or service any item, of whatever
August 21, 2001, the Act has been in lapse and the acting for or on his behalf, his origin, that is owned, possessed or
President, through Executive Order 13222 of August successors, assigns, employees, agents controlled by the Denied Person if such
17, 2001 (3 CFR, 2001 Comp. 783 (2002)), which service involves the use of any item
has been extended by successive Presidential or representatives (‘‘the Denied
Notices, the most recent being that of August 15,
subject to the Regulations that has been
2017 (82 FR 39005 (Aug. 16, 2017)), has continued Emergency Economic Powers Act (50 U.S.C. 1701, or will be exported from the United
the Regulations in effect under the International et seq. (2012)). States. For purposes of this paragraph,
VerDate Sep<11>2014 16:41 Sep 13, 2017 Jkt 241001 PO 00000 Frm 00002 Fmt 4703 Sfmt 4703 E:\FR\FM\14SEN1.SGM 14SEN1](https://thefederalregister.org/doc/82_FR_43393/page/2.svg)
Document Created: 2017-09-13 23:49:46
Document Modified: 2017-09-13 23:49:46
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| FR Citation | 82 FR 43216 |
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