VZCZCXRO0599
PP RUEHPT
DE RUEHBY #0958 2992254
ZNR UUUUU ZZH
P 262254Z OCT 09
FM AMEMBASSY CANBERRA
TO RUEHC/SECSTATE WASHDC PRIORITY 2180
INFO RUEHBN/AMCONSUL MELBOURNE 6731
RUEHPT/AMCONSUL PERTH 4997
RUEHDN/AMCONSUL SYDNEY 4994

UNCLAS CANBERRA 000958 
 
SENSITIVE 
SIPDIS 
 
STATE FOR PM/DTCC JOUBERT-LIN 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC AS
SUBJECT: BLUE LANTERN: BROKER INQUIRY K-0935 
 
REF: SECSTATE 93587 
 
¶1. (SBU) Melbourne econoff conducted a telephone interview 
with FRANK LAZZAROTTI of MICROSECURE CORP., located at 100 
Austins Road, Humevale, Victoria on October 20.  The 
following information is intended to answer questions in 
reftel: 
 
-- Confirm that this entity is in the business of brokering 
defense articles and defense services at the location(s) 
indicated under its legal name(s); 
 
A: Microsecure operates as a legal entity from the address 
provided in reftel. 
 
-- Determine whether this entity is authorized to conduct 
such activities in its home country, whether the entity has 
any criminal or other derogatory background, and whether Post 
has any information on its brokering or arms export 
activities that may involve proscribed entities such as 
countries under U.S. or international sanctions, or 
designated state sponsors of terrorism; 
 
A:  There is no legal requirement for an entity to be 
licensed or reviewed by the Australian Defense Export Control 
Office for brokering services.  However, DECO did agree to 
run this entity through its database.  No derogatory 
information or record of Microsecure ever having applied to 
export goods requiring a DECO license in Australia was found. 
 
-- Will the brokering firm be handling or storing USML items 
on behalf of its clients?  If so, does it have secure 
facilities and proper accounting and security procedures for 
handling sensitive USML items? 
 
A: Microsecure periodically stores documents and 
demonstration equipment.  They keep these items in a class B 
safe and Lazzarotti stated that all of Microsecure's 
procedures are fully compliant with the Australian Defense 
Security Authority requirements and concurrent U.S. 
requirements. 
 
-- When was the company established and who are its 
principals?  How many employees? 
 
A:  Microsecure was established under its current name in 
¶1998.  Frank Lazzarotti is the company's sole director and 
shareholder.  There are a total of 12 employees. 
 
-- What is the nature of its business and what other types of 
items does it handle? 
 
A: Microsecure consults, designs and develops capabilities 
for secure (encrypted) communications such as telephones. 
They broker the importation of items from Harris Technologies 
into Australia. 
 
-- What types of organizations are among its typical clients 
and in what countries are they located? 
 
A: Microsecure contracts with the Australian Department of 
Defense as well as state governments in Australia.  There are 
no foreign customers apart from the United States. 
 
-- Does the company understand the restrictions on USML 
items, especially the prohibition against unauthorized 
re-transfers and re-exports? 
 
A:  Mr. Lazzarotti stated that he is fully aware of and 
complies with these restrictions.  He noted that Microsecure 
has no ability to re-export due to the stringent guidelines 
that he follows. 
 
¶2. (SBU) This cable was written with input from ConGen 
Melbourne.  Due to constraints on post resources, post was 
unable to schedule a site visit to this entity within the 
proscribed time period.  Please advise if follow-on questions 
are necessary to verify the bona fides of this individual or 
entity. 
 
CLUNE