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Viewing cable 09MADRID462, TEMPORARY DENIAL ORDER ON ORION AIR - INFORMING

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Reference ID Created Released Classification Origin
09MADRID462 2009-05-13 16:12 2011-08-24 16:30 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Madrid
VZCZCXRO3478
RR RUEHLA
DE RUEHMD #0462 1331612
ZNR UUUUU ZZH
R 131612Z MAY 09
FM AMEMBASSY MADRID
TO RUEHC/SECSTATE WASHDC 0620
INFO RUEHDM/AMEMBASSY DAMASCUS 0362
RUEHLA/AMCONSUL BARCELONA 3975
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS MADRID 000462 
 
SENSITIVE 
SIPDIS 
 
STATE FOR NEA/ELA A.MONZ, AND EUR/WE S.ZERDECKI/E.SAMSON 
DEPARTMENT ALSO FOR EEB/ESC/TFS C.BACKEMEYER 
COMMERCE FOR BIS:T.CHRISTINO,J.SONDERMAN,J.JEST 
 
E.O. 12958: N/A 
TAGS: EAIR ETRD ETTC PGOV PREL SP SY
SUBJECT: TEMPORARY DENIAL ORDER ON ORION AIR - INFORMING 
COMPANY AND GOS 
 
REF: A. SONDERMAN-MONZ ET.AL. EMAIL 5/12 
     B. SECSTATE 47933 
     C. MADRID 439 
     D. MONZ-DUDLEY EMAIL 5/4 
     E. MADRID 413 
     F. SECSTATE 41098 
 
1.(SBU) Upon receipt of reftel B on 5/12, Econcouns informed 
Orion Air Director General Arancha Merino of the Temporary 
Denial Order (TDO).  After receiving the text of the TDO, 
Econcouns delivered a copy to Merino later on 5/12 and asked 
that Orion return from Syria the plane that had been 
delivered and not deliver the second plane.  Merino thanked 
us for the copy of the TDO and other information and said 
someone from the company would contact the two USDOC/BIS 
points of contact provided in ref A email.  She spoke at 
length about the company's likely bankruptcy if it returned 
the first plane from Syria or did not deliver the second one 
and asked if U.S. sanctions would still be in effect if the 
company removed the U.S.-origin engines to bring the planes 
below the 10% de minimus level.  Econcouns referred her to 
the USDOC/BIS points of contact and emphasized that the 
company had been aware of Export Administration Regulations 
and possible penalties before the company had sent the first 
plane to Syria. 
 
2.(SBU) While expressing distress about the TDO, Merino said 
she did not see any option for the company but to deliver the 
second plane to Syria, and she said a Spanish official had 
told her she would not be violating Spanish law.  She added 
that the documents for Orion's lease of the airplanes from an 
Australian company a few years ago said nothing about needing 
licenses to transfer the planes to another country.  She also 
said Orion had operated the planes in other countries (such 
as Mali) for months at a time in the past. 
 
3.(SBU) Econcouns spoke with Foreign Ministry Deputy Director 
General for North America Fernando Prieto to inform him of 
the TDO on 5/12.  Prieto referred us to Deputy Director 
General for Economic Relations with OECD Countries Jose Luis 
Rodriguez de Colmenares.  After being unable to contact 
Rodriguez de Colmenares, on 5/13 econoff emailed Rodriguez de 
Colmenares and Prieto copies of the TDO and of our request 
for actions to stop delivery of the second plane.  Prieto 
promised to follow up and get back to us.  We will continue 
to follow up and will inform Department upon receipt of a 
response. 
 
CHACON