VZCZCXYZ0014
PP RUEHWEB

DE RUEHC #8639 2661312
ZNR UUUUU ZZH
P R 231253Z SEP 09
FM SECSTATE WASHDC
TO RUEHML/AMEMBASSY MANILA PRIORITY 0000
INFO RUETIAA/DIRNSA FT GEORGE G MEADE MD
RUEAIIA/CIA WASHINGTON DC
RHMCSUU/FBI WASHINGTON DC 0000
RUEKJCS/SECDEF WASHINGTON DC
RUCPDOC/USDOC WASHINGTON DC 0000

UNCLAS STATE 098639 
 
SENSITIVE 
SIPDIS 
MANILA FOR GRAZNYA COFFIN 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC RP
SUBJECT: BLUE LANTERN LEVEL 2: PRE-LICENSE END-USE CHECK 
ON LICENSES 050175550, 050189258, AND 050189260 
 
¶1. (U) This is an Action Request. See paragraph 4. 
 
¶2. (U) The Department's Office of Defense Trade Controls 
Compliance (PM/DTCC) requests Post's assistance in conducting 
a pre-license checks on licenses 050175550, 050189258 and 
050189260 for the export of pistols to the Philippines.  Post 
is requested to complete this Blue Lantern check within 30 
days.  Lack of response to a Blue Lantern check will affect 
pending and future licenses involving parties to this license. 
 
¶3. (SBU) Reason for Request:  Information obtained by PM/DTCC 
indicates that foreign consignee Trust Trade may be using 
fraudulent supporting documentation to import Glock handguns 
into the Philippines for resale and possible re-export.  The 
information also suggests that individuals within the 
Government of the Philippines with authority to issue import 
certificates and/or government purchase orders may be 
knowingly providing these fraudulent documents (NOTE: This 
information may lead to a criminal investigation and should 
be held closely. END NOTE).  This request is for Post to 
establish the bona fides of these transactions and Trust 
Trade. 
 
¶4. (U) Action Request: Post is requested to establish the 
bona fides of these transactions and foreign consignee Trust 
Trade by making inquiries to representatives of the company 
and appropriate authorities of the Government of the 
Philippines.  The following points are included for guidance: 
 
(To Trust Trade) 
 
--When was your company established and who are its 
principals? 
 
--Your purchase order indicates that your company is owned by 
GIGI Industries Inc.  When was that company established and 
who are its principals?  Where does that company reside? 
What other companies does GIGI Industries own and/or operate? 
 Where do those companies reside? 
 
--What products and services does your company provide?  Who 
are your regular customers and where do they reside? 
 
--What are your annual sales of U.S.-origin firearms? 
 
--How did your company become a distributor of Glock firearms 
in the Philippines?  When was this relationship established? 
What are your annual sales of Glock firearms and who are the 
typical customers?  Who is your usual liaison with Glock (HK) 
Limited of Hong Kong?  With Glock Inc. of the United States? 
Do you direct all of your purchase orders to Glock (HK) 
Limited (vice Glock Inc. of the United States)? 
 
--For the transactions involving the Philippine National 
Police, will your company ever have physical possession of 
those firearms?  Please provide all documentation for those 
transactions. 
 
--Are you familiar with the regulations governing the import 
of U.S.-origin defense articles, including restrictions on 
re-transfer or re-export? 
 
(To Philippine National Police) 
 
--Can the PNP confirm the order of the firearms listed on 
license applications 05017550 and 050189258? 
 
--Can you confirm that the firearms listed below are being 
purchased for official use by the PNP? 
 
--Why didn't the Chief Accountant sign Purchase Order No. 
PNPPO#0-092508-017 as Mr. Antonio P Petrato had for 
PNPPO#O-270709-011? 
 
(To Appropriate Import/Export and/or Law Enforcement 
Authorities) 
 
--Is Trust Trade legally permitted to own and/or operate a 
firearms business in the Philippines? 
 
--Is GIGI Industries legally permitted to own and/or operate 
a firearms business in the Philippines? 
 
--Do you have any information on Trust Trade or GIGI 
Industries that would question their reliability as a 
recipient of U.S. defense articles? 
 
In its reply, Post is encouraged to comment on any other 
information pertinent to these transactions such as security 
of facilities, end-use, and concerns about the entities 
involved. 
 
¶5. (U) Details of license applications: 
 
¶A. 
 
DTC Case: 050175550 (NOTE: This license was approved by 
PM/DTCC but no shipment has yet been made) 
 
QUANTITY/COMMODITY: 
 
2,000 Glock Model 17 Pistols, 9mm 
 
2,000 9mm Magazines 
 
License Value: USD $536,000 
 
SELLER: 
 
Glock Inc 
6000 Highlands Parkway 
Smyrna, GA 30082 
 
FOREIGN CONSIGNEE: 
 
Trust Trade 
Unit 22 Facilities Centre Building, Shaw Blvd. 
Mandaluyong 
Philippines 
Tel: ( 63-2) 531.1327/42 
Email: trusttrad@skyinet.net 
 
END-USER: 
 
Philippines National Police 
Camp Crame 
Quezon City 
Philippines 
 
PURPOSE: 
 
For use by Philippines Police in the Philippines. 
 
¶B. 
 
DTC Case: 050189258 (NOTE: Being held by PM/DTCC pending Blue 
Lantern results) 
 
QUANTITY/COMMODITY: 
 
392 Glock Model 17 Pistols, 9mm 
 
392 9mm Magazines 
 
392 Spring Cups 
 
License Value: USD $104,859 
 
SELLER: 
 
Glock Inc 
6000 Highlands Parkway 
Smyrna, GA 30082 
 
FOREIGN INTERMEDIATE CONSIGNEE: 
 
Airlift Asia Inc. 
PO Box 7650 
Manila 
Philippines 
 
FOREIGN CONSIGNEE: 
 
Trust Trade 
Unit 22 Facilities Centre Building, Shaw Blvd. 
Mandaluyong 
Philippines 
Tel: ( 63-2) 531.1327/42 
Email: trusttrad@skyinet.net 
 
END-USER: 
 
Philippines National Police 
Camp Crame 
Quezon City 
Philippines 
 
PURPOSE: 
 
For use by Philippines Police in the Philippines. 
 
¶C. 
 
DTC Case: 050189258 (NOTE: Being held by PM/DTCC pending Blue 
Lantern results) 
 
QUANTITY/COMMODITY: 
 
100 Glock Model 17 Pistols, 9mm 
 
100 Glock Model 17 Pistols, 9mm (NOTE: This appears to be a 
typo, as the supporting documentation lists these as Model 19 
pistols) 
 
200 9mm Magazines 
 
License Value: USD $53,396 
 
SELLER: 
 
Glock Inc 
6000 Highlands Parkway 
Smyrna, GA 30082 
 
FOREIGN INTERMEDIATE CONSIGNEE: 
 
Airlift Asia Inc. 
PO Box 7650 
Manila 
Philippines 
 
END-USER: 
 
Trust Trade 
Unit 22 Facilities Centre Building, Shaw Blvd. 
Mandaluyong 
Philippines 
Tel: ( 63-2) 531.1327/42 
Email: trusttrad@skyinet.net 
 
PURPOSE: 
 
For commercial resale in the Philippines. 
 
¶6. (U) Submitted in support of the license application were 
the following documents (PM/DTCC will fax documentation to 
Posts upon request): 
 
¶A. 
 
DSP-83 signed by Carlos Guevara (Glock) dated 06/17/2009; 
George Quinto Piano (Police Chief Superintendent) dated 
05/22/2009; and Joselyn Gutierrez-Jose (Trust Trade) dated 
05/14/2009. 
 
Import Authorization No. PI-F243-08 issued by the Philippine 
National Police to Trust Trade signed by Jesus A Verzosa 
(Police Director General) and Atty Ermilando O Villafuerte 
(Illegible) dated 10/10/2008. 
 
Contract Between Glock and Philippine National Police signed 
by Charlemagnes Alejandrino (Police Director for Logistics), 
Teodorido R Lapuz IV (Police Chief Superintendent), Avelino I 
Razon (Police Director General), Joselyn Gutierrez-Jose 
(Trust Trade), Rebecca D Vidal (Trust Trade), and Illegible 
(Notary Public). Doc. No. 457, Page No. 92, Book No. I, 
Series of 2008. 
 
Purchase Order No. PNPPO#0-092508-017 issued by the PNP 
Logistics Support Service signed by Atty Ermilando O 
Villafuerte (Illegible), Teodorido R Lapuz IV (Police Chief 
Superintendent), Avelino I Razon (Police Director General), 
and Joselyn Gutierrez-Jose (Trust Trade) dated 09/25/2008. 
(NOTE:  There is no signature of "Chief Accountant" as on 
purchase order for 050189258). 
 
Purchase Order issued by Trust Trade to Glock (HK) Limited 
signed by Joy Gutierrez-Jose dated 05/22/2009. 
 
Purchase Order No. 0080/2009 issued by Glock (HK) Limited 
(Hong Kong) to Glock Inc (USA) signed by E. Leung and Sven de 
Souter dated 06/10/2009. 
 
End User's Certificate issued by PNP Logistics Support 
Service signed by George Q Piano dated 05/22/2009. 
 
¶B. 
 
DSP-83 signed by Carlos Guevara (Glock) dated 09/09/2009; 
George Quinto Piano (Police Chief Superintendent) dated 
07/27/2009; and Joselyn Gutierrez-Jose (Trust Trade) dated 
07/24/2009. 
 
Import Authorization No. PI-F158-09 issued by the Philippine 
National Police to Trust Trade signed by Jesus A Verzosa 
(Police Director General) and Lenbell J Fabia (Police Chief 
Inspector) dated 08/17/2009. 
 
Contract Between Glock and Philippine National Police signed 
by Luizo C Ticman (Police Director), Jesus A Verzosa (Police 
Director General), Villamor A Bumanlag (Police Chief 
Superintendent), Joselyn Gutierrez-Jose (Trust Trade), 
Rebecca D Vidal (Trust Trade), and Roman E Loreto (Notary 
Public). Doc. No. 134 or 1314 (illegible), Page No. 27, Book 
No. 1, Series of 2009. 
 
Purchase Order No. PNPPO#O-270709-011 issued by the PNP 
Logistics Support Service signed by George Q Piano (Police 
Chief Superintendent), Jesus A Verzosa (Police Director 
General), Antonio P Petrato (Chief Accounting Division), and 
Joselyn Gutierrez-Jose (Trust Trade) dated 07/27/2009. 
 
Purchase Order issued by Trust Trade to Glock (HK) Limited 
signed by Joy Gutierrez-Jose dated 08/14/2009. 
 
Purchase Order No. 0124/2009 issued by Glock (HK) Limited 
(Hong Kong) to Glock Inc (USA) signed by E. Leung and Sven de 
Souter dated 09/07/2009. 
 
End User's Certificate issued by PNP Logistics Support 
Service signed by George Q Piano dated 07/27/2009. 
 
¶C. 
 
DSP-83 signed by Carlos Guevara (Glock) dated 09/09/2009 and 
Joselyn Gutierrez-Jose (Trust Trade) dated 08/12/2009. 
 
Import Authorization No. PI-F095-08 issued by the Philippine 
National Police to Trust Trade signed by Jesus A Verzosa 
(Police Director General) and Lenbell J Fabia (Police Chief 
Inspector) dated 03/26/2009. 
 
Purchase Order No. 0122/2009 issued by Glock (HK) Limited 
(Hong Kong) to Glock Inc (USA) signed by E. Leung and Sven de 
Souter dated 09/07/2009. 
 
Purchase Order issued by Trust Trade to Glock (HK) Limited 
signed by Joselyn Gutierrez-Jose dated 08/12/2009. 
 
¶7. (U) 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. (U) Department is grateful for Post's assistance in this 
matter. 
CLINTON