Action Affecting Export Privileges; Francisco Javier Ferreiro- Parga; Order Denying Permission To Apply for or Use Export Licenses

DEPARTMENT OF COMMERCE

Bureau of Export Administration

Action Affecting Export Privileges; Francisco Javier Ferreiro-

Parga; Order Denying Permission To Apply for or Use Export Licenses

On December 12, 1997, Francisco Ferreiro-Paraga (Ferreiro-Pargo)

was convicted in the United States District Court for the Southern

District of Florida on, inter alia, one count of violating the

International Emergency Economic Powers Act (50 U.S.C.A. Secs. 1701-

1706 (1991 & Supp. 1998)) (IEEPA). Ferreiro-Parga was convicted of

knowingly, willfully, and unlawfully exporting and causing to be

exported two containers of goods, to Ria Haina, Dominican Republic,

under a false bill of lading, from where the containers of goods were

transshipped to Havana, Cuba, without the required export license.

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 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 (1998)) (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.

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\1\ The Act expired on August 20, 1994. Executive Order 12924 (3

C.F.R., 1994 Comp. 917 (1995)), extended by Presidential Notices of

August 15, 1995 (3 C.F.R., 1995 Comp. 501 (1996)), August 14, 1996

(3 C.F.R., 1996 Comp. 298 (1997)), August 13, 1997 (3 C.F.R., 1997

Comp. 306 (1998)), and August 13, 1998 (63 Fed. Reg. 44121, August

17, 1998), continued the Export Administration Regulations in effect

under the IEEPA.

\2\ Pursuant to appropriate delegations of authority that are

reflected in the Regulations, 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.

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Pursuant to Sections 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 and the

Regulations, and shall also determine whether to revoke any license

previously issued to such a person.

Having received notice of Ferreiro-Parga's conviction for violating

the IEEPA, and following consultations with the Director, Office of

Export Enforcement, I have decided to deny Ferreiro-Parga 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

[[Page 5024]]

from the date of his conviction. The 10-year period ends on December

12, 2007. I have also decided to revoke all licenses issued pursuant to

the Act in which Ferreiro-Parga had an interest at the time of his

conviction.

Accordingly, it is hereby

Ordered

I. Until December 12, 2007, Francisco Javier Ferreiro-Parga, Plaza

de Maria Pita 21, Piso 2d, La Coruna, Spain, 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, 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.

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 Ferreiro-Parga 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 December 12, 2007.

VI. A copy of this Order shall be delivered to Ferreiro-Parga. This

Order shall be published in the Federal Register.

Dated: January 25, 1999.

Eileen M. Albanese,

Director, Office of Exporter Services.

[FR Doc. 99-2434 Filed 2-1-99; 8:45 am]

BILLING CODE 3510-DT-M