14 May 1998
Source: http://www.access.gpo.gov/su_docs/aces/aaces002.html

-------------------------------------------------------------------------

[Federal Register: May 14, 1998 (Volume 63, Number 93)]
[Notices]
[Page 26774-26775]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr14my98-34]

-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Bureau of Export Administration


Action Affecting Export Privileges; David Irwin Portnoy; Order
Denying Permission To Apply for or Use Export Licenses

    In the matter of: David Irwin Portnoy, 2315 W. 5th Street,
Irving, Texas 75060.

    On August 1, 1997, David Irwin Portnoy (Portnoy) was convicted in
the United States District Court for the Northern District of Texas,
Dallas Division, on three counts of violating the International
Emergency Economic Powers Act (50 U.S.C.A. Secs. 1701-1706 (1991 &
Supp. 1998)) (IEEPA). Specifically, Portnoy was convicted of knowingly
and willfully exporting and causing to be exported from the United
States to Switzerland, for trans-shipment to Libya, shipments of
electronic components and telecommunications equipment.
    Section 11(h) of the Export Administration Act of 1979, as amended
(currently codified at 50 U.S.C.A. app.

[[Page 26775]]

Secs.  2401-2420 (1991 & Supp. 1998)) (the Act),\1\ provides that, at
the discretion of the Secretary of Commerce,\2\ no person convicted of
violating the IEEPA, or certain other provisions of the United States
Code, shall be eligible to apply for or use any license, including any
License Exception, issued pursuant to, or provided by, the Act or the
Export Administration Regulations (currently codified at 15 CFR Parts
730-774 (1997)) (the Regulations), for a period of up to 10 years from
the date of the conviction. In addition, any license issued pursuant to
the Act in which such a person had any interest at the time of
conviction may be revoked.
---------------------------------------------------------------------------

    \1\ The Act expired on August 20, 1994. Executive Order 12924 (3
CFR, 1994 Comp. 917 (1995)), extended by Presidential Notices of
August 15, 1995 (3 CFR , 1995 Comp. 501 (1996)), August 14, 1996 (3
CFR 1996 Comp. 298 (1997)), and August 13, 1997 (62 FR 43629, August
15, 1997), continued the Export Administration Regulations in effect
under the IEEPA.
    \2\ Pursuant to appropriate delegations of authority, the
Director, Office of Exporter Services, in consultation with the
Director, Office of Export Enforcement, exercises the authority
granted to the Secretary by Section 11(h) of the Act.
---------------------------------------------------------------------------

    Pursuant to Secs. 766.25 and 750.8(a) of the Regulations, upon
notification that a person has been convicted of violating the IEEPA,
the Director, Office of Exporter Services, in consultation with the
Director, Office of Export Enforcement, shall determine whether to deny
that person permission to apply for or use any license, including any
License Exception, issued pursuant to, or provided by, the Act or the
Regulations, and shall also determine whether to revoke any license
previously issued to such a person.
    Having received notice of Portnoy's conviction for violating the
IEEPA, and following consultations with the Acting Director, Office of
Export Enforcement, I have decided to deny Portnoy permission to apply
for or use any license, including any License Exception, issued
pursuant to, or provided by, the Act and the Regulations, for a period
of 10 years from the date of his conviction. The 10-year period ends on
August 1, 2007. I have also decided to revoke all licenses issued
pursuant to the Act in which Portnoy had an interest at the time of his
conviction.
    Accordingly, it is hereby Ordered.
    I. Until August 1, 2007, David Irwin Portnoy, 2315 W. 5th Street,
Irving, Texas 75060, may not, directly or indirectly, participate in
any way, in any transaction involving any commodity, software or
technology (hereinafter collectively referred to as ``item'') exported
or to be exported from the United States, that is subject to the
Regulations, or in any other activity subject to the Regulations,
including, but not limited to:
    A. Applying for, obtaining, or using any license, License
Exception, or export control document;
    B. Carrying on negotiations concerning, or ordering, buying,
receiving, using, selling, delivering, storing, disposing of,
forwarding, transporting, financing, or otherwise servicing in any way,
any transaction involving any item exported or to be exported from the
United States that is subject to the Regulations, or in any other
activity subject to the Regulations; or
    C. Benefiting in any way from any transaction involving any item
exported or to be exported from the United States that is subject to
the Regulations, or in any other activity subject to the Regulations.
    II. No person may do, directly or indirectly, any of the following:
    A. Export or reexport to or on behalf of the denied person any item
subject to the Regulations;
    B. Take any action that facilitates the acquisition or attempted
acquisition by the denied person of the ownership, possession, or
control of any item subject to the Regulations that has been or will be
exported from the United States, including financing or other support
activities related to a transaction whereby the denied person acquires
or attempts to acquire such ownership, possession or control;
    C. Take any action to acquire from or to facilitate the acquisition
or attempted acquisition from the denied person of any item subject to
the Regulations that has been exported from the United States;
    D. Obtain from the denied person in the United States any item
subject to the Regulations with knowledge or reason to know that the
item will be, or is intended to be, exported from the United States; or
    E. Engage in any transaction to service any item subject to the
Regulations that has been or will be exported from the United States
and which is owned, possessed or controlled by the denied person, or
service any item, of whatever origin, that is owned, possessed or
controlled by the denied person if such service involves the use of any
item subject to the Regulations that has been or will be exported from
the United States. For purposes of this paragraph, servicing means
installation, maintenance, repair, modification or testing.
    III. After notice and opportunity for comment as provided in
Section 766.23 of the Regulations, any person, firm, corporation, or
business organization related to Portnoy by affiliation, ownership,
control, or position of responsibility in the conduct of trade or
related services may also be subject to the provisions of this Order.
    IV. This Order does not prohibit any export, reexport, or other
transaction subject to the Regulations where the only items involved
that are subject to the Regulations are the foreign-produced direct
product of U.S.-origin technology.
    V. This Order is effective immediately and shall remain in effect
until August 1, 2007.
    VI. A copy of this Order shall be delivered to Portnoy. This Order
shall be published in the Federal Register.

    Dated: May 5, 1998.
Eileen M. Albanese,
Director, Office of Exporter Services.
[FR Doc. 98-12786 Filed 5-13-98; 8:45 am]
BILLING CODE 3510-DT-M

-------------------------------------------------------------------------

[Federal Register: May 14, 1998 (Volume 63, Number 93)]
[Notices]               
[Page 26775-26776]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr14my98-35]

-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Bureau of Export Administration

 
Acting Affecting Export Privileges; Wayne P. Smith; Order Denying 
Permission To Apply for or Use Export Licenses

    In the Matter of: Wayne P. Smith currently incarcerated at: 
Federal Correction Institute, USM No. 09046-035, Federal Detention 
Center, 5010 Whatley Road, Oakdale, Louisiana 71463 and with an 
address at: 2333 Big Woods Edgerly Road, Rt. 1, Box 845c, Vinton, 
Louisiana 70668.

    On July 3, 1996, Wayne P. Smith (Smith) was convicted in the United 
States District Court for the Western District of Louisiana, Lake 
Charles Division, on one count of violating Section 38 of the Arms 
Export Control Act (currently codified at 22 U.S.C.A. 2778 (1990 & 
Supp. 1998)) (the AECA). Specifically, Smith was convicted of knowingly 
and willfully exporting and causing to be exported to England 80 plain 
self-aligning ball bearings designed for and used on the McDonald 
Douglas F-4 Phantom II military jet, without obtaining the required 
export license from the Department of State.
    Section 11(h) of the Export Administration Act of 1979, as amended 
currently codified at 50 U.S.C.A. app. Secs. 2401-2420 (1991 & Supp. 
1998)) (the Act),\1\ provides that, at the discretion of

[[Page 26776]]

the Secretary of Commerce,\2\ no person convicted of violating the 
AECA, or certain other provisions of the United States Code, shall be 
eligible to apply for or use any license, including any License 
Exception, issued pursuant to, or provided by, the Act or the Export 
Administration Regulations (currently codified at 15 CFR Parts 730-774 
(1997)) (the Regulations), for a period of up to 10 years from the date 
of the conviction. In addition, any license issued pursuant to the Act 
in which such a person had any interest at the time of conviction may 
be revoked.
---------------------------------------------------------------------------

    \1\ The Act expired on August 20, 1994. Executive Order 12924 (3 
CFR, 1994 Comp. 917 (1995)), extended by Presidential Notices of 
August 15, 1995 (3 CFR, 1995 Comp. 501 (1996)), August 14, 1996 (3 
CFR, 1996 Comp. 298 (1997)), and August 13, 1997 (62 FR 43629, 
August 15, 1997), continued the Export Administration Regulations in 
effect under the International Emergency Economic Powers Act (50 
U.S.C.A. Secs. 1701-1706 (1991 & Supp. 1998)).
    \2\ Pursuant to appropriate delegations of authority, the 
Director, Office of Exporter Services, in consultation with the 
Director, Office of Export Enforcement, exercises the authority 
granted to the Secretary by Section 11(h) of the Act.
---------------------------------------------------------------------------

    Pursuant to Sections 766.25 and 750.8(a) of the Regulations, upon 
notifications that a person has been convicted of violating the AECA, 
the Director, Office of Exporter Services, in consultation with the 
Director, Office of Export Enforcement, shall determine whether to deny 
that permission to apply for or use any license, including any License 
Exception, issued pursuant to, or provided by, the Act or the 
Regulations, and shall also determine whether to revoke any license 
previously issued to such a person.
    Having received notice of Smith's conviction for violating the 
AECA, and following consultations with the Acting Director, Office of 
Export Enforcement, I have decided to deny Smith permission to apply 
for or use any license, including any License Exception, issued 
pursuant to, or provided by, the Act and the Regulations, for a period 
of 10 years from the date of his conviction. The 10-year period ends on 
July 3, 2006. I have also decided to revoke all licenses issued 
pursuant to the Act in which Smith had an interest at the time of his 
conviction.
    Accordingly, it is hereby ordered.
    I. Until July 3, 2006, Wayne P. Smith, currently incarcerated at 
the Federal Correction Institute, USM No. 09046-035, Federal Detention 
Center, 5010 Whatley Road, Oakdale, Louisiana 71463, and with an 
address at 2333 Big Woods Edgerly Road, Rt. 1, Box 845c, Vinton, 
Louisiana 70668, may not, directly or indirectly, participate in any 
way, in any transaction involving any commodity, software or technology 
(hereinafter collectively referred to as ``item'') exported or to be 
exported from the United States, that is subject to the Regulations, or 
in any other activity subject to the Regulations, including, but not 
limited to:
    A. Applying for, obtaining, or using any license, License 
Exception, or export control document;
    B. Carrying on negotiations concerning, or ordering, buying, 
receiving, using, selling, delivering, storing, disposing of, 
forwarding, transporting, financing, or otherwise servicing in any way, 
any transaction involving any item exported or to be exported from the 
United States that is subject to the Regulations, or in any other 
activity subject to the Regulations; or
    C. Benefiting in any way from any transaction involving any item 
exported or to be exported from the United States that is subject to 
the Regulations, or in any other activity subject to the Regulations.
    II. No person may do, directly or indirectly, any of the following:
    A. Export or reexport to or on behalf of the denied person any item 
subject to the Regulations;
    B. Take any action that facilitates the acquisition or attempted 
acquisition by the denied person of the ownership, possession, or 
control of any item subject to the Regulations that has been or will be 
exported from the Untied States, including financing or other support 
activities related to a transaction whereby the denied person acquires 
or attempts to acquire such ownership, possession or control;
    C. Take any action to acquire from or to facilitate the acquisition 
or attempted acquisition from the denied person of any item subject to 
the Regulations that has been exported from the United States;
    D. Obtain from the denied person in the United States any item 
subject to the Regulations with knowledge or reason to know that the 
item will be, or is intended to be, exported from the United States; or
    E. Engage in any transaction to service any item subject to the 
Regulations that has been or will be exported from the United States 
and which is owned, possessed or controlled by the denied person, or 
service any item, of whatever origin, that is owned, possessed or 
controlled by the denied person if such service involves the use of any 
item subject to the Regulations that has been or will be exported from 
the United States. For purposes of this paragraph, servicing means 
installation, maintenance, repair, modification or testing.
    III. After notice and opportunity for comment as provided in 
Section 766.23 of the Regulations, any person, firm, corporation, or 
business organization related to Smith by affiliation, ownership, 
control, or position of responsibility in the conduct or trade or 
related services may also be subject to the provisions of this Order.
    IV. This Order does not prohibit any export, reexport, or other 
transaction subject to the Regulations where the only items involved 
that are subject to the Regulations are the foreign-produced direct 
product of U.S.-origin technology.
    V. This Order is effective immediately and shall remain in effect 
until July 3, 2006.
    VI. A copy of this Order shall be delivered to Smith. This Order 
shall be published in the Federal Register.

    Dated: May 5, 1998.
Eileen M. Albanese,
Director, Office of Exporter Services.
[FR Doc. 98-12769 Filed 5-13-98; 8:45 am]
BILLING CODE 3510-DT-M



