VZCZCXYZ0008
RR RUEHWEB

DE RUEHC #7640 2891914
ZNR UUUUU ZZH
R 161853Z OCT 09
FM SECSTATE WASHDC
TO RUEHUJA/AMEMBASSY ABUJA 0000
INFO RUEHTV/AMEMBASSY TEL AVIV 0000
RUEAIIA/CIA WASHINGTON DC
RUETIAA/DIRNSA FT GEORGE G MEADE MD
RHMCSUU/FBI WASHINGTON DC 0000
RUCPDOC/USDOC WASHINGTON DC 0000
RUEKJCS/SECDEF WASHINGTON DC

UNCLAS STATE 107640 
 
SIPDIS 
ABUJA FOR GEOFFREY MARTINEAU 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC NI IS
SUBJECT: BLUE LANTERN LEVEL 3: FOLLOW-UP TO NIGERIA ON 
LICENSE GC 0997-09 
 
REF: A. 2006 BLUE LANTERN GUIDEBOOK 
     ¶B. 09 DAKAR 1230 
     ¶C. 09 STATE 90771 
 
¶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 follow-up inquiry on a request (DDTC case GC 0997-09) for 
the re-export of three (3) C-130H aircraft from Nigeria to 
Senegal.  The aircraft are defense articles controlled under 
the International Traffic in Arms Regulations (ITAR) 
administered by PM/DDTC.  Post is requested to complete this 
Blue Lantern inquiry within 45 days.  Lack of response to a 
Blue Lantern inquiry will affect pending and future license 
requests involving parties to this license. 
 
¶3. Reason for request: 
 
--PM/DDTC received a request from the Government of Nigeria 
(GoN) for authorization to sell three C-130H aircraft to the 
Government of Senegal (GoS).  A pre-license Blue Lantern 
inquiry to Senegal officials revealed that GoS was not/not 
planning to purchase the aircraft from Nigeria. 
 
Furthermore, documentation included with GC 0997-09 revealed 
the re-titling of the C-130H aircraft from GoN (Ministry of 
Defense) to private entity A.D. Consultants (ADCON), Israel, 
without prior approval from DDTC. ADCON had been selected by 
GoN to broker the sale of the aircraft.  However, no 
documentation or contract between ADCON and GoN detailing the 
terms and conditions of the sale was included, nor was 
documentation on the source, type, and amount of any fees, 
payments, or other consideration that was to be paid to ADCON 
for brokering the transaction. 
 
--DDTC has not received any correspondence from GoN notifying 
DDTC of the canceled transaction or of current ownership 
status of the aircraft. 
 
¶4. ACTION: The Department requests that Post contact the 
Government of Nigeria to gather details regarding the 
canceled transaction and any potential new sale. 
 
The following points are included for guidance: 
 
--Please explain the current ownership status of the aircraft. 
 
--Who owns the legal title to the aircraft? 
 
--Where are the aircraft currently located? 
 
--Why did the GoN re-title the aircraft to ADCON? 
 
--Is the GoN aware that authorization from the Department of 
State, Directorate of Defense Trade Controls is required for 
the retransfer of US-origin military equipment, including 
re-titling or retransfers to new end-users within Nigeria? 
 
--Would the GoN provide contractual or other documentation 
identifying the terms and conditions of sale of the C-130H 
aircraft to ADCON? 
 
--To date, has any money been exchanged for the aircraft? 
 
--To date, have any fees or commissions been paid? 
 
--Does GoN intend to sell the aircraft to a different 
end-user? 
 
--Will ADCON broker any potential sale? 
 
--Who will refurbish the aircraft should a sale be finalized? 
 Will ADCON be responsible for the oversight and payment of 
the refurbishment? 
 
END ACTION. 
 
¶5. Details of license application: 
 
DTC CASE:  GC 0997-09 
 
QUANTITY/COMMODITY: 
 
3 - C-130H Aircraft 
 
Aircraft No. NAF 914, Serial No. 4649 
Aircraft No. NAF 915, Serial No. 4650 
Aircraft No. NAF 916, Serial No. 4962 
 
License Value: $6,100,000 USD 
 
SELLER: 
 
Nigerian Ministry of Defense 
Office of the Permanent Secretary 
Ship House 
Olusegun Obasanjo Way 
Area 10, P.M.B. 196, Garki, Abuja 
Nigeria 
Tel: 09-2348970 
Fax: 09-2340708 
 
FOREIGN CONSIGNEE: 
 
ADCON 
7, Golda Meir St. Science Park 
Nes-Ziona 74036 
Israel 
POC: Mr. Gabriel Pereiz, President & CEO 
 
FOREIGN INTERMEDIATE CONSIGNEE: 
 
Denel (Pty) Ltd. 
Nellmapius Drive, Irene 
P.O. Box 8322, Centurion, 0446 
South Africa 
Tel:  27 (0)11 9272895 
Mobile:  27 (0)83 628 1679 
POC: Mr. Albert van Oldenmark 
 
*Denel was to be contracted by ADCON to service and refurbish 
the aircraft to ensure their sky-worthiness.* 
*Value of Denel services: $32,729,765.* 
 
FOREIGN END-USER: 
 
Ministry of Armed Forces of the Republic of Senegal 
Building de Direction Administrative 1, 8ieme etage 
Dakar, Senegal 
POC: Mr. Becaye Diop, Minister of Armed Forces of the 
Republic of Senegal 
 
PURPOSE: 
 
Transport of cargo and troops inside Senegal, and for UN 
missions outside Senegal. 
 
¶6. Submitted in support of license application GC 0997-09 
were the following documents (PM/DTCC will fax documentation 
to Post upon request): 
 
--General Correspondence Transmittal Letter, signed by Bukar 
Goni Aji, Permanent Secretary for the Minister of Defense of 
Nigeria, dated 28 April 2009. 
 
--Bill of Sale for 3 C-130 aircraft from GoN to ADCON, signed 
by D.A. Muhammed, dated 22 May 2007. 
 
--End-User Certificate signed by Mr. Becaye Diop, Minister of 
Armed Forces, Senegal, dated 2 May 2009. 
 
--DSP-83 Non-Transfer and Use Certificate signed by Mr. Bukar 
Goni Aji, Ministry of Defense Nigeria, dated 20 March 2009, 
and Mr. Becaye Diop, Minister of Armed Forces, Senegal, dated 
23 March 2009. 
 
--Denel's "Proposal for the Recovery, Relocation, and Service 
of the ADC C-130H Aircraft 914, 915, 916" dated 28 November 
¶2008. 
 
¶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 Meredith Sundlof. Phone: 
202-663-3455; Email: SundlofME@state.gov; SIPRNET: 
SundlofME@state.sgov.gov.  The Blue Lantern Guidebook (ref) 
is available as a PDF file at 
http://www.intelink.sgov.gov/wiki/Blue Lantern End-Use 
Monitoring Program. 
 
¶8. Department is grateful for Post's assistance in this 
matter. 
CLINTON