GAO pokes holes in U.S. deemed export controls

GAO pokes holes in U.S. deemed export controls
   A congressional watchdog agency told members of the House Energy and Commerce Committee in a report on Monday that the United States risks foreign nationals gaining unauthorized access to controlled 'dual-use' technology, potentially harming national security.
   So-called 'deemed export' controls are supposed to keep a lid on foreign nationals gaining unauthorized access to certain high-tech commercial technologies that could be used in the development of weapons systems in unfriendly countries, such as Iran, Syria and North Korea.
   The Commerce Department, which is in charge of dual-use technology export licenses, screened 54,000 overseas visa applications for potential unlicensed deemed exports in fiscal year 2001 but only 150 in fiscal year 2008, the GAO noted in its report.
   'The United States issued about 1.05 million specialty occupation visas to high-technology fields to foreign nationals from 13 countries of concern to work in the United States, while Commerce issued deemed export licenses authorizing transfers of technology to about 3,200 foreign nationals from these countries,' the GAO said.
   The GAO criticized the Commerce Department and the Homeland Security Department's Immigration and Customs Enforcement for failing to implement deemed export outreach programs to the industry. As a result, employers, particularly small to mid-sized firms, may be unaware of deemed export licensing requirements and obtaining the licenses required, the agency said.
   The GAO recommended to improve oversight of deemed export controls that the Commerce Department assess issuance of these license applications and report to Congress on how it will implement prior deemed export recommendations as part of the export control reform process. ' Chris Gillis