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18-0228 Wednesday “Daily Bugle”

18-0228 Wednesday “Daily Bugle”

Wednesday, 28 February 2018

TOP
The Daily Bugle is a free daily newsletter from Full Circle Compliance, containing changes to export/import regulations (ATF, DOE/NRC, Customs, NISPOM, EAR, FACR/OFAC, FAR/DFARS, FTR/AES, HTSUS, and ITAR), plus news and events.  Subscribe 
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.

[No items of interest noted today.] 

  1. Items Scheduled for Publication in Future Federal Register Editions
  2. Commerce/BIS: (No new postings.)
  3. DHS/CBP Marks Second Anniversary of TFTEA
  4. DHS/CBP Deploys Drawback Fixes
  5. DHS/CBP Posts Downtime Policy for Trade V 1.0
  6. DHS/CBP Reaches Historic Milestone with Final Core Trade Processing Deployment in ACE
  7. DHS/CBP Updates EPA Supplemental Guidelines
  8. DHS/ICE: “Port St. Lucie Man Indicted on Weapons Charges”
  9. DoD/DSS Extends e-FCL NISP PSI Data Collection
  10. State/DDTC: (No new postings.)
  1. Alexandria Times: “Alexandria Residents Arrested for Exporting Firearms to Chechnya”
  2. BBC News: “North Korea ‘Providing Materials for Syria Chemical Weapons'”
  3. Expeditors News: “U.S. and Australia Intensify Cooperation on Digital Trade”
  4. ST&R Trade Report: “Trump Seen Leaning Toward Promoting Trade Critic, Levying Harsh Penalties on Imports”
  1. K.C. Georgi, R.K. Alberda & L. Hardaway: “Sturm and Lots of Drang: The First Year of Economic Sanctions Under the Trump Administration”
  2. M. O’Kane: “UK Issues Export Control Guidance on 2017 Changes to Information Security Products”
  3. M. Volkov: “Financial Institutions and the Glaring Absence of an Ethical Culture”
  4. Gary Stanley’s ECR Tip of the Day
  5. R.C. Burns: “KOTI Learns The Hard Way That Google Is Your Friend”
  1. Bartlett’s Unfamiliar Quotations 
  2. Are Your Copies of Regulations Up to Date? Latest Amendments: ATF (15 Jan 2016), Customs (22 Feb 2018), DOD/NISPOM (18 May 2016), EAR (16 Feb 2018), FACR/OFAC (28 Dec 2017), FTR (20 Sep 2017), HTSUS (27 Feb 2018), ITAR (14 Feb 2018) 
  3. Weekly Highlights of the Daily Bugle Top Stories 

EXIMITEMS FROM TODAY’S FEDERAL REGISTER

EXIM_a1

 
[No items of interest noted today.]

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

OGSOTHER GOVERNMENT SOURCES

OGS_a11. Items Scheduled for Publication in Future Federal Register Editions
(Source: Federal Register)

* State; NOTICES; 
Designations as Specially Designated Global Terrorists: Jund al-Khilafah in Tunisia, aka ISIS-Tunisia, etc. [Publication Date: 1 March 2018.]
* * * * * * * * * * * * * * * * * * * *

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(Source:
DHS/CBP, 28 Feb 2018.) [Excerpts.]
 
U.S. Customs and Border Protection (CBP) continues to make progress in implementing the Trade Facilitation and Trade Enforcement Act of 2015 (TFTEA) on the Act’s two year anniversary. TFTEA, the first comprehensive authorization of CBP since the Department of Homeland Security was created in 2003, reshapes, strengthens and modernizes how CBP accomplishes its trade mission. The Act supports CBP’s continuing efforts to ensure a fair and competitive trade environment for American businesses and the American people. …
 
CBP has used the additional authorities provided under TFTEA to prohibit the entry of goods made by forced labor, including forced child labor, into the United States and also established a Forced Labor Division within the Office of Trade. CBP seized more than 10,000 cartons of frozen squid, valued at more than $200,000, in November 2017 that was processed with North Korean forced labor. To date, CBP, in collaboration with its interagency partners, including the Department of Labor, which compiles lists of goods that are likely produced by forced labor, has detained 57 shipments of goods, valued at $6.3 million, that are suspected of involving forced labor.
 
CBP has also implemented a new mechanism to protect Intellectual Property Rights (IPR), enabling owners of unregistered copyrights whose application for registration is pending with the U.S. Copyright Office (USCO) to record their online application with CBP at https://iprr.cbp.gov. Once recorded, unregistered copyrights receive the same benefits of border protection and enforcement as copyrights that are registered with the USCO. Furthermore, exercising its new authority under TFTEA to partner with the private sector, CBP announced a partnership this month with Procter & Gamble (P&G) as part of the Donations Acceptance Program. P&G donated testing devices to be used by CBP officers to prevent counterfeit P&G products from entering the United States. …
 
CBP continues to advance its efforts to streamline and modernize its business processes and practices through the Automated Commercial Environment (ACE)-the backbone of the U.S. Government’s “Single Window” system of imports and exports. As authorized by the TFTEA legislation, CBP raised the de minimis value from $200 to $800 and adjusted the threshold in ACE to reduce the costs associated with importing low valued shipments. CBP also recently deployed TFTEA drawback, enabling an automated approach for U.S. manufacturers and businesses to obtain import-paid duty, tax, and fee refunds on exported goods. …
 
For additional information on CBP’s progress in implementing TFTEA, visit CBP.gov. Interviews with EAC Smith on CBP’s focus on TFTEA, TFTEA’s impact on CBP/Trade relationship, EAPA, and Forced Labor are available on CBP’s YouTube channel.
* * * * * * * * * * * * * * * * * * * * 

(Source:
CSMS #18-000178, 27 Feb 2018.)
 
CBP has deployed the following fixes to the Drawback application:

  – Fixed an issue (F554, 541) where Drawback claims were being rejected because the revenue validations for HMT were being calculated incorrectly.
  – Fixed an issue (F093) where Drawback claims were being rejected when the HTS did not match between the import and export records for petroleum.

Trade partners are recommended to retransmit any Drawback filings that were rejected for the errors listed above.

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

(Source:
CSMS #18-000175, 27 Feb 2018.)
 
CBP is issuing the “Standard Guidelines for CBP/Trade Outages” which reflect the CBP downtime policy distributed to the field on September 1, 2017. It can be found at the link below. It is intended to provide a comprehensive view of CBP downtime policy from the perspective of trade partners. CBP expects that this will allow trade partners to better understand their role in maintaining the flow of trade during ACE system interruptions and will serve as a basis for their individual downtime policies and procedures. This document is being distributed to trade partners as a living document and is intended to provide guidance on CBP’s processes for system downtime and to assist trade partners in developing their own processes to respond to downtime. The policies and procedures identified in this document reflect current CBP downtime policy provided to CBP ports and field offices. CBP is continuously reviewing and as necessary revising these procedures and as they adapt to changing circumstances this document will be updated as well.

This document was developed in consultation with trade representatives participating through the Commercial Customs Operations Advisory Committee (COAC) working group on Outages.
 
The guidance is also posted on the ACE support page, which can be accessed here.
* * * * * * * * * * * * * * * * * * * * 

OGS_a66
. DHS/CBP Reaches Historic Milestone with Final Core Trade Processing Deployment in ACE

(Source:
DHS/CBP, 27 Feb 2018.) [Excerpts.]
 
U.S. Customs and Border Protection (CBP) reached a historic milestone on Feb. 24 deploying the last of the major scheduled core trade processing capabilities in the Automated Commercial Environment (ACE). ACE streamlines the import/export process into a “single window” that allows businesses to electronically transmit the data required by the U.S. Government to import or export cargo. More than 5.3 million lines of code were developed in order to automate all phases of cargo processing-pre-arrival, arrival, post release, exports, and partner government agency (PGA) integration-into ACE. The final deployment included post release capabilities for liquidation, reconciliation and drawback processes. …
 
A key component of this last deployment is the updated approach to drawback authorized by the Trade Facilitation and Enforcement Act of 2015 (TFTEA) (Pub. L. 114-125). By liberalizing and automating drawback operations, the number of drawback claims filed with CBP and the amount of duty, taxes and fees correspondingly refunded is expected to increase in the coming years. …
 

 

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OGS_a7
7. DHS/CBP Updates EPA Supplemental Guidelines

(Source: CSMS #18-000174, 27 Feb 2018.)
 
An updated copy of the EPA Supplemental Guidelines document has been posted. This version correct page number issues that appeared in the previous version.  

The updated file may be accessed here.

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OGS_a8
8. DHS/ICE: “Port St. Lucie Man Indicted on Weapons Charges”

(Source: DHS/ICE, 27 Feb 2018.) [Excerpts.] 
 
A Port St. Lucie man was indicted on charges related to the illegal exportation of firearms, firearms accessories and ammunition. The indictment resulted from an investigation conducted by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Miami and Brazil;  the Bureau of Alcohol, Tobacco and Firearms; U.S. Customs and Border Protection, along with the Rio de Janeiro Civil Police, the Brazilian Federal Police, the Brazilian Federal Prosecutor’s Office and the Brazilian Customs Service.
 
Frederik Barbieri, 36, of Ft. Pierce, Florida, is charged with one count of conspiracy to commit offenses against the United States, one count of delivering firearms to a contract carrier without notification, that shipment contained firearms, one count of smuggling firearms and fire accessories from the United States to Brazil and one count of exporting firearms and firearms accessories without a license.
 
According to court documents, Barbieri entered into a conspiracy to illegally export firearms to Brazil without a license, which lasted from May 2013 to June 2017. Barbieri and his co-conspirators purchased firearms, firearms accessories and ammunition, obliterated the serial numbers and concealed the weapons, the accessories and the ammunition in different packages.
 
Barbieri and his co-conspirators would then ship the packages to Brazil, where Barbieri and his co-conspirators would sell such firearms, firearm accessories, and ammunition at a profit. It is further alleged that on May 26, Barbieri shipped a package concealing firearms and firearms accessories to Brazil without obtaining a license to export those items and without notifying the contract carrier that the package contained firearms.
 
If convicted, Barbieri faces a maximum statutory sentence of five years on Counts 1 and 2, a maximum statutory sentence of 10 years on Count 3, and a maximum statutory sentence of 20 years on Count 4. …

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OGS_a9
9. DoD/DSS Extends e-FCL NISP PSI Data Collection

(Source: DoD/DSS, 28 Feb 2018.)
 
Companies now have until Friday, March 2, to provide input for the NISP Personnel Security Investigations Projections Data Collection. To submit your projections, go to the e-FCL Submission Site.

A list of facilities to which you have access within e-FCL is displayed when first logging into the site or clicking “select an organization” from the menu. Clicking on a facility’s icon will display the company information page, which contains an icon for accessing the PSI area of the site.

 
For facilities new to e-FCL, the system requires the Tax ID number and business structure type to finalize the setup process; upon saving this information, the system will redirect the user to a page listing the five steps of an e-FCL initial package. As this is outside the scope of the PSI Data Collection, click “select an organization” from the menu and click your facility’s icon, which will display the PSI icon for submitting your projections.

Note that submitting PSI projections is independent of e-FCL package submissions; submitting information related to your facility clearance is not required as part of the PSI data collection.

Questions? Contact the PSI team at: dss.ncr.dss.mbx.psiprogram@mail.mil.

 

 

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OGS_a10
10. State/DDTC: (No new postings.)

(Source: State/DDTC)

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NWSNEWS

NWS_a1
11. Alexandria Times: “Alexandria Residents Arrested for Exporting Firearms to Chechnya”

(Source: Alexandria Times, 27 Feb 2018.)
 
Two Alexandria (Virginia) residents were arrested Tuesday on charges of international trafficking of firearms and smuggling, the U.S. Attorney of the Eastern District of Virginia announced in a news release.
 
Tengiz Sydykov, 28, and Eldar Rezvanov, 27, citizens of Kyrgyzstan, who live in Alexandria, purchased 100 disassembled firearms and attempted to ship them to Chechnya without a license, according to allegations made in the criminal complaint.
 
The men then attempted to smuggle the firearms to Chechnya by using false shipping inventories and disguising the firearms as kitchen utensils.
 
The men were charged with violating the Arms Export Control Act, conspiracy to smuggle goods from the U.S., wire fraud, bank fraud and money laundering. Each of the men will face a maximum penalty of 20 years in prison if convicted.
 
Correction: The original version of this post stated Sydykov and Rezvanov were citizens of Chechnya due to an error in the news release. The men are citizens of Kyrgyzstan.

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NWS_a212. BBC News: “North Korea ‘Providing Materials for Syria Chemical Weapons'”
(Source: BBC News, 28 Feb 2018.) [Excerpts.]
 
North Korea has been sending equipment to Syria that could be used to make chemical weapons, a UN report says.


Some 40 previously unreported shipments were made between 2012 and 2017, the report found. Materials included acid-resistant tiles, valves and pipes.  

The leaked report says North Korean missile specialists have been seen at Syrian weapon-making centres.  
The allegations follow new reports of chlorine being used by Syrian forces, which the government denies. . . .

What are the allegations against North Korea?
 
North Korea is under international sanctions over its nuclear programme.  
But a confidential report, compiled by a UN Panel of Experts which assesses North Korea’s compliance with UN resolutions, found evidence of illicit supplies sent to Syria.
 
The report, which has been seen by the BBC, details the “innovative evasion techniques” used by North Korea to send items such as high-heat, acid-resistant tiles, corrosion-resistant valves and thermometers.  . . .
 
 
UN spokesman Stéphane Dujarric did not say whether the leaked report would be published, but told the New York Times: “I think the overarching message is that all member states have a duty and responsibility to abide by the sanctions that are in place.”
 
The UN Panel issued a report last September, which said it was “investigating reported prohibited chemical, ballistic missile and conventional arms co-operation” between Syria and North Korea. …

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NWS_a313. Expeditors News: “U.S. and Australia Intensify Cooperation on Digital Trade”
(Source: Expeditors News, 27 Feb 2018.)
 
On February 23, 2018, U.S. Trade Representative (USTR) Robert Lighthizer and Australian Minister for Trade, Tourism and Investment Steven Ciobo issued a joint statement of cooperation on digital trade.
 
According to a press release issued by the office of the USTR, the United States and Australia “…agree to intensify cooperation to support the growth of digital trade between our countries, ensure an open, free and secure Internet, and advocate the liberalization and facilitation of global digital trade.”
 
The USTR press release may be found here.

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NWS_a414. ST&R Trade Report: “Trump Seen Leaning Toward Promoting Trade Critic, Levying Harsh Penalties on Imports”
(Source: Sandler, Travis & Rosenberg Trade Report, 28 Feb 2018.) [Excerpts.]
 
Press sources are reporting that a prominent trade critic is in line to take on a greater policy role at the White House just as the Trump administration is considering a raft of potential import restrictions.
 
Peter Navarro, formerly an economics professor who co-authored an economic blueprint for Trump during his presidential campaign, has been serving as head of the National Trade Council Trump created in 2017. Navarro was one of the first members of the president’s trade policy team but reportedly saw his influence curtailed over time by other, more moderate voices. That situation could change if, as is being reported, Navarro is named assistant to the president for trade policy.
 
A more prominent role for Navarro could signal a more protectionist direction for the administration just as the president prepares to make a number of key trade policy decisions in the next few months. These include how to proceed in negotiations to revamp NAFTA and the free trade agreement with Korea, whether and how much to restrict imports of steel and aluminum, and whether and how hard to hit China for its alleged theft of U.S. intellectual property.
 
According to press sources, Trump is already leaning in that direction. He told a gathering of U.S. governors this week that if it takes tariffs to “bring the steel industry back into our country … let it take tariffs.” He also reportedly indicated to advisors that he wants to impose additional tariffs of 25 percent and 10 percent, respectively, on imports of steel and aluminum, which would be even higher than those recommended by the Department of Commerce. Other options offered by the DOC included higher tariffs on major exporters along with a cap on shipments from other countries or across-the-board import quotas. Trump has until mid-April to make final decisions, although some press sources are reporting that an announcement could come in the next two weeks. …

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COMMCOMMENTARY

COMM_a01
15. K.C. Georgi, R.K. Alberda & L. Hardaway: “Sturm and Lots of Drang: The First Year of Economic Sanctions Under the Trump Administration”
(Source: Arent Fox LLP, 9 Feb 2018.)
 
* Authors: Kay C. Georgi, Esq., kay.georgi@arentfox.com, +1 202-857-6293; Regan K. Alberda, Esq., regan.alberda@arentfox.com, +1 202-775-5771; and Lamine Hardaway, Esq., lamine.hardaway@arentfox.com, +1 202-715-8596. All of Arent Fox LLP.
 
International Trade Practice Group Leader Kay Georgi, Counsel Regan Alberda, and Associate Lamine Hardaway discussed economic sanctions under President Donald Trump in an article for The Current: The Journal of the PLI Press titled “Sturm and Lots of Drang: The First Year of Economic Sanctions Under the Trump Administration.” The article analyzed US sanctions towards Cuba, Iran, North Korea, Russia, Sudan, and Venezuela, as well as individuals involved in human rights abuses and corruption. In their article, Ms. Georgi, Ms. Alberda, and Mr. Hardaway argue that there is “an increased congressional role in economic sanctions…and a fair degree of uncertainty about how aggressively the administration will pursue campaign policies related to foreign policy.” To read the article in full, click here.  
 
This article has been published in The Current: The Journal of PLI Press, Vol. 2, No. 1, Winter 2018 (© 2018 Practising Law Institute),
www.pli.edu/THECURRENT.

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* Author: Michael O’Kane, Esq., Peters & Peters Solicitors LLP, mokane@petersandpeters.com.
 
The UK’s Export Control Joint Unit (ECJU) has issued
guidance
on the 2017 changes to ‘information security’ products contained within Category 5 Part 2 of the
consolidated list of strategic military and dual-use items that require export authorisation
.

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COMM_a3
17. M. Volkov: “Financial Institutions and the Glaring Absence of an Ethical Culture”
(Source: Volkov Law Group Blog, 22 Feb 2018. Reprinted by permission.)
 
* Author: Michael Volkov, Esq., Volkov Law Group, mvolkov@volkovlaw.com, 240-505-1992.
 
Federal prosecutors and regulators have been active in tackling US banks. In the last few weeks, the Federal Reserve took the extraordinary step of blocking Wells Fargo’s ability to grow its business until it improves its corporate governance and risk and compliance management; and Rabobank and US Bank were punished with six-figure settlements for AML and Bank Secrecy Act violations.
 
When you review the facts, the years of misconduct, the obstruction of regulatory oversight functions, and the utter failure of corporate boards and senior management to address the glaring deficiencies and law-breaking conduct. Laws and regulations were viewed as impediments that needed to be circumvented and even ignored. Compliance was a nuisance and viewed with disdain. Resources and integrity were barely existent in these banks.
 
The question that cries out when you review these enforcement actions is where was bank’s ethical culture? Why did no one raise a voice to alert the board and senior management about the ongoing activity? What tone was really set at the top?
 
Unfortunately, there is a glaring absence of commitment to an ethical culture. Financial institutions are in desperate need of a reputational overhaul. A new commitment to business ethics and overall compliance with the law has to be initiated.
 
Banks have to start over when it comes to ethics and compliance. Robust controls that are ignored to circumvented can no longer be tolerated. Coupled with this commitment to ethics and compliance, bank leadership has to devote more time and attention to compliance. Federal regulators need to reinforce this message, as they have done over the last ten years.
 
To reinforce my point about the importance of ethics in the financial industry, when reviewing an enforcement action, especially the three major actions referenced above, consider how the facts may have changed if the bank had a senior ethics and compliance officer who had adequate authority, independence and resources to manage and operate a robust ethics and compliance program. In addition, imagine if a dedicated CCO was present during key meetings in which financial institutions made decisions that were harmful to the company.
 
Wells Fargo adopted a sales incentive plan that quickly eroded its sales practices leading to fraud and fake accounts. Over 5000 employees were fired because of their involvement in these scams or for failing to meet the new incentives. Whistleblowers were not rewarded; to the contrary, they were fired for raising concerns about the program.
 
If a Chief Ethics and Compliance Officer was part of the review of Wells Fargo’s new sales incentive program, how do you think the CCO would react? What issues do you think the CCO would raise?
 
Financial institutions would do well to consider these issues in the planning stages of any new sales initiative. A business ethics perspective can provide an early warning notice to business management about the impact and risks of a new initiative. Banks need to expand their perspective on “risks” beyond the scope of business risks and address compliance risks. A new product offering may involve significant business risks, and that certainly should be evaluated and analyzed in accordance with the bank’s business risk thresholds. But just as important is the need to address ethical and compliance risks when considering bank products and services.
 
Banks are slow to change. The Federal Reserve and the Comptroller of the Currency have sent a new message to every bank – make sure your board governance structure and procedures are pristine and improve your risk and compliance functions. If banks fail to do so, the government stands ready to intervene, and we may see more enforcement actions following the Wells Fargo precedent.

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COMM_a4
18. Gary Stanley’s ECR Tip of the Day
(Source: Defense and Export-Import Update, 27 Feb 2018; available by subscription from
gstanley@glstrade.com
)
 
* Author: Gary Stanley, Esq., Global Legal Services, PC, (202) 352-3059,
gstanley@glstrade.com
.
 
When amending the DSP-85, the applicant must submit a completely new DSP-85 along with a transmittal letter, signed by the Empowered Official explaining the amended change.

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COMM_a5
19. R.C. Burns: “KOTI Learns The Hard Way that Google is Your Friend”

(Source:
Export Law Blog
, 28 Feb 2018. Reprinted by permission.)
 
* Author: R. Clifton Burns, Esq., Bryan Cave LLP, Wash DC,
Clif.Burns@bryancave.com
, 202-508-6067).
 
Back on November 17, the South Koreans seized KOTI, a Panamanian-registered ship that was suspected of transferring oil in mid-ocean to a North Korean ship.  That didn’t stop the Office of Foreign Assets Control (“OFAC”) from adding the vessel (and the company that owns it) to the SDN list during its latest round of sanctions against North Korea, even though KOTI will likely spend its final days in Pyeongtaek before its final voyage to a South Korean scrap heap.
 
Now, of course, we know, thanks to very cool pictures released by OFAC when it designated KOTI, that the ship indeed transferred oil to the unfortunately named North Korean tanker KUM UN SAN 3 (apparently an anagram of A MUSK NUN), somewhere in the East China Sea.  And, as the picture above, also released by OFAC, makes clear, the ship to which KOTI transferred the oil, did not identify itself as the KUM UN SAN 3 or as a North Korean vessel.  According to markings on the vessel, it was a ship named KUS, sailing from Dalian, China, and registered as IMO 8660909. So how was KOTI to know that it was dealing with a wolf in sheep’s clothing, or, as we might say, a Nork in ship’s clothing?
 
Well, OFAC also released an advisory proposing mostly useless advice on how to avoid the North Koreans on the high seas.  You know, things like read all your shipping documents.  Duh.  But the advice on ship-to-ship transfers is pretty useful.  Obviously, the ship offloading cargo needs to establish a legitimate commercial reason for the ship-to-ship transfer, particularly where the transfer occurs in the East China Sea.  The normal commercial justifications for ship-to-ship transfers include reducing the weight of a ship so it can enter a harbor, refueling a ship, and transferring cargo to the new owner where a change in ownership has occurred at sea.  It’s going to be hard to justify an STS transfer to a North Korean ship in the East China Sea based on any of these normal commercial justifications.
 
More importantly, the advisory advises due diligence to determine the identity of the ship taking the transfer.  And here is where Google and other online resources are your friend.  Had KOTI and its shipping company checked the IMO website it would have quickly learned that IMO 8660909 belonged to a cargo ship named ZHI KUN 6 (not a tanker named KUS).  It also would have learned that there was no ship named KUS.  Finally, it could have used one of many marine traffic sites, such as this one, to determine the location of the ZHI KUN 6, which appears to have been elsewhere at the time of the cargo transfer.
 
(An interesting side note on the marine location issue.  OFAC says that at the time of the STS transfer between KUS, née KUM UN SAN 3, and KOTI, the ZHI KUN 6 (the real owner of IMO 8660909) was in “Xiaoyao, China,” a location that is not known to exist anywhere in the world any more than Emerald City, Oz or Hogsmeade Village.  There is a Xiaoyaoxiang, but it is about 20 miles inland, which would be an odd location, but who knows?  In any event, ZHI JUN 6 wasn’t in the East China Sea at the time.)

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ENEDITOR’S NOTES

 
Michel de Montaigne (Michel Eyquem de Montaigne, Lord of Montaigne; 28 Feb 1533 – 13 Sep 1592; was one of the most significant philosophers of the French Renaissance, known for popularizing the essay as a literary genre. His work is noted for its merging of casual anecdotes and autobiography with serious intellectual insight; his massive volume Essays contains some of the most influential essays ever written.)
  – “A good marriage would be between a blind wife and a deaf husband.”
  – “Nothing fixes a thing so intensely in the memory as the wish to forget it.”

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EN_a321
. 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.  The latest amendments 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: 22 Feb 2018: 83 FR 7608-7610: Technical Amendment to List of User Fee Airports: Name Changes of Several Airports and the Addition of Five Airports
 
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 cancelled Supp. 1 to the NISPOM (Summary 
here
.)


EXPORT ADMINISTRATION REGULATIONS (EAR)
: 15 CFR Subtit. B, Ch. VII, Pts. 730-774

  – Last Amendment: 
16 Feb 2018:
83 FR 6949-6956
: Russian Sanctions: Addition of Certain Entities to the Entity List [Addition of 21 Entities to Entity List.]

  
*
FOREIGN ASSETS CONTROL REGULATIONS (OFAC FACR)
: 31 CFR, Parts 500-599, Embargoes, Sanctions, Executive Orders
  – Last Amendment: 28 Dec 2017: 
82 FR 61450-61451: Iraq Stabilization and Insurgency Sanctions Regulations

 
*
FOREIGN TRADE REGULATIONS (FTR)
: 15 CFR Part 30
  – Last Amendment:
20 Sep 2017:
 
82 FR 43842-43844
: Foreign Trade Regulations (FTR): Clarification on Filing Requirements; Correction
 
  – HTS codes that are not valid for AES are available
here.
  – The latest edition (1 Jan 2018) 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, Census/AES guidance, and to many errors contained in the official text. 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.
 
*
HARMONIZED TARIFF SCHEDULE OF THE UNITED STATES (HTS, HTSA or HTSUSA)
, 1 Jan 2018: 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: 27 Feb 2018: Harmonized System Update 1802, containing 164 ABI records and 38 harmonized tariff records.

  – 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.

  – Last Amendment: 14 Feb 2018: 83 FR 6457-6458: Amendment to the International Traffic in Arms Regulations: Addition of South Sudan [Amends ITAR Part 126.] 

  – The only available fully updated copy (latest edition: 14 Feb 2018) of the ITAR with all amendments is contained in Bartlett’s Annotated 
ITAR

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EN_a0322
Weekly Highlights of the Daily Bugle Top Stories

(Source: Editor) 

Review last week’s top Ex/Im stories in “Weekly Highlights of the Daily Bugle Top Stories” published 
here

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EPEDITORIAL POLICY

* The Ex/Im Daily Update is a publication of FCC Advisory B.V., compiled by: Editor, James E. Bartlett III; Assistant Editors, Alexander P. Bosch and Vincent J.A. Goossen; and Events & Jobs Editor, John Bartlett. The Ex/Im Daily Update is 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, DOE/NRC, DOJ/ATF, DoD/DSS, DoD/DTSA, FAR/DFARS, 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.

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