Sen. Reed Secures Safeguards Against Azerbaijan’s Use of U.S.-Financed Satellite for Warfare

WASHINGTON—U.S. Senator Jack Reed (D-R.I.), a senior member of the Armed Services Committee, has secured a series of written assurances and ongoing reporting requirements regarding a controversial loan recently extended by the U.S. Export-Import Bank to Azerbaijan for the purchase of an advanced satellite, reported the Armenian National Committee of America (ANCA).

Sen. Reed

The bipartisan Congressional inquiries into this deal, since it was first placed on the Ex-Im agenda earlier this year, were made possible by Congressman Brad Sherman (D-Calif.), whose detailed scrutiny into this transaction created the opportunity for both his House and Senate colleagues to follow up with a broad range of questions and concerns. In addition to Senator Reed, Senator Mark Kirk (D-Ill.), a leading voice in Congress on military issues, played an especially constructive role in addressing the potential regional security implications of this satellite financing deal.

In a detailed, two-page letter, the Bank’s Chairman and President, Fred P. Hochberg, explained to Senator Reed that, “[T]hough Ex-Im Bank has established that the satellite lacks a military capacity, the Bank has implemented additional measures to ensure that the satellite is not utilized for any military related purpose.”

—“The Ex-Im bank loan documentation will include a provision prohibiting the Government of Azerbaijan from entering any agreement allowing for the use of the satellite by any of the armed forces of Azerbaijan, or the armed forces of any other country.”

—“Ex-Im Bank will also have the right to inspect all books and records related to the project at any time during the life of the loan.”

—“Lastly, the Government of Azerbaijan will be contractually required to furnish monitoring reports to Ex-Im Bank on an annual basis. The monitoring reports will identify all parties that have contracted to lease transponder capacity and will include certifications by the Government of Azerbaijan that the satellite has not been leased, nor has the Government of Azerbaijan entered into any agreements, with any of the armed forces of Azerbaijan, or the armed forces of any other country to permit utilization of the satellite.”

“We want to thank Senator Reed, Congressman Sherman, and the other legislators who worked with the Export-Import Bank in seeking to address deeply held concerns, raised by Armenian Americans and others devoted to peace in the Caucasus, regarding any U.S. action that might empower or embolden Azerbaijan to renew its aggression against Nagorno Karabakh and Armenia,” said ANCA executive director Aram Hamparian. “While we remain opposed to this deal and to any other potentially harmful assistance to the increasingly belligerent Azerbiajani government of Ilham Aliyev, we do value the Bank’s sensitivities to its regional security implications, and appreciate the efforts of legislators to build meaningful safeguards, prohibitions, and reporting requirements into this transaction.”

On April 27th, the U.S. Export-Import Bank voted to approve the controversial deal to finance Azerbaijan’s purchase of an advanced satellite just weeks after Azerbaijan threatened to shoot down a civilian airliner. The decision came despite serious Congressional reservations and strong opposition by the Armenian American community to U.S. actions that will strengthen Azerbaijan’s military capabilities at a time of increasing threats and acts of aggression by Baku against both Armenia and Nagorno Karabakh.

Over the past three months, the ANCA has conveyed the Armenian American community’s serious legal, technical and political opposition to this transaction in a series of letters and meetings with senior officials of the Export-Import Bank and the State Department. The firm selling this satellite, known as Azerspace/Africasat-1A, is Orbital Sciences Corporation of Dulles, Virginia. It is being purchased by the Ministry of Communications and Information Technologies of Azerbaijan in Baku, Azerbaijan. The application for Ex-Im financing was made by BNP-Parabis of New York City, and the loan is being guaranteed by Azerbaijan’s Ministry of Finance.

6 Comments

  1. I am just appalled how unintelligent our US officials are to agree to such contract.. No matter how many safeguards there are, Azeris will never cease to do what they are out to do… to kill as many Armenians as possible … as we have been witnessing for the last few years… and you think these safeguards will stop them to accomplish their goal..??

    Well lets jst hope that even if they violate the agreement, US will have enough balls to stop Azeris immediately by hopefully cancelling all agreement with them..

    G

  2. I fear that in the event of a new Artsakh/Karbag conflict, both the US and Israel (and certainly Turkey) will supply Azerbaijan with targetting information to be used against Armenians.  I do not know what Russia will do.  It will depend on whether Russia has made gas and oil deals with Azerbaijan.  Armenians seem to trust Russia.  That is a mistake.

  3. Carl, if Armenians will start trusting the U.S. overnight, do you think the U.S. will leave out its greed for oil and start protecting Armenians?

  4. We all know that every one of them who acts our friend is NOT our friend..they all have piece of the pie tucked in their closets and no matter what they say to us or promise us, that pie will never be shared with us.. it will remain theirs… and that is what most of these so called friends do.. and Russia is no exception…  I know what Carl is saying and I wish the situation was different but guess we have no choice at this point but to rely on them…..

    They are all greedy and only look after their own pocket..

    G

  5. a highly militarized and equally spread population throughtout Artsakh. With stealth infrastructure (e.g. green roof houses), availabilty of hidden bunkers in nearby woods, stockpiling food and water supply for emergency war outbreak, booby traps and improvised devices in strategic zones, air defense cover by the Armenian Armed Forces. These are guarantees to maintain and defend our homeland.
     
    Any possibility of war is permissible by the US and the west only if a VERY SWIFT victory is guaranteed by the azeris. This means, inflicting heavy casualities and the fall of Stepanakert/Shushi.
    A hobbit land Artsakh not only is romantic for tourists and the western world, but also makes it economically unfeasable for the azeris to monitor from space our land, and/or to shoot missiles on, since the inflicted damage is not worth the price of the missile.
     
     

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