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Licensing Mass Destruction

termed these companies "Specially Designated Nationals," and said that "when you deal with them, you're dealing with Saddam."

⚫ Total approvals to Iraqi Airways: over $50 million, including:

1. Compasses, gyroscopes, and accelerometers (ECCN 1485)
valued at $13 million in seven cases.

- The Commerce Department approved these sales without
external review in four of the seven cases, despite the fact that
these were missile items and were approved after the missile list
came into effect. All items under category 1485 are controlled
as missile items.

2. Navigation, radar and airborne communication equipment
(ECCN 1501) valued at $5 million in five cases.

- Approved without external review in four of the five cases.

3. Computers (ECCN 1565) valued at $5 million.

4. Aircraft, helicopters, engines and equipment valued at
$23,000,000.

5. Aircraft parts, boats, diesel engines, underwater cameras, and
submersible systems valued at $28 million.

• Many of the items approved for Iraqi Airways fell into categories that are listed, by their commodity control numbers, as useful in the development, testing, production and deployment of missiles capable of delivering nuclear weapons. Items such as compasses, gyroscopes, accelerometers, computers, radars and navigational equipment all fall into this category. It is possible that some of these items aided the Iraqi SCUD program.

• The procedures by which missile technology exports are approved are not available to the public. It is widely assumed that at least the Department of State reviews and approves these sensitive exports. However, the Department of Commerce approved at least six exports that appear to be on the missile technology list with no external review. In one case (B373514), the Commerce Department approved over a million dollars' worth of compasses, gyroscopes, and accelerometers without consulting either the State or Defense Departments. All items in category 1485 are missile items and should have been referred to the State Department.

Iraqi Air Force:

http://www.wisconsinproject.org/pubs/reports/1991/licensemd.html

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11/19/2002

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