Daily Rules, Proposed Rules, and Notices of the Federal Government
On November 10, 2011, in the U.S. District Court, Northern District of Ohio, Kue Sang Chun ("Chun") was convicted of violating Section 38 of the Arms Export Control Act (22 U.S.C. 2778 (2000)) ("AECA"). Specifically, Chun was convicted of knowingly exporting and causing the export from the United States to South Korea of Infra Red Focal Plane Array detectors and Infra Red camera engines which are designated as defense articles on the United States Munitions List, without having first obtained from the Department of State a license for such export or written authorization for such export. Chun was sentenced to 14 months in prison followed by two years of supervised release. Chun is also listed on the U.S. Department of State Debarred List.
Section 766.25 of the Export Administration Regulations ("EAR" or "Regulations")
I have received notice of Chun's conviction for violating AECA, and have provided notice and an opportunity for Chun to make a written submission to BIS, as provided in Section 766.25 of the Regulations. I have received a submission from Chun. Based upon my review and consultations with BIS's Office of Export Enforcement, including its Director, and the facts available to BIS, I have decided to deny Chun's export privileges under the Regulations for a period of five years from the date of Chun's conviction. I have also decided to revoke all licenses issued pursuant to the Act or Regulations in which Chun had an interest at the time of his conviction.
Accordingly, it is hereby
I. Until November 10, 2016, Kue Sang Chun, with last known addresses at: currently incarcerated at: Register Number 56727-060, FCI Loretto, Federal Correctional Institution, P.O. Box 1,000, Loretto, PA 15940, and with an address at: 578 Treeside Lane, Avon Lake, OH 44012, and when acting for or on behalf of Chun, his representatives, assigns, agents or employees (the "Denied Person"), may not, directly or indirectly, participate in any way in any transaction involving any commodity, software or technology (hereinafter collectively referred to as "item") exported or to be exported from the United States that is subject to the Regulations, including, but not limited to:
A. Applying for, obtaining, or using any license, License Exception, or export control document;
B. Carrying on negotiations concerning, or ordering, buying, receiving, using, selling, delivering, storing, disposing of, forwarding, transporting, financing, or otherwise
C. Benefitting in any way from any transaction involving any item exported or to be exported from the United States that is subject to the Regulations, or in any other activity subject to the Regulations.
II. No person may, directly or indirectly, do any of the following:
A. Export or reexport to or on behalf of the Denied Person any item subject to the Regulations;
B. Take any action that facilitates the acquisition or attempted acquisition by the Denied Person of the ownership, possession, or control of any item subject to the Regulations that has been or will be exported from the United States, including financing or other support activities related to a transaction whereby the Denied Person acquires or attempts to acquire such ownership, possession or control;
C. Take any action to acquire from or to facilitate the acquisition or attempted acquisition from the Denied Person of any item subject to the Regulations that has been exported from the United States;
D. Obtain from the Denied Person in the United States any item subject to the Regulations with knowledge or reason to know that the item will be, or is intended to be, exported from the United States; or
E. Engage in any transaction to service any item subject to the Regulations that has been or will be exported from the United States and which is owned, possessed or controlled by the Denied Person, or service any item, of whatever origin, that is owned, possessed or controlled by the Denied Person if such service involves the use of any item subject to the Regulations that has been or will be exported from the United States. For purposes of this paragraph, servicing means installation, maintenance, repair, modification or testing.
III. After notice and opportunity for comment as provided in Section 766.23 of the Regulations, any other person, firm, corporation, or business organization related to Chun by affiliation, ownership, control or position of responsibility in the conduct of trade or related services may also be subject to the provisions of this Order if necessary to prevent evasion of the Order.
IV. This Order does not prohibit any export, reexport, or other transaction subject to the Regulations where the only items involved that are subject to the Regulations are the foreign-produced direct product of U.S.-origin technology.
V. This Order is effective immediately and shall remain in effect until November 10, 2016.
VI. In accordance with Part 756 of the Regulations, Chun may file an appeal of this Order with the Under Secretary of Commerce for Industry and Security. The appeal must be filed within 45 days from the date of this Order and must comply with the provisions of Part 756 of the Regulations.
VII. A copy of this Order shall be delivered to the Chun. This Order shall be published in the