[Federal Register Volume 73, Number 247 (Tuesday, December 23, 2008)]
[Rules and Regulations]
[Pages 78631-78633]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-30532]
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DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Parts 594, 595 and 597
Global Terrorism Sanctions Regulations; Terrorism Sanctions
Regulations; Foreign Terrorist Organizations Sanctions 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 Global Terrorism Sanctions
Regulations and the Terrorism Sanctions Regulations to expand the scope
of authorizations in each of those programs for the provision of
certain legal services. Similarly, OFAC is amending the Foreign
Terrorist Organizations Sanctions Regulations to expand the scope of a
statement of licensing policy concerning payment for certain legal
services.
DATES: Effective Date: December 23, 2008.
FOR FURTHER INFORMATION CONTACT: Assistant Director for Licensing,
tel.: 202-622-2480, 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 (``OFAC'') 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
OFAC administers three sanctions programs with respect to
terrorists and terrorist organizations. The Terrorism Sanctions
Regulations, 31 CFR part 595 (``TSR''), implement Executive Order 12947
of January 23, 1995, in which the President declared a national
emergency with respect to ``grave acts of violence committed by foreign
terrorists that disrupt the Middle East peace process * * *. '' The
Global Terrorism Sanctions Regulations, 31 CFR part 594 (``GTSR''),
implement Executive Order 13224 of September 23, 2001, in which the
President declared an emergency
[[Page 78632]]
more generally with respect to ``grave acts of terrorism and threats of
terrorism committed by foreign terrorists * * *.'' The Foreign
Terrorist Organizations Sanctions Regulations, 31 CFR part 597
(``FTOSR''), implement provisions of the Antiterrorism and Effective
Death Penalty Act of 1996.
OFAC is revising sections in the GTSR and the TSR that authorize
the provision of specified legal services. Section 594.506 of the GTSR
and Sec. 595.506 of the TSR authorize U.S. persons to provide certain
specified legal services to or on behalf of persons whose assets are
blocked under those regulations, provided that any payment of
professional fees and reimbursement of incurred expenses must be
specifically licensed. OFAC is expanding the scope of these general
licenses by adding to the specified legal services the representation
of persons detained within the jurisdiction of the United States or by
the U.S. government with respect to either such detention or any
charges made against such persons. The general licenses also authorize
the initiation and conduct of proceedings. OFAC has long had in place
general licenses that authorize the provision of specified legal
services on behalf of blocked persons and payment for those services
when specifically licensed. OFAC is expanding these categories to cover
this additional factual situation in the GTSR and the TSR, as well as
related changes in the FTOSR discussed below. OFAC also is making non-
substantive revisions to Sec. 595.506 of the TSR in order to conform
it to parallel Sec. 594.506 of the GTSR. As a result, OFAC is
reissuing Sec. 595.506 in its entirety.
In addition, OFAC is amending Sec. 597.505 of the FTOSR, which
states that specific licenses may be issued, on a case-by-case basis,
authorizing payment of professional fees and reimbursement of incurred
expenses through a U.S. financial institution for certain specified
legal services by U.S. persons. OFAC is amending this statement of
licensing policy to add to the list of services for which payment may
be specifically licensed the representation of agents of foreign
terrorist organizations detained within the jurisdiction of the United
States or by the U.S. government, including, but not limited to, the
conduct of military commission prosecutions and the initiation and
conduct of federal court proceedings.
These amendments are not intended to, and do not, imply or create
any substantive right or cause of action against the United States, its
officers or employees, or any other person.
Public Participation
Because the amendments of 31 CFR parts 594, 595, and 597 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 parts 594, 595,
and 597 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
1505-0164. 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
31 CFR Part 594
Administrative practice and procedure, Banks, Banking, Currency,
Foreign investments in United States, Penalties, Reporting and
recordkeeping requirements, Securities, Terrorism.
31 CFR Part 595
Administrative practice and procedure, Banks, Banking, Currency,
Foreign investments in United States, Penalties, Reporting and
recordkeeping requirements, Securities, Terrorism.
31 CFR Part 597
Administrative practice and procedure, Banks, Banking, Currency,
Foreign investments in United States, Penalties, Reporting and
recordkeeping requirements, Securities, Terrorism.
0
For the reasons set forth in the preamble, the Office of Foreign Assets
Control amends 31 CFR parts 594, 595 and 597 as follows:
PART 594--GLOBAL TERRORISM SANCTIONS REGULATIONS
0
1. The authority citation for part 594 continues to read as follows:
Authority: 3 U.S.C. 301; 22 U.S.C. 287c; 31 U.S.C. 321(b); 50
U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890 (28
U.S.C. 2461 note); Pub. L. 110-96, 121 Stat. 1011; E.O. 13224, 66 FR
49079, 3 CFR, 2001 Comp., p. 786; E.O. 13268, 67 FR 44751, 3 CFR,
2002 Comp., p. 240; E.O. 13284, 64 FR 4075, 3 CFR, 2003 Comp., p.
161.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
0
2. Amend Sec. 594.506 by revising paragraph (a)(4), redesignating
existing paragraph (a)(5) as (a)(6), and adding a new paragraph (a)(5)
to read as follows:
Sec. 594.506 Provision of certain legal services authorized.
(a) * * *
(4) Representation of persons before any federal or state agency
with respect to the imposition, administration, or enforcement of U.S.
sanctions against such persons;
(5) Representation of persons, wherever located, detained within
the jurisdiction of the United States or by the United States
government, with respect to either such detention or any charges made
against such persons, including, but not limited to, the conduct of
military commission prosecutions and the initiation and conduct of
federal court proceedings; and
* * * * *
PART 595--TERRORISM SANCTIONS REGULATIONS
0
3. The authority citation for part 595 continues to read as follows:
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601-1651,
1701-1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note);
Pub. L. 110-96, 121 Stat. 1011; E.O. 12947, 60 FR 5079, 3 CFR, 1995
Comp., p. 319; E.O. 13099, 63 FR 45167, 3 CFR, 1998 Comp., p. 208.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
0
4. Revise Sec. 595.506 to read as follows:
Sec. 595.506 Provision of certain legal services authorized.
(a) The provision of the following legal services to or on behalf
of persons whose property or interests in property are blocked pursuant
to Sec. 595.201(a) is authorized, provided that all receipts of
payment of professional fees and reimbursement of incurred expenses
must be specifically licensed:
(1) Provision of legal advice and counseling on the requirements of
and compliance with the laws of any jurisdiction within the United
States, provided that such advice and counseling are not provided to
facilitate transactions in violation of this part;
(2) Representation of persons when named as defendants in or
otherwise made parties to domestic U.S. legal,
[[Page 78633]]
arbitration, or administrative proceedings;
(3) Initiation and conduct of domestic U.S. legal, arbitration, or
administrative proceedings in defense of property interests subject to
U.S. jurisdiction;
(4) Representation of persons before any federal or state agency
with respect to the imposition, administration, or enforcement of U.S.
sanctions against such persons;
(5) Representation of persons, wherever located, detained within
the jurisdiction of the United States or by the United States
government, with respect to either such detention or any charges made
against such persons, including, but not limited to, the conduct of
military commission prosecutions and the initiation and conduct of
federal court proceedings; and
(6) Provision of legal services in any other context in which
prevailing U.S. law requires access to legal counsel at public expense.
(b) The provision of any other legal services to persons whose
property or interests in property are blocked pursuant to Sec.
595.201(a), not otherwise authorized in this part, requires the
issuance of a specific license.
(c) Entry into a settlement agreement affecting property or
interests in property or the enforcement of any lien, judgment,
arbitral award, decree, or other order through execution, garnishment,
or other judicial process purporting to transfer or otherwise alter or
affect property or interests in property blocked pursuant to Sec.
595.201(a) is prohibited except to the extent otherwise provided by law
or unless specifically licensed in accordance with Sec. 595.202(e).
PART 597--FOREIGN TERRORIST ORGANIZATIONS SANCTIONS REGULATIONS
0
5. The authority citation for part 597 continues to read as follows:
Authority: 31 U.S.C. 321(b); Pub. L. 101-410, 104 Stat. 890 (28
U.S.C. 2461 note); Pub. L. 104-132, 110 Stat. 1214, 1248-53 (8
U.S.C. 1189, 18 U.S.C. 2339B).
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
0
6. Amend Sec. 597.505 by redesignating existing paragraphs (e) and (f)
as (f) and (g), respectively, and adding a new paragraph (e) to read as
follows:
Sec. 597.505 Payment for certain legal services.
* * * * *
(e) Representation of an agent of a foreign terrorist organization,
wherever located, detained within the jurisdiction of the United States
or by the United States government, with respect to either such
detention or any charges made against such agent, including, but not
limited to, the conduct of military commission prosecutions and the
initiation and conduct of federal court proceedings;
* * * * *
Dated: December 17, 2008.
Adam J. Szubin,
Director, Office of Foreign Assets Control.
[FR Doc. E8-30532 Filed 12-22-08; 8:45 am]
BILLING CODE 4811-45-P