Export Controls: Challenges Exist in Enforcement of an Inherently Complex System

Over the past 18 months, the Department of Homeland Security's Bureau of Immigration and Customs Enforcement has taken steps to address coordination, de-confliction and information with its counter-proliferation partners in the law enforcement and intelligence communities. DHS/ICE has made internal and external changes to address the GAO concerns, including: 1) the creation of the National Export Enforcement Coordination Network--which serves as the hub for 15 Export Enforcement Coordination Groups based in 10 domestic ICE filed offices within the U.S. and five foreign ICE attache offices in high-risk transshipment countries throughout the world, 2) sharing of information and training with the intelligence and law enforcement communities, and 3) participation in the Department of Justice-led National Counter Proliferation Initiative.

According to information submitted by Commerce in June 2008, to enhance coordination as directed by the GAO, the Justice Department recently appointed the Department's first National Export Control Coordinator. In this position, the Coordinator will be responsible for the development of comprehensive training materials for prosecutors nationwide and coordinating with the various U.S. law enforcement, licensing and intelligence agencies that play a role in export enforcement. It is expected that this appointment will result in improved coordination and cooperation among the organizations. Since the appointment, DOJ's Counterproliferation Task Forces have been set up in a number of locations, and BIS/OEE has participated in many of these task forces.

In June 2008, the Department of Justice, Federal Bureau of Investigation, reported that in 2007, a task force was created with representatives from FBI, Department of Homeland Security's Office of Immigration and Customs Enforcement, and the Department of Commerce's Office of Export Enforcement. According to the FBI, this task force is achieving results in the direction of those outlined in this report's recommendation. According to FBI, the details of the task force actions and results are classified.

Since its inception, the National Export Enforcement Coordination Network has distributed 89 Homeland Security Intelligence Reports with information derived from multiple sources, 68 Homeland Intelligence Reports to intelligence community members and has conducted numerous outreach presentations to various groups, including Congressional staff members from respective House and Senate Committees on Government Oversight and Homeland Security. In addition, the Department of Justice, the lead for this export enforcement task force, reported the results of its efforts to Congress in late 2007.

This recommendation was fulfilled by the Department of Justice in its role as the lead of the export enforcement task force.

According to the Department of Justice, the export enforcement task force briefed Congress on the results of their efforts in late 2007. Details of this briefing are classified.

During fiscal year 2007, the Department of Homeland Security's Immigration and Customs Enforcement held three Strategic Investigations Training Seminars, and approximately 125 agents and analysts attended. This course includes instruction from personnel assigned to licensing agencies. The ICE Office of Investigations has provided written guidance to field offices relating to obtaining and processing license determinations--including how to obtain second-level reviews from the Department of State--to include identifying all required information necessary to making the most complete licensing determination possible. ICE Office of Investigations has also provided training through conferences detailing the licensing process and required information. ICE emphasizes the need to the most accurate and complete specifications available from field offices in order to obtain licensing determinations during all training events and related conferences.

According to Commerce Bureau of Industry and Security (BIS) officials, all license determinations are to be processed within 35 days, and BIS' fiscal year 2009 processing time is averaging 23 days.

On December 20, 2006, the Department of Homeland Security's Immigration and Customs Enforcement issued a memorandum to all of its special agents providing guidance for requesting license determinations from the Department of State. In addition, ICE has provided training on license determinations to hundreds of its special agents. On October 11, 2007, ICE, Department of Justice, and other partners announced the launching of a National Counter-Proliferation Initiative focusing on the national security threat posed by the illegal export of sensitive military and dual-use technologies. The initiative includes training prosecutors to handle the increased workload.

According to Commerce officials, all Office of Export Enforcement (OEE) officials attended training in May 2007. During this training session, representatives from BIS's Export Administration provided guidance to the OEE Special Agents on the steps necessary to securing accurate licensing determinations. While OEE planned to conduct this training on an annual basis, the current budget shortfall has not allowed for Special Agent training during FY 2008. As soon as appropriate funding is available, the Special Agent training will be scheduled.

On December 20, 2006, the Department of Homeland Security's Immigration and Customs Enforcement issued a memorandum, in consultation with the Department of State's DDTC Compliance Director, to all of its special agents providing guidance for requesting license determinations from the Department of State.

Beginning in April 2007, the Department of Justice's Executive Office for U.S. Attorneys, in consultation with Justice's National Security Division, implemented this recommendation by providing a quarterly report to the Departments of State and Commerce on criminal enforcement actions.