[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR595.504]

[Page 952]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
 CHAPTER V--OFFICE OF FOREIGN ASSETS CONTROL, DEPARTMENT OF THE TREASURY
 
PART 595_TERRORISM SANCTIONS REGULATIONS--Table of Contents
 
 Subpart E_Licenses, Authorizations, and Statements of Licensing Policy
 
Sec. 595.504  Investment and reinvestment of certain funds.

    (a) U.S. financial institutions are hereby authorized and directed 
to invest and reinvest assets held in blocked accounts in the name of a 
specially designated terrorist, subject to the following conditions:
    (1) The assets representing such investments and reinvestments are 
credited to a blocked account or sub-account which is in the name of the 
specially designated terrorist and which is located in the United States 
or within the possession or control of a U.S. person; and
    (2) The proceeds of such investments and reinvestments are not 
credited to a blocked account or sub-account under any name or 
designation which differs from the name or designation of the specific 
blocked account or sub-account in which such funds or securities were 
held; and
    (3) No immediate financial or economic benefit or access accrues 
(e.g., through pledging or other use) to the specially designated 
terrorist.
    (b)(1) U.S. persons seeking to avail themselves of this 
authorization must register with the Office of Foreign Assets Control, 
Blocked Assets Section, before undertaking transactions authorized under 
this section.
    (2) Transactions conducted pursuant to this section must be reported 
to the Office of Foreign Assets Control, Blocked Assets Division, in a 
report filed no later than 10 business days following the last business 
day of the month in which the transactions occurred.