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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT -- Ignore unavailable to you. Want to Upgrade?

To: RMiethe who wrote (4564)	5/13/1999 1:15:00 PM
From: Dave Carlton	Read Replies (1) \| Respond to of 29987

This opinion is not based on a correct interpretation of US export control laws. The International Traffic in Arms Regulations apply to U.S. citizens as well as U.S. resident companies, and the overseas activities of U.S. companies. A simple transfer of ownership of stock to a foreign company does not excuse a U.S. company like SS/L from complying with the ITARs. If a U.S. company were bought by a foreign company with the intent of closing down the U.S. operations and shipping all the hardware and technology overseas, an export license would be required for both the hardware shipment and the technology export. Further, the export license would contain a further restriction against re-export without an additional license. If the ITARs or the terms of a license were breached, the U.S. government could proceed criminally against the U.S. citizens involved, and the U.S. based companies -- without regard to the nationality of their ownership. The more likely concern is that the return of State Dept export controls under ITAR will be a disincentive to further growth of the U.S. space industry and the emergence of new entrants.