[Federal Register Volume 73, Number 99 (Wednesday, May 21, 2008)]
[Rules and Regulations]
[Pages 29433-29434]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-11318]
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DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Part 592
Rough Diamonds Control Regulations
AGENCY: Office of Foreign Assets Control, Treasury.
ACTION: Final rule.
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SUMMARY: The Office of Foreign Assets Control of the U.S. Department of
the Treasury (``OFAC'') is amending the Rough Diamonds Control
Regulations (the ``Regulations'') to add two requirements designed to
enhance the collection of statistics related to importations and
exportations of rough diamonds.
DATES: Effective Date: May 21, 2008.
FOR FURTHER INFORMATION CONTACT: Assistant Director for Policy, tel.:
202/622-4855, Office of Foreign Assets Control, or Chief Counsel
(Foreign Assets Control), tel.: 202/622-2410, Office of the General
Counsel, Department of the Treasury, Washington, DC 20220 (not toll
free numbers).
SUPPLEMENTARY INFORMATION:
Electronic and Facsimile Availability
This document and additional information concerning the Office of
Foreign Assets Control are available from OFAC's Web site (http://www.treas.gov/ofac) or via facsimile through a 24-hour fax-on demand
service, tel.: 202/622-0077.
Background
On August 4, 2003, the Office of Foreign Assets Control (``OFAC'')
promulgated the Rough Diamonds Control Regulations, 31 CFR part 592
(the ``Regulations''), to implement Executive Order 13312 (``E.O.
13312'') of July 29, 2003. E.O. 13312 was issued to implement the Clean
Diamond Trade Act (Pub. L. 108-19) and the multilateral Kimberley
Process Certification Scheme for rough diamonds (KPCS). The Regulations
were amended on September 23, 2004, to revise certain reporting
requirements (69 FR 56936). Today, OFAC is further amending the
Regulations to enhance the compilation of statistical data relating to
the importation and exportation of rough diamonds.
Specifically, OFAC is amending the Regulations by adding an
additional note to the definition of the term Controlled through the
Kimberley Process Certification Scheme, contained in section 592.301.
Section 592.301 sets forth requirements that apply, as appropriate, to
the importation into, or exportation from, the United States of any
shipment of rough diamonds. The new note to this section explains that
the U.S. Customs and Border Protection (CBP) will not release custody
of an importation of rough diamonds, unless the import conforms with
the CBP's formal entry for consumption requirements, as defined in the
CBP regulations (see 19 CFR 141.0a(f)). In addition, OFAC is amending
the Regulations to add a new section 592.502, which requires all
importers and exporters of rough diamonds to file an annual report with
the Department of State detailing their import, export and stockpile
information.
Public Participation
Because the amendments to the Regulations involve a foreign affairs
function, Executive Order 12866 and the provisions of the
Administrative Procedure Act (5 U.S.C. 553) requiring notice of
proposed rulemaking, opportunity for public participation, and delay in
effective date are inapplicable. Because no notice of proposed
rulemaking is required for this rule, the Regulatory Flexibility Act (5
U.S.C. 601-612) does not apply.
Paperwork Reduction Act
The collections of information related to 31 CFR Part 592 are
contained in 31 CFR Part 501 (the ``Reporting, Procedures and Penalties
Regulations''). Pursuant to the Paperwork Reduction Act of 1995 (44
U.S.C. 3507), those collections of information have been approved by
the Office of Management and Budget under control number 1505-0198. An
agency may not conduct or sponsor, and a person is not required to
respond to, a collection of information unless the collection of
information displays a valid control number.
List of Subjects in 31 CFR Part 592
Administrative practice and procedure, Foreign trade, Exports,
Imports, Kimberly Process, Penalties, Reporting and recordkeeping
requirements, Rough diamond.
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For the reasons set forth in the preamble, the Office of Foreign Assets
Control amends 31 CFR part 592 as follows:
PART 592--ROUGH DIAMONDS CONTROL REGULATIONS
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1. The authority citation for part 592 continues to read as follows:
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); Pub. L. 108-19, 117
Stat. 631 (19 U.S.C. 3901-3913); E.O. 13312, 68 FR 45151, 3 CFR,
2003 Comp., p. 246.
Subpart C--General Definitions
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2. Amend Sec. 592.301(b) by adding a new Note 4 to read as follows:
Sec. 592.301 Controlled through the Kimberley Process Certification
Scheme.
* * * * *
(b) * * *
Note 4 to Sec. 592.301: As of May 21, 2008, any diamond,
regardless of value, that is described in subheadings 7102.10,
7102.21 or 7102.31, Harmonized Tariff Schedule of the United States
and is imported into the United States shall not be released from
the custody of U.S. Customs and Border Protection (CBP) except by a
formal entry for consumption, as defined in Sec. 141.0a(f) of the
CBP regulations. See 19 CFR 141.0a(f).
[[Page 29434]]
Subpart E--Records and Reports
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3. Add a new Sec. 592.502 to read as follows:
Sec. 592.502 Annual Reports by Rough Diamond Importers and Exporters.
(a) Requirement for reports. Reports shall be filed annually, by
April 1 of each year, covering the preceding calendar year (January 1-
December 31), except the first annual report, covering the period
January 1-December 31, 2007, shall be filed by September 1, 2008.
(b) Who must report; reporting period. All persons who import rough
diamonds into the United States or export rough diamonds from the
United States during the reporting period (January 1-December 31).
(c) What must be reported. The report need not be in any specified
format but must include the following information:
(1) The contact information of the U.S. importer or exporter,
including name, address, telephone number, fax number, and e-mail
address;
(2) Identification of total import and/or export activity for each
of the three Harmonized Tariff Schedule classifications of rough
diamonds during the reporting year, including:
(A) Total amount of carats of each classification of rough diamonds
imported and/or exported; and
(B) Total of all shipments of each classification of rough diamonds
imported and/or exported.
(3) Information on stockpiles of rough diamonds, if any, for each
of the three Harmonized Tariff Schedule classifications, as of the end
of the reporting year, reported in both total carats and approximate
total value. For the purposes of this section, stockpiles are defined
as the amount of rough diamonds held unsold at the end of the reporting
period.
(d) Where to send report. Reports must be filed with the Office of
the Special Advisor for Conflict Diamonds, U.S. Department of State via
e-mail at [email protected]. For further information, please
call that office at 202/647-1713.
(e) Failure to file report. Any importer or exporter who fails to
file a required report shall be subject to the penalties set forth in
Subpart F of this part.
Dated: May 14, 2008.
Adam J. Szubin,
Director, Office of Foreign Assets Control.
[FR Doc. E8-11318 Filed 5-20-08; 8:45 am]
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