[Federal Register Volume 78, Number 32 (Friday, February 15, 2013)]
[Notices]
[Pages 11142-11143]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-03547]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
Connor Hayden Kraegel, 19917 Spurrier Avenue, Poolesville, MD
20837; Order Denying Export Privileges
On August 24, 2011, in the U.S. District Court, District of
Maryland, Connor Hayden Kraegel (``Kraegel'') was convicted of
violating Section 38 of the Arms Export Control Act (22 U.S.C. 2778
(2006 & Supp. IV 2010)) (``AECA''). Specifically, Kraegel was convicted
of knowingly and willfully exporting from the United States a set of
AN/AVS-6 night vision goggles, which is designated as a defense article
on the United States Munitions List, without having first obtained from
the Department of State a license for such export. Kraegel was
sentenced to eight months of prison, to run concurrent with the
sentence imposed in the United States District Court for the District
of Montana, Case 10-27-BU-SWM. Kraegel was entitled to credit for time
served and was released from prison on April 2, 2012. Kraegel is also
listed on the U.S. Department of State Debarred List.
Section 766.25 of the Export Administration Regulations (``EAR'' or
``Regulations'') \1\ provides, in pertinent part, that ``[t]he Director
of the Office of Exporter Services, in consultation with the Director
of the Office of Export Enforcement, may deny the export privileges of
any person who has been convicted of a violation of the Export
Administration Act (``EAA''), the EAR, or any order, license or
authorization issued thereunder; any regulation, license, or order
issued under the International Emergency Economic Powers Act (50 U.S.C.
1701-1706); 18 U.S.C. 793, 794 or 798; section 4(b) of the Internal
Security Act of 1950 (50 U.S.C. 783(b)), or section 38 of the Arms
Export Control Act (22 U.S.C. 2778).'' 15 CFR 766.25(a); see also
Section 11(h) of the EAA, 50 U.S.C. app. Sec. 2410(h). The denial of
export privileges under this provision may be for a period of up to 10
years from the date of the conviction. 15 CFR 766.25(d); see also 50
U.S.C. app. Sec. 2410(h). In addition, Section 750.8 of the
Regulations states that the Bureau of Industry and Security's Office of
Exporter Services may revoke any Bureau of Industry and Security
(``BIS'') licenses previously issued in which the person had an
interest in at the time of his conviction.
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\1\ The Regulations are currently codified in the Code of
Federal Regulations at 15 CFR parts 730-774 (2012). The Regulations
issued pursuant to the Export Administration Act (50 U.S.C. app.
Sec. Sec. 2401-2420 (2000)) (``EAA''). Since August 21, 2001, the
EAA has been in lapse and the President, through Executive Order
13222 of August 17, 2001 (3 CFR 2001 Comp. 783 (2002)), which has
been extended by successive Presidential Notices, the most recent
being that of August 15, 2012 (77 FR 49699 (August 16, 2012)), has
continued the Regulations in effect under the International
Emergency Economic Powers Act (50 U.S.C. 1701, et seq. (2006 & Supp.
IV 2010)).
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I have received notice of Kraegel's conviction for violating the
AECA, and have provided notice and an opportunity for Kraegel to make a
written submission to BIS, as provided in Section 766.25 of the
Regulations. I have received a submission from Kraegel. Based upon my
review and consultations with BIS's Office of Export Enforcement,
including its Director, and the facts available to BIS, I have decided
to deny Kraegel's export privileges under the Regulations for a period
of 10 years from the date of Kraegel's conviction. I have also decided
to revoke all licenses issued pursuant to the Act or Regulations in
which Kraegel had an interest at the time of his conviction.
Accordingly, it is hereby ordered.
I. Until August 24, 2021, Connor Hayden Kraegel, with a last known
address at: 19917 Spurrier Avenue, Poolesville, MD 20837, and when
acting for or on behalf of Kraegel, his representatives, assigns,
agents or employees (the ``Denied Person''), may not, directly or
indirectly, participate in any way in any transaction involving any
commodity, software or technology (hereinafter collectively referred to
as ``item'') exported or to be exported from the United States that is
subject to the Regulations, including, but not limited to:
A. Applying for, obtaining, or using any license, License
Exception, or export control document;
B. Carrying on negotiations concerning, or ordering, buying,
receiving, using, selling, delivering, storing, disposing of,
forwarding, transporting, financing, or otherwise 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. Benefitting in any way from any transaction involving any item
exported or to be exported from the United States that is subject to
the Regulations, or in any other activity subject to the Regulations.
II. No person may, directly or indirectly, do any of the following:
A. Export or reexport to or on behalf of the Denied Person any item
subject to the Regulations;
B. Take any action that facilitates the acquisition or attempted
acquisition by the Denied Person of the ownership, possession, or
control of any item subject to the Regulations that has been or will be
exported from the United States, including financing or other support
activities related to a transaction whereby the Denied Person acquires
or attempts to acquire such ownership, possession or control;
C. Take any action to acquire from or to facilitate the acquisition
or attempted acquisition from the Denied Person of any item subject to
the Regulations that has been exported from the United States;
D. Obtain from the Denied Person in the United States any item
subject to the Regulations with knowledge or reason to know that the
item will be, or is intended to be, exported from the United States; or
E. Engage in any transaction to service any item subject to the
Regulations that
[[Page 11143]]
has been or will be exported from the United States and which is owned,
possessed or controlled by the Denied Person, or service any item, of
whatever origin, that is owned, possessed or controlled by the Denied
Person if such service involves the use of any item subject to the
Regulations that has been or will be exported from the United States.
For purposes of this paragraph, servicing means installation,
maintenance, repair, modification or testing.
III. After notice and opportunity for comment as provided in
Section 766.23 of the Regulations, any other person, firm, corporation,
or business organization related to Kraegel by affiliation, ownership,
control or position of responsibility in the conduct of trade or
related services may also be subject to the provisions of this Order if
necessary to prevent evasion of the Order.
IV. This Order does not prohibit any export, reexport, or other
transaction subject to the Regulations where the only items involved
that are subject to the Regulations are the foreign-produced direct
product of U.S.-origin technology.
V. This Order is effective immediately and shall remain in effect
until August 24, 2021.
VI. In accordance with Part 756 of the Regulations, Kraegel may
file an appeal of this Order with the Under Secretary of Commerce for
Industry and Security. The appeal must be filed within 45 days from the
date of this Order and must comply with the provisions of Part 756 of
the Regulations.
VII. A copy of this Order shall be delivered to the Kraegel. This
Order shall be published in the Federal Register.
Issued this 8th day of February, 2013.
Bernard Kritzer,
Director, Office of Exporter Services .
[FR Doc. 2013-03547 Filed 2-14-13; 8:45 am]
BILLING CODE P