Action Affecting Export Privileges; Solomon Schwartz

DEPARTMENT OF COMMERCE

Bureau of Export Administration

Action Affecting Export Privileges; Solomon Schwartz

Order Denying Permission to Apply for or Use Export Licenses

In the matter of: Solomon Schwartz, Number 2 Hillside Terrace,

Suffern, New York 10901.

On January 29, 1992, Solomon Schwartz (hereinafter referred to as

``Schwartz'') was convicted in the U.S. District Court for the Eastern

District of New York of, among other crimes, four counts of violating

the Arms Export Control Act (22 U.S.C.A. Sec. 2778 (1990, Supp. 1993))

(the ``AECA''), for exporting night vision devices to Argentina and the

Soviet Union, and for exporting firearms and ammunition to Iraq and

Poland, without obtaining the required licenses or written approval

from the U.S. Department of State. Section 11(h) of the Export

Administration Act of 1979, as amended (50 U.S.C.A. app. Secs. 2401-

2420 (1991, Supp. 1993, and Pub. L. No. 103-10, March 27, 1993)) (the

``EAA''), provides that, at the discretion of the Secretary of

Commerce,\1\ 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 export license issued pursuant to, or provided by, the

EAA or the Export Administration Regulations (currently codified at 15

CFR Parts 768-799 (1993)) (the ``Regulations''), for a period of up to

10 years from the date of the conviction. In addition, any export

license issued pursuant to the EAA in which such a person had any

interest at the time of his conviction may be revoked.

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\1\Pursuant to appropriate delegations of authority that are

reflected in the Regulations, the Director, Office of Export

Licensing, in consultation with the Director, Office of Export

Enforcement, exercises the authority granted to the Secretary by

Section 11(h) of the EAA.

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Pursuant to Secs. 770.15 and 772.1(g) of the Regulations, upon

notification that a person has been convicted of violating the AECA,

the Director, Office of Export Licensing, in consultation with the

Director, Office of Export Enforcement, shall determine whether to deny

that person permission to apply for or use any export license issued

pursuant to, or provided by, the EAA and the Regulations and shall also

determine whether to revoke any export license previously issued to

such a person. Having received notice of Schwartz's conviction for

violating the AECA, the following consultations with the Director,

Office of Export Enforcement, I have decided to deny Schwartz

permission to apply for or use any export license, including any

general license, issued pursuant to, or provided by, the EAA and the

Regulations, for a period of 10 years from the date of his conviction.

The 10-year period ends on January 29, 2002. I have also decided to

revoke all export licenses issued pursuant to the EAA in which Schwartz

had an interest at the time of his conviction.

Accordingly, it is hereby

Ordered

I. All outstanding individual validated licenses in which Schwartz

appears or participates, in any manner or capacity, are hereby revoked

and shall be returned forthwith to the Office of Export Licensing for

cancellation. Further, all of Schwartz's privileges of participating,

in any manner or capacity, in any special licensing procedure,

including, but not limited to, distribution licenses, are hereby

revoked.

II. Until January 29, 2002, Solomon Schwartz, Number 2, Hillside

Terrace, Suffern, New York 10901, hereby is denied all privileges of

participating, directly or indirectly, in any manner or capacity, in

any transaction in the United States or abroad involving any commodity

or technical data exported or to be exported from the United States, in

whole or in part, and subject to the Regulations. Without limiting the

generality of the foregoing, participation, either in the United States

or abroad, shall include participation, directly or indirectly, in any

manner or capacity: (i) As a party or as a representative of a party to

any export license application submitted to the Department; (ii) in

preparing or filing with the Department any export license application

or request for reexport authorization, or any document to be submitted

therewith; (iii) in obtaining from the Department or using any

validated or general export license, reexport authorization or other

export control document; (iv) in carrying on negotiations with respect

to, or in receiving, ordering, buying, selling, delivering, storing,

using, or disposing of, in whole or in part, any commodities or

technical data exported or to be exported from the United States, and

subject to the Regulations; and (v) in financing, forwarding,

transporting, or other servicing of such commodities or technical data.

III. After notice and opportunity for comment as provided in

Sec. 770.15(h) of the Regulations, any person, firm, corporation, or

business organization related to Schwartz 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. As provided in Sec. 787.12(a) of the Regulations, without prior

disclosure of the facts to and specific authorization of the Office of

Export Licensing, in consultation with the Office of Export

Enforcement, no person may directly or indirectly, in any manner or

capacity: (i) Apply for, obtain, or use any license, Shipper's Export

Declaration, bill of lading, or other export control document relating

to an export or reexport of commodities or technical data by, to, or

for another person then subject to an order revoking or denying his

export privileges or then excluded from practice before the Bureau of

Export Administration; or (ii) order, buy, receive, use, sell, deliver,

store, dispose of, forward, transport, finance, or otherwise service or

participate: (a) in any transaction which may involve any commodity or

technical data exported or to be exported from the United States; (b)

in any reexport thereof; or (c) in any other transaction which is

subject to the Export Administration Regulations, if the person denied

export privileges may obtain any benefit or have any interest in,

directly or indirectly, any of these transactions.

V. This Order is effective immediately and shall remain in effect

until January 29, 2002.

VI. A copy of this Order shall be delivered to Solomon Schwartz.

This Order shall be published in the Federal Register.

Date: May 4, 1994.

Eileen M. Albanese,

Acting Director, Office of Export Licensing.

[FR Doc. 94-11823 Filed 5-13-94; 8:45 am]

BILLING CODE 3510-DT-M