[Federal Register: February 20, 2007 (Volume 72, Number 33)]
[Notices]
[Page 7811-7812]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20fe07-40]
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DEPARTMENT OF STATE
[Public Notice 5698]
Debarment Involving Henry L. Lavery III and Security Assistance
International, Inc.
ACTION: Notice.
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SUMMARY: Notice is hereby given that the Department of State has
imposed an administrative debarment against Henry L. Lavery III and
Security Assistance International, Inc. pursuant to a December 12, 2006
Consent Agreement and other authority based upon section 127.7(a) and
(b)(2) of the International Traffic in Arms Regulations (ITAR) (22 CFR
sections 120 to 130).
EFFECTIVE DATE: December 12, 2006.
FOR FURTHER INFORMATION CONTACT: David Trimble, Director, Office of
Defense Trade Controls Compliance, Bureau of Political-Military
Affairs, Department of State (202) 663-2700.
SUPPLEMENTARY INFORMATION: Section 127.7 of the ITAR authorizes the
Assistant Secretary of State for Political-Military Affairs to debar
any person who has been found pursuant to Section 128 of the ITAR to
have committed a violation of the Arms Export Control Act (AECA) or the
ITAR of such character as to provide a reasonable basis for the Office
of Defense Trade Controls Compliance to believe that the violator
cannot be relied upon to comply with the AECA or ITAR in the future.
Such debarment prohibits the subject from participating directly or
indirectly in the export of defense articles or defense services for
which a license or approval is required by the ITAR.
Debarred persons are generally ineligible to participate in
activity regulated under the ITAR (see e.g., sections 120.1(c) and (d),
126.7, 127.1(c), and 127.11(a)). The Department of State will not
consider applications for licenses or requests for approvals that
involve any debarred person.
Henry L. Lavery III doing business as Security Assistance
International, Inc., (SAI) was under a Consent Agreement dated June 3,
1999, as a result of a Proposed Charging Letter alleging numerous ITAR
violations between April 1993 and April 1999. Mr. Lavery and his
company, SAI, were cited for submitting export applications on behalf
of clients containing falsified applicant signatures; failing to
maintain records as required under the ITAR; obtaining export licenses
for firms whose registrations expired or who were never registered; and
brokering without being registered and without authorization. Under the
June 3, 1999, Consent Agreement, Mr. Lavery was required to pay a
$10,000 penalty, register as a broker, reconstruct export records,
cease participating directly or indirectly in exports of defense
articles and/or defense services and implement a compliance program
outlining SAI's operating procedures and internal controls for
adherence to the ITAR. On or about August 1, 2001, Mr. Lavery completed
the requirements of the Consent Agreement and his export privileges
were reinstated by the Department.
On July 11, 2005, the Office of Defense Trade Controls Compliance
conducted a review of SAI's ITAR
[[Page 7812]]
compliance program. The review determined that many of the practices,
which led to the June 3, 1999, Consent Agreement, had not been
corrected. A July 14, 2003 license application for the temporary export
of Night Vision equipment was submitted by Mr. Lavery on behalf of an
unregistered company; Mr. Lavery was unable to provide complete records
and/or was unable to produce records required to be maintained by the
ITAR for his current authorized exports; and Mr. Lavery violated a
license proviso requiring proof of export be provided to the
Department.
On December 12, 2006, as the result of these continuing violations,
the Department and Mr. Lavery entered into a new Consent Agreement,
which debarred Mr. Lavery and SAI until December 12, 2007.
Reinstatement after December 12, 2007 is not automatic but contingent
on full compliance with the terms of the December 12, 2006 Consent
Agreement and evidence that the underlying problems that gave rise to
the violations have been corrected. At the end of the debarment period,
Mr. Lavery and SAI may apply for reinstatement. Until licensing
privileges are reinstated, Mr. Lavery and SAI will remain debarred.
This notice is provided to make the public aware that the persons
listed above are prohibited from participating directly or indirectly
in any brokering activities and in any export from or temporary import
into the United States of defense articles, related technical data, or
defense services in all situations covered by the ITAR.
Exceptions may be made to this denial policy on a case-by-case
basis at the discretion of the Directorate of Defense Trade Controls.
However, such an exception would be granted only after a full review of
all circumstances, paying particular attention to the following
factors: Whether an exception is warranted by overriding U.S. foreign
policy or national security interests; whether an exception would
further law enforcement concerns that are consistent with foreign
policy or national security interests of the United States; or whether
other compelling circumstances exist that are consistent with the
foreign policy or national security interests of the United States, and
law enforcement concerns.
This notice involves a foreign affairs function of the United
States encompassed within the meaning of the military and foreign
affairs exclusion of the Administrative Procedures Act. Because the
exercise of this foreign affairs function is highly discretionary, it
is excluded from review under the Administrative Procedures Act.
Dated: January 29, 2007.
Ambassador Stephen Mull,
Acting Assistant Secretary for Political-Military Affairs.
[FR Doc. E7-2831 Filed 2-16-07; 8:45 am]
BILLING CODE 4710-25-P