Action Affecting Export Privileges; Andrew Ward Freyer, 46415-46416 [E9-21633]

Agencies

• DEPARTMENT OF COMMERCE
• Bureau of Industry and Security
• Industry and Security Bureau

[Federal Register Volume 74, Number 173 (Wednesday, September 9, 2009)]
[Notices]
[Pages 46415-46416]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-21633]


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DEPARTMENT OF COMMERCE

Bureau of Industry and Security


Action Affecting Export Privileges; Andrew Ward Freyer

    In the Matter of: Andrew Ward Freyer, 54325 Oak Hill, La Quinta, 
CA 92253.

Order Denying Export Privileges

    On December 17, 2007, in the U.S. District Court of Central 
District of California, Freyer was convicted of five counts of 
violating the International Emergency Economic Powers Act (50 U.S.C. 
1701-1706 (2000) (``IEEPA'') and one count of conspiracy (18 U.S.C. 371 
(2000)), involving exporting, reexporting, selling and supplying valves 
from the United States to Iran, through Australia without first

[[Page 46416]]

obtaining the required authorization from the U.S. Department of 
Treasury, Office of Foreign Assets Controls. Freyer was sentenced to be 
imprisoned for 17 months and upon release from imprisonment be placed 
on probation for 2 years. In addition Freyer was fined $10,000.00. He 
was released from prison on April 21, 2009.
    Section 766.25 of the Export Administration Regulations (``EAR'' or 
``Regulations'') \1\ provides, in pertinent part, that ``[t]he Director 
of the Office of Exporter Services, in consultation with the Director 
of the Office of Export Enforcement, may deny the export privileges of 
any person who has been convicted of a violation of the [Export 
Administration Act (``EAA'')], the EAR, or any order, license or 
authorization issued thereunder; any regulation, license, or order 
issued under the International Emergency Economic Powers Act (50 U.S.C. 
1701-1706); 18 U.S.C. 793, 794 or 798; section 4(b) of the Internal 
Security Act of 1950 (50 U.S.C. 783(b)), or section 38 of the Arms 
Export control Act (22 U.S.C. 2778).'' 15 CFR 766.25(a); see also 
Section 11(h) of the EAA, 50 U.S.C. app. Sec.  24 10(h). The denial of 
export privileges under this provision may be for a period of up to 10 
years from the date of the conviction. 15 CFR 766.25(d); see also 50 
U.S.C. app. Sec.  24 10(h). In addition, Section 750.8 of the 
Regulations states that the Bureau of Industry and Security's Office of 
Exporter Services may revoke any Bureau of Industry and Security 
(``BIS'') licenses previously issued in which the person had an 
interest in at the time of his conviction.
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    \1\ The Regulations are currently codified in the Code of 
Federal Regulations at 15 CFR parts 730-774 (2009), The Regulations 
are issued pursuant to the Export Administration Act (``EAA''), 
which is currently codified at 50 U.S.C. app. Sec.  2401-2420 
(2000). Since August 21, 2001, the EAA has been in lapse and the 
President, through Executive Order 13222 of August 17, 2001 (3 CFR, 
2001 Comp. 783 (2002)), which has been extended by successive 
Presidential Notices, the most recent being that of August 13, 2009 
(74 FR 41,325 (August 14, 2009)), has continued the Regulations in 
effect under the International Emergency Economic Powers Act (50 
U.S.C. 1701-1706 (2000)).
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    I have received notice of Freyer's conviction for violating the 
IEEPA, and have provided notice and an opportunity for Freyer to make a 
written submission to BIS, as provided in Section 766.25 of the 
Regulations. I have received a submission from Freyer. Based upon my 
review and consideration of that submission, my consultations with 
BIS's Office of Export Enforcement, including its Director, and the 
facts available to BIS, I have decided to deny Freyer's export 
privileges under the Regulations for a period often years from the date 
of Freyer's conviction.

Accordingly, it is hereby Ordered

    I. Until December 17, 2017, Andrew Ward Freyer with an address at: 
54325 Oak I-Jill, La Quinta, CA, 92253, and when acting for or on 
behalf of Freyer, his representatives, assigns, agents, or employees, 
(collectively referred to hereinafter as the ``Denied Person'') may 
not, directly or indirectly, participate in any way in any transaction 
involving any commodity, software or technology (hereinafter 
collectively referred to as ``item'') exported or to be exported from 
the United States that is subject to the Regulations, or in any other 
activity subject to the Regulations, including, but not limited to:
    A. Applying for, obtaining, or using any license, License 
Exception, or export control document;
    B. Carrying on negotiations concerning, or ordering, buying, 
receiving, using, selling, delivering, storing, disposing of, 
forwarding, transporting, financing, or otherwise servicing in any way, 
any transaction involving any item exported or to be exported from the 
United States that is subject to the Regulations, or in any other 
activity subject to the Regulations; or
    C. Benefitting in any way from any transaction involving any item 
exported or to be exported from the United States that is subject to 
the Regulations, or in any other activity subject to the Regulations.
    II. No person may, directly or indirectly, do any of the following:
    A. Export or reexport to or on behalf of the Denied Person any item 
subject to the Regulations;
    B. Take any action that facilitates the acquisition or attempted 
acquisition by the Denied Person of the ownership, possession, or 
control of any item subject to the Regulations that has been or will be 
exported from the United States, including financing or other support 
activities related to a transaction whereby the Denied Person acquires 
or attempts to acquire such ownership, possession or control;
    C. Take any action to acquire from or to facilitate the acquisition 
or attempted acquisition from the Denied Person of any item subject to 
the Regulations that has been exported from the United States;
    D. Obtain from the Denied Person in the United States any item 
subject to the Regulations with knowledge or reason to know that the 
item will be, or is intended to be, exported from the United States; or
    E. Engage in any transaction to service any item subject to the 
Regulations that has been or will be exported from the United States 
and which is owned, possessed or controlled by the Denied Person, or 
service any item, of whatever origin, that is owned, possessed or 
controlled by the Denied Person if such service involves the use of any 
item subject to the Regulations that has been or will be exported from 
the United States. For purposes of this paragraph, servicing means 
installation, maintenance, repair, modification or testing.
    III. After notice and opportunity for comment as provided in 
Section 766.23 of the Regulations, any other person, firm, corporation, 
or business organization related to Andrew Freyer by affiliation, 
ownership, control, or position of responsibility in the conduct of 
trade or related services may also be made subject to the provisions of 
this Order if necessary to prevent evasion of the Order.
    IV. This Order does not prohibit any export, reexport, or other 
transaction subject to the Regulations where the only items involved 
that are subject to the Regulations are the foreign produced direct 
product of U.S.-origin technology.
    V. This Order is effective immediately and shall remain in effect 
until December 17, 2017.
    VI. In accordance with Part 756 of the Regulations, Freyer may file 
an appeal of this Order with the Under Secretary of Commerce for 
Industry and Security. The appeal must be filed within 45 days from the 
date of this Order and must comply with the provisions of Part 756 of 
the Regulations.
    VII. A copy of this Order shall be delivered to Freyer. This Order 
shall be published in the Federal Register.

    Issued this 1st day of September 2009.
Bernard Kritzer,
Director, Office of Exporter Services.
[FR Doc. E9-21633 Filed 9-8-09; 8:45 am]
BILLING CODE 3510-DT-M