US embassy cable - 04ABUDHABI3253

UNCLAS ABU DHABI 003253 
 
SIPDIS 
 
STATE FOR PM/DTCC - BLUE LANTERN COORDINATOR 
DAMASCUS FOR DRUBENSTEIN 
 
E.O. 12958:    N/A 
TAGS: KOMC, ETTC, TC, SY 
 
SUBJECT: BLUE LANTERN LEVEL 2: PRELICENSE CHECK ON 05-934075 
 
REF: STATE 182909 
 
1. REFTEL REQUESTED THAT POST CONDUCT AN ON-SITE VISIT 
TO MICROHIT TECHNOLOGIES, THE INTERMEDIATE CONSIGNEE ON 
THE ABOVE-CAPTIONED APPLICATION FOR EXPORT LICENSE.  ON 
SEPTEMBER 8, 2004, COMMERCIAL OFFICER AND EXPORT 
CONTROL ATTACHE MARY O'BRIEN VISITED THE OFFICES OF 
MICROHIT AND MET WITH M.P. CHANDRAN, THE MANAGING 
DIRECTOR OF MICROHIT.  MICROHIT IS LOCATED IN A MODERN 
OFFICE BUILDING IN DOWNTOWN DUBAI AND IS STAFFED BY 
FIVE PEOPLE, THREE OF WHOM ARE TECHNICALLY TRAINED. 
MICROHIT, ESTABLISHED IN 2001, IS A SUPPLIER OF 
COMMUNICATIONS EQUIPMENT, SUCH AS PAGING AND TWO-WAY 
RADIO SYSTEMS, TO A VARIETY OF ORGANIZATIONS THROUGHOUT 
THE MIDDLE EAST, INCLUDING ARAMCO AND THE US AIR FORCE. 
THEY ARE THE EXCLUSIVE AGENTS FOR FOUR AMERICAN 
COMPANIES, ZETRON, EF JOHNSON, ITRONIX AND VYTEK. 
CHANDRAN WAS PREVIOUSLY EMPLOYED BY GLENAYRE, AN 
AMERICAN COMPANY LOCATED IN DULUTH, GEORGIA.  WHEN 
GLENAYRE CLOSED THEIR OFFICES IN THE MIDDLE EAST IN 
2001, CHANDRAN WAS RETAINED AS A CONSULTANT TO PERFORM 
SERVICE ON GLENAYRE EQUIPMENT PREVIOUSLY SOLD IN THE 
REGION.  CHANDRAN ALSO STARTED UP HIS OWN COMPANY TO 
SELL COMMUNICATIONS EQUIPMENT IN THE REGION.  THERE IS 
NO DEROGATORY INFORMATION CONCERNING THE BUSINESS 
OPERATIONS OF MICROHIT. 
 
2. CHANDRAN SAID HE HAS SOLD COMMUNICATIONS EQUIPMENT 
TO THE UNITED NATIONS DISENGAGEMENT OBSERVER FORCE 
(UNDOF) IN SYRIA IN THE PAST, BUT THE EQUIPMENT DID NOT 
REQUIRE AN EXPORT LICENSE.  HE EXPLAINED THAT THE 
SYSTEM THAT IS THE SUBJECT OF THIS EXPORT LICENSE WILL 
BE USED BY THE UNDOF AT CAMP FAOUAR IN THE GOLAN 
HEIGHTS AND WILL CONNECT THE ISOLATED UNDOF OBSERVER 
STATIONS LOCATED THROUGHOUT THE MOUNTAINOUS REGION TO 
ONE ANOTHER AND TO THE BASE STATION.  CHANDRAN PROVIDED 
COMMOFF WITH COPIES OF THE PURCHASE ORDER ISSUED BY 
UNDOF AND A COPY OF THE UNDOF END USE STATEMENT, WHICH 
SAYS THE EQUIPMENT WILL BE REEXPORTED FROM SYRIA TO A 
LOCATION OUTSIDE OF THE UNDOF MISSION AREA (SYRIA AND 
ISRAEL) BY UNDOF UPON COMPLETION OF THE UNDOF MANDATE. 
COPIES CAN BE PROVIDED UPON REQUEST. 
 
3. THE SYSTEM WILL BE TRANSSHIPPED THROUGH DUBAI TO 
DAMASCUS, WHERE IT WILL BE DELIVERED TO UNDOF'S 
CLEARING AGENT.  UNDOF STAFF WILL TAKE POSSESSION OF 
THE GOODS FROM THE CLEARING AGENT AND DELIVER IT TO 
CAMP FAOUAR, WHERE UNDOF PERSONNEL WILL INSTALL THE 
SYSTEM.  CHANDRAN SAID THERE IS SOME URGENCY TO THIS 
EXPORT BECAUSE WINTER COMES EARLY IN THE MOUNTAINS OF 
THE GOLAN HEIGHTS AND UNDOF IS HOPING TO GET THE SYSTEM 
INSTALLED AT THE REMOTE SITES BEFORE THE SNOW FALLS. 
 
SISON