;

17-0113 Friday “The Daily Bugle”

17-0113 Friday “Daily Bugle”

Friday, 13 January 2016

TOPThe Daily Bugle is a free daily newsletter from Full Circle Compliance, containing changes to export/import regulations (ATF, Customs, NISPOM, EAR, FACR/OFAC, FTR/AES, HTSUS, and ITAR), plus news and events. Subscribe here for free subscription. Contact us for advertising inquiries and rates

  1. Commerce/BIS Seeks Comments on Report of Requests for Restrictive Trade Practice or Boycott 
  2. Commerce/BIS Seeks Comments on the Increase of Controls on Infrared Detection Items
  3. Justice/ATF Seeks Comments on Form 2 (5320.2), Notice of Firearms Manufactured or Imported 
  4. State Seeks Comments on USML Cat. XII
  1. Ex/Im Items Scheduled for Publication in Future Federal Register Editions 
  2. Commerce/BIS: (No new postings.) 
  3. DHS/CBP Posts Notice on ACE Production Outage on 14 Jan
  4. DoD/DSS Posts Notice on Renewal and Revisions of “Department of Defense Security Agreement (DD Form 441)”, and “Appendage to Department of Defense Security Agreement (DD Form 441-1)” 
  5. Justice: “Volkswagen AG Agrees to Plead Guilty and Pay $4.3 Billion in Criminal and Civil Penalties” 
  6. State/DDTC: (No new postings.) 
  7. Treasury/OFAC: Toronto-Dominion Bank Settles Potential Civil Liability, and Separately Receives a Finding of Violation, for Apparent Violations of the Iranian Transactions and Sanctions Regulations and the Cuban Assets Control Regulations 
  8. Treasury/OFAC Posts Updated Sudanese Sanctions Regulations 
  9. President Revokes Certain Sudan-Related Sanctions 
  1. Expeditors News: “Canada Customs Publishes Trade Compliance Target Areas”
  2. Reuters: “U.S. Moves to Lift Decades-Old Trade Embargo against Sudan”
  3. Space News: “Federal Government Tweaks Space Export Control Rules”
  4. ST&R Trade Report: “$30 Million in Penalties for Repeat FCPA Violations”
  5. ST&R Trade Report: “Largest Civil Penalty Ever Under U.S. Customs Laws Assessed in Vehicle Emissions Case”
  1. J.E. Bartlett III: The ITAR Changes Again on January 15th — USML Category XV, Spacecraft & Related Articles”
  1. Friday List of Approaching Events
  1. Bartlett’s Unfamiliar Quotations 
  2. Are Your Copies of Regulations Up to Date? Latest Changes: ATF (15 Jan 2016), Customs (20 Dec 2016), DOD/NISPOM (18 May 2016), EAR (10 Jan 2017), FACR/OFAC (23 Dec 2016), FTR (15 May 2015), HTSUS (1 Jan 2017), ITAR (10 Jan 2017)

EXIMEX/IM ITEMS FROM TODAY’S FEDERAL REGISTER

EXIM_a1

1. Commerce/BIS Seeks Comments on Report of Requests for Restrictive Trade Practice or Boycott
(Source: Federal Register) [Excerpts.]
 
82 FR 4286: Submission for OMB Review; Comment Request; Report of Requests for Restrictive Trade Practice or Boycott …
  – Agency: Bureau of Industry and Security.
  – Title: Report of Requests for Restrictive Trade Practice or
Boycott.
  – Form Number(s): BIS-621P, BIS-6051P, BIS-6051 P-a.
  – Needs and Uses: This information is used to monitor requests for participation in foreign boycotts against countries friendly to the U.S. The information is analyzed to note changing trends and to decide upon appropriate action to be taken to carry out the United States’ policy of discouraging its citizens from participating in foreign restrictive trade practices and boycotts directed against friendly countries. …
 
  Sheleen Dumas, PRA Departmental Lead, Office of the Chief Information Officer.

* * * * * * * * * * * * * * * * * * * *

EXIM_a2

2. Commerce/BIS Seeks Comments on the Increase of Controls on Infrared Detection Items

(Source: Federal Register) [Excerpts.]
 
82 FR 4287-4289: Increase of Controls: Infrared Detection Items
* AGENCY: Bureau of Industry and Security, Commerce.
* ACTION: Notice of inquiry with request for comments.
* SUMMARY: On October 12, 2016, the Bureau of Industry and Security (BIS) published a final rule entitled “Revisions to the Export Administration Regulations (EAR): Control of Fire Control, Laser, Imaging, and Guidance Equipment the President Determines No Longer Warrant Control Under the United States Munitions List (USML).” This notice of inquiry is published to request comments from the public on the impact of further increasing certain controls implemented by that final rule.
* DATES: Comments must be received by BIS no later than March 14, 2017.
* ADDRESSES: Comments on this rule may be submitted to the Federal rulemaking portal (www.regulations.gov). The regulations.gov ID for this rule is: BIS-2017-0001. Please refer to RIN 0694-XC035 in all comments.
* FOR FURTHER INFORMATION CONTACT: Christopher Costanzo at 202-482-0718 or Email Chistopher.Costanzo@bis.doc.gov.
* SUPPLEMENTARY INFORMATION: …
  On October 12, 2016, the Bureau of Industry and Security (BIS) published a final rule entitled “Revisions to the Export Administration Regulations (EAR): Control of Fire Control, Laser, Imaging, and Guidance Equipment the President Determines No Longer Warrant Control Under the United States Munitions List (USML)” (81 FR 70320), hereafter referred to as the “October 12 final rule.” This final rule was preceded by two proposed rules published on May 5, 2015 (80 FR 25798) (“May 5, 2015 proposed rule”) and February 19, 2016 (81 FR 8421) (“February 19, 2016 proposed rule”). Revisions made by the October 12 final rule became effective on December 31, 2016. During the course of public comment and interagency discussion on the rule that became effective at the end of 2016, several ideas for new types of controls under the ITAR arose. Because these controls were not proposed earlier and not subject to public comment, they were not included in the October 12 final rule. Thus, the Department of State is publishing a notice of inquiry addressing those controls. Along with those possible new controls under the ITAR, this notice of inquiry requests comments from the public on the potential impact of increasing certain EAR controls established in the October 12 final rule. Items controlled in certain Export Control Classification Numbers (ECCNs) in Category 6 of the Commerce Control List (CCL) can be incorporated into foreign military commodities. To provide greater visibility into exports, reexports, and in-country transfers of such items, the October 12 final rule increased the scope of controls described in Sec. 744.9 (Restrictions on exports, reexports, and transfers of certain cameras, systems, or related components) and the scope of Export Control Classification Number (ECCN) 0A919 (“Military Commodities” Located and Produced Outside the United States . . . .). This Notice of Inquiry seeks public comment on the impact of imposing additional license requirements for certain transactions, including the effect such controls would have on: The national security or foreign policy interests of the United States; the export performance of the United States; the competitive position of the United States in the international economy; the international reputation of the United States as a supplier of goods and technology; or the economic well-being of individual United States companies. This includes comments addressing the competitive advantage of U.S. companies vis-[agrave]-vis non-U.S. companies, any impacts to the technological edge of U.S. companies, and whether these changes would influence assembly and integration activities inside and outside of the United States. Public comments should also state whether or not foreign availability exists for items subject to potential additional controls and, to the extent such foreign availability exists, describe such foreign availability in detail. …
 
  Dated: January 9, 2017.
Kevin J. Wolf, Assistant Secretary for Export Administration.

* * * * * * * * * * * * * * * * * * * *

EXIM_a3

3. Justice/ATF Seeks Comments on Form 2 (5320.2), Notice of Firearms Manufactured or Imported
(Source: Federal Register) [Excerpts.]
 
82 FR 4419-4420: Agency Information Collection Activities; Proposed eCollection eComments Requested; [Notice of Firearms Manufactured or Imported (ATF Form 2 (5320.2)]
* AGENCY: Bureau of Alcohol, Tobacco, Firearms and Explosives, Department of Justice.
* ACTION: 30-Day notice. …
* DATES: Comments are encouraged and will be accepted for an additional 30 days until February 13, 2017.
* FOR FURTHER INFORMATION CONTACT: Gary Schaible, Office of Enforcement Programs and Services, National Firearms Act Division, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) either by mail at 99 New York Ave. NE., Washington, DC 20226, by email at nfaombcomments@atf.gov, or by telephone 202 648-7165. Written comments and/or suggestions can also be directed to the Office of Management and Budget, Office of Information and Regulatory Affairs, Attention Department of Justice Desk Officer, Washington, DC 20503 or sent to OIRA_submissions@omb.eop.gov.
* SUPPLEMENTARY INFORMATION: …
  – The Title of the Form/Collection: Notice of Firearms
Manufactured or Imported. …
  – Form number: ATF Form 2 (5320.2).
  – Component: Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Department of Justice.
  – Abstract: The ATF Form 2 (5320.2) is required of (1) a person who is qualified to manufacture National Firearms Act (NFA) firearms, or (2) a person who is qualified to import NFA firearms to register manufactured or imported NFA firearm(s). …
 
  Melody Braswell, Department Clearance Officer for PRA, U.S. Department of Justice.

* * * * * * * * * * * * * * * * * * * *

EXIM_a4

4. State Seeks Comments on USML Cat. XII
(Source: Federal Register) [Excerpts.]
 
82 FR 4226-4229: Notice of Inquiry; Request for Comments Regarding United States Munitions List Category XII
* AGENCY: Department of State.
* ACTION: Notice of Inquiry, request for comments.
* SUMMARY: The Department of State requests comments from the public regarding recent revisions to Category XII of the United States Munitions List (USML). In light of the ongoing transition of the USML to a more “positive list” pursuant to the President’s Export Control Reform (ECR) initiative, the Department requests that the public comment on (1) alternatives to controls on certain items when “specially designed for a military end user,” (2) the scope of the control in paragraph (b)(1), and (3) certain technical parameters that the Department is evaluating to replace “specially designed” controls.
* DATES: The Department of State will accept comments on this Notice of Inquiry until March 14, 2017. …
* FOR FURTHER INFORMATION CONTACT: Mr. C. Edward Peartree, Director, Office of Defense Trade Controls Policy, Department of State, telephone (202) 663-2792; email DDTCPublicComments@state.gov. ATTN: Request for Comments Regarding USML Category XII.
* SUPPLEMENTARY INFORMATION: …
  Comments on Specially Designed for a Military End User Parameters: On October 12, 2016, the Department published a final rule amending USML Category XII, effective December 31, 2016 (81 FR 70340). In the final rule, the Department adopted control text in seven subparagraphs that controls specific items when they are specially designed for a military end user. The term military end user is defined in the new Note to Category XII, as the national armed services (army, navy, marine, air force, or coast guard), national guard, national police, government intelligence or reconnaissance organizations, or any person or entity whose actions or functions are intended to support military end uses. As the Note further states, an item is not specially designed for a military end user if it was developed for both military and non-military end users, or if the item was created for no specific end user. The Note also provides that contemporaneous documents are required to support the design intent; otherwise, use by a military end user establishes that the item is specially designed for a military end user.
  As stated in the final rule, the Department adopted this control based on original design intent because the Department and its interagency partners cannot yet articulate objective technical criteria that would establish a bright line between military and commercial and civil systems. The Department is soliciting additional public input, asking for suggested control parameters for these seven entries in the final rule …
 
  C. Edward Peartree, Office Director, Defense Trade Controls Policy, Bureau of Political-Military Affairs, Department of State.

* * * * * * * * * * * * * * * * * * * *

OGSOTHER GOVERNMENT SOURCES

OGS_a15. Ex/Im Items Scheduled for Publication in Future Federal Register Editions
(Source: Federal Register

* Commerce; Industry and Security Bureau; RULES; Revisions to Sudan Licensing Policy [Publication Date: 17 January 2017.]

* Commerce; Industry and Security Bureau; NOTICES; Agency Information Collection Activities; Proposals, Submissions, and Approvals: Voluntary Self-Disclosure of Antiboycott Violations [Publication Date: 17 January 2017.]

* Commerce; Industry and Security Bureau; NOTICES; Orders: Berty Tyloo [Publication Date: 17 January 2017.]

* Treasury; Foreign Assets Control Office; RULES; Sudanese Sanctions Regulations [Publication Date: 17 January 2017.]

* Treasury; Foreign Assets Control Office; NOTICES; Blocking or Unblocking of Persons and Properties [Publication Date: 17 January 2017.]

* U.S. Customs and Border Protection; PROPOSED RULES; Donations of Technology and Support Services to Enforce Intellectual Property Rights [Publication Date: 17 January 2017.]

* U.S. Customs and Border Protection; NOTICES; Automated Commercial Environments: Sole CBP-Authorized Electronic Data Interchange System for Processing Electronic Drawback and Duty Deferral Entry and Entry Summary Filings [Publication Date: 17 January 2017.]

* U.S. Customs and Border Protection; NOTICES; National Customs Automation Program Tests: Reconciliation, Post-Summary Corrections, and Periodic Monthly Statements [Publication Date: 17 January 2017.]

* * * * * * * * * * * * * * * * * * * *

* * * * * * * * * * * * * * * * * * * *

(Source: CSMS# 17-000018, 13 Jan 2017.)
 
Please be advised that there will be an ACE PRODUCTION Outage Saturday evening, January 14, 2017 starting 2200 ET and ending Sunday, January 15, 2016 at 0400 ET.
 
The following ACE Deployments will take place during this time:
 
ACE Manifest
 
  – CAOM-7699: Air MOT: Fixed duplicate Hold house bill notifications sent to Master bill onward carrier each time the master bill of lading was deleted and re-added.
  – CAOM-5030: ‘1I’ (Hold Removed notification) was not getting sent for a Deleted bill with a Hold that subsequently had its Hold Removed.
 
ACE Entry Summary Query
 
  – CAOM-8458: Enhance Entry Summary Query (JC message) to authorize use to Sureties.
 
Allow use of the ACE ES Query by Sureties, who previously used the ACS ES Query. If a party is not authorized to use the ES Query they will receive the message: QUERY NOT PERMITTED FOR ENTRY NUMBER
 
 – CAOM-7240: Adjust formatting of new ES Query response fields (in JD output message) for negative values. Negative amount fields were output, for example, as “0000000-1716”, but should have output “-00000001716”; negative sign should precede the leading zeroes in the field.
 
 
ACE Portal – Importer Accounts
 
  – CAOM-8047, TT# 2902546: UI: Fix incorrect “Limit of Liability” amount in the ACE Portal “Importer – Bonds” screen.
 
ACE Reports
 
  – CAOM-8034: “Reports Authorization” button restored for 2464 Census users
  – CAOM-9047: “Launch Authorized Data Extracts” button to remain available to users

* * * * * * * * * * * * * * * * * * * *

OGS_a4
8. DoD/DSS Posts Notice on Renewal and Revisions of “Department of Defense Security Agreement (DD Form 441)”, and “Appendage to Department of Defense Security Agreement (DD Form 441-1)”

(Source: DoD/DSS)
 
The following forms supporting the National Industrial Security Program (NISP), the DD Form 441, and DD Form 441-1, were revised and have an issuance date of January 2017, under Office of Management and Budget Approval number 0704-0194.
 
OMB approval for blank forms will expire on September 30, 2019 unless renewed prior to that date. Previous blank forms are obsolete. Revisions to the forms include the removal of the prior requirement for a corporate seal. A witness to the contractor representative signing the DD Form 441 is required. A witness is not required for the DD Form 441-1. The government representative signing the DD Form 441 may not act as the witness. Forms may be obtained through the Defense Technical Information Center (DTIC) website and the DSS website. Existing records of DSS and contractors must be updated as changed conditions affecting the DD Form 441 and DD Form 441-1 occur.

* * * * * * * * * * * * * * * * * * * *

OGS_a5
9. Justice: “Volkswagen AG Agrees to Plead Guilty and Pay $4.3 Billion in Criminal and Civil Penalties”
(Source: Justice) [Excerpts.]
 
Volkswagen AG (VW) has agreed to plead guilty to three criminal felony counts and pay a $2.8 billion criminal penalty as a result of the company’s long-running scheme to sell approximately 590,000 diesel vehicles in the U.S. by using a defeat device to cheat on emissions tests mandated by the Environmental Protection Agency (EPA) and the California Air Resources Board (CARB), and lying and obstructing justice to further the scheme, the Justice Department announced today.
 
In separate civil resolutions of environmental, customs and financial claims, VW has agreed to pay $1.5 billion. This includes EPA’s claim for civil penalties against VW in connection with VW’s importation and sale of these cars, as well as U.S. Customs and Border Protection (CBP) claims for customs fraud. In addition, the EPA agreement requires injunctive relief to prevent future violations. The agreements also resolve alleged violations of the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA). …
* * * * * * * * * * * * * * * * * * * *

OGS_a6
10. State/DDTC: (No new postings.)

(Source: State/DDTC)

* * * * * * * * * * * * * * * * * * * *

OGS_a7
11. Treasury/OFAC: Toronto-Dominion Bank Settles Charges of Violations of the Iranian and the Cuban Sanctions
(Source: Treasury/OFAC) [Excerpts.]
 
Toronto-Dominion Bank (“TD Bank”), a financial institution headquartered in Toronto, Canada, has agreed to remit $516,105 to settle its potential civil liability for 167 apparent violations of § 515.201 of the Cuban Assets Control Regulations, 31 C.F.R. part 515 (CACR), and § 560.204 of the Iranian Transactions Sanctions Regulations, 31 C.F.R. part 560 (ITSR) (collectively, the “Apparent Violations”). Separately, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has issued a Finding of Violation to TD Bank, the parent company of wholly owned subsidiaries Internaxx Bank SA (“Internaxx”) and TD Waterhouse Investment Services (Europe) Limited (“TDWIS”), for 3,491 violations of the CACR and ITSR (collectively, the “Violations”).  . . . .
 
Settlement
 
OFAC has determined TD Bank voluntarily self-disclosed the Apparent Violations, and that the Apparent Violations constitute a non-egregious case. The total base penalty amount for the Apparent Violations was $955,750.
 
Beginning as early as 2003 or 2004, TD Bank’s Global Trade Finance business, based in Montreal, Canada engaged in a series of trade finance transactions that appear to have implicated the sanctions regulations administered by OFAC. These transactions generally involved import- export letters of credit for TD Bank’s Canadian customers that the bank failed to screen for any potential nexus to an OFAC-sanctioned country or entity prior to processing related transactions through the U.S. financial system. For a number of years, up to and including 2011, TD Bank maintained several accounts for, and processed transactions to or through the United States on behalf of, a Canadian company owned by a Cuban company. TD Bank had reason to know about the customer’s connections to Cuba through the company’s ownership and business, as well as actual knowledge on the part of several TD Bank employees and business lines as early as 2005 and 2006. Pursuant to this fact pattern, between August 14, 2007 and April 22, 2011, TD Bank processed 29 transactions totaling $1,156,181.37 to or through the United States in apparent violation of the Cuban Assets Control Regulations, 31 C.F.R. Part 515.
 
TD Bank also maintained several accounts in Canada for a company that the bank described as “a freight, cargo and shipping business, based in Canada, that is, among other things, a transporter of oil and gas related equipment . . . [that ships its products] to destinations in the Middle East.” According to a document available to TD Bank, the customer was listed as a sales agent for an entity on OFAC’s List of Specially Designated Nationals and Blocked Persons and located in Iran. Between December 1, 2008 and March 28, 2012, TD Bank processed 39 transactions totaling $515,071.20 to or through the United States on behalf of this customer in apparent violation of the Iranian Transactions and Sanctions Regulations, 31 C.F.R. Part 560.
 
Separately, TD Bank maintained accounts on behalf of 62 customers who were Cuban nationals residing in Canada.  Between August 7, 2007 and January 24, 2011, TD Bank processed 99 transactions totaling $459,341.62 to or through the United States on behalf of these customers in apparent violation of the CACR.
 
The conduct that led to the Apparent Violations involved multiple business units throughout the TD Bank network outside of the United States – including at times supervisory or management personnel – that had reason to know or actual knowledge of information regarding these customers’ connections to OFAC-sanctioned jurisdictions or parties. In general, the Apparent Violations appear to have occurred due to shortcomings in the bank’s OFAC compliance policies, procedures, and program.
 
The settlement amount reflects OFAC’s consideration of the following facts and circumstances, pursuant to the General Factors Affecting Administrative Action under OFAC’s Economic Sanctions Enforcement Guidelines, 31 C.F.R. part 501, app. A. OFAC found the following to be aggravating factors in this case:
 
  (1) several employees within TD Bank (including those in its compliance unit and supervisory and management personnel) were aware that the bank processed USD transactions on behalf of a Cuban entity and were aware of a gap in the bank’s procedures permitting such transactions to clear through the U.S. financial system in apparent violation of the CACR;
  (2) various TD Bank personnel had reason to know of the conduct that led to the Apparent Violations due to documentation or information in the bank’s possession regarding various clients’ ties to, or locations in, countries subject to OFAC sanctions;
  (3) TD Bank is a large and sophisticated financial institution with a global presence; and
  (4) TD Bank’s compliance program does not appear to have had controls in place sufficient to identify and prevent the bank from processing transactions to, through, or within the United States that were for or on behalf of customers owned by entities located in, or that conducted business with, OFAC-sanctioned countries.
 
The following were considered mitigating factors:
 
  (1) no TD Bank managers or supervisors appear to have had actual knowledge regarding the conduct that led to the apparent violations involving Pars Marine or the eight Cuba-connected retail banking customers;
  (2) while the transactions involving the Cuba-connected customers constituted apparent violations of the CACR, the customers were eligible for specific licenses from OFAC to become unblocked Cuban nationals and were eventually covered by a general license published in January 2011;
  (3) TD Bank has not received a penalty notice or Finding of Violation from OFAC in the five years preceding the earliest dates of the transactions giving rise to the apparent violations;
  (4) TD Bank undertook a robust remedial response, including by changing its policies and procedures as well as its compliance structure in response to the apparent violations; and
  (5) TD Bank provided substantial cooperation to OFAC throughout its investigation by voluntarily self-disclosing the apparent violations, providing detailed and well-organized information in response to OFAC’s requests, and signing a tolling agreement and multiple extensions to the agreement thereafter.  . . . .

For more information regarding OFAC regulations, please visit:
http://www.treasury.gov/ofac
.
* * * * * * * * * * * * * * * * * * * *

OGS_a8
12. Treasury/OFAC Posts Updated Sudanese Sanctions Regulations
(Source: Treasury/OFAC)    
 
The Department of the Treasury’s Office of Foreign Assets Control (OFAC) is announcing an amendment to the Sudanese Sanctions Regulations, 31 C.F.R. part 538 (SSR) to authorize all transactions prohibited by the SSR and by Executive Orders 13067 and 13412, and to unblock previously blocked property in which the Government of Sudan has an interest. 
 
The SSR amendment will be published in the Federal Register, and the changes will take effect, on Tuesday, January 17, 2017.  OFAC is also publishing a Fact Sheet and a number of new and updated Frequently Asked Questions pertaining to this regulatory amendment.
* * * * * * * * * * * * * * * * * * * *

OGS_a9
13. President Revokes Certain Sudan-Related Sanctions
(Source: White House)
 
By the authority vested in me as President by the Constitution and the laws of the United States of America, including the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.), the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7201-7211) (TSRA), the Comprehensive Peace in Sudan Act of 2004, as amended (Public Law 108-497) (CPSA), the Darfur Peace and Accountability Act of 2006 (Public Law 109-344) (DPAA), and section 301 of title 3, United States Code,
 
I, BARACK OBAMA, President of the United States of America, find that the situation that gave rise to the actions taken in Executive Order 13067 of November 3, 1997, and Executive Order 13412 of October 13, 2006, related to the policies and actions of the Government of Sudan has been altered by Sudan’s positive actions over the past 6 months. These actions include a marked reduction in offensive military activity, culminating in a pledge to maintain a cessation of hostilities in conflict areas in Sudan, and steps toward the improvement of humanitarian access throughout Sudan, as well as cooperation with the United States on addressing regional conflicts and the threat of terrorism. Given these developments, and in order to see these efforts sustained and enhanced by the Government of Sudan, I hereby order:
 
Section 1. Effective July 12, 2017, and provided the criteria in section 12(b) of this order are met, sections 1 and 2 of Executive Order 13067 of November 3, 1997, are revoked, and Executive Order 13412 of October 13, 2006, is revoked in its entirety. The revocation of those provisions of Executive Order 13067 and of Executive Order 13412 shall not affect any violation of any rules, regulations, orders, licenses, or other forms of administrative action under those orders during the period that those provisions were in effect.
 
Sec. 2. Pursuant to section 908(a)(3) of TSRA, I hereby determine that it is in the national security interest of the United States to waive, and hereby waive, the application of section 908(a)(1) of TSRA with respect to Sudan.
 
Sec. 3. Pursuant to section 6(d) of CPSA, I hereby determine and certify that it is in the national interest of the United States to waive, and hereby waive, the application of sections 6(a) and (b) of CPSA.
 
Sec. 4. The function of the President under section 6(c)(1) of CPSA is assigned to the Secretary of the Treasury.
 
Sec. 5. The functions of the President under section 6(c)(2) and the last sentence of section 6(d) of CPSA are assigned to the Secretary of State, except that the function of denial of entry is assigned to the Secretary of Homeland Security.
 
Sec. 6. The function of the President under section 8 of DPAA is assigned to the Secretary of State.
 
Sec. 7. The Secretary of the Treasury and the Secretary of Commerce are authorized to issue regulations, licenses, and orders, and conduct such investigations as may be necessary, to implement the provisions of section 906 of TSRA.
 
Sec. 8. This order is not intended to, and does not, otherwise affect the national emergency declared in Executive Order 13067 of November 3, 1997, as expanded in scope by Executive Order 13400 of April 26, 2006, which shall remain in place.
 
Sec. 9. This order is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person.
 
Sec. 10. On or before July 12, 2017, the Secretary of State, in consultation with the Secretary of the Treasury, the Director of National Intelligence, and the Administrator of the U.S. Agency for International Development, and based on a consideration of relevant and credible information from available sources, including nongovernmental organizations, shall provide to the President a report on whether the Government of Sudan has sustained the positive actions that gave rise to this order, including carrying out its pledge to maintain a cessation of hostilities in conflict areas in Sudan; continued improvement of humanitarian access throughout Sudan; and maintaining its cooperation with the United States on addressing regional conflicts and the threat of terrorism. As much of the report as possible, consistent with sources and methods, shall be unclassified and made public.
 
Sec. 11. (a) The Secretary of State, in consultation with the Secretary of the Treasury, the Director of National Intelligence, and the Administrator of the U.S. Agency for International Development, and based on a consideration of relevant and credible information from available sources, including nongovernmental organizations, shall provide to the President an updated version of the report required in section 10 of this order annually thereafter. As much of the report as possible, consistent with sources and methods, shall be unclassified and made public. To the extent a report concludes that the Government of Sudan has or has not sustained the positive actions that gave rise to this order, the Secretary of State, in consultation with the Secretary of the Treasury, the Director of National Intelligence, and the Administrator of the U.S. Agency for International Development, shall provide to the President recommendations on appropriate U.S. Government responses.
 
  (b) Concurrent with the provision of the reports required in section 11(a) of this order, the Secretary of State, in consultation with the Secretary of the Treasury, the Director of National Intelligence, and the Administrator of the U.S. Agency for International Development, shall publish a notice in the Federal Register stating whether the Government of Sudan has sustained the positive actions that gave rise to this order.
 
Sec. 12. (a) This order is effective on January 13, 2017, except for sections 1, 4, 5, 6, and 7 of this order;
 
  (b) Sections 1, 4, 5, 6, and 7 of this order are effective on July 12, 2017, provided that the Secretary of State, in consultation with the Secretary of the Treasury, the Director of National Intelligence, and the Administrator of the U.S. Agency for International Development, has published a notice in the Federal Register on or before that date, stating that the Government of Sudan has sustained the positive actions that gave rise to this order and that the Secretary of State has provided to the President the report described in section 10 of this order.
 
BARACK OBAMA
THE WHITE HOUSE,
January 13, 2017.
* * * * * * * * * * * * * * * * * * * *

NWSNEWS

NWS_a114
. Expeditors News: “Canada Customs Publishes Trade Compliance Target Areas”

 
On January 1, 2017 the Canada Border Services Agency (CBSA) published a list of their Trade Compliance Verifications, which are published twice a year, in which they list all compliance verifications priorities for the next six months.
CBSA manages trade compliance through the following two verification processes:
  – Random Verifications: “designed to measure compliance rates and revenue loss”
  – Verification Priorities: established on a risk-based process, with possible additions throughout the year and hold overs from previous years
 
The list of the Trade Compliance Verification can be accessed here.

* * * * * * * * * * * * * * * * * * * *

NWS_a2
15. Reuters: “U.S. Moves to Lift Decades-Old Trade Embargo against Sudan”

(Source: Reuters)
 
The Obama administration took steps on Friday to lift a 20-year trade embargo against Sudan, unfreeze assets and remove financial sanctions in response to the east African nation’s cooperation in fighting Islamic State and other groups, a move that angered human rights organizations.
 
The lifting of the sanctions, which date back to the Clinton administration, will however be delayed by 180 days to encourage Sudan to take further actions on improving human rights, resolving political divisions and military conflicts.
 
That leaves the final decision up to President-elect Donald Trump to implement the sanctions relief, a senior Obama administration official said.
 
  “Sudan has long expressed a desire to get out from under sanctions, as well as other restrictions that the United States has imposed on Sudan going back 20 years,” the official said.
 
  “Over the past two years we have looked for a way to engage with Sudan in a way we could overcome some of the lack of trust of the past,” the official added.
 
Trump’s transition team has been briefed on the move, the official said, adding that the measures do not affect Sudan’s label as a state sponsor of terrorism nor does it impact sanctions tied to Khartoum’s role in the Darfur conflict.
 
  “We have briefed the transition team and provided information about this. We can’t speak to their intentions or what they intend to do next,” the official said.
 
The sanctions relief is expected to impact businesses that deal with agriculture, import-export services, transportation, technology and medical equipment, and oil, the official said.
 
Sudan’s foreign ministry welcomed the move, calling it an “important positive development in bilateral relations between Sudan and the United States.”
 
The ministry said it hoped further cooperation would allow Sudan to be removed from the U.S. list of states sponsoring terrorism.
 
The United States first imposed sanctions on Sudan in 1997, including a trade embargo and blocking the government’s assets, for human rights violations and terrorism concerns. The United States layered on more sanctions in 2006 for what it said was complicity in the violence in Sudan’s Darfur region.
 
“INEXPLICABLE” DECISION
 
In a letter to Congress, U.S. President Barack Obama said “actions of the government of Sudan has been altered by Sudan’s positive actions over the past six months.”
 
There were signs last year of a thaw in relations between Sudan and the United States, which accuses Sudanese President Omar al-Bashir of war crimes related to the conflict-torn Darfur region.
 
On Sept. 20, the State Department welcomed efforts by Sudan to increase counter-terrorism cooperation with the United States. Sudan had taken steps to counter Islamic State and “other terrorist groups and has sought to prevent their movement into and through Sudan,” State Department spokesman John Kirby said in a statement at the time.
 
The International Criminal Court has issued a warrant for the arrest for Bashir for war crimes and genocide related to Darfur, charges he dismisses.
 
The Darfur conflict began in 2003 when mainly non-Arab tribes took up arms against the Arab-led government, accusing it of discrimination. The U.N. says up to 300,000 people have been killed and millions displaced in Darfur.
 
The Enough Project, a Washington-based anti-genocide group, called the lifting of sanctions “premature” and said any easing of pressure on Sudan should be in exchange for resolving conflicts in Darfur and in South Kordofan, and ensuring humanitarian access to those affected by government military blockades.
 
  “We will certainly seek to work with the U.S. Congress to see some of these sanctions restored, modernized, and codified in the coming months,” said John Prendergast, director of the Enough Project.
 
Leslie Lefkow, deputy Africa director at Human Rights Watch, called the decision “inexplicable” and said there had been no progress on human rights.
 
  “Sudan’s government has failed to make progress on core benchmarks, from its ongoing war crimes and crimes against humanity in Darfur and other conflict zones, to its extensive repression of independent voices,” Lefkow said.
 
  “Instead of using its leverage to press for real reforms that would benefit Sudanese citizens, the Obama administration is sending the worst possible message to Sudan and other repressive governments,” Lefkow added.  

* * * * * * * * * * * * * * * * * * * *

NWS_a3
16. Space News: “Federal Government Tweaks Space Export Control Rules”
(Source: Space News)
 
The federal government is taking more space-related items off of the most restrictive export control list, although some in industry believe the changes don’t go far enough.
 
The revised rules, published by the Departments of Commerce and State in the Federal Register Jan. 10, constitute tweaks to a major revision published in May 2014 that took many space items off the U.S. Munitions List (USML), governed by the International Traffic in Arms Regulations (ITAR). The changes take effect Jan. 15.
 
One of the biggest changes covers remote sensing systems. The May 2014 rule kept optical systems with apertures greater than 0.35 meters on the USML. The revised rule increases that threshold to 0.5 meters, with systems with smaller apertures moved to the Commerce Control List, a less restrictive export control system administered by the Commerce Department.
 
Industry, though, had sought a much larger increase in the aperture threshold, to 1.1 meters. The State Department, in its Federal Register filing, noted industry comments requesting the larger increase, but did not offer details on why it increased the threshold to only 0.5 meters.
 
  “The Department acknowledges this comment and that aperture technology is evolving,” it stated in its notice, saying only that the increase it approved is designed “to reflect the current status of technology that provides the United States with a critical military or intelligence advantage and warrants control on the USML.”
 
Remy Nathan, vice president for international affairs at the Aerospace Industries Association, said in a Jan. 11 statement to SpaceNews that the increase was “insufficient to support American industry’s competitiveness.” He noted some manufacturers outside the U.S. are already selling optical systems for satellites with apertures larger than 0.5 meters.
 
  “To be market leaders, U.S. companies must be able to offer commercial solutions for international sales of imaging satellites with apertures larger than 0.5 meters,” Nathan said. “As it stands, the United States and its space industrial base are relegated to being market followers.”
 
Another change to the export control rules deal with crewed spacecraft. The May 2014 rule retained on the USML any spacecraft capable of carry people and which had integrated propulsion of some kind, regardless of any other technologies on the vehicle.
 
  “Spacecraft specially designed for human space flight that have integrated propulsion present another security concern, for such capabilities may be used for the purposes of weapons targeting from space,” the State Department said when it published the May 2014 rule. “So, although these technologies and capabilities are used in commercial endeavors, they continue to merit control on the USML.”
 
Industry lobbied, though, to remove the language referring to human spaceflight, arguing it was not a useful way to judge whether a spacecraft has technology subject to export control, as its ability to support a crew had little relation to any weapon capability. “Using this in export control was both over- and under-inclusive,” said Mike Gold, chairman of the Federal Aviation Administration’s Commercial Space Transportation Advisory Committee (COMSTAC) and a long-time proponent of export control reform, in a Jan. 11 interview.
 
The revised rule published this week makes no mention of human spaceflight among criteria for space technology that should remain on the USML. However, such vehicles could have other technologies that keep them on the list and therefore would still be subject to ITAR.
 
The revised rule makes several other minor changes to technologies included on export control lists. It also shifts NASA’s James Webb Space Telescope from the USML to the Commerce Control List, after the State Department concluded that the space observatory “was within the scope of spacecraft and related items that did not warrant being subject to the ITAR.” JWST will require an export license as it will be shipped to French Guiana in 2018 for launch on an Ariane 5.
 
The Commerce Department, in its public notice about the changes, noted that the revised rule “completes the regulatory action for the interim final rule” that was issued in May 2014. However, those in industry argue that regular reviews of the contents of the export control list are needed to ensure that the technologies they include still require projection by either ITAR or the Commerce Department’s Export Administration Regulations.
 
The updates, though, are a sign of positive changes for people like Gold, who fought for export control reform for more than a decade. Now, he said, “The export control system is a beacon of common sense and responsiveness.”

* * * * * * * * * * * * * * * * * * * *

NWS_a4
17. ST&R Trade Report: “$30 Million in Penalties for Repeat FCPA Violations”
 
A U.S. medical device manufacturer has agreed to pay more than $30 million to resolve charges by the Department of Justice and the Securities and Exchange Commission that it committed repeat violations of the Foreign Corrupt Practices Act. This amount includes a $17.4 million criminal penalty, a $6.5 million criminal penalty, and $6.5 million in disgorgement, including pre-judgment interest.
 
A DOJ press release states that following a 2012 deferred prosecution agreement resolving an earlier investigation into FCPA violations committed by a predecessor in Argentina, Brazil, and China, the company breached the DPA by knowingly and willfully continuing to use a third-party distributor in Brazil known to have paid bribes to government officials on the company’s behalf. The company also failed to implement an adequate system of internal accounting controls at its subsidiary in Mexico despite employees and executives having been made aware of red flags suggesting that bribes were being paid. By failing to require appropriate due diligence and documentation and contracts for payments to third parties, the DOJ states, the company allowed its Mexican subsidiary to pay bribes to Mexican customs officials through customs brokers and sub-agents so the subsidiary could import products that violated Mexican law because they lacked proper registration or labeling.
 
Under a new DPA the company will be required to pay the criminal penalty as well as retain an independent corporate compliance monitor for three years because it failed to implement an effective compliance program and committed additional crimes while under the previous DPA and monitorship. The DOJ notes that the company did fully cooperate with the current investigation and provided all relevant facts known to it, including information about individuals involved in the misconduct.
* * * * * * * * * * * * * * * * * * * *

NWS_a5
18. ST&R Trade Report: “Largest Civil Penalty Ever Under U.S. Customs Laws Assessed in Vehicle Emissions Case”

 
U.S. Customs and Border Protection reports that a major automaker [Editor’s Note: Volkswagen.] has agreed to pay more than $4.3 billion to settle criminal and civil charges stemming from a scheme to cheat U.S. automobile emissions tests. The deal includes a $2.8 billion criminal penalty and a $1.45 billion civil penalty to resolve customs fraud, environmental, and financial claims, marking what CBP said is the largest civil penalty ever issued or collected under U.S. customs laws.
 
According to a CBP press release, the company violated criminal and civil customs laws by knowingly submitting material false statements to CBP and omitting material information over multiple years with the intent of deceiving or misleading CBP concerning the admissibility of vehicles into the U.S. Specifically, the company falsely represented to CBP at the time of importation that nearly 590,000 imported vehicles complied with all applicable environmental laws while knowing those representations to be untrue.
 
A Department of Justice press release states that under the terms of its plea agreement the company will be on probation for three years, will be under an independent corporate compliance monitor who will oversee the company for at least three years, and has agreed to fully cooperate in the DOJ’s ongoing investigation and prosecution of individuals responsible for these crimes. A federal grand jury returned an indictment Jan. 11 charging six company executives and employees for their roles in this conspiracy.

* * * * * * * * * * * * * * * * * * * *

COMMCOMMENTARY

COMM_a1
19. J.E. Bartlett III: The ITAR Changes Again on January 15th — USML Category XV, Spacecraft & Related Articles”
(Source: Author)

* Author: James E. Bartlett III, JEBartlett@JEBartlett.com, 202-802-0646

The 10 Jan 2017 Federal Register (
82 FR 2889) amended USML Category XV, Spacecraft & Related Articles. The amendment takes effect on January 15th, and the official GPO version in e-CFR is expected to be updated a few days later. To get an up-to-date copy of the ITAR with footnotes to the amended sections, subscribe to Bartlett’s Annotated ITAR (the “BITAR”), which contains the full ITAR plus over 750 footnotes to section histories, case law, practice tips, and appendixes containing past amendments, DDTC Consent Agreements, a huge index, and other helpful features. BITAR subscribers received the 15 January edition of the BITAR today.  If you are an export professional, you are legally responsible for using current regulations.  Subscribe today at
www.FullCircleCompliance.eu or call/email Jim Bartlett, 202-802-0646,
JEBartlett@JEBartlett.com.
* * * * * * * * * * * * * * * * * * * *

TEEX/IM TRAINING EVENTS & CONFERENCES

TE_a220
. Friday List of Approaching Events

(Sources: Event sponsors.) 
 
Published every Friday or last publication day of the week. Send events to
apbosch@fullcirclecompliance.eu
, composed in the below format:

* DATE: PLACE; “TITLE;” SPONSOR; WEBLINK; CONTACT (email and phone number)
 
Continuously Available Training:
* Executive Masters: “
International Trade Compliance
;” University of Liverpool;
exed@liverpool.ac.uk
;
+44 (0) 20 768 24614
* E-Seminars: “
US Export Controls” / “Defense Trade Controls
;” Export Compliance Training Institute;
danielle@learnexportcompliance.com 
* On-Line: “
Simplified Network Application Process Redesign (SNAP-R)
;” Commerce/BIS; 202-482-2227
* E-Seminars: “
Webinars On-Demand Library
;” Sandler, Travis & Rosenberg, P.A.
 
Training by Date:

* Jan 16-17: Frankfurt Germany; “
U.S. Export Controls and Sanctions – Update 2017
” (with BIS, DDTC and OFAC speakers); AWA Foreign Trade Academy;
Kristina.Brueffer@awa-seminare.de 

* Jan 17: Webinar; “
Foreign-Trade Zones and Bonded Warehouses
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com


* Jan 18: Bristol UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Jan 18: Houston TX; “
AES Compliance Seminar
;” Dept. of Commerce/Census Bureau;
itmd.outreach@census.gov 

*
Jan 18: Webinar; “Export Control Recordkeeping and Compliance Automation;” ECTI; danielle@learnexportcompliance.com; 540-433-3977


* Jan 18: Webinar; “This Year in Trade – What’s Ahead in 2017?;” Crowell & Moring LLP

* Jan 19: Bristol UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Jan 19: Bristol UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Jan 19: Bristol UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Jan 23-26: San Diego CA; “
EAR/ITAR/OFAC Compliance Seminar Series
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977 

* Jan 23-25: Sterling VA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Jan 24: Webinar; “
Customs Valuation 101
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Jan 25-26: Scottsdale AZ; “Complying with U.S. Export Controls;” Dept. of Commerce/Bureau of Industry and Security
* Jan 25: Webinar; “
Import Compliance Bootcamp;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Jan 26-27: Orlando FL; “ITAR/EAR Bootcamp;” Export Compliance Solutions; spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919

* Jan 31-Feb 1: Houston TX; “
Foreign Corrupt Practices Act
;” American Conference Institute

* Jan 31-Feb 1: Toronto; “
6th Forum on US Export & Re-Export for Canadian Operations;” American Conference Institute

* Jan 31: Webinar; “
CUI and CDI – The Federal Push to Protect Sensitive Technical Information
;” Federal Publications Seminars

* Feb 1: Wash DC; “
3rd National Forum on CFIUS & Team Telecom;” American Conference Institute

* Feb 1: Webinar; “FCPA: 2016 in Review;” Bryan Cave LLP

*
Feb 1: Webinar; “ITAR Hardware License Exemptions Explained;” ECTI; danielle@learnexportcompliance.com; 540-433-3977

* Feb 6: Manchester UK; “
Nuclear Course
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Feb 7: Webinar; “
Tariff Engineering to Legally Reduce or Eliminate Duty
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Feb 8-9: Wash DC; “7th Annual Advanced ITAR & EAR Compliance;” marcus evans

* Feb 8: Webinar; “
CBP Audit Surveys: What’s at Stake?
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Feb 10: Melbourne FL; “Accelerated Classification Workshop (USML, CCL, ECCN, HTS, Sched B);” Space Coast World Trade Council;
bcantillon@bellsouth.net
, 321-373-2047

* Feb 13-15: Las Vegas NV; “
Basics of Government Contracting
;” Federal Publications Seminars

* Feb 15: Webinar; “
Identifying Agents for Customs Purposes – Traps for the Unwary Importer
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Feb 16: Webinar; “
The Fundamentals of Product Classification
;” ECTI;
danielle@learnexportcompliance.com
; 540-433-3977

* Feb 20-23: Orlando; “
United States Export Control (EAR/OFAC/ITAR) Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977

* Feb 20; San Diego; “
AES Compliance Seminar in Spanish
;”Dept. of Commerce/Census Bureau;
itmd.outreach@census.gov 

* Feb 21: San Diego CA; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Feb 22: Newcastle UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Feb 23: Long Beach CA; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Feb 23: Newcastle UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Feb 23: Newcastle UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Feb 23: Newcastle UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
*
Feb 27-Apr 3: Santa Ana CA; “
Import Compliance Training Program (Mondays 8am-11am)
;” California Global Trade Logistics Initiative, Orange County Center for International Trade
Development

* Mar 5-6: Dubai UAE; “Trade Compliance in the Middle East;” C5

* Mar 6-8: San Diego CA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Mar 7-10: Orlando; “
‘Partnering for Compliance™’ East Export/Import Control Training and Education Program
;” Partnering for Compliance East;
Ailish@PartneringForCompliance.org
; 321-952-2978

* Mar 8: London UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Mar 9: London UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Mar 12-15: Miami; “ICPA Miami Conference;”

International Compliance Professionals Association;
wizard@icpainc.org 

* Mar 13-15: Newport Beach CA; “2017 Winter Back to Basics Conference;” Society for International Affairs

* Mar 15: Birmingham UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Mar 15: Miami FL; “AES Compliance Seminar in Spanish;” Dept. of Commerce/Census

* Mar 16: Miami FL; “AES Compliance Seminar;” Dept. of Commerce/Census
* Mar 16: Birmingham UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Mar 16: Birmingham UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Mar 16: Birmingham UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* Mar 17: Chicago IL; “
Customs Education & Solutions Seminar
;” AAEI; Chris Enyart,
cenyart@aaei.org
, +1-202-857-8009

* Mar 20-22: Orlando FL; “
Basics of Government Contracting
;” Federal Publications Seminars

* Mar 20-23: Singapore; “United States Export Control (EAR/OFAC/ITAR) (for Asia-Pacific and other non-US Companies);” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Mar 21: Webinar; “
Importer Self-Assessment – What It Really Takes
;”
Sandler, Travis & Rosenberg, P.A.;
webinarorganizers@strtrade.com

* Mar 22: Detroit MI; “AES Compliance Seminar;” Dept. of Commerce/Census itmd.outreach@census.gov 

* Mar 29: London UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
*  Mar 29-30: Phoenix/Scottsdale AZ; “Critical Compliance & TAA Workshop;” spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919
* Apr 3-5: Sterling VA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Apr 3-6: Wash DC; “
EAR/OFAC/ITAR Commercial and Military Export Controls/How US Controls Impact Non-US Companies, Affiliates and Transactions, PLUS Other Country Controls Comparison to US (EU & Canada) Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977


* Apr 18: Milwaukee WI; “AES Compliance Seminar;” Dept. of Commerce/Census itmd.outreach@census.gov 
* Apr 26: London UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Apr 27: London UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Apr 27: London UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* May 1-4: Las Vegas; “
EAR Export Controls / ITAR Defense Trade Controls Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977


* May 1-2: Tucson AZ; “2017 Spring Conference;” Society for International Affairs

* May 7-9: Toronto; “ICPA Toronto Conference;”
International Compliance Professionals Association;
wizard@icpainc.org 

* May 8-10: San Diego CA; “
Basics of Government Contracting
;” Federal Publications Seminars

* May 10: London UK; “
Control List Classification – Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* May 10: Wash DC; “
AES Compliance Seminar
;” Dept. of Commerce/Census Bureau;
itmd.outreach@census.gov 

* May 11: London UK; “

Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* May 15-18: London UK; “
United States Export Control (EAR/OFAC/ITAR) Seminar in London (for EU and other non-US Companies)
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977

* May 17-19: Minneapolis MN; “
Basics of Government Contracting
;” Federal Publications Seminars

* May 17: Southampton UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* May 18: Southampton UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 

* May 23: Tampa FL; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Jun 5-7: Boston MA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Jun 5-8: Wash DC; “
United States Export Control (EAR/OFAC/ITAR) Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977

* Jun 7: London UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Jul 10-12; Baltimore MD; “
2017 Summer Back to Basics Conference
;” Society for International Affairs

* Jun 11-13: Dublin IRL; “ICPA Dublin Conference;”

International Compliance Professionals Association;
wizard@icpainc.org 

* Jun 12-15: San Francisco; “
United States Export Control (EAR/OFAC/ITAR) Seminar
;” ECTI;
jessica@learnexportcompliance.com
; 540-433-3977

* Jun 13: Philadelphia PA; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 
* Jun 14: Kegsworth, Derby UK; “
Intermediate Seminar
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Jun 15: Kegsworth, Derby UK; “
Beginners Workshop
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Jun 15: Kegsworth, Derby UK; “
Making Better License Applications
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* Jun 15: Kegsworth, Derby UK; “
Control List Classification – Combined Dual Use and Military
;” UK/BIS Export Control Organisation;
denise.carter@bis.gsi.gov.uk 
* July 11-12: Seattle WA; “ITAR/EAR Boot Camp;” spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919
* Jul 17-19: Hilton Head Island SC; “
Basics of Government Contracting
;” Federal Publications Seminars
* Aug 14-16: McLean VA; “
Basics of Government Contracting
;” Federal Publications Seminars

* Sep 4-9: Galveston TX; “ICPA Conference at Sea;”

International Compliance Professionals Association;
wizard@icpainc.org

* Sep 6: Nashville TN; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Sep 12-13: Annapolis MD; “ITAR/EAR Boot Camp;” spalmer@exportcompliancesolutions.com; 866-238-4018 / 410-757-1919

* Sep 12-13: Wash DC; “Interactive Export Controls Workshop;” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Sep 18-20: Las Vegas NV; “
Basics of Government Contracting
;” Federal Publications Seminars

* Oct 2-5: Columbus OH; “University Export Controls Seminar;” ECTI; jessica@learnexportcompliance.com; 540-433-3977

* Oct 12: Boston MA; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Oct 23-24: Arlington VA; “
2017 Fall Advanced Conference
;” Society for International Affairs
* Nov 6-8: Chicago IL; “
Basics of Government Contracting
;” Federal Publications Seminars

* Nov 7: Norfolk, VA; “AES Compliance Seminar;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Dec 5: San Juan PR; “AES Compliance Seminar in Spanish;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 
* Dec 7: Laredo, TX; “AES Compliance Seminar in Spanish;” Dept. of Commerce/Census Bureau; itmd.outreach@census.gov 

* Dec 11-13: Sterling VA; “
Basics of Government Contracting
;” Federal Publications Seminars


* Dec 12: Jersey City NJ; “
AES Compliance Seminar
;” Dept. of Commerce/Census Bureau;
itmd.outreach@census.gov 

* * * * * * * * * * * * * * * * * * * *

ENEDITOR’S NOTES

EN_a121. Bartlett’s Unfamiliar Quotations

(Source: Editor)


* Sophie Tucker (13 Jan 1887 – 9 Feb 1966, was a Ukrainian-born American singer, comedian, actress, and radio personality. Known for her stentorian delivery of comical and risqué songs, she was one of the most popular entertainers in America during the first half of the 20th century. She was widely known by the nickname “The Last of the Red Hot Mamas.”)
  – “I’ve been rich and I’ve been poor. Rich is better.”
 
* Albert Schweitzer (14 January 1875 – 4 September 1965) was a French-German theologian, organist, philosopher, and physician. He received the 1952 Nobel Peace Prize for his philosophy of “Reverence for Life”, expressed in many ways, but most famously in founding and sustaining the Albert Schweitzer Hospital in Lambaréné, now in Gabon, west central Africa.)
  – “Success is not the key to happiness. Happiness is the key to success. If you love what you are doing, you will be successful.”
 
Friday funnies:


A law student walks into a bar and orders one of everything, and asks the bartender to explain how each drink is made. The bartender asks, “Hey, what do you think you’re doing?” The student replies, “I’m studying for the bar exam.”


  – Aldona Sikora, Galena, Illinois 

* * * * * * * * * * * * * * * * * * * *

EN_a222. Are Your Copies of Regulations Up to Date?
(Source: Editor)

The official versions of the following regulations are published annually in the U.S. Code of Federal Regulations (C.F.R.), but are updated as amended in the Federal Register.  Changes to applicable regulations are listed below.
 
*
ATF ARMS IMPORT REGULATIONS
: 27 CFR Part 447-Importation of Arms, Ammunition, and Implements of War
  – Last Amendment:
15 Jan 2016: 81 FR 2657-2723: Machineguns, Destructive Devices and Certain Other Firearms; Background Checks for Responsible Persons of a Trust or Legal Entity With Respect To Making or Transferring a Firearm
 
*
CUSTOMS REGULATIONS
: 19 CFR, Ch. 1, Pts. 0-199
  – Last Amendment:
20 Dec 2016: 81 FR 92978-93027: Regulatory Implementation of the Centers of Excellence and Expertise

* DOD NATIONAL INDUSTRIAL SECURITY PROGRAM OPERATING MANUAL (NISPOM): DoD 5220.22-M
  – Last Amendment: 18 May 2016: Change 2: Implement an insider threat program; reporting requirements for Cleared Defense Contractors; alignment with Federal standards for classified information systems; incorporated and canceled Supp. 1 to the NISPOM  (Summary here.)

* EXPORT ADMINISTRATION REGULATIONS (EAR): 15 CFR Subtit. B, Ch. VII, Pts. 730-774 
  – Last Amendment: 10 Jan 2017: 82 FR 2883-2889: Addition of Certain Persons and Revisions to Entries on the Entity List; and Removal of a Person From the Entity List; and 82 FR 2875-2883: Revisions to the Export Administration Regulations (EAR): Control of Spacecraft Systems and Related Items the President Determines No Longer Warrant Control Under the United States Munitions List (USML) 

  
*
FOREIGN ASSETS CONTROL REGULATIONS (OFAC FACR)
: 31 CFR, Parts 500-599, Embargoes, Sanctions, Executive Orders
  – Last Amendment: 23 Dec 2016: 81 FR 94254-94259: Iranian Transactions and Sanctions Regulations 
 
*
FOREIGN TRADE REGULATIONS (FTR)
: 15 CFR Part 30
  – Last Amendment: 15 May 2015: 80 FR 27853-27854: Foreign Trade Regulations (FTR): Reinstatement of Exemptions Related to Temporary Exports, Carnets, and Shipments Under a Temporary Import Bond 
  – HTS codes that are not valid for AES are available
here.
  – The latest edition (15 Nov 2016) of Bartlett’s Annotated FTR (“BAFTR”), by James E. Bartlett III, is available for downloading in Word format. The BAFTR contains all FTR amendments, FTR Letters and Notices, a large Index, and footnotes containing case annotations, practice tips, and Census/AES guidance.  Subscribers receive revised copies every time the FTR is amended.  The BAFTR is available by annual subscription from the Full Circle Compliance website.  BITAR subscribers are entitled to a 25% discount on subscriptions to the BAFTR.  Please contact us to receive your discount code. 
 
*
HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTS, HTSA or HTSUSA)
, 1 Jan 2017: 19 USC 1202 Annex. (“HTS” and “HTSA” are often seen as abbreviations for the Harmonized Tariff Schedule of the United States Annotated, shortened versions of “HTSUSA”.)
  – Last Amendment: 1 Jan 2017: 2017 Basic HTS
  – HTS codes for AES are available

here
.
  – HTS codes that are not valid for AES are available
here.
 
*
INTERNATIONAL TRAFFIC IN ARMS REGULATIONS (ITAR)
: 22 C.F.R. Ch. I, Subch. M, Pts. 120-130
  – Latest Amendment: 10 Jan 2017: 82 FR 2889-2892: International Traffic in Arms Regulations: Revision of U.S. Munitions List Category XV
  – The only available fully updated copy (latest edition 15 Jan 2017, released today) of the ITAR with all amendments is contained in Bartlett’s Annotated ITAR (“BITAR”), by James E. Bartlett III.  The BITAR contains all ITAR amendments to date, plus a large Index, over 750 footnotes containing case annotations, practice tips, DDTC guidance, and explanations of errors in the official ITAR text.  Subscribers receive updated copies of the BITAR in Word by email, usually revised within 24 hours after every ITAR amendment.  The BITAR is available by annual subscription from the Full Circle Compliance website.  BAFTR subscribers receive a 25% discount on subscriptions to the BITAR, please contact us to receive your discount code.  

* * * * * * * * * * * * * * * * * * * *

EPEDITORIAL POLICY

* The Ex/Im Daily Update is a publication of FCC Advisory B.V., edited by James E. Bartlett III and Alexander Bosch, and emailed every business day to approximately 8,000 readers of changes to defense and high-tech trade laws and regulations. We check the following sources daily: Federal Register, Congressional Record, Commerce/AES, Commerce/BIS, DHS/CBP, DOJ/ATF, DoD/DSS, DoD/DTSA, State/DDTC, Treasury/OFAC, White House, and similar websites of Australia, Canada, U.K., and other countries and international organizations.  Due to space limitations, we do not post Arms Sales notifications, Denied Party listings, or Customs AD/CVD items.

* RIGHTS & RESTRICTIONS: This email contains no proprietary, classified, or export-controlled information. All items are obtained from public sources or are published with permission of private contributors, and may be freely circulated without further permission. Any further use of contributors’ material, however, must comply with applicable copyright laws.

* CAVEAT: The contents cannot be relied upon as legal or expert advice.  Consult your own legal counsel or compliance specialists before taking actions based upon news items or opinions from this or other unofficial sources.  If any U.S. federal tax issue is discussed in this communication, it was not intended or written by the author or sender for tax or legal advice, and cannot be used for the purpose of avoiding penalties under the Internal Revenue Code or promoting, marketing, or recommending to another party any transaction or tax-related matter.

* SUBSCRIPTIONS: Subscriptions are free.  Subscribe by completing the request form on the Full Circle Compliance website.

* TO UNSUBSCRIBE: Use the Safe Unsubscribe link below.

Scroll to Top