VZCZCXYZ0006
PP RUEHWEB

DE RUEHIL #0668 0451141
ZNR UUUUU ZZH
P 141141Z FEB 08
FM AMEMBASSY ISLAMABAD
TO RUEHC/SECSTATE WASHDC 5117
INFO RUCPDOC/USDOC WASHDC PRIORITY
RUEAIIA/CIA WASHINGTON DC
RUEKJCS/SECDEF WASHINGTON DC
RHMFIUU/FBI WASHINGTON DC
RHMFIUU/HQ BICE INTEL WASHINGTON DC

UNCLAS ISLAMABAD 000668 
 
SIPDIS 
 
SENSITIVE 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC PK
SUBJECT: PAKISTAN: BLUE LANTERN LEVEL 3: PRE-LICENSE CHECK ON 
APPLICATION 050068647 
 
REF: 07 STATE 149579 
 
¶1. (SBU) Consulate General Karachi Econ Officer visited foreign 
intermediate consignee Consolidated Logistics Corporation in late 
2007 to conduct a pre-license check on application 050068647.  Econ 
Officer met with Shahid Shafiq, one of Consolidated Logistics' 
co-Directors, at his office in Karachi. 
 
¶2. (SBU) Consolidated Logistics Corporation was established in the 
1970s by Mr. Shafiq's father.  The company is currently under the 
direction of Shahid Shafiq and his brother, Ahsan Shafiq.  The 
company typically serves as a broker for the purchase of military 
items for the Pakistani armed forces. State-owned Pakistan 
International Airlines (PIA) is also a customer. 
 
¶3. (SBU) For application 050068647, Consolidated Logistics is acting 
as a representative for UK-based Insight Technology.  Consolidated 
Logistics will not receive the merchandise directly and will be 
conducting a "paper transfer" only.  Non U.S.-origin second 
generation image intensifier tubes (IITs), provided by French 
company Photonis-DEP, will be integrated into the U.S.-origin night 
vision devices (NVDs).  The Pakistani Ministry of Defense's 
Institute of Optronics will integrate the two products. 
 
¶4. (SBU) Shafiq understands the restrictions on U.S. Munitions List 
(USML) items.  Paperwork provided to EconOff indicates that items 
cannot be re-exported. Consolidated Logistics was unable to provide 
a purchase order.  Shafiq reported that for small transactions like 
application 050068647, the Ministry of Defense (MOD) issues 
contracts after bids are accepted. The company provided technical 
specifications from Photonis-DEP, line of credit documentation from 
the National Bank of Pakistan and pro-forma invoices billed to the 
Ministry of Defense Production.  Electronic copies of all 
documentation have been sent to the Blue Lantern POC. 
 
¶5. (SBU) Comment: Consolidated Logistics appears to be a reliable 
recipient of USML items.  However, in this case, the company will 
not be taking physical possession of the items in question. Post was 
unable to verify the company's order with the Ministry of Defense, 
nor ascertain whether the U.S.-origin NVDs were ordered without 
U.S.-origin IITs. End comment. 
 
PATTERSON