Cablegate: Extrancheck: Pre-License Check: High Tech International

VZCZCXYZ0009
RR RUEHWEB

DE RUEHHK #2090 3170716
ZNR UUUUU ZZH
R 130716Z NOV 09
FM AMCONSUL HONG KONG
TO RUCPDOC/USDOC WASHDC
INFO RUEHC/SECSTATE WASHDC 8950
RHMFIUU/HQ BICE WASHINGTON DC

UNCLAS HONG KONG 002090

USDOC FOR 532/OEA/PLUDD
USDOC FOR 3132 FOR FCS/OIO REGIONAL DIRECTOR PATRICK SANTILLO
BICE FOR OFFICE OF STRATEGIC INVESTIGATIONS

SIPDIS

E.O. 12958: N/A
TAGS: BMGT BEXP HK ETRD ETTC
SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: HIGH TECH INTERNATIONAL

REF: A) BIS e-mail PLC request dated October 23, 2009 - 01110086 B)
D425476

1. Unauthorized disclosure of the information provided below is
prohibited by Section 12C of the Export Administration Act.
2. As per reftel A request and at the direction of the Office of
Enforcement Analysis (OEA) of the USDOC Bureau of Industry and
Security (BIS), Export Control Officer Philip Ankel (ECO), attempted
to conduct a pre-license check at High Tech International Holdings
Limited, Tower A, New Trade Plaza, 6 On Ping Street, Shatin, Hong
Kong (High Tech). The purpose of the visit was to determine the
suitability of High Tech to be the ultimate consignee and end user
of a Tracklink 5000MA USBL tracking system that is the subject of
license application D425476. The item (ECCN 6A001) is controlled
for national security (NS) reasons. The license applicant is
Linkquest Inc., of San Diego, California.

3. A search of the Hong Kong Companies Registry reveals that High
Tech has been in existence since 2006. Its registered capital is the
Hong Kong equivalent of USD 1. Its sole director is listed as Ng,
Ching Yu (with Hong Kong Identification number G482478(3). Internet
research reveals that High Tech's address also appears to be the
address of a range Russian companies with offices in Hong Kong
including Advonics (www.advonicsgroup.com) which is a supplier of
electronic components with offices in Hong Kong, Shenzhen and
Saint-Petersburg. ECO does not believe that High Tech maintains a
physical office in Hong Kong.

4. High Tech does not appear to have a web site. Correspondence
with the representative of High Tech (namely Mr. Alik Nemchinov) was
received from a gmail account.

5. Mr. Nemchinov stated in his e-mail correspondence that he works
for High Tech as its regional manager and will not be in Hong Kong
for some time. He further stated that the item would be used by the
Russian Far Eastern National University (consistent with the
information in the underlying license application). When ECO
requested an in-person meeting in Hong Kong with the director of the
company, namely Ng, Ching Yu (the signatory on the end-user
statement supporting the license application), Mr. Nemchikov
responded that this was his company's first experience receiving so
many questions about what he described as a absolutely normal deal.
He then stated that he believed that High Tech should not proceed
with the transaction and would inform the client of this fact. On
November 13, 2009, Mr. Nemchikov informed ECO that he had spoken
with the client and they had decided to cancel this order.

6. Based on the information detailed herein, ECO does not believe
High Tech to be a suitable recipient of controlled U.S. origin
technology.

MARUT

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