Temporary Denial Order Extended for Re-Exports of U.S. Aircraft to Iran

WASHINGTON, D.C. –The U.S. Commerce Department's Bureau of Industry and Security (BIS) has renewed a Temporary Denial Order (TDO) suspending the export privileges of Balli Group PLC and certain related companies and individuals, Blue Airways, and Mahan Airways.  Under the Denial Order, Balli Group PLC, Blue Airways, and Mahan Airways may not directly or indirectly participate in or benefit in any way from any transaction subject to the Export Administration Regulations (EAR) for 180 days. It is also a violation of the EAR for any person to participate in a transaction subject to the EAR involving a denied party.

Evidence obtained by BIS shows that Balli Group PLC has violated the Export Administration Regulations  (EAR) and the TDO involving re-exports to Iran of three U.S. origin  aircraft and that such violations have been significant, deliberate and  covert, and that there is a likelihood of future violations.

In addition, false or misleading statements were made, whether affirmatively or through concealment or omission of material facts, to BIS regarding the ultimate destination and end-user of the aircraft.  Balli Group PLC is based in the United Kingdom.

The denial order extension does not cover Blue Sky Aviation 4, Blue Sky Aviation 5 and Blue Sky Aviation 6, which were named in the original order.

BACKGROUND

BIS controls exports and re-exports of dual-use commodities, technology and software for reasons of national security, missile technology, nuclear non-proliferation, chemical and biological non-proliferation, crime control, regional stability and anti-terrorism. Criminal and administrative sanctions can be imposed for violations of the Export Administration Regulations. For more information, please visit http://www.bis.doc.gov.

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