[Federal Register Volume 81, Number 120 (Wednesday, June 22, 2016)]
[Notices]
[Pages 40658-40659]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-14745]
[[Page 40658]]
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DEPARTMENT OF COMMERCE
Bureau of Industry and Security
In the Matter of: Ismael Reta, Register Number: 78795-379,
Federal Correctional Institution, P.O. Box 4200, Three Rivers, TX
78071; Order Denying Export Privileges
On June 15, 2015, in the U.S. District Court for the Southern
District of Texas, Ismael Reta (``Reta''), was convicted of violating
Section 38 of the Arms Export Control Act (22 U.S.C. 2778 (2012))
(``AECA''). Specifically, Reta intentionally and knowingly conspired
and agreed together with other person or persons known and unknown to
the Grand Jurors, to knowingly and willfully export, attempt to export,
and cause to be exported into Mexico from the United States defense
article, that is, to-wit: a Colt, Model M4, 5.56mm rifle; a Romarm,
Model WASR-10, 7.62x39mm rifle; a Berretta, Model 92FS, 9mm pistol, two
hundred sixty-two (262) rounds of 5.56mm ammunition; and fifty (50)
rounds of 7.62x39mm ammunition, which were designated as defense
articles on the United States Munitions List, without having first
obtained from the Department of State a license for such export or
written authorization for such export. Reta was sentenced 37 months of
imprisonment, three years of supervised release, and a $100 assessment.
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. 4610(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.
4610(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 (2015). The Regulations
issued pursuant to the Export Administration Act (50 U.S.C. 4601-
4623 (Supp. III 2015) (available at http://uscode.house.gov)). Since
August 21, 2001, the Act 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 7, 2015 (80 FR 48,233
(Aug. 11, 2015)), 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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BIS has received notice of Reta's conviction for violating the
AECA, and has provided notice and an opportunity for Reta to make a
written submission to BIS, as provided in Section 766.25 of the
Regulations. BIS has not received a submission from Reta.
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 Reta's export privileges under the Regulations for
a period of 10 years from the date of Reta's conviction. I have also
decided to revoke all licenses issued pursuant to the Act or
Regulations in which Reta had an interest at the time of his
conviction.
Accordingly, it is hereby ordered:
First, from the date of this Order until June 15, 2025, Ismael
Reta, with a last known address of Register Number: 78795-379, Federal
Correctional Institution, P.O. Box 4200, Three Rivers, TX 78071, and
when acting for or on his behalf, his successors, assigns, employees,
agents or representatives (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.
Second, no person may, directly or indirectly, do any of the
following:
A. Export or reexport to or on behalf of the Denied Person any item
subject to the Regulations;
B. Take any action that facilitates the acquisition or attempted
acquisition by the Denied Person of the ownership, possession, or
control of any item subject to the Regulations that has been or will be
exported from the United States, including financing or other support
activities related to a transaction whereby the Denied Person acquires
or attempts to acquire such ownership, possession or control;
C. Take any action to acquire from or to facilitate the acquisition
or attempted acquisition from the Denied Person of any item subject to
the Regulations that has been exported from the United States;
D. Obtain from the Denied Person in the United States any item
subject to the Regulations with knowledge or reason to know that the
item will be, or is intended to be, exported from the United States; or
E. Engage in any transaction to service any item subject to the
Regulations that has been or will be exported from the United States
and which is owned, possessed or controlled by the Denied Person, or
service any item, of whatever origin, that is owned, possessed or
controlled by the Denied Person if such service involves the use of any
item subject to the Regulations that has been or will be exported from
the United States. For purposes of this paragraph, servicing means
installation, maintenance, repair, modification or testing.
Third, 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 Reta by ownership, control,
position of responsibility, affiliation, or other connection in the
conduct of trade or business may also be made subject to the provisions
of this Order in order to prevent evasion of this Order.
Fourth, in accordance with Part 756 of the Regulations, Reta 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.
Fifth, a copy of this Order shall be delivered to the Reta. This
Order shall be published in the Federal Register.
[[Page 40659]]
Sixth, this Order is effective immediately and shall remain in
effect until June 15, 2025.
Issued this 15 day of June 2016.
Karen H. Nies-Vogel,
Director, Office of Exporter Services.
[FR Doc. 2016-14745 Filed 6-21-16; 8:45 am]
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