VZCZCXYZ0001
RR RUEHWEB

DE RUEHJA #1887 3200305
ZNR UUUUU ZZH
R 160305Z NOV 09
FM AMEMBASSY JAKARTA
TO SECSTATE WASHDC 3806

UNCLAS JAKARTA 001887 
 
SIPDIS 
 
DEPT FOR EAP/IET, PM/DTCC/BLUE LANTERN COORDINATOR - RACHAEL-THERESE 
¶S. JOUBERT-LIN 
 
E.O. 12958: N/A 
TAGS: KOMC ETTC ECON ID
SUBJECT:  BLUE LANTERN: RESULT OF VERIFYING BONA FIDES OF REGISTERED 
BROKER MULANY LUWENA - CASE NO K-1996 
 
REF: A. 09 STATE 99625 
¶B. SECTION 38(B) (1) (A) (II) OF THE ARMS EXPORT CONTROL 
¶C. ACT (AECA) (22 U.S.C. 2778) 
 
¶1.  Summary:  We visited PT Multijaya Sparindo - an Indonesian 
entity in aviation industry supplying business - on November 2, 2009 
and met with registered broker Mulany Luwena and her spouse, 
Chairman Jeffrey Luwena to verify the bona fides of the company 
requested in reftel.  We found the company to be legitimate. 
Chairman Luwena was aware of the restrictions on United States 
Munition List (USML) items, particularly the prohibition against 
unauthorized re-transfers and re-exports.  End summary. 
 
Background and Fact Finding 
--------------------------- 
 
¶2.  On the morning of Monday 02 November 2009, Econoff visited the 
offices of Multijaya Sparindo (Sparindo) located at Jalan Sultan 
Agung No. 58/59D.  Sparindo occupied two floors of a low-rise office 
building in central Jakarta. Sparindo's offices were clearly 
identified by signs on the outside of the building.  In setting up 
the appointment, Econoff was easily able to contact Sparindo and 
speak with an individual who clearly identified herself as a 
representative of the company.  Setting up a meeting date at the 
Sparindo office was transparent and easy. 
 
¶3.  Econoff was greeted by registered broker Mulany Luwena, then 
handed off to Mulany's husband, Sparindo Chairman Jeffrey Luwena. 
Econoff spoke with Jeffrey Luwena for approximately 30 minutes. 
Luwena confirmed that he is an official representative for several 
US companies: Fleer Systems Incorporated, Kaman Helicopters, 
Raytheon and Northrop Grumman.  Luwena advised that he primarily 
supplied advanced navigation and electronic systems to clients in 
the aviation industry.  Sparindo's primary clients were the 
Indonesian Air Force, Army, Navy and Police. 
 
¶4.  Sparindo was established on 08 August, 1988 and currently has 
approximately 30 employees.  The company generates gross sales of 
approximately $20 million annually.  Luwena explained that he has 
had considerable assistance gaining a foothold in this industry from 
his godfather, a former chief of staff for the Indonesian Air Force 
who still acts as an advisor. Econoff confirmed that Sparindo does 
not/not store USML items on behalf of its clients, and instead 
relies on Kellstrom, a US firm located in Florida, to manage and 
store products on their behalf. 
 
¶5.  Econoff is unaware of any derogatory background information on 
Sparindo.  Econoff highlighted to Mr. Luwena the important position 
that he occupied as a named and authorized representative of USML 
products and urged him to always comply with regulations which 
regulated businesses such as his, and primarily with regards to end 
user documentation.  Mr. Luwena stated that he understood the 
importance of this issue and that he was never to re-transfer or 
re-export and piece of equipment not strictly authorized for this 
purpose. 
 
OSIUS