Addition of Certain Persons and Revisions to Entries on the Entity List; and Removal of a Person From the Entity List, 2883-2889 [2016-31833]

Download as PDF Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations y.4. Space grade or for spacecraft applications hall effect sensors; y.5. Space grade or for spacecraft applications subminiature (SMA and SMP) plugs and connectors, TNC plugs and cable and connector assemblies with SMA plugs and connectors; and y.6. Space grade or for spacecraft applications flight cable assemblies. 10. In Supplement No. 1 to Part 774, Category 9—Aerospace and Propulsion, ECCN 9B515 is amended: ■ a. By revising the License Requirements section; and ■ b. By revising ‘‘items’’ paragraph a. in the List of Items Controlled section to read as follows: ■ 9B515 Test, inspection, and production ‘‘equipment’’ ‘‘specially designed’’ for ‘‘spacecraft’’ and related commodities, as follows (see List of Items Controlled). License Requirements Reason for Control: NS, MT, RS, AT Country chart (see Supp. No. 1 to part 738) Control(s) NS applies to entire entry. MT applies to equipment in 9B515.a for the ‘‘development’’ or ‘‘production’’ of commodities in USML Category XV(e)(12) and XV(e)(19) that are MT controlled. RS applies to entire entry. AT applies to entire entry. * * * * NS Column 1 AT Column 1 * * * * * * 11. In Supplement No. 1 to Part 774, Category 9—Aerospace and Propulsion, ECCN 9E515 is amended: ■ a. By revising the License Requirements table; ■ b. By adding a License Requirement Note at the end of the License Requirements section; ■ c. By revising paragraph (1) in the Special Conditions for STA section; ■ d. By revising the Related Controls paragraph in the List of Items Controlled section; ■ e. By revising ‘‘items’’ paragraph a. in the List of Items Controlled section; and pmangrum on DSK3GDR082PROD with RULES ■ 14:51 Jan 09, 2017 Jkt 241001 * * * * License Requirements * * * * * * Country chart (see Supp. No. 1 to part 738) Control(s) NS applies to entire entry except 9E515.y. MT applies to technology for items in 9A515.d, 9A515.e.2 and 9B515.a controlled for MT reasons. RS applies to entire entry except 9E515.y. AT applies to entire entry. * RS Column 1 * f. ‘‘Technology’’ ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ installation, repair (including on-orbit anomaly resolution and analysis beyond established procedures), overhaul, or refurbishing of commodities controlled by ECCN 9A515.a.1, .a.2, .a.3, .a.4, or .g. NS Column 1 MT Column 1 * * * * * Frm 00035 Fmt 4700 * Dated: December 27, 2016. Kevin J. Wolf, Assistant Secretary of Commerce for Export Administration. [FR Doc. 2016–31755 Filed 1–9–17; 8:45 am] BILLING CODE P DEPARTMENT OF COMMERCE [Docket No. 161221999–6999–01] RIN 0694—AH23 * * Items: a. ‘‘Technology’’ ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ installation, repair (including on-orbit anomaly resolution and analysis beyond established procedures), overhaul, or refurbishing of commodities controlled by ECCN 9A515 (except 9A515.a.1, .a.2, .a.3, .a.4, .b, .d, .e, or .g), PO 00000 * AT Column 1 List of Items Controlled Related Controls: Technical data directly related to articles enumerated in USML Category XV are subject to the control of USML paragraph XV(f). See also ECCNs 3E001, 3E003, 6E001, and 6E002 for specific ‘‘space-qualified’’ items. See ECCNs 9E001 and 9E002 for technology for the International Space Station, the James Webb Space Telescope (JWST) and ‘‘parts,’’ ‘‘components,’’ ‘‘accessories,’’ and ‘‘attachments’’ ‘‘specially designed’’ therefor. See USML category XV(f) for controls on technical data and defense services related to launch vehicle integration. * * 15 CFR Part 744 RS Column 1 Special Conditions for STA STA: (1) Paragraph (c)(1) of License Exception STA (§ 740.20(c)(1) of the EAR) may not be used for ECCN 9E515.b, .d, .e, or .f unless determined by BIS to be eligible for License Exception STA in accordance with § 740.20(g) (License Exception STA eligibility requests for certain 9x515 and ‘‘600 series’’ items). * * * * * Bureau of Industry and Security The Commerce Country Chart is not used for determining license requirements for ‘‘technology’’ classified ECCN 9E515.f. See § 742.6(a)(8), which specifies that such ‘‘technology’’ is subject to a worldwide license requirement. MT Column 1 ECCN 9B515, or ‘‘software’’ controlled by ECCN 9D515.a. 9E515 ‘‘Technology’’ ‘‘required’’ for the ‘‘development,’’ ‘‘production,’’ operation, installation, repair, overhaul, or refurbishing of ‘‘spacecraft’’ and related commodities, as follows (see List of Items Controlled). LICENSE REQUIREMENT NOTE: Items: a. Test, inspection, and production ‘‘equipment’’ ‘‘specially designed’’ for the ‘‘production’’ or ‘‘development’’ of commodities enumerated in ECCNs 9A004.u, 9A515.a, or USML Category XV(a) or XV(e). NOTE: ECCN 9B515.a includes equipment, cells, and stands ‘‘specially designed’’ for the analysis or isolation of faults in commodities enumerated in ECCNs 9A004.u or 9A515.a, or USML Category XV(a) or XV(e). VerDate Sep<11>2014 f. By adding ‘‘items’’ paragraph f. in the list of Items Controlled section to read as follows: ■ 2883 Sfmt 4700 Addition of Certain Persons and Revisions to Entries on the Entity List; and Removal of a Person From the Entity List Bureau of Industry and Security, Commerce. ACTION: Final rule. AGENCY: This rule amends the Export Administration Regulations (EAR) by adding five persons to the Entity List. The five persons who are added to the Entity List have been determined by the U.S. Government to be acting contrary to the national security or foreign policy interests of the United States. These five persons will be listed on the Entity List under the destination of Turkey. This final rule also removes one entity from the Entity List under the destination of India as the result of a request for removal received by BIS and a review of information provided in the removal request in accordance with the procedure for requesting removal or modification of an Entity List entity. Finally, this rule is also revising five existing entries in the Entity List, under the destinations of Armenia, Greece, Pakistan, Russia and the United Kingdom (U.K.). Four of these entries are modified to reflect the removal from the Entity List of the entity located in India. The license requirement for the entry under the destination of Russia is being revised to conform with a general license issued by the Department of the Treasury’s Office of Foreign Assets Control on December 20, 2016. DATES: This rule is effective January 10, 2017. SUMMARY: E:\FR\FM\10JAR1.SGM 10JAR1 2884 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations FOR FURTHER INFORMATION CONTACT: Chair, End-User Review Committee, Office of the Assistant Secretary, Export Administration, Bureau of Industry and Security, Department of Commerce, Phone: (202) 482–5991, Email: ERC@ bis.doc.gov. SUPPLEMENTARY INFORMATION: Background The Entity List (Supplement No. 4 to Part 744) identifies entities and other persons reasonably believed to be involved, or to pose a significant risk of being or becoming involved, in activities contrary to the national security or foreign policy interests of the United States. The EAR imposes additional license requirements on, and limits the availability of most license exceptions for, exports, reexports, and transfers (in-country) to those listed. The ‘‘license review policy’’ for each listed entity or other person is identified in the License Review Policy column on the Entity List and the impact on the availability of license exceptions is described in the Federal Register notice adding entities or other persons to the Entity List. BIS places entities and other persons on the Entity List pursuant to sections of part 744 (Control Policy: End-User and End-Use Based) and part 746 (Embargoes and Other Special Controls) of the EAR. The ERC, composed of representatives of the Departments of Commerce (Chair), State, Defense, Energy and, where appropriate, the Treasury, makes all decisions regarding additions to, removals from, or other modifications to the Entity List. The ERC makes all decisions to add an entry to the Entity List by majority vote and all decisions to remove or modify an entry by unanimous vote. pmangrum on DSK3GDR082PROD with RULES ERC Entity List Decisions Additions to the Entity List This rule implements the decision of the ERC to add five persons to the Entity List. These five persons are being added on the basis of § 744.11 (License requirements that apply to entities acting contrary to the national security or foreign policy interests of the United States) of the EAR. The five entries added to the Entity List are located in Turkey. The ERC reviewed § 744.11(b) (Criteria for revising the Entity List) in making the determination to add these five persons to the Entity List. Under that paragraph, persons for whom there is reasonable cause to believe, based on specific and articulable facts, that they have been involved, are involved, or pose a significant risk of being or VerDate Sep<11>2014 14:51 Jan 09, 2017 Jkt 241001 becoming involved in, activities that are contrary to the national security or foreign policy interests of the United States and those acting on behalf of such persons may be added to the Entity List. Paragraphs (b)(1) through (b)(5) of § 744.11 include an illustrative list of activities that could be contrary to the national security or foreign policy interests of the United States. Specifically, two entities, AR Kompozit Kimya and Murat Taskiran, are being added to the Entity List as these entities exported high grade U.S.origin carbon fiber to Iran in violation of U.S. law (i.e., 50 U.S.C. 1701 thru 1706 and 30 CFR 560.203 & 560.204). The additional three entities located in Turkey, Fulya Kalfatoglu Oguzturk, Ramor Group and Resit Tavan, are being added to the Entity List on the basis of their involvement in the procurement and/or retransfer of U.S.-origin items to Iran for use by the Iranian military. Pursuant to § 744.11(b) of the EAR, the ERC determined that the conduct of these five entities raises sufficient concern that prior review of exports, reexports or transfers (in-country) of all items subject to the EAR involving these persons, and the possible imposition of license conditions or license denials on shipments to the persons, will enhance BIS’s ability to prevent violations of the EAR. For the five persons added to the Entity List, BIS imposes a license requirement for all items subject to the EAR and a license review policy of presumption of denial. The license requirements apply to any transaction in which items are to be exported, reexported, or transferred (in-country) to any of the persons or in which such persons act as purchaser, intermediate consignee, ultimate consignee, or enduser. In addition, no license exceptions are available for exports, reexports, or transfers (in-country) to the persons being added to the Entity List in this rule. The acronym ‘‘a.k.a.’’ (also known as) is used in entries on the Entity List to help exporters, reexporters and transferors to better identify listed persons on the Entity List. This final rule adds the following five persons to the Entity List: Turkey (1) AR Kompozit Kimya, a.k.a., the following two aliases: —AR Composites Company Ltd; and —AR Kompozit Kimya Muhendislik Taah Dis Tic Ltd. Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey; (2) Fulya Kalafatoglu Oguzturk, a.k.a., the following one alias: PO 00000 Frm 00036 Fmt 4700 Sfmt 4700 —Macide Fulya Kalafatoglu. Barajyolu Cd Yenisehir Mh Sinpas Koruk Konutlari No 40 Sogut Blok D1 Istanbul, Turkey; (3) Murat Taskiran, Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey; (4) Ramor Group, a.k.a., the following four aliases: —Ramor Construction Food and Furniture Incorporation; —Ramor Ins; —Ramor Company; and —Ramor Ltd. Co. Unit 42, Gardenya Plaza 7⁄1, 12th Floor, No: 77, Atasehir, Istanbul, Turkey 34758; and 1st.End.ve.Tic.Serbest Bol.Sub. Kopuzlar Cad.No.8 Solingen Zemin Kat Tuzla/Istanbul, Turkey; and (5) Resit Tavan, Turgotozl CD Agaoglu MySkyTowers, A Blok D 12, Istanbul, Turkey 34758. Removal From the Entity List This rule implements a decision of the ERC to remove the following entry from the Entity List on the basis of on a removal request received by the BIS: Veteran Avia LLC, located in India. The ERC decided to remove Veteran Avia LLC (India) based on information received by BIS regarding activities at the listed location in India and further review conducted by the ERC. This final rule implements the decision to remove the following entity located in India from the Entity List: India (1) Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. A–107, Lajpat Nagar—I, New Delhi 110024, India and Room No. 34 Import Cargo, IGI Airport Terminal—II, New Delhi 110037, India; and 25B, Camac Street 3E, Camac Court Kolkatta, 700016, India; and Ali’s Chamber #202, 2nd Floor Sahar Cargo Complex Andheri East Mumbai, 400099, India. (See also addresses under Armenia, Greece, Pakistan, and U.K). The removal of the person referenced above, which was approved by the ERC, eliminates the existing license requirements in Supplement No. 4 to part 744 for exports, reexports and transfers (in-country) to this entity. However, the removal of this person from the Entity List does not relieve persons of other obligations under part 744 of the EAR or under other parts of the EAR. Neither the removal of an entity from the Entity List nor the removal of Entity List-based license requirements relieves persons of their obligations under General Prohibition 5 in § 736.2(b)(5) of the EAR which E:\FR\FM\10JAR1.SGM 10JAR1 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations provides that, ‘‘you may not, without a license, knowingly export or reexport any item subject to the EAR to an enduser or end-use that is prohibited by part 744 of the EAR.’’ Additionally, this removal does not relieve persons of their obligation to apply for export, reexport or in-country transfer licenses required by other provisions of the EAR. BIS strongly urges the use of Supplement No. 3 to part 732 of the EAR, ‘‘BIS’s ‘Know Your Customer’ Guidance and Red Flags,’’ when persons are involved in transactions that are subject to the EAR. pmangrum on DSK3GDR082PROD with RULES Revisions to Entries on the Entity List Modification to License Requirements for an Entry on the Entity List On December 20, 2016, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) issued General License No. 11, Authorizing Certain Transactions With FAU Glavgosekspertiza Rossii, an entity in the Russian Federation. This general license authorizes transactions otherwise prohibited by Executive Order 13685 (E.O.) of December 19, 2014 that are ordinarily incident and necessary to requesting, contracting for, paying for, receiving, or utilizing a project design review or permit from FAU Glavgosekspertiza Rossii’s office(s) in the Russian Federation, provided that the underlying project is located wholly within the Russian Federation, and none of the transactions otherwise violate Executive Order (E.O.) 13685 of December 19, 2014. Any questions regarding to the scope of this general license should be directed to OFAC. In light of OFAC’s General License No. 11, BIS makes a conforming change by modifying the listing for FAU ‘Glavgosekspertiza Rossii’ on the Entity List under the destination of Russia (the term used in the EAR for the Russian Federation). This final rule modifies the license requirement column for this entity to specify that the Entity List’s license requirements do not apply to items subject to the EAR that are related to transactions authorized by OFAC pursuant to new General License No. 11 (transactions that are ordinarily incident and necessary to requesting, contracting for, paying for, receiving or utilizing a project design review or permit from this listed entity’s office(s) in Russia, so long as the underlying project occurs wholly within Russia and no transactions otherwise violate E.O. 13685). The listing for Ukraine on the Commerce Country Chart, Supp. No. 1 to part 738 of the EAR, includes a footnote that defines the ‘‘Crimea region of Ukraine’’ consistent with section 8(d) VerDate Sep<11>2014 14:51 Jan 09, 2017 Jkt 241001 of E.O. 13685. FAU ‘Glavgosekspertiza Rossii’ continues to be listed under both Russia and the Crimea region of Ukraine on the Entity List. This final rule amends only the entry under Russia; it does not make any change to the entry listed under the Crimea region of Ukraine. The license requirement for FAU ‘Glavgosekspertiza Rossii’ listed under the destination of the Crimea region of Ukraine continues to apply to all items subject to the EAR. Conforming Changes for an Approved Removal From the Entity List This final rule revises four entries in the Entity List for the entity Veteran Avia LLC, a.k.a., Veteran Airline, under the destinations of Armenia, Greece, Pakistan and the United Kingdom. As described above, the ERC approved the removal of Veteran Avia LLC (India). Therefore, this final rule makes conforming changes to the remaining four entries for the entity to remove the cross references to India. This final rule does not make any other changes to these four entries, except for revising the Federal Register citation column to reflect this conforming change being made to these four entities. The license requirement for the four entries remains all items subject to the EAR, and the license application review policy remains a presumption of denial. This final rule makes the following revisions to five entries on the Entity List: Armenia (1) Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. 64, Baghramyam Avenue, Apt 16, Yerevan 0033, Armenia; and 1 Eervand Kochari Street Room 1, 375070 Yerevan, Armenia (See also addresses under Greece, Pakistan, and U.K.). Greece (1) Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. 24, A. Koumbi Street, Markopoulo 190 03, Attika, Greece (See also addresses under Armenia, Pakistan, and U.K.). Pakistan (1) Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. Room No. 1, ALC Building, PIA Cargo Complex Jiap, Karachi, Pakistan (See also addresses under Armenia, Greece, and U.K.). PO 00000 Frm 00037 Fmt 4700 Sfmt 4700 2885 Russia (1) FAU ‘Glavgosekspertiza Rossii’, a.k.a., the following three aliases: —Federal Autonomous Institution ‘Main Directorate of State Examination’; —General Board of State Expert Review; and —Glavgosekspertiza. Furkasovskiy Lane, building 6, Moscow 101000, Russia (See alternate address under Crimea region of Ukraine). NOTE: As described above, the changes this final rule makes to this Russian entity are limited to the License requirement column for this entry. United Kingdom (1) Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. 1 Beckett Place, South Hamptonshire, London, U.K. (See also addresses under Armenia, Greece, and Pakistan). Savings Clause Shipments of items removed from eligibility for a License Exception or export or reexport without a license (NLR) as a result of this regulatory action that were en route aboard a carrier to a port of export or reexport, on January 10, 2017, pursuant to actual orders for export or reexport to a foreign destination, may proceed to that destination under the previous eligibility for a License Exception or export or reexport without a license (NLR). Export Administration Act of 1979 Although the Export Administration Act of 1979 expired on August 20, 2001, the President, through Executive Order 13222 of August 17, 2001, 3 CFR, 2001 Comp., p. 783 (2002), as amended by Executive Order 13637 of March 8, 2013, 78 FR 16129 (March 13, 2013) and as extended by the Notice of August 4, 2016, 81 FR 52587 (August 8, 2016), has continued the Export Administration Regulations in effect under the International Emergency Economic Powers Act. BIS continues to carry out the provisions of the Export Administration Act of 1979, as appropriate and to the extent permitted by law, pursuant to Executive Order 13222, as amended by Executive Order 13637. Rulemaking Requirements 1. Executive Orders 13563 and 12866 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory E:\FR\FM\10JAR1.SGM 10JAR1 pmangrum on DSK3GDR082PROD with RULES 2886 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, distributive impacts, and equity). Executive Order 13563 emphasizes the importance of quantifying both costs and benefits, of reducing costs, of harmonizing rules, and of promoting flexibility. This rule has been determined to be not significant for purposes of Executive Order 12866. 2. Notwithstanding any other provision of law, no person is required to respond to nor be subject to a penalty for failure to comply with a collection of information, subject to the requirements of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA), unless that collection of information displays a currently valid Office of Management and Budget (OMB) Control Number. This regulation involves collections previously approved by OMB under control number 0694–0088, Simplified Network Application Processing System, which includes, among other things, license applications and carries a burden estimate of 43.8 minutes for a manual or electronic submission. Total burden hours associated with the PRA and OMB control number 0694–0088 are not expected to increase as a result of this rule. You may send comments regarding the collection of information associated with this rule, including suggestions for reducing the burden, to Jasmeet K. Seehra, Office of Management and Budget (OMB), by email to Jasmeet_K._ Seehra@omb.eop.gov, or by fax to (202) 395–7285. 3. This rule does not contain policies with Federalism implications as that term is defined in Executive Order 13132. 4. For the five persons added to the Entity List in this final rule, the provisions of the Administrative Procedure Act (5 U.S.C. 553) requiring notice of proposed rulemaking, the opportunity for public comment and a delay in effective date are inapplicable because this regulation involves a military or foreign affairs function of the United States. (See 5 U.S.C. 553(a)(1)). BIS implements this rule to protect U.S. national security or foreign policy interests by preventing items from being exported, reexported, or transferred (incountry) to the persons being added to the Entity List. If this rule were delayed to allow for notice and comment and a delay in effective date, the entities being added to the Entity List by this action would continue to be able to receive items without a license and to conduct activities contrary to the national security or foreign policy interests of the VerDate Sep<11>2014 14:51 Jan 09, 2017 Jkt 241001 United States. In addition, publishing a proposed rule would give these parties notice of the U.S. Government’s intention to place them on the Entity List and would create an incentive for these persons to either accelerate receiving items subject to the EAR to conduct activities that are contrary to the national security or foreign policy interests of the United States, and/or to take steps to set up additional aliases, change addresses, and other measures to try to limit the impact of the listing on the Entity List once a final rule was published. Further, no other law requires that a notice of proposed rulemaking and an opportunity for public comment be given for this rule. Because a notice of proposed rulemaking and an opportunity for public comment are not required to be given for this rule by 5 U.S.C. 553, or by any other law, the analytical requirements of the Regulatory Flexibility Act, 5 U.S.C. 601 et seq., are not applicable. Accordingly, no regulatory flexibility analysis is required and none has been prepared. 5. For the one entry removed from the Entity List in this final rule, pursuant to the Administrative Procedure Act (APA), 5 U.S.C. 553(b)(B), BIS finds good cause to waive requirements that this rule be subject to notice and the opportunity for public comment because it would be contrary to the public interest. In determining whether to grant a request for removal from the Entity List, a committee of U.S. Government agencies (the End-User Review Committee (ERC)) evaluates information about and commitments made by listed persons requesting removal from the Entity List, the nature and terms of which are set forth in 15 CFR part 744, Supplement No. 5, as noted in 15 CFR 744.16(b). The information, commitments, and criteria for this extensive review were all established through the notice of proposed rulemaking and public comment process (72 FR 31005 (June 5, 2007) (proposed rule), and 73 FR 49311 (August 21, 2008) (final rule)). This one removal has been made within the established regulatory framework of the Entity List. If the rule were to be delayed to allow for public comment, U.S. exporters may face unnecessary economic losses as they turn away potential sales to the entity removed by this rule because the customer remained a listed person on the Entity List even after the ERC approved the removal pursuant to the rule published at 73 FR 49311 on August 21, 2008. By publishing without prior notice and comment, BIS allows the applicant to PO 00000 Frm 00038 Fmt 4700 Sfmt 4700 receive U.S. exports immediately since the applicant already has received approval by the ERC pursuant to 15 CFR part 744, Supplement No. 5, as noted in 15 CFR 744.16(b). Removals from the Entity List granted by the ERC involve interagency deliberation and result from review of public and non-public sources, including sensitive law enforcement information and classified information, and the measurement of such information against the Entity List removal criteria. This information is extensively reviewed according to the criteria for evaluating removal requests from the Entity List, as set out in 15 CFR part 744, Supplement No. 5 and 15 CFR 744.16(b). For reasons of national security, BIS is not at liberty to provide to the public detailed information on which the ERC relied to make the decisions to remove this entity. In addition, the information included in the removal request is information exchanged between the applicant and the ERC, which by law (section 12(c) of the Export Administration Act of 1979), BIS is restricted from sharing with the public. Moreover, removal requests from the Entity List contain confidential business information, which is necessary for the extensive review conducted by the U.S. Government in assessing such removal requests. Section 553(d) of the APA generally provides that rules may not take effect earlier than thirty (30) days after they are published in the Federal Register. BIS finds good cause to waive the 30day delay in effectiveness under 5 U.S.C. 553(d)(1) because this rule is a substantive rule which relieves a restriction. This rule’s removal of one person from the Entity List removes a requirement (the Entity-List-based license requirement and limitation on use of license exceptions) on this person being removed from the Entity List. The rule does not impose a requirement on any other person for the removal from the Entity List. In addition, the Department finds that there is good cause under 5 U.S.C. 553(b)(B) to waive the provisions of the Administrative Procedure Act (APA) requiring prior notice and the opportunity for public comment for the five conforming changes included in this rule because they are either unnecessary or contrary to the public interest. These five conforming changes are limited to ensure consistency with a removal included in this rulemaking or consistency with OFAC’s General License No. 11, and thus prior notice and the opportunity for public comment are unnecessary. The conforming change to the listing for FAU E:\FR\FM\10JAR1.SGM 10JAR1 2887 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations ‘Glavgosekspertiza Rossii’ is intended to ensure consistent treatment of this entity under both the EAR and OFAC’s sanctions regime. The other four conforming changes are limited to reflecting the removal of Veteran Avia LLC (India). These four changes are needed to correct the cross-referencing parenthetical phrase included in each of these four entries. No other law requires that a notice of proposed rulemaking and an opportunity for public comment be given for this final rule. Because a notice of proposed rulemaking and an opportunity for public comment are not required under the APA or by any other law, the analytical requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) are not applicable. As a result, no final regulatory flexibility analysis is required and none has been prepared. List of Subjects in 15 CFR Part 744 Exports, Reporting and recordkeeping requirements, Terrorism. Accordingly, part 744 of the Export Administration Regulations (15 CFR parts 730–774) is amended as follows: PART 744—[AMENDED] 1. The authority citation for 15 CFR part 744 continues to read as follows: ■ Authority: 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 22 U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22 U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 1978 Comp., p. 179; E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 608; E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 12947, 60 FR 5079, 3 CFR, 1995 Comp., p. 356; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13224, 66 FR 49079, 3 CFR, 2001 Comp., p. 786; Notice of November 12, 2015, 80 FR 70667 (November 13, 2015); Notice of January 20, 2016, 81 FR 3937 (January 22, 2016); Notice of August 4, 2016, 81 FR 52587 (August 8, 2016); Notice of September 15, 2016, 81 FR 64343 (September 19, 2016); Notice of November 8, 2016, 81 FR 79379 (November 10, 2016). 2. Supplement No. 4 to part 744 is amended: ■ a. By revising, under Armenia, one Armenian entity ‘‘Veteran Avia LLC, a.k.a., the following one alias:—Veteran Airline. 64, Baghramyam Avenue, Apt 16, Yerevan 0033, Armenia; and 1 Eervand Kochari Street Room 1, 375070 Yerevan, Armenia (See also addresses under Greece, India, Pakistan, and U.K.)’’ ; ■ b. By revising, under Greece, one Greek entity ‘‘Veteran Avia LLC, a.k.a., the following one alias:—Veteran Airline. 24, A. Koumbi Street, Markopoulo 190 03, Attika, Greece (See also addresses under Armenia, India, Pakistan, and U.K.)’’ ; ■ c. By removing, under India, one Indian entity, ‘‘Veteran Avia LLC, a.k.a., the following one alias:—Veteran Airline. A–107, Lajpat Nagar—I, New Delhi 110024, India; and Room No. 34 Import Cargo, IGI Airport Terminal—II, New Delhi 110037, India; and 25B, Camac Street 3E, Camac Court Kolkatta, ■ 700016, India; and Ali’s Chamber #202, 2nd Floor Sahar Cargo Complex Andheri East Mumbai, 400099, India (See also addresses under Armenia, Greece, Pakistan, and U.K.).’’ ; ■ d. By revising, under Pakistan, one Pakistani entity, ‘‘Veteran Avia LLC, a.k.a., the following one alias:—Veteran Airline. Room No. 1, ALC Building, PIA Cargo Complex Jiap, Karachi, Pakistan (See also addresses under Armenia, Greece, India, U.A.E., and U.K.)’’; ■ e. By revising, under Russia, one Russian entity ‘‘FAU ‘Glavgosekspertiza Rossii’, a.k.a., the following three aliases:—Federal Autonomous Institution ‘Main Directorate of State Examination’;—General Board of State Expert Review; and—Glavgosekspertiza. Furkasovskiy Lane, building 6, Moscow 101000, Russia (See alternate address under Crimea region of Ukraine).’’; ■ f. By adding, under Turkey, in alphabetical order, five Turkish entities; and ■ g. By revising, under the United Kingdom, one British entity ‘‘Veteran Avia LLC, a.k.a., the following one alias:—Veteran Airline. 1 Beckett Place, South Hamptonshire, London, U.K. (See also addresses under Armenia, Greece, India, and Pakistan).’’ The additions and revisions read as follows: Supplement No. 4 to Part 744—Entity List * * * * * Country Entity License requirement License review policy Federal Register citation * ARMENIA ......... * * * * Veteran Avia LLC a.k.a., the following alias: —Veteran Airline. 64, Baghramyam Avenue, Apt 16, Yerevan 0033, Armenia; and 1 Eervand Kochari Street Room 1, 375070 Yerevan, Armenia (See also addresses under Greece, Pakistan, and U.K.). * * For all items subject to the EAR. (See § 744.11 of the EAR). * * * * Presumption of denial ...... * * 79 FR 44683, 8/1/14. 81 FR 8829, 2/23/16. 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * * pmangrum on DSK3GDR082PROD with RULES GREECE .......... * * * * Veteran Avia LLC a.k.a., the following alias: —Veteran Airline. 24, A. Koumbi Street, Markopoulo 190 03, Attika, Greece (See also addresses under Armenia, Pakistan, and U.K.). * * For all items subject to the EAR. (See § 744.11 of the EAR). * * * Presumption of denial ...... * * 79 FR 56003, 9/18/14. 81 FR 8829, 2/23/16. 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * PAKISTAN ........ VerDate Sep<11>2014 * * * * * * * * * * * * 14:51 Jan 09, 2017 Jkt 241001 PO 00000 Frm 00039 Fmt 4700 Sfmt 4700 E:\FR\FM\10JAR1.SGM 10JAR1 2888 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations Entity License requirement License review policy Federal Register citation Veteran Avia LLC, a.k.a., the following one alias: —Veteran Airline. Room No. 1, ALC Building, PIA Cargo Complex Jiap, Karachi, Pakistan (See also addresses under Armenia, Greece, and U.K.). For all items subject to the EAR. (See § 744.11 of the EAR). Presumption of denial ...... 79 FR 56003, 9/18/14. 81 FR 8829, 2/23/16. 82 FR [INSERT FR PAGE NUMBER] 1/10/17. Country * * RUSSIA ............ * pmangrum on DSK3GDR082PROD with RULES UNITED KINGDOM. VerDate Sep<11>2014 * * * FAU ‘Glavgosekspertiza Rossii’, a.k.a., the following three aliases: —Federal Autonomous Institution ‘Main Directorate of State Examination’; —General Board of State Expert Review; and —Glavgosekspertiza. Furkasovskiy Lane, building 6, Moscow 101000, Russia (See alternate address under Crimea region of Ukraine). * TURKEY ........... * * * * For all items subject to the EAR (see § 744.11 of the EAR), apart from items that are related to transactions that are authorized by the Department of the Treasury’s Office of Foreign Assets Control pursuant to General License No. 11 of December 20, 2016. Russia does not include the ‘‘Crimea region of Ukraine,’’ as that term is defined in section 8(d) of E.O. 13685. * * * * AR Kompozit Kimya, a.k.a., the following two aliases: —AR Composites Company Ltd; and —AR Kompozit Kimya Muhendislik Taah Dis Tic Ltd. Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey. * * Fulya Kalafatoglu Oguzturk, a.k.a., the following one alias: —Macide Fulya Kalafatoglu. Barajyolu Cd Yenisehir Mh Sinpas Koruk Konutlari No 40 Sogut Blok D1 Istanbul, Turkey. * * Murat Taskiran, Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey. * * Ramor Group, a.k.a., the following four aliases: —Ramor Construction Food and Furniture Incorporation; —Ramor Ins; —Ramor Company; and —Ramor Ltd. Co. Unit 42, Gardenya Plaza 7⁄1, 12th Floor, No: 77, Atasehir, Istanbul, Turkey 34758; and 1st.End. ve.Tic.Serbest Bol.Sub. Kopuzlar Cad.No.8 Solingen Zemin Kat Tuzla/ Istanbul, Turkey. Resit Tavan, Turgotozl CD Agaoglu MySkyTowers, A Blok D 12, Istanbul, Turkey 34758. * * * Presumption of denial ...... * * * * 81 FR 61601, 9/7/16. 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * * For all items subject to the EAR. (See § 744.11 of the EAR). * * Presumption of denial ...... * 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * For all items subject to the EAR. (See § 744.11 of the EAR). * * Presumption of denial ...... * 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * For all items subject to the EAR. (See § 744.11 of the EAR). * For all items subject to the EAR. (See § 744.11 of the EAR). * * Presumption of denial ...... * 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * * Presumption of denial ...... * 82 FR [INSERT FR PAGE NUMBER] 1/10/17. For all items subject to the EAR. (See § 744.11 of the EAR). Presumption of denial ...... 82 FR [INSERT FR PAGE NUMBER] 1/10/17. * * * * * * * * * * * * 14:51 Jan 09, 2017 Jkt 241001 PO 00000 Frm 00040 Fmt 4700 Sfmt 4700 E:\FR\FM\10JAR1.SGM 10JAR1 2889 Federal Register / Vol. 82, No. 6 / Tuesday, January 10, 2017 / Rules and Regulations Entity License requirement License review policy Federal Register citation Veteran Avia LLC a.k.a., the following alias: —Veteran Airline. 1 Beckett Place, South Hamptonshire, London, U.K. (See also addresses under Armenia, Greece, and Pakistan). * * For all items subject to the EAR. (See § 744.11 of the EAR). Presumption of denial ...... 79 FR 56003, 9/18/14. 81 FR 8829, 2/23/16. 82 FR [INSERT FR PAGE NUMBER] 1/10/17. Country Dated: December 28, 2016. Alexander K. Lopes, Jr., Acting Assistant Secretary for Export Administration. [FR Doc. 2016–31833 Filed 1–9–17; 8:45 am] BILLING CODE 3510–33–P DEPARTMENT OF STATE 22 CFR Part 121 [Public Notice: 9688] RIN 1400–AD33 International Traffic in Arms Regulations: Revision of U.S. Munitions List Category XV Department of State. Final rule. AGENCY: ACTION: As part of the President’s Export Control Reform (ECR) initiative, the Department published an interim final rule on May 13, 2014 that revised Category XV (Spacecraft and Related Articles) of the U.S. Munitions List (USML). After reviewing comments to the interim final rule, the Department of State is amending the International Traffic in Arms Regulations (ITAR) to further revise Category XV of the USML to describe more precisely the articles warranting control in that category. DATES: This final rule is effective on January 15, 2017. FOR FURTHER INFORMATION CONTACT: Mr. C. Edward Peartree, Director, Office of Defense Trade Controls Policy, Department of State, telephone: (202) 663–2792; email: DDTCResponseTeam@ state.gov. ATTN: Regulatory Change, USML Category XV. SUPPLEMENTARY INFORMATION: The Directorate of Defense Trade Controls (DDTC), U.S. Department of State, administers the International Traffic in Arms Regulations (ITAR) (22 CFR parts 120–130). The items subject to the jurisdiction of the ITAR, i.e., ‘‘defense articles’’ and ‘‘defense services,’’ are identified on the ITAR’s U.S. Munitions List (USML) (22 CFR 121.1). With few exceptions, items not subject to the export control jurisdiction of the ITAR pmangrum on DSK3GDR082PROD with RULES SUMMARY: VerDate Sep<11>2014 14:51 Jan 09, 2017 Jkt 241001 * * are subject to the jurisdiction of the Export Administration Regulations (‘‘EAR,’’ 15 CFR parts 730–774, which includes the Commerce Control List (CCL) in Supplement No. 1 to part 774), administered by the Bureau of Industry and Security (BIS), U.S. Department of Commerce. Both the ITAR and the EAR impose license requirements on exports and reexports. Items not subject to the ITAR or to the exclusive licensing jurisdiction of any other set of regulations are subject to the EAR. All references to the USML in this rule are to the list of defense articles controlled for the purpose of export or temporary import pursuant to the ITAR, and not to the defense articles on the USML that are controlled by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) for the purpose of permanent import under its regulations. See 27 CFR part 447. Pursuant to section 38(a)(1) of the Arms Export Control Act (AECA), all defense articles controlled for export or import are part of the USML under the AECA. For the sake of clarity, the list of defense articles controlled by ATF for the purpose of permanent import is the U.S. Munitions Import List (USMIL). The transfer of defense articles from the ITAR’s USML to the EAR’s CCL for the purpose of export control does not affect the list of defense articles controlled on the USMIL under the AECA for the purpose of permanent import. The Department published an interim final rule revising USML Category XV on May 13, 2014 (79 FR 27180) and received 11 public comments on the proposed changes to the ITAR. The interim final rule became effective November 10, 2014, and this final rule is making changes in response to the previously received comments received on the interim final rule. Changes in This Rule Paragraphs (a)(2), (a)(10), (a)(11), (a)(12), (e)(4), (e)(5), (e)(11)(iv), (e)(12), (e)(20), and Note 3 to paragraph (a) and Note 3 to paragraph (f) are amended to better reflect the intended scope of control with regard to autonomous tracking systems, logistics, propulsion PO 00000 Frm 00041 Fmt 4700 Sfmt 4700 * * systems, cryocoolers and vibration suppression systems. Paragraphs (a)(7)(i) and (e)(2) are amended to clarify the size of the respective aperture dimension of specific electro-optical remote sensing capabilities and space qualified optics. Three commenters stated that the aperture dimensions in paragraph (a)(7)(i) (electro-optical satellite systems) should be raised from 0.35m to at or below 1.1m to reflect the commercial market for satellite imagery and account for technical advances in apertures and ground resolution capabilities. The Department acknowledges this comment and that aperture technology is evolving, and has revised (a)(7)(i) to 0.50m to reflect the current status of technology that provides the United States with a critical military or intelligence advantage and warrants control on the USML. Two commenters stated that (a)(12) should be revised to include a definition of ‘‘spaceflight,’’ or an inclusion of the word ‘‘human’’ in front of ‘‘spaceflight,’’ as well as to clarify that the provision does not control satellites subject to the jurisdiction of the Department of Commerce. The Department disagrees with this comment because the word ‘‘spaceflight’’ was removed from paragraph (a) in a November 10, 2014 clean-up rule (79 FR 66608). In addition, the revisions to paragraph (a)(12) herein clarify that the rule does not control satellites subject to the jurisdiction of the Department of Commerce. Two commenters suggested that (c)(4) be amended to better reflect the controls imposed by both the EAR and Missile Technology Control Regime, and to avoid any regulatory confusion caused by the fact that drones and UAVs are already controlled under Category VIII of the ITAR. The Department acknowledges the comments, and proposed removal of paragraph (c) to Category XII (Fire Control, Range Finder, Optical and Guidance and Control Equipment) (see 81 FR 8438, Feb. 18, 2016). All public comments E:\FR\FM\10JAR1.SGM 10JAR1

Agencies

[Federal Register Volume 82, Number 6 (Tuesday, January 10, 2017)]
[Rules and Regulations]
[Pages 2883-2889]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-31833]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

Bureau of Industry and Security

15 CFR Part 744

[Docket No. 161221999-6999-01]
RIN 0694--AH23


Addition of Certain Persons and Revisions to Entries on the 
Entity List; and Removal of a Person From the Entity List

AGENCY: Bureau of Industry and Security, Commerce.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This rule amends the Export Administration Regulations (EAR) 
by adding five persons to the Entity List. The five persons who are 
added to the Entity List have been determined by the U.S. Government to 
be acting contrary to the national security or foreign policy interests 
of the United States. These five persons will be listed on the Entity 
List under the destination of Turkey. This final rule also removes one 
entity from the Entity List under the destination of India as the 
result of a request for removal received by BIS and a review of 
information provided in the removal request in accordance with the 
procedure for requesting removal or modification of an Entity List 
entity. Finally, this rule is also revising five existing entries in 
the Entity List, under the destinations of Armenia, Greece, Pakistan, 
Russia and the United Kingdom (U.K.). Four of these entries are 
modified to reflect the removal from the Entity List of the entity 
located in India. The license requirement for the entry under the 
destination of Russia is being revised to conform with a general 
license issued by the Department of the Treasury's Office of Foreign 
Assets Control on December 20, 2016.

DATES: This rule is effective January 10, 2017.

[[Page 2884]]


FOR FURTHER INFORMATION CONTACT: Chair, End-User Review Committee, 
Office of the Assistant Secretary, Export Administration, Bureau of 
Industry and Security, Department of Commerce, Phone: (202) 482-5991, 
Email: ERC@bis.doc.gov.

SUPPLEMENTARY INFORMATION:

Background

    The Entity List (Supplement No. 4 to Part 744) identifies entities 
and other persons reasonably believed to be involved, or to pose a 
significant risk of being or becoming involved, in activities contrary 
to the national security or foreign policy interests of the United 
States. The EAR imposes additional license requirements on, and limits 
the availability of most license exceptions for, exports, reexports, 
and transfers (in-country) to those listed. The ``license review 
policy'' for each listed entity or other person is identified in the 
License Review Policy column on the Entity List and the impact on the 
availability of license exceptions is described in the Federal Register 
notice adding entities or other persons to the Entity List. BIS places 
entities and other persons on the Entity List pursuant to sections of 
part 744 (Control Policy: End-User and End-Use Based) and part 746 
(Embargoes and Other Special Controls) of the EAR.
    The ERC, composed of representatives of the Departments of Commerce 
(Chair), State, Defense, Energy and, where appropriate, the Treasury, 
makes all decisions regarding additions to, removals from, or other 
modifications to the Entity List. The ERC makes all decisions to add an 
entry to the Entity List by majority vote and all decisions to remove 
or modify an entry by unanimous vote.

ERC Entity List Decisions

Additions to the Entity List

    This rule implements the decision of the ERC to add five persons to 
the Entity List. These five persons are being added on the basis of 
Sec.  744.11 (License requirements that apply to entities acting 
contrary to the national security or foreign policy interests of the 
United States) of the EAR. The five entries added to the Entity List 
are located in Turkey.
    The ERC reviewed Sec.  744.11(b) (Criteria for revising the Entity 
List) in making the determination to add these five persons to the 
Entity List. Under that paragraph, persons for whom there is reasonable 
cause to believe, based on specific and articulable facts, that they 
have been involved, are involved, or pose a significant risk of being 
or becoming involved in, activities that are contrary to the national 
security or foreign policy interests of the United States and those 
acting on behalf of such persons may be added to the Entity List. 
Paragraphs (b)(1) through (b)(5) of Sec.  744.11 include an 
illustrative list of activities that could be contrary to the national 
security or foreign policy interests of the United States.
    Specifically, two entities, AR Kompozit Kimya and Murat Taskiran, 
are being added to the Entity List as these entities exported high 
grade U.S.-origin carbon fiber to Iran in violation of U.S. law (i.e., 
50 U.S.C. 1701 thru 1706 and 30 CFR 560.203 & 560.204). The additional 
three entities located in Turkey, Fulya Kalfatoglu Oguzturk, Ramor 
Group and Resit Tavan, are being added to the Entity List on the basis 
of their involvement in the procurement and/or retransfer of U.S.-
origin items to Iran for use by the Iranian military.
    Pursuant to Sec.  744.11(b) of the EAR, the ERC determined that the 
conduct of these five entities raises sufficient concern that prior 
review of exports, reexports or transfers (in-country) of all items 
subject to the EAR involving these persons, and the possible imposition 
of license conditions or license denials on shipments to the persons, 
will enhance BIS's ability to prevent violations of the EAR.
    For the five persons added to the Entity List, BIS imposes a 
license requirement for all items subject to the EAR and a license 
review policy of presumption of denial. The license requirements apply 
to any transaction in which items are to be exported, reexported, or 
transferred (in-country) to any of the persons or in which such persons 
act as purchaser, intermediate consignee, ultimate consignee, or end-
user. In addition, no license exceptions are available for exports, 
reexports, or transfers (in-country) to the persons being added to the 
Entity List in this rule. The acronym ``a.k.a.'' (also known as) is 
used in entries on the Entity List to help exporters, reexporters and 
transferors to better identify listed persons on the Entity List.
    This final rule adds the following five persons to the Entity List:
Turkey
    (1) AR Kompozit Kimya, a.k.a., the following two aliases:

--AR Composites Company Ltd; and
--AR Kompozit Kimya Muhendislik Taah Dis Tic Ltd.

    Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey;
    (2) Fulya Kalafatoglu Oguzturk, a.k.a., the following one alias:

--Macide Fulya Kalafatoglu.

    Barajyolu Cd Yenisehir Mh Sinpas Koruk Konutlari No 40 Sogut Blok 
D1 Istanbul, Turkey;
    (3) Murat Taskiran,
    Kuyumcukent 2, Plaza Kat 5, No 9, Yenibosna, Istanbul, Turkey;
    (4) Ramor Group, a.k.a., the following four aliases:

--Ramor Construction Food and Furniture Incorporation;
--Ramor Ins;
--Ramor Company; and
--Ramor Ltd. Co.

    Unit 42, Gardenya Plaza \7/1\, 12th Floor, No: 77, Atasehir, 
Istanbul, Turkey 34758; and 1st.End.ve.Tic.Serbest Bol.Sub. Kopuzlar 
Cad.No.8 Solingen Zemin Kat Tuzla/Istanbul, Turkey; and
    (5) Resit Tavan,
    Turgotozl CD Agaoglu MySkyTowers, A Blok D 12, Istanbul, Turkey 
34758.

Removal From the Entity List

    This rule implements a decision of the ERC to remove the following 
entry from the Entity List on the basis of on a removal request 
received by the BIS: Veteran Avia LLC, located in India. The ERC 
decided to remove Veteran Avia LLC (India) based on information 
received by BIS regarding activities at the listed location in India 
and further review conducted by the ERC.
    This final rule implements the decision to remove the following 
entity located in India from the Entity List:
India
    (1) Veteran Avia LLC, a.k.a., the following one alias:

--Veteran Airline.

    A-107, Lajpat Nagar--I, New Delhi 110024, India and Room No. 34 
Import Cargo, IGI Airport Terminal--II, New Delhi 110037, India; and 
25B, Camac Street 3E, Camac Court Kolkatta, 700016, India; and Ali's 
Chamber #202, 2nd Floor Sahar Cargo Complex Andheri East Mumbai, 
400099, India. (See also addresses under Armenia, Greece, Pakistan, and 
U.K).
    The removal of the person referenced above, which was approved by 
the ERC, eliminates the existing license requirements in Supplement No. 
4 to part 744 for exports, reexports and transfers (in-country) to this 
entity. However, the removal of this person from the Entity List does 
not relieve persons of other obligations under part 744 of the EAR or 
under other parts of the EAR. Neither the removal of an entity from the 
Entity List nor the removal of Entity List-based license requirements 
relieves persons of their obligations under General Prohibition 5 in 
Sec.  736.2(b)(5) of the EAR which

[[Page 2885]]

provides that, ``you may not, without a license, knowingly export or 
reexport any item subject to the EAR to an end-user or end-use that is 
prohibited by part 744 of the EAR.'' Additionally, this removal does 
not relieve persons of their obligation to apply for export, reexport 
or in-country transfer licenses required by other provisions of the 
EAR. BIS strongly urges the use of Supplement No. 3 to part 732 of the 
EAR, ``BIS's `Know Your Customer' Guidance and Red Flags,'' when 
persons are involved in transactions that are subject to the EAR.

Revisions to Entries on the Entity List

Modification to License Requirements for an Entry on the Entity List

    On December 20, 2016, the Department of the Treasury's Office of 
Foreign Assets Control (OFAC) issued General License No. 11, 
Authorizing Certain Transactions With FAU Glavgosekspertiza Rossii, an 
entity in the Russian Federation. This general license authorizes 
transactions otherwise prohibited by Executive Order 13685 (E.O.) of 
December 19, 2014 that are ordinarily incident and necessary to 
requesting, contracting for, paying for, receiving, or utilizing a 
project design review or permit from FAU Glavgosekspertiza Rossii's 
office(s) in the Russian Federation, provided that the underlying 
project is located wholly within the Russian Federation, and none of 
the transactions otherwise violate Executive Order (E.O.) 13685 of 
December 19, 2014. Any questions regarding to the scope of this general 
license should be directed to OFAC.
    In light of OFAC's General License No. 11, BIS makes a conforming 
change by modifying the listing for FAU `Glavgosekspertiza Rossii' on 
the Entity List under the destination of Russia (the term used in the 
EAR for the Russian Federation). This final rule modifies the license 
requirement column for this entity to specify that the Entity List's 
license requirements do not apply to items subject to the EAR that are 
related to transactions authorized by OFAC pursuant to new General 
License No. 11 (transactions that are ordinarily incident and necessary 
to requesting, contracting for, paying for, receiving or utilizing a 
project design review or permit from this listed entity's office(s) in 
Russia, so long as the underlying project occurs wholly within Russia 
and no transactions otherwise violate E.O. 13685). The listing for 
Ukraine on the Commerce Country Chart, Supp. No. 1 to part 738 of the 
EAR, includes a footnote that defines the ``Crimea region of Ukraine'' 
consistent with section 8(d) of E.O. 13685. FAU `Glavgosekspertiza 
Rossii' continues to be listed under both Russia and the Crimea region 
of Ukraine on the Entity List. This final rule amends only the entry 
under Russia; it does not make any change to the entry listed under the 
Crimea region of Ukraine. The license requirement for FAU 
`Glavgosekspertiza Rossii' listed under the destination of the Crimea 
region of Ukraine continues to apply to all items subject to the EAR.

Conforming Changes for an Approved Removal From the Entity List

    This final rule revises four entries in the Entity List for the 
entity Veteran Avia LLC, a.k.a., Veteran Airline, under the 
destinations of Armenia, Greece, Pakistan and the United Kingdom. As 
described above, the ERC approved the removal of Veteran Avia LLC 
(India). Therefore, this final rule makes conforming changes to the 
remaining four entries for the entity to remove the cross references to 
India. This final rule does not make any other changes to these four 
entries, except for revising the Federal Register citation column to 
reflect this conforming change being made to these four entities. The 
license requirement for the four entries remains all items subject to 
the EAR, and the license application review policy remains a 
presumption of denial.
    This final rule makes the following revisions to five entries on 
the Entity List:
Armenia
    (1) Veteran Avia LLC, a.k.a., the following one alias:

--Veteran Airline.

    64, Baghramyam Avenue, Apt 16, Yerevan 0033, Armenia; and 1 Eervand 
Kochari Street Room 1, 375070 Yerevan, Armenia (See also addresses 
under Greece, Pakistan, and U.K.).
Greece
    (1) Veteran Avia LLC, a.k.a., the following one alias:

--Veteran Airline.

    24, A. Koumbi Street, Markopoulo 190 03, Attika, Greece (See also 
addresses under Armenia, Pakistan, and U.K.).
Pakistan
    (1) Veteran Avia LLC, a.k.a., the following one alias:

--Veteran Airline.

    Room No. 1, ALC Building, PIA Cargo Complex Jiap, Karachi, Pakistan 
(See also addresses under Armenia, Greece, and U.K.).
Russia
    (1) FAU `Glavgosekspertiza Rossii', a.k.a., the following three 
aliases:

--Federal Autonomous Institution `Main Directorate of State 
Examination';
--General Board of State Expert Review; and
--Glavgosekspertiza.
    Furkasovskiy Lane, building 6, Moscow 101000, Russia (See alternate 
address under Crimea region of Ukraine).

    Note:
    As described above, the changes this final rule makes to this 
Russian entity are limited to the License requirement column for 
this entry.

United Kingdom
    (1) Veteran Avia LLC, a.k.a., the following one alias:

--Veteran Airline.

    1 Beckett Place, South Hamptonshire, London, U.K. (See also 
addresses under Armenia, Greece, and Pakistan).

Savings Clause

    Shipments of items removed from eligibility for a License Exception 
or export or reexport without a license (NLR) as a result of this 
regulatory action that were en route aboard a carrier to a port of 
export or reexport, on January 10, 2017, pursuant to actual orders for 
export or reexport to a foreign destination, may proceed to that 
destination under the previous eligibility for a License Exception or 
export or reexport without a license (NLR).

Export Administration Act of 1979

    Although the Export Administration Act of 1979 expired on August 
20, 2001, the President, through Executive Order 13222 of August 17, 
2001, 3 CFR, 2001 Comp., p. 783 (2002), as amended by Executive Order 
13637 of March 8, 2013, 78 FR 16129 (March 13, 2013) and as extended by 
the Notice of August 4, 2016, 81 FR 52587 (August 8, 2016), has 
continued the Export Administration Regulations in effect under the 
International Emergency Economic Powers Act. BIS continues to carry out 
the provisions of the Export Administration Act of 1979, as appropriate 
and to the extent permitted by law, pursuant to Executive Order 13222, 
as amended by Executive Order 13637.

Rulemaking Requirements

    1. Executive Orders 13563 and 12866 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory

[[Page 2886]]

approaches that maximize net benefits (including potential economic, 
environmental, public health and safety effects, distributive impacts, 
and equity). Executive Order 13563 emphasizes the importance of 
quantifying both costs and benefits, of reducing costs, of harmonizing 
rules, and of promoting flexibility. This rule has been determined to 
be not significant for purposes of Executive Order 12866.
    2. Notwithstanding any other provision of law, no person is 
required to respond to nor be subject to a penalty for failure to 
comply with a collection of information, subject to the requirements of 
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) (PRA), 
unless that collection of information displays a currently valid Office 
of Management and Budget (OMB) Control Number. This regulation involves 
collections previously approved by OMB under control number 0694-0088, 
Simplified Network Application Processing System, which includes, among 
other things, license applications and carries a burden estimate of 
43.8 minutes for a manual or electronic submission. Total burden hours 
associated with the PRA and OMB control number 0694-0088 are not 
expected to increase as a result of this rule. You may send comments 
regarding the collection of information associated with this rule, 
including suggestions for reducing the burden, to Jasmeet K. Seehra, 
Office of Management and Budget (OMB), by email to 
Jasmeet_K._Seehra@omb.eop.gov, or by fax to (202) 395-7285.
    3. This rule does not contain policies with Federalism implications 
as that term is defined in Executive Order 13132.
    4. For the five persons added to the Entity List in this final 
rule, the provisions of the Administrative Procedure Act (5 U.S.C. 553) 
requiring notice of proposed rulemaking, the opportunity for public 
comment and a delay in effective date are inapplicable because this 
regulation involves a military or foreign affairs function of the 
United States. (See 5 U.S.C. 553(a)(1)). BIS implements this rule to 
protect U.S. national security or foreign policy interests by 
preventing items from being exported, reexported, or transferred (in-
country) to the persons being added to the Entity List. If this rule 
were delayed to allow for notice and comment and a delay in effective 
date, the entities being added to the Entity List by this action would 
continue to be able to receive items without a license and to conduct 
activities contrary to the national security or foreign policy 
interests of the United States. In addition, publishing a proposed rule 
would give these parties notice of the U.S. Government's intention to 
place them on the Entity List and would create an incentive for these 
persons to either accelerate receiving items subject to the EAR to 
conduct activities that are contrary to the national security or 
foreign policy interests of the United States, and/or to take steps to 
set up additional aliases, change addresses, and other measures to try 
to limit the impact of the listing on the Entity List once a final rule 
was published. Further, no other law requires that a notice of proposed 
rulemaking and an opportunity for public comment be given for this 
rule. Because a notice of proposed rulemaking and an opportunity for 
public comment are not required to be given for this rule by 5 U.S.C. 
553, or by any other law, the analytical requirements of the Regulatory 
Flexibility Act, 5 U.S.C. 601 et seq., are not applicable. Accordingly, 
no regulatory flexibility analysis is required and none has been 
prepared.
    5. For the one entry removed from the Entity List in this final 
rule, pursuant to the Administrative Procedure Act (APA), 5 U.S.C. 
553(b)(B), BIS finds good cause to waive requirements that this rule be 
subject to notice and the opportunity for public comment because it 
would be contrary to the public interest.
    In determining whether to grant a request for removal from the 
Entity List, a committee of U.S. Government agencies (the End-User 
Review Committee (ERC)) evaluates information about and commitments 
made by listed persons requesting removal from the Entity List, the 
nature and terms of which are set forth in 15 CFR part 744, Supplement 
No. 5, as noted in 15 CFR 744.16(b). The information, commitments, and 
criteria for this extensive review were all established through the 
notice of proposed rulemaking and public comment process (72 FR 31005 
(June 5, 2007) (proposed rule), and 73 FR 49311 (August 21, 2008) 
(final rule)). This one removal has been made within the established 
regulatory framework of the Entity List. If the rule were to be delayed 
to allow for public comment, U.S. exporters may face unnecessary 
economic losses as they turn away potential sales to the entity removed 
by this rule because the customer remained a listed person on the 
Entity List even after the ERC approved the removal pursuant to the 
rule published at 73 FR 49311 on August 21, 2008. By publishing without 
prior notice and comment, BIS allows the applicant to receive U.S. 
exports immediately since the applicant already has received approval 
by the ERC pursuant to 15 CFR part 744, Supplement No. 5, as noted in 
15 CFR 744.16(b).
    Removals from the Entity List granted by the ERC involve 
interagency deliberation and result from review of public and non-
public sources, including sensitive law enforcement information and 
classified information, and the measurement of such information against 
the Entity List removal criteria. This information is extensively 
reviewed according to the criteria for evaluating removal requests from 
the Entity List, as set out in 15 CFR part 744, Supplement No. 5 and 15 
CFR 744.16(b). For reasons of national security, BIS is not at liberty 
to provide to the public detailed information on which the ERC relied 
to make the decisions to remove this entity. In addition, the 
information included in the removal request is information exchanged 
between the applicant and the ERC, which by law (section 12(c) of the 
Export Administration Act of 1979), BIS is restricted from sharing with 
the public. Moreover, removal requests from the Entity List contain 
confidential business information, which is necessary for the extensive 
review conducted by the U.S. Government in assessing such removal 
requests.
    Section 553(d) of the APA generally provides that rules may not 
take effect earlier than thirty (30) days after they are published in 
the Federal Register. BIS finds good cause to waive the 30-day delay in 
effectiveness under 5 U.S.C. 553(d)(1) because this rule is a 
substantive rule which relieves a restriction. This rule's removal of 
one person from the Entity List removes a requirement (the Entity-List-
based license requirement and limitation on use of license exceptions) 
on this person being removed from the Entity List. The rule does not 
impose a requirement on any other person for the removal from the 
Entity List.
    In addition, the Department finds that there is good cause under 5 
U.S.C. 553(b)(B) to waive the provisions of the Administrative 
Procedure Act (APA) requiring prior notice and the opportunity for 
public comment for the five conforming changes included in this rule 
because they are either unnecessary or contrary to the public interest. 
These five conforming changes are limited to ensure consistency with a 
removal included in this rulemaking or consistency with OFAC's General 
License No. 11, and thus prior notice and the opportunity for public 
comment are unnecessary. The conforming change to the listing for FAU

[[Page 2887]]

`Glavgosekspertiza Rossii' is intended to ensure consistent treatment 
of this entity under both the EAR and OFAC's sanctions regime. The 
other four conforming changes are limited to reflecting the removal of 
Veteran Avia LLC (India). These four changes are needed to correct the 
cross-referencing parenthetical phrase included in each of these four 
entries.
    No other law requires that a notice of proposed rulemaking and an 
opportunity for public comment be given for this final rule. Because a 
notice of proposed rulemaking and an opportunity for public comment are 
not required under the APA or by any other law, the analytical 
requirements of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) 
are not applicable. As a result, no final regulatory flexibility 
analysis is required and none has been prepared.

List of Subjects in 15 CFR Part 744

    Exports, Reporting and recordkeeping requirements, Terrorism.

    Accordingly, part 744 of the Export Administration Regulations (15 
CFR parts 730-774) is amended as follows:

PART 744--[AMENDED]

0
1. The authority citation for 15 CFR part 744 continues to read as 
follows:

    Authority: 50 U.S.C. 4601 et seq.; 50 U.S.C. 1701 et seq.; 22 
U.S.C. 3201 et seq.; 42 U.S.C. 2139a; 22 U.S.C. 7201 et seq.; 22 
U.S.C. 7210; E.O. 12058, 43 FR 20947, 3 CFR, 1978 Comp., p. 179; 
E.O. 12851, 58 FR 33181, 3 CFR, 1993 Comp., p. 608; E.O. 12938, 59 
FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 12947, 60 FR 5079, 3 CFR, 
1995 Comp., p. 356; E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 
228; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208; E.O. 13222, 
66 FR 44025, 3 CFR, 2001 Comp., p. 783; E.O. 13224, 66 FR 49079, 3 
CFR, 2001 Comp., p. 786; Notice of November 12, 2015, 80 FR 70667 
(November 13, 2015); Notice of January 20, 2016, 81 FR 3937 (January 
22, 2016); Notice of August 4, 2016, 81 FR 52587 (August 8, 2016); 
Notice of September 15, 2016, 81 FR 64343 (September 19, 2016); 
Notice of November 8, 2016, 81 FR 79379 (November 10, 2016).


0
2. Supplement No. 4 to part 744 is amended:
0
a. By revising, under Armenia, one Armenian entity ``Veteran Avia LLC, 
a.k.a., the following one alias:--Veteran Airline. 64, Baghramyam 
Avenue, Apt 16, Yerevan 0033, Armenia; and 1 Eervand Kochari Street 
Room 1, 375070 Yerevan, Armenia (See also addresses under Greece, 
India, Pakistan, and U.K.)'' ;
0
b. By revising, under Greece, one Greek entity ``Veteran Avia LLC, 
a.k.a., the following one alias:--Veteran Airline. 24, A. Koumbi 
Street, Markopoulo 190 03, Attika, Greece (See also addresses under 
Armenia, India, Pakistan, and U.K.)'' ;
0
c. By removing, under India, one Indian entity, ``Veteran Avia LLC, 
a.k.a., the following one alias:--Veteran Airline. A-107, Lajpat 
Nagar--I, New Delhi 110024, India; and Room No. 34 Import Cargo, IGI 
Airport Terminal--II, New Delhi 110037, India; and 25B, Camac Street 
3E, Camac Court Kolkatta, 700016, India; and Ali's Chamber #202, 2nd 
Floor Sahar Cargo Complex Andheri East Mumbai, 400099, India (See also 
addresses under Armenia, Greece, Pakistan, and U.K.).'' ;
0
d. By revising, under Pakistan, one Pakistani entity, ``Veteran Avia 
LLC, a.k.a., the following one alias:--Veteran Airline. Room No. 1, ALC 
Building, PIA Cargo Complex Jiap, Karachi, Pakistan (See also addresses 
under Armenia, Greece, India, U.A.E., and U.K.)'';
0
e. By revising, under Russia, one Russian entity ``FAU 
`Glavgosekspertiza Rossii', a.k.a., the following three aliases:--
Federal Autonomous Institution `Main Directorate of State 
Examination';--General Board of State Expert Review; and--
Glavgosekspertiza. Furkasovskiy Lane, building 6, Moscow 101000, Russia 
(See alternate address under Crimea region of Ukraine).'';
0
f. By adding, under Turkey, in alphabetical order, five Turkish 
entities; and
0
g. By revising, under the United Kingdom, one British entity ``Veteran 
Avia LLC, a.k.a., the following one alias:--Veteran Airline. 1 Beckett 
Place, South Hamptonshire, London, U.K. (See also addresses under 
Armenia, Greece, India, and Pakistan).''
    The additions and revisions read as follows:

Supplement No. 4 to Part 744--Entity List

* * * * *

----------------------------------------------------------------------------------------------------------------
                                                                             License  review    Federal Register
        Country                     Entity             License requirement        policy            citation
----------------------------------------------------------------------------------------------------------------
 
                                                  * * * * * * *
ARMENIA................                                         * * * * * *
                         Veteran Avia LLC a.k.a., the  For all items        Presumption of     79 FR 44683, 8/1/
                          following alias:              subject to the       denial.            14. 81 FR 8829,
                         --Veteran Airline.             EAR. (See Sec.                          2/23/16. 82 FR
                         64, Baghramyam Avenue, Apt     744.11 of the                           [INSERT FR PAGE
                          16, Yerevan 0033, Armenia;    EAR).                                   NUMBER] 1/10/17.
                          and 1 Eervand Kochari
                          Street Room 1, 375070
                          Yerevan, Armenia (See also
                          addresses under Greece,
                          Pakistan, and U.K.).
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
GREECE.................                                         * * * * * *
                         Veteran Avia LLC a.k.a., the  For all items        Presumption of     79 FR 56003, 9/18/
                          following alias:              subject to the       denial.            14. 81 FR 8829,
                         --Veteran Airline.             EAR. (See Sec.                          2/23/16. 82 FR
                         24, A. Koumbi Street,          744.11 of the                           [INSERT FR PAGE
                          Markopoulo 190 03, Attika,    EAR).                                   NUMBER] 1/10/17.
                          Greece (See also addresses
                          under Armenia, Pakistan,
                          and U.K.).
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
PAKISTAN...............                                         * * * * * *

[[Page 2888]]

 
                         Veteran Avia LLC, a.k.a.,     For all items        Presumption of     79 FR 56003, 9/18/
                          the following one alias:      subject to the       denial.            14. 81 FR 8829,
                         --Veteran Airline.             EAR. (See Sec.                          2/23/16. 82 FR
                         Room No. 1, ALC Building,      744.11 of the                           [INSERT FR PAGE
                          PIA Cargo Complex Jiap,       EAR).                                   NUMBER] 1/10/17.
                          Karachi, Pakistan (See also
                          addresses under Armenia,
                          Greece, and U.K.).
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
RUSSIA.................                                         * * * * * *
                         FAU `Glavgosekspertiza        For all items        Presumption of     81 FR 61601, 9/7/
                          Rossii', a.k.a., the          subject to the EAR   denial.            16. 82 FR
                          following three aliases:      (see Sec.   744.11                      [INSERT FR PAGE
                         --Federal Autonomous           of the EAR), apart                      NUMBER] 1/10/17.
                          Institution `Main             from items that
                          Directorate of State          are related to
                          Examination';                 transactions that
                         --General Board of State       are authorized by
                          Expert Review; and            the Department of
                         --Glavgosekspertiza.           the Treasury's
                         Furkasovskiy Lane, building    Office of Foreign
                          6, Moscow 101000, Russia      Assets Control
                          (See alternate address        pursuant to
                          under Crimea region of        General License
                          Ukraine).                     No. 11 of December
                                                        20, 2016. Russia
                                                        does not include
                                                        the ``Crimea
                                                        region of
                                                        Ukraine,'' as that
                                                        term is defined in
                                                        section 8(d) of
                                                        E.O. 13685.
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
TURKEY.................                                         * * * * * *
                         AR Kompozit Kimya, a.k.a.,    For all items        Presumption of     82 FR [INSERT FR
                          the following two aliases:    subject to the       denial.            PAGE NUMBER] 1/
                         --AR Composites Company Ltd;   EAR. (See Sec.                          10/17.
                          and                           744.11 of the
                         --AR Kompozit Kimya            EAR).
                          Muhendislik Taah Dis Tic
                          Ltd.
                         Kuyumcukent 2, Plaza Kat 5,
                          No 9, Yenibosna, Istanbul,
                          Turkey.
                                                                * * * * * *
                         Fulya Kalafatoglu Oguzturk,   For all items        Presumption of     82 FR [INSERT FR
                          a.k.a., the following one     subject to the       denial.            PAGE NUMBER] 1/
                          alias:                        EAR. (See Sec.                          10/17.
                         --Macide Fulya Kalafatoglu.    744.11 of the
                         Barajyolu Cd Yenisehir Mh      EAR).
                          Sinpas Koruk Konutlari No
                          40 Sogut Blok D1 Istanbul,
                          Turkey.
                                                                * * * * * *
                         Murat Taskiran, Kuyumcukent   For all items        Presumption of     82 FR [INSERT FR
                          2, Plaza Kat 5, No 9,         subject to the       denial.            PAGE NUMBER] 1/
                          Yenibosna, Istanbul,          EAR. (See Sec.                          10/17.
                          Turkey.                       744.11 of the
                                                        EAR).
                                                                * * * * * *
                         Ramor Group, a.k.a., the      For all items        Presumption of     82 FR [INSERT FR
                          following four aliases:       subject to the       denial.            PAGE NUMBER] 1/
                         --Ramor Construction Food      EAR. (See Sec.                          10/17.
                          and Furniture                 744.11 of the
                          Incorporation;                EAR).
                         --Ramor Ins;
                         --Ramor Company; and
                         --Ramor Ltd. Co.
                         Unit 42, Gardenya Plaza \7/
                          1\, 12th Floor, No: 77,
                          Atasehir, Istanbul, Turkey
                          34758; and 1st.End.
                          ve.Tic.Serbest Bol.Sub.
                          Kopuzlar Cad.No.8 Solingen
                          Zemin Kat Tuzla/Istanbul,
                          Turkey.
                         Resit Tavan, Turgotozl CD     For all items        Presumption of     82 FR [INSERT FR
                          Agaoglu MySkyTowers, A Blok   subject to the       denial.            PAGE NUMBER] 1/
                          D 12, Istanbul, Turkey        EAR. (See Sec.                          10/17.
                          34758.                        744.11 of the
                                                        EAR).
 
                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
UNITED KINGDOM.........                                         * * * * * *

[[Page 2889]]

 
                         Veteran Avia LLC a.k.a., the  For all items        Presumption of     79 FR 56003, 9/18/
                          following alias:              subject to the       denial.            14. 81 FR 8829,
                         --Veteran Airline.             EAR. (See Sec.                          2/23/16. 82 FR
                         1 Beckett Place, South         744.11 of the                           [INSERT FR PAGE
                          Hamptonshire, London, U.K.    EAR).                                   NUMBER] 1/10/17.
                          (See also addresses under
                          Armenia, Greece, and
                          Pakistan).
                                                                * * * * * *
----------------------------------------------------------------------------------------------------------------


    Dated: December 28, 2016.
Alexander K. Lopes, Jr.,
Acting Assistant Secretary for Export Administration.
[FR Doc. 2016-31833 Filed 1-9-17; 8:45 am]
BILLING CODE 3510-33-P