[Federal Register Volume 74, Number 110 (Wednesday, June 10, 2009)]
[Rules and Regulations]
[Pages 27433-27435]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-13523]
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Part 538
Sudanese Sanctions Regulations
AGENCY: Office of Foreign Assets Control, Treasury.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Office of Foreign Assets Control of the U.S. Department of
the Treasury (``OFAC'') is amending the Sudanese Sanctions Regulations
to expand the scope of an existing authorization of certain imports for
diplomatic or official personnel to include the provision of goods or
services in the United States to the diplomatic missions of the
Government of Sudan to the United States and the United Nations, and to
the employees of such missions, subject to certain conditions. The
amended section also authorizes the importation of goods or services
into the United States by the regional Government of Southern Sudan and
its employees that involve the transit or transshipment of goods
through areas of Sudan other than the Specified Areas of Sudan, subject
to certain conditions.
DATES: Effective Date: June 10, 2009.
FOR FURTHER INFORMATION CONTACT: Assistant Director for Compliance
Outreach & Implementation, tel.: 202-622-2490, 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 (not toll free numbers).
SUPPLEMENTARY INFORMATION:
Electronic and Facsimile Availability
This document and additional information concerning 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
The Sudanese Sanctions Regulations, 31 CFR part 538 (the ``SSR''),
were promulgated to implement Executive Order 13067 of November 3, 1997
(``E.O. 13067''), in which the President declared a national emergency
with respect to the policies and actions of the Government of Sudan. To
deal with that emergency, E.O. 13067 imposed comprehensive trade
sanctions with respect to Sudan and blocked all property and interests
in property of the
[[Page 27434]]
Government of Sudan in the United States or within the possession or
control of United States persons. On October 13, 2006, the President
issued Executive Order 13412 (``E.O. 13412''), to take additional steps
with respect to the emergency declared in E.O. 13067, and to implement
the Darfur Peace and Accountability Act of 2006 (Pub. L. 109-344, 120
Stat. 1869). While it exempted specified areas of Sudan from certain
prohibitions in E.O. 13067, E.O. 13412 continued the blocking of the
Government of Sudan's property and interests in property and imposed a
country-wide prohibition on transactions relating to Sudan's petroleum
or petrochemical industries. E.O. 13412 also removed the regional
Government of Southern Sudan from the definition of the Government of
Sudan. On October 31, 2007, the SSR were amended to implement E.O.
13412 (72 FR 61513, October 31, 2007).
Today, OFAC is amending section 538.515 of the SSR. Before its
amendment, section 538.515 authorized all transactions ordinarily
incident to the importation of any goods or services into the United
States destined for official or personal use by the diplomatic missions
of the Government of Sudan to the United States and to international
organizations located in the United States, subject to certain
conditions. OFAC is amending this section to expand the scope of the
authorization to include the provision of goods or services in the
United States to the diplomatic missions of the Government of Sudan to
the United States and the United Nations, and to the employees of the
diplomatic missions of the Government of Sudan to the United States and
the United Nations, subject to certain conditions.
Paragraph (a) of the revised section 538.515 authorizes the
importation of goods or services into the United States by, and the
provision of goods or services in the United States to, the diplomatic
missions of the Government of Sudan to the United States and the United
Nations, subject to four conditions: (1) The goods or services must be
for the conduct of the official business of the missions, or for
personal use of the employees of the missions, and not for resale; (2)
such transactions must not involve the purchase, sale, financing, or
refinancing of real property; (3) such transactions are not otherwise
prohibited by law; and (4) all such transactions must be conducted
through an account at a U.S. financial institution specifically
licensed by OFAC. A note to paragraph (a)(4) of the revised section
538.515 states that U.S. financial institutions are required to obtain
specific licenses to operate accounts for, or extend credit to, the
diplomatic missions of the Government of Sudan to the United States and
the United Nations.
Paragraph (b) of the revised section 538.515 authorizes the
importation of goods or services into the United States by, and the
provision of goods or services in the United States to, the employees
of the diplomatic missions of the Government of Sudan to the United
States and the United Nations, subject to two conditions: (1) The goods
or services must be for personal use of the employees of the missions,
and not for resale; and (2) such transactions are not otherwise
prohibited by law.
Paragraph (c) of the revised section 538.515 authorizes the
importation of goods or services into the United States by the regional
Government of Southern Sudan and its employees that involve the transit
or transshipment of goods from the Specified Areas of Sudan through
areas of Sudan other than the Specified Areas of Sudan, subject to two
conditions: (1) The goods or services must be for the conduct of the
business of the regional Government, or for personal use of the
employees of the regional Government, and not for resale; and (2) such
transactions are not otherwise prohibited by law. A note to paragraph
(c) of revised section 538.515 explains that the authorization
contained in this paragraph permits the regional Government of Southern
Sudan and its employees to import into the United States goods or
services that have transited or transshipped through areas of Sudan
other than the Specified Areas of Sudan without the need to obtain a
specific license under Sec. 538.417. The importation of goods and
services into the United States by the regional Government of Southern
Sudan not involving the transit or transshipment through areas of Sudan
other than the Specified Areas of Sudan is already exempt under
Sec. Sec. 538.212(g) and 538.305(b) and, therefore, requires no
authorization. Similarly, the provision of goods and services in the
United States to the regional Government of Southern Sudan and its
employees already is exempt pursuant to Sec. Sec. 538.212(g) and
538.305(b) and also requires no authorization.
Public Participation
Because the amendment of the SSR involves a foreign affairs
function, the provisions of Executive Order 12866 and 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 the SSR 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 in 31 CFR Part 538
Administrative practice and procedure, Banks, Banking, Blocking of
assets, Exports, Foreign trade, Humanitarian aid, Imports, Penalties,
Reporting and recordkeeping requirements, Specially designated
nationals, Sudan, Terrorism, Transportation.
0
For the reasons set forth in the preamble, the Office of Foreign Assets
Control amends 31 CFR part 538 as follows:
PART 538--SUDANESE SANCTIONS REGULATIONS
0
1. The authority citation for part 538 continues to read as follows:
Authority: 3 U.S.C. 301; 18 U.S.C. 2339B, 2332d; 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. 106-387, 114 Stat. 1549; Pub. L.
109-344, 120 Stat. 1869; Pub. L. 110-96, 121 Stat. 1011; E.O. 13067,
62 FR 59989, 3 CFR, 1997 Comp., p. 230; E.O. 13412, 71 FR 61369, 3
CFR, 2006 Comp., p. 244.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
0
2. Revise Sec. 538.515 to read as follows:
Sec. 538.515 Sudanese diplomatic missions in the United States.
(a) The importation of goods or services into the United States by,
and the provision of goods or services in the United States to, the
diplomatic missions of the Government of Sudan to the United States and
the United Nations are authorized, provided that:
(1) The goods or services are for the conduct of the official
business of the missions, or for personal use of the employees of the
missions, and are not for resale;
[[Page 27435]]
(2) The transaction does not involve the purchase, sale, financing,
or refinancing of real property;
(3) The transaction is not otherwise prohibited by law; and
(4) The transaction is conducted through an account at a U.S.
financial institution specifically licensed by OFAC.
Note to paragraph (a)(4) of Sec. 538.515: U.S. financial
institutions are required to obtain specific licenses to operate
accounts for, or extend credit to, the diplomatic missions of the
Government of Sudan to the United States and the United Nations.
(b) The importation of goods or services into the United States by,
and the provision of goods or services in the United States to, the
employees of the diplomatic missions of the Government of Sudan to the
United States and the United Nations are authorized, provided that:
(1) The goods or services are for personal use of the employees of
the missions, and are not for resale; and
(2) The transaction is not otherwise prohibited by law.
(c) The importation of goods or services into the United States by
the regional Government of Southern Sudan and its employees that
involves the transit or transshipment of goods from the Specified Areas
of Sudan through areas of Sudan other than the Specified Areas of Sudan
is authorized, provided that:
(1) The goods or services are for the conduct of the business of
the regional Government, or for personal use of the employees of the
regional Government, and are not for resale; and
(2) The transaction is not otherwise prohibited by law.
Note to paragraph (c) of Sec. 538.515: The authorization
contained in paragraph (c) of this section permits the regional
Government of Southern Sudan and its employees to import into the
United States goods or services that have transited or transshipped
through areas of Sudan other than the Specified Areas of Sudan
without the need to obtain a specific license under Sec. 538.417.
The importation of goods and services into the United States by the
regional Government of Southern Sudan not involving transit or
transshipment through areas of Sudan other than the Specified Areas
of Sudan already is exempt pursuant to Sec. Sec. 538.212(g) and
538.305(b) and, therefore, requires no authorization. Similarly, the
provision of goods and services in the United States to the regional
Government of Southern Sudan and its employees already is exempt
pursuant to Sec. Sec. 538.212(g) and 538.305(b) and also requires
no authorization.
Dated: June 3, 2009.
Adam J. Szubin,
Director, Office of Foreign Assets Control.
[FR Doc. E9-13523 Filed 6-9-09; 8:45 am]
BILLING CODE 4811-45-P