VZCZCXRO5290
RR RUEHGA RUEHQU
DE RUEHC #5830/01 2301442
ZNR UUUUU ZZH
R 181425Z AUG 09
FM SECSTATE WASHDC
TO RUEHOT/AMEMBASSY OTTAWA 6245
INFO RUEHGA/AMCONSUL CALGARY 2453
RUEHQU/AMCONSUL QUEBEC 0806
RUETIAA/DIRNSA FT GEORGE G MEADE MD
RUEAIIA/CIA WASHINGTON DC
RHMCSUU/FBI WASHINGTON DC 5474
RUEKJCS/SECDEF WASHINGTON DC
RUCPDOC/USDOC WASHINGTON DC 5456

UNCLAS SECTION 01 OF 02 STATE 085830 
 
SIPDIS 
OTTAWA FOR RYAN STONER 
OTTAWA FOR LORI BALBI 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC CA
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK 
ON LICENSE 050148621 
 
¶1. This is an Action Request. See paragraphs 2 - 4. 
 
¶2. The Department's Office of Defense Trade Controls 
Compliance (PM/DTCC) requests Post's assistance in conducting 
a post-shipment check on license 050148621 for the export of 
carbines to Canada.  Post is requested to complete this Blue 
Lantern check within 45 days. Lack of response to a Blue 
Lantern check will affect pending and future licenses 
involving parties to this license. 
 
¶3. Reason for Request: A proviso placed on this license 
disallows the export of carbines with flash suppressers 
and/or, folding, telescoping, or collapsible stocks (pinned 
or unpinned).  This check is to confirm that all the firearms 
were received by end-user Milarms Co Ltd and to verify that 
the firearms received had fixed stocks.  The request is also 
to determine if Agence Gravel is acting as a broker of U.S. 
Munitions Listed defense articles. 
 
¶4. Action Request:  Post is requested to verify that the 
carbines listed below were received by end-user Milarms Co 
Ltd and that the firearms had fixed stocks.  Post is also 
requested to determine the role played by foreign consignee 
Agence Gravel in this transaction and determine if the 
company retained possession of any of these carbines.  The 
following points are included for guidance: 
 
(To Milarms Co Ltd) 
 
--What are you annual sales of U.S.-origin firearms? 
 
--Can you confirm receipt of all 50 carbines listed on this 
license?  Did any of these carbines include flash suppressers 
and/or folding, telescoping, or collapsible stocks? 
 
--Did you pay any fees or commissions for the services of 
Agence Gravel during the course of this transaction?  If so, 
please explain. 
 
--Are you familiar with the regulations governing the import 
of U.S.-origin defense articles, including restrictions on 
re-transfer or re-export? 
 
(To Agence Gravel) 
 
--What role did your company play in this transaction?  Do 
you officially represent Bushmaster Firearms in any capacity 
in Canada? 
 
--Did you pay and/or receive any fees or commissions for your 
services during the course of this transaction?  If so, 
please provide details on these fees or commissions. 
 
--Did any of these carbines include flash suppressers and/or 
folding, telescoping, or collapsible stocks? 
 
--Did you ever have physical possession of these carbines? 
If no, can you provide documentation that demonstrates the 
transfer of custody to Milarms Co Ltd of all these carbines? 
 
In its reply, Post is encouraged to comment on any 
information pertinent to this transaction such as security of 
facilities, end-use, and concerns about the entities involved. 
 
¶5. Details of license applications: 
 
DTC Case: 050148621 
 
QUANTITY/COMMODITY: 
 
25 Bushmaster AR15 Carbines w/ Heavy Barrels 
 
25 Bushmaster AR15 Carbines w/ Standard Barrels 
 
License Value: USD $43,425 
 
SELLER: 
 
Freedom Group Inc. 
 
STATE 00085830  002 OF 002 
 
 
c/o Bushmaster Firearms International 
999 Roosevelt Trail 
Windham, ME 04062 
 
FOREIGN CONSIGNEE: 
 
Agence Gravel Inc 
1530 Provinciale 
Quebec G1N 4A2 
Canada 
Tel: 418 682 3000 
POC: Adriana Maciocia 
 
FOREIGN END-USER: 
 
MILARM Co Ltd 
10769 99th Street 
Edmonton, AB T5H 4H6 
Canada 
Tel: 780 424 5281 
POC: R. Gordon McGowan 
 
PURPOSE: 
 
For commercial resale in Canada 
 
¶6. Submitted in support of the license application were the 
following documents (PM/DTCC will fax documentation to Posts 
upon request): 
 
Signed DSP-83 Nontransfer and Use Certificate signed by 
Shannon Shuman (Bushmaster) dated 19 Feb 2009, R Gordon 
McGowan (Milarm) dated 16 Jan 2009, and A. Maciocia (Agence 
Gravel) dated 10 Feb 2009 
 
Import Certificate No. US 0915071 issued by Foreign Affairs 
and International Trade Canada dated 02 Feb 2009 
 
Purchase Order issued by Agence Gravel dated 5 Feb 2009 
signed by A. Maciocia 
 
Purchase Order No. 5801 issued by MilArm Co Ltd dated 10 Feb 
2009 signed by R. Gordon McGowan 
 
¶7. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR 
and include the words "Blue Lantern" and the case number in 
the subject line.  POC is Kyle M. Ballard, Phone: 
202-663-1929; Email: BallardKM@state.gov; SIPRNET: 
BallardKM@state.sgov.gov.  The Blue Lantern Guidebook (ref) 
is available as a PDF file on Intellipedia: 
http://www.intelink.gov/wiki/ 
Blue Lantern End-Use Monitoring Program 
 
¶8. Department is grateful for Post's assistance in this 
matter. 
CLINTON