SADJ 7#3

VOL 7 NO 3 // by JASON M. WONG
INDUSTRYNEWS
for export violations. Further online comments
allegedly from de Jaray allege that
the prosecution was sought in exchange for
US/Canada trade concessions.
UN URGED TO END LIBYA
ARMS EMBARGO
VIETNAM WANTS ARMS
EMBARGO LIFTED
Vietnam wants the U.S. to lift fully an
embargo on arms sales that was eased last
year, but Washington is calling for more
progress by the communist-governed nation
on improving human rights, their respective
ambassadors said Tuesday.
This year marks the 20th anniversary
of the resumption of diplomatic relations
between the former enemies. Vietnam says
an end to the embargo, which was partially
lifted last October to help improve Vietnam’s
maritime security, would show relations
are fully normalized.
“It has political symbolism,” Ambassador
Pham Quang Vinh told the Center
for Strategic and International Studies, a
Washington think tank.
The U.S. and Vietnam have deepened
ties as they find common cause in countering
a rising China. Vietnam is also among 12
nations negotiating a U.S.-backed trans-Pacific
trade pact that Washington wants to finalize
this year to help boost exports to Asia.
The U.S., however, has voiced concern
about Russia refueling military planes
at the Vietnamese base at Cam Ranh Bay.
U.S. Ambassador Ted Osius blamed Russia
for using its arrangement with Vietnam for
“provocative” actions that could raise regional
tensions.
FEDS INDICT MAN FOR MISTAKES ON DIS-
CONTINUED FORMS
In 2008, the U.S. Census Bureau discontinued
the Shipper’s Export Declaration
for the Automated Export System. Despite
this fact, the U.S. Justice Department indicted
a California man, Pavel Flider, and
his company, Trident International, for
“false and misleading export information…
in an SED” with respect to fifteen exports
made between 2011 and 2013, long after
said “SED” had been definitively retired.
Because the statements on the discontinued
form were false, DOJ charged him
with violating the anti-smuggling statute,
18 U.S.C. § 554, which covers any export
made “contrary to any law or regulation of
the United States.” Despite attempting to
file the correct (albeit, discontinued) documents,
the rule violation turned the defendant
into a smuggler based upon his “false
statement” in an SED.
ATF BACKS OFF M855
AMMUNITION PROHIBITION
Foreign (and many American) readers
may be confused by the ATF attempt to ban
M855 5.56mm ammunition. Further discussion
on this subject can be found in this
month’s Legal Affairs article.
CANADIAN GOVERNMENT TO PAY $10MIL
FOR ERRONEOUS PROSECUTION
The Canadian Federal Government
has agreed to pay a Canadian businessman,
Steve de Jaray, more than $10 million to
compensate him for damages caused to him
by the government’s erroneous prosecution
in which it charged de Jaray with illegal exports
of items that were not in fact export
controlled.
The case began in 2008 when de Jaray’s
company, Apex Micro Electronics,
shipped microchips used in flat screen
televisions and video games to Hong Kong.
Canadian customs flagged the items as
suspicious. In February 2009, Canadian
Mounties and other officials raided de Jaray’s
home and office. According to de Jaray,
the raid (and subsequent false prosecution)
caused him to lose his business and
ultimately his house. Experts hired by de
Jaray determined that the microchips were
not export-controlled. Canada stayed, then
ultimately dropped, the prosecution.
Interestingly, and not entirely surprisingly,
it appears that there are some U.S.
fingerprints on the prosecution. Lawyers
for de Jaray allege, citing a cable released
by WikiLeaks, that just months before de
Jaray’s goods were seized, U.S. officials, including
a high official from the State Department’s
Bureau of Politico-Military Affairs,
chided the Canadians for their poor export
enforcement records and insisted that certain
trade concessions might be withheld
if the Canadians did not start following the
U.S. example and throw more people in jail
Libya has urged the UN Security
Council to approve a request for military
purchases as it struggles to combat Islamic
State extremists and protect its oil
fields. The internationally-recognized government,
one of two bodies that claims to
rule troubled Libya, has asked the council’s
sanctions committee to grant an exemption
to an arms embargo and allow it to beef up
its air force.
“The leadership of the Libyan army has
submitted specific requests for exemptions
from the arms embargo to the sanctions
committee,” Libyan Ambassador Ibrahim
Dabbashi told the 15-member council.
“These requests relate to reinforcing the
ability of the Libyan air force so that it may
be able to monitor Libya’s territory and
borders, and prevent the terrorists from
reaching oil fields and oil facilities, so that
it can protect the fortune and wealth of the
country,” he said.
The move came as Libya declared force
majeure on 11 of its oilfields due to the deteriorating
security situation, the state-run
National Oil Corporation said in a statement
on its website.
The oil assets covered by the declaration
included Mabrouk and Bahi, which
security officials said were overrun by Islamist
militants earlier this week after security
forces guarding the installations were
forced to retreat.
According to a document from the UN
security council’s sanctions committee, Libya
is seeking to purchase 14 MiG fighter jets,
seven helicopters, 150 tanks, 150 armed
personnel carriers mounted with machine
guns, 10,000 grenade launchers, along with
ammunition and mortars from defense contractors
from Ukraine, the Czech Republic
and Serbia.
10 SADEFENSEJOURNAL.COM