VZCZCXYZ0000
RR RUEHWEB

DE RUEHHK #0822 1270211
ZNR UUUUU ZZH
R 060211Z MAY 08
FM AMCONSUL HONG KONG
TO RUCPDOC/USDOC WASHDC
INFO RUEHC/SECSTATE WASHDC 4800
RHMFIUU/HQ BICE WASHINGTON DC
RUEHGP/AMEMBASSY SINGAPORE 3844

UNCLAS HONG KONG 000822 
 
USDOC FOR 532/OEA/MNICKSON /DMUSLU 
USDOC FOR 3132 FOR FCS/OIO REGIONAL DIRECTOR WILLIAM ZARIT 
BICE FOR OFFICE OF STRATEGIC INVESTIGATIONS 
SINGAPORE FOR FCS 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: BMGT BEXP ETRD ETTC HK
SUBJECT: EXTRANCHECK: POST SHIPMENT VERIFICATION: BESCOM COMPUTER 
SYSTEMS PTE LTD 
 
REF: A) USDOC 02452 
 
1.Unauthorized disclosure of the information provided below is 
prohibited by Section 12C of the Export Administration Act. 
 
¶2. As per reftel A request and at the direction of the Office of 
Enforcement Analysis (OEA) of the USDOC Bureau of Industry and 
Security (BIS), Regional Export Control Officer Philip Ankel (ECO) 
conducted a post shipment-verification (PSV) at Bescom Computer 
Systems Pte. Ltd., 8 Boon Lay Way, No. 08-09 Tradehub 21, Singapore 
609964 (Bescom). The item in question is one Gimbal camera exported 
to Bescom on or about December 3, 2007 and valued at USD 17,346. 
The item is classified under Export Control Classification Number 
(ECCN) 6A004.D3 and is controlled for national security (NS) 
reasons.  The exporter was Cloud Cap Technology of Hood River, 
Oregon. 
 
¶3.  According to the Singapore companies registry, Bescom was 
registered in 1991 and its registered share capital is the Singapore 
dollar equivalent of approximately USD 150,000.  Its directors are 
Singapore citizens Yak, Hock Hwa, and Yak, Bee Hua.  Yak, Bee Hua 
and Yak, Lay Hwa are also the shareholders of the company.  It is a 
family business. 
 
¶4.  A review of the company's web site (www.bescom.com.sg) reveals 
that the company is primarily an IT systems integrator for corporate 
customers.  It is also involved in import and export of hardware 
products in Southeast Asia. 
 
¶5.  On April 21, 2008, the ECO, accompanied by a representative of 
Singapore Customs visited the company and met with Mr. Yak, Hock 
Hwa, Managing Director.  Mr. Yak confirmed that the company acts 
primarily as a system integrator and solutions provider.  It sets up 
local area networks, file servers and other similar systems for 
corporate and government customers.  It also acts as a sourcing 
agent for some government agencies (that cannot purchase direct from 
abroad but must deal with Singaporean companies in accordance with 
procurement rules).  In addition, the company also sells 
internationally to other Southeast Asian countries such as Vietnam 
and China as well as the UAE (but not Iran, according to Mr. Yak). 
Customers from abroad come to the company because of its listing in 
certain export related trade publications.  Additionally, when 
Bescom has stock that other local distributors cannot obtain 
quickly, those distributors (such as HP) may refer customers to 
them. 
 
¶6.  As to the particular item in question, Mr. Yak stated that this 
item had been procured on behalf of Nayang Technological University 
in response to an RFQ from the University.  Mr. Yak provided 
documentation confirming receipt of the item and delivery to the 
Main Aircraft Laboratory, School of Mechanical & Aerospace 
Engineering at the Nayang Technological University.  According to 
Mr. Yak, Cloud Cap Technology is not a regular supplier. 
 
¶7.  At the time visited, Bescom appeared to be a suitable recipient 
of the commodities shipped since Bescom cooperated with the PSV, 
provided ECO with access to documents showing final disposition of 
the items and operates a line of business consistent with the use of 
the items.  Also, Bescom was informed of applicable export control 
rules (especially those relating to reexports to sanctioned 
countries) and indicated its intent to comply with them.