Archive for the ‘Reexport’ Category

DDTC Requires Foreign Applicants to Submit New Certification

2014/11/24

By: John Black

On October 1, 2014, DDTC noted on its website a new requirement for applications submitted by foreign parties for reexports or retransfer of USML items.  Foreign applications must include a certification statement that is similar to the long-standing ITAR 126.13 certification that U.S. applicants must provide with each application. To the relief of these foreign parties, the added requirement is minimal—just an extra piece of paperwork to remember.

The foreign party certification letter must comply with these requirements:

1. The letter must state if the applicant or any senior officer of the company has been charged with ITAR violations or is otherwise ineligible to receive a license to temporarily import or export USML items.

2. The letter must also state if any party involved in the transaction has been charged with ITAR violations or is otherwise ineligible for the proposed licensure.

3. The letter must be signed by a responsible official empowered by the applicant.

While the ITAR requires that the party signing the certification by U.S. parties must be an “empowered official,” as defined in the ITAR, DDTC did not provide a similar definition for “responsible official empowered by the applicant.”  Lacking specific guidance of a definition, it would be reasonable to have the certification signed by someone similar to a U.S. “empowered official.”

For more details on this new requirement, go to the website guidance here.

 


DDTC Requires ITAR § 126.13 Style Certification from Foreign Persons Requesting Reexport/Retransfer Authorization

2014/10/07

By: Brooke Driver

From now on, foreign persons requesting reexport/retransfer authorization of defense articles pursuant to §123.9(c) must provide a certification similar to what US persons must provide when they apply for ITAR licenses or agreements.  The letter from foreign persons must address the following:

– Whether the applicant or the chief executive officer, president, vice-presidents, secretary, partner, member, other senior officers or officials (e.g., comptroller, treasurer, general counsel) or any member of the board of directors is the subject of an indictment or has been otherwise charged, convicted of, violating any of the U.S. criminal statutes enumerated in §120.27 of ITAR; or is ineligible to contract with, or to receive a license or other approval to temporarily import or export defense articles or defense services from any agency of the U.S. Government;

– Whether, to the best of the applicant’s knowledge, any party to the export as defined in §126.7(e) has been convicted of violating any of the U.S. criminal statutes enumerated in §120.27 of this subchapter, or is ineligible to contract with, or to receive a license or other approval to temporarily import or export defense articles or defense services from any agency of the U.S. government.

DDTC’s guidance, which it posted on www.pmddtc.state.gov, also requires that the foreign party signing the statement must be a responsible official empowered by the applicant.  Typically, an ITAR empowered official is a US person in a US entity.  This new guidance indicates that DDTC wants foreign applicants to have something like a foreign version of a US empowered official to sign certifications and applications to DDTC.