Law Governing the Control of Commodities and Services - 1957
(5717)
Order Regarding the Engagement in Encryption Items
- 1974 (5734).
By virtue of the power vested in me under Sections 5, 15 and 43 of the Law Governing the Control of Commodities and Services -1957 (5717)(1), I hereby decree as follows:
In this Order -
"Encryption items", "encryption", "export", "engagement in encryption items", "modification"
and
"integration"
as per their meaning in the Declaration Regarding the Control of Commodities
and Services (Engagement in Encryption Items - 1998 (5735)(3);
"Free Means"
means an encryption item for which the Director-General granted a General License, or for which he/she, of his/her own initiative, has
publicly notified tat it is free as per provisions of Section 2b;
"The Director"
means the Director-General of the Ministry of Defense;
"Type of User"
means a financial institution, government agency or a corporation, institution or organization of another type which
has gained the Director’s approval;
"License"
means each of the following: a General License, Restricted License and Special License;
"General License"
means a license under this Order for all forms of engagement in encryption items, other than the modification and
integration of a certain encryption item;
"Restricted License"
means a license under this Order which is restricted to forms of engagement in encryption items, certain encryption
items or destination countries, according to the type of user of the encryption item or other criterion;
"Special License"
means a license under this Order for a certain form of engagement, including some transaction in some encryption items;
.1
Definitions
No one shall engage in encryption items unless he/she has been licensed to
do so by the Director and according to the terms of license.
(a)
A Restricted License or Special License shall be effective
for one year or for another term as specified therein.
(b)
A General License shall be of unlimited duration, except for
the engagement in production, in respect of which renewal of license
is required three years from the date of its award.
(c)
The Director may renew a license which has expired.
(d)
.2
License to Engage in Encryption Items
A license application shall be submitted to the Director on a form that he/she
has so stipulated for this purpose.
(a)
The applicant shall furnish a correct, complete response to each question on the
form and provide correct, accurate details.
(b)
.3
License Application
Notwithstanding the aforementioned in Section 2(a), a license shall not be
required to engage in encryption items of the form specified hereunder:
(c)
Purchase, use, possession, transfer from one location to another or from one
person to another, distribution, sale, negotiations for export or export of
free means.
(1)
Purchase, use or possession of encryption items, if the sale or transfer of
encryption items to that person was done under license;
(2)
License exemption
Should the Director award a General License covering a certain encryption item,
he/she shall publicly declare the said encryption item a free means; The Director
is entitled to make such publication even if a license application for that
encryption item was not submitted.
(d)
Notice under this Section shall be published in the Official Gazette, although
the Director may order that it be published elsewhere.
(e)
Notice of Free Means
If a license application was submitted as per this Order, the
Director is entitled:
To gain access, personally or by means of his/her authorized designee, to any location
where the engagement in encryption items, by definition, is taking place or is
about to take place.
(1)
To scrutinize, personally or by means of his/her authorized designee, the encryption items,
encryption-related records, and the circumstances whereby the engagement in encryption-related
records, by definition, is taking place or will be taking place in the future.
(2)
To demand that the license applicant furnish him with additional details that he/she
regards as necessary concerning the said application.
(3)
(a)
The applicant shall enable the Director to exercise his/her
powers under this Section.
(b)
.4
Access, Powers to Demand Scrutiny of Details
The Director is entitled to grant , refuse to grant, stipulate conditions for,
suspend or revoke a license, as he/she may deem fit.
.5
Granting and Revoking a License
The Director is entitled to exercise his/her powers under Section 4,
even after the license has already been granted.
.6
Director Powers After Granting License
License award and renewal shall be subject to an annual fee of NIS __________.
(a)
The fee will be payable to the Head of Income and Expenses at the Finance
Department, IMOD Compound, Tel-Aviv.
(b)
.7
Fees
Someone engaged in encryption items shall not give nor disclose
any information on said engagement therein, unless it is to the
Director designee, as stipulated in the license or after the expiration
thereof.
.8
Confidentiality
This Order does not derogate from any other duly passed law, or
from any other legislation, but rather supplements them.
.9
Abidance by Law
The Director is the executive authority for purposes of this Order and
is entitled to give any directive necessary for the execution thereof.
.10
Executive Authority
The Director shall appoint an Advisory Committee comprised of at least five members
for granting licenses to exercise his/her powers under this Order.
(a)
The Advisory Committee's members shall include
a public representative.
(b)
The Advisory Committee is entitled to appoint sub-committees,
from among and not from among its members, for such matters as it
may prescribe.
(c)
The Director may delegate to the Advisory Committee or to a sub-committee any
of his/her powers under this Order, except for the power to award, deny, revoke
or suspend a license.
(d)
.10a
Advisory Committee
This Order shall become effective on 1 January 1975 (18 Tevet 5735).
.11
Effective Date
This order shall be entitled "Control of Commodities and Services
(Engagement in Encryption Items) - 1974 (5734).
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