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Nassr State Enterprise for Mechanical Industries (or Nesser Establishment for Mechanical Industries): Part of the Ministry of Industry and Military Industrialization (MIMI), described above. Nassr procured equipment for Project 1728, a SCUD modification effort; was involved in Iraq's nuclear program; was the procurement arm for Taji, a site used to produce chemical munitions; and, according to Western intelligence documents, was "responsible for the development and manufacture of gas centrifuges for uranium enrichment."/16 Nassr also ran artillery ammunition plants; purchased "high-capacity driving nozzles" for missiles from a German company; may have been a part of the European procurement network run by Iraqi front company TDG in London; was the main customer of Matrix Churchill, another Iraqi front company in England; and was linked to the Condor II intermediate-range missile project.

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Licensing Mass Destruction

to develop nuclear weapons. In March 1990, customs officers at Heathrow Airport in London seized a case of capacitors bound for AlQaqaa that were especially designed for detonating nuclear warheads.

• Total approvals: over $200 thousand, including:

1. Computers (ECCN 1565) in three cases valued at $200,000.

-No referral to the Energy Department, as required for items on
the Nuclear Referral List.

Technical Corporation for Special Projects (Techcorp): Also part of MIMI. Operated Sa'ad 16. Responsible for the SCUD modification project and development of the Condor II missile. Also purchased parts for the Iraqi supergun.

• Total approvals: $61,300, including:

1. Two computers (ECCN 1565) valued at $16,980 and
$44,320.

- No referral to the Energy Department, as required for items on
the Nuclear Referral List.

University of Mosul: Site of and procurement agent for Sa'ad 16 (also referred to as "Research & Development Center"), Iraq's major missile research and development center, where work was done on the Condor II and SCUD modification as well as research on chemical and nuclear weapons. According to European news reports, the German company that supplied Sa'ad 16 described the project as a "laboratory and workshop complex [that] will be run in cooperation with Mosul University."/18

• Total approvals: over $1.8 million, including:

1. Equipment for enhancing satellite images, including
computers (ECCN 1565) valued at $1 million and related
equipment (ECCN 4590) valued at $27,800.

- Commerce Department approved the related equipment
(ECCN 4590) in June 1985 without external review.

- This equipment enhances photographs taken by satellites. The
enhanced photos can be used to improve targeting by missiles or
aircraft, or for other reconnaissance objectives. The licensee,
International Imaging Systems of Milpitas, California, did not
ship the equipment approved in 1990. However, on two
previous occasions, International Imaging sent shipments to
Iraq. In 1981, an image processing system went to the Iraqi
Directorate General for Geological Survey and Mineral

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

Page 21 of 25

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1. Quartz crystals and assemblies (ECCN 1587) valued at $1.1
million (case B290664).

- Commerce approved without external review, despite the fact
that this item is on the missile technology control list and was
approved in January 1988 after the list went into effect. The
stated end use was components for a radar system.

2. Frequency synthesizers and equipment (ECCN 1531) valued
at $140,000 (case DO55821).

- Approved without external review, despite the fact that this
item is on the missile technology control list and was approved
in November 1989 after the list went into effect.
- The stated end use of this item was for "calibrating, adjusting
and testing of a surveillance radar," which could function as a

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

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1. "BXA Facts" (press release), U.S. Department of Commerce, Bureau of Export Administration, March 11, 1991. The list covers a period from 1985 to August 2, 1990, when Iraq invaded Kuwait, and reveals that three of the approvals were for over $1 billion worth of cargo trucks, which were not shipped. Id. at p. 3. See also, Stuart Auerbach, "$1.5 Billion in U.S. Sales to Iraq," Washington Post, March 11, 1991, p. Al; Michael Wines, "U.S. Tells of Prewar Technology Sales to Iraq Worth $500 million," New York Times, March 12, 1991, p. A13.

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