June 25, 1998

SENATORS HEAR NATIONAL SECURITY CONCERNS OVERLOOKED IN EXPORT CONTROL POLICY

Washington, D.C. -- According to an export licensing analyst at DOD's Defense Technology Security Administration (DTSA), Dr. Peter Leitner, recommendations to deny export license applications for critical technologies are being overturned in the interest of selling technology instead of protecting our Nation's security.

In at least one case, Leitner said, his recommendation to deny a license was changed in an official database while he was on vacation with his family. Senator Fred Thompson (R-TN), Chairman of the Governmental Affairs Committee said, "tampering with official databases is a very serious problem that demands immediate attention by the Department's Inspector General."

Leitner also gave several examples of critical technologies, including precision machine tools and high performance computers, which were transferred to both Chinese and Russian military establishments, after strong opposition by DTSA's licensing analysts. These devices have ended up in facilities which design cruise missiles, intercontinental ballistic missiles, and nuclear weapons.

"The process is rigged in favor of commercial interests rather than our national security interests," Senator Thompson concluded. "It is time to address this issue. We should not be selling critical technologies at the expense of our Nation's security."

Attached is Dr. Leitner's testimony. Franklin C. Miller, Principal Deputy Assistant Secretary of Defense for Strategy and Threat Reduction, will testify at 2:00 p.m. before the Committee.

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