7 Pakistani companies placed on US sanctions list

ISLAMABAD: The United States Bureau of Industry and Security (BIS), which works under the Department of Commerce, has placed sanctions on seven Pakistani firms purportedly engaged in nuclear trade and likely to damage Pakistan’s endeavor to join the Nuclear Suppliers Group (NSG).
“Indeed, it obstructs Pakistan’s bid for a full membership of NSG,” said Associate Professor Dr. Zafar Nawaz Jaspal, who is highly regarded for his academic work on nuclear issues.
He told Arab News that “sanctioning seven (Pakistani) companies is another attempt to pressurize Pakistan because Islamabad is determined not to accept the unrealistic dictates of the Trump Administration."
Pakistan’s Foreign Office spokesman could not be reached for comment by Arab News on Monday. 
Twenty-three sanctioned companies from Pakistan, Singapore and South Sudan were placed on the US “Entity List” on March 22 according to the BIS document published on the US Federal Register website which “identifies entities reasonably believed to be involved, or to pose a significant risk of being or becoming involved, in activities contrary to the national security or foreign policy interests of the United States.”
Of the seven Pakistan firms based in Lahore, Karachi and Islamabad banned by the US, an eighth is operated by Pakistanis from Singapore.
Mushko Electronics Pvt. Ltd. in Singapore and Mushko Electronics Pvt. Ltd. in Pakistan are accused of procuring material for several sanctioned “Pakistani entities.” Solutions Engineering has been listed over “involvement in activity contrary” to US interests while Akhtar & Munir, Proficient Engineers and Pervaiz Commercial Trading Co. (PCTC) have been listed for “their involvement in the proliferation of unsafeguarded nuclear activities.”
Marine Systems Pvt. Ltd. is suspected of circumventing the export administration regulations restrictions assisting sanctioned Pakistani entities to acquire “items.” The last firm, Engineering and Commercial Services (ECS), has allegedly supplied material to a Pakistani nuclear entity.
Reuters reported that none of the seven sanctioned Pakistani companies, which are not well known, could be immediately reached for comment. Nor could a Singapore-based company which the bureau said was linked to one of the Pakistani companies.
Arab News visited the office of ECS in a commercial building in Islamabad. The small office, which mostly remains closed and is manned by one person, works under the banner of “Galaxy Corporation” which is handwritten on a notebook paper attached to the door.
Neighboring offices involved in construction and trade were not aware of the name or the nature of ECS’ business.
“This is Engineering and Commercial Services,” said the company’s representative who identified himself as Arslan. He was surprised that Arab News was able to find the office.
Extremely reluctant to share information, Arslan confirmed that ECS procures “chemicals and related material” and deals “globally.” He refused to provide the owner’s name or contact but he told Arab News that the company’s main office is elsewhere.
The latest action by Washington is likely to further strain relations with Islamabad.
The two nations — once strong allies — have drifted apart over conflict of interests and widening trust deficit. Both sides have made attempts to repair relations but mixed signals from within each country’s government hierarchy have placed progress on a number of issues on shaky ground.
In February, the US, backed by Britain, France and Germany, emphasized concerns about the depth of Islamabad’s commitment to tackle money laundering and terror financing and tried to convince the Financial Action Task Force to place Pakistan back on its “gray list.”
Islamabad calls FATF’s attempt “politically motivated”.
The International Atomic Energy Agency Director-General Yukia Amano, who visited some of Pakistan’s nuclear plants and health facilities in March, commended the country’s command, control, knowledge, and safety of nuclear technology.
His concluding remark was: “The NSG would be better off with Pakistan inside rather than outside.”
The NSG was founded in 1974 to prevent nuclear proliferation through stringent checks and balances over the material export, technology and equipment used for nuclear weapons manufacturing.
Pakistan, backed by Turkey and China, applied for NSG’s membership on May 19, 2016, and maintains that non-discriminatory criteria-based approach is needed for all non-NPT countries for inclusion in the group.
The move is backed by several nations, including Kazakhstan and Belarus, and Russia has signaled its support.