[House Document 104-173]
[From the U.S. Government Publishing Office]



                                     

        104th Congress, 2d Session - - - - - - - - - - - - House 
Document 104-173



    DEVELOPMENTS CONCERNING THE NATIONAL EMERGENCY WITH RESPECT TO 
 
 ORGANIZATIONS THAT THREATEN TO DISRUPT THE MIDDLE EAST PEACE PROCESS

                               __________

                                MESSAGE

                                  FROM

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

 A REPORT ON ACTIONS AND EXPENSES DIRECTLY RELATED TO THE EXERCISE OF 
   POWERS AND AUTHORITIES CONFERRED BY THE DECLARATION OF A NATIONAL 
 EMERGENCY IN EXECUTIVE ORDER NO. 12947 WITH RESPECT TO ORGANIZATIONS 
THAT THREATEN TO DISRUPT THE MIDDLE EAST PEACE PROCESS, PURSUANT TO 50 
                  U.S.C. 1641(c) AND 50 U.S.C. 1703(c)




  February 13, 1996.--Message and accompanying papers referred to the 
     Committee on International Relations and ordered to be printed
To the Congress of the United States:
    I hereby report to the Congress on the developments 
concerning the national emergency with respect to organizations 
that threaten to disrupt the Middle East peace process that was 
declared in Executive Order No. 12947 of January 23, 1995. This 
report is submitted pursuant to section 401(c) of the National 
Emergencies Act, 50 U.S.C. 1641(c), and section 204(c) of the 
International Emergency Economic Powers Act (IEEPA), 50 U.S.C. 
1703(c).
    1. On January 23, 1995, I signed Executive Order 12947, 
``Prohibiting Transactions with Terrorists Who Threaten to 
Disrupt the Middle East Peace Process'' (the ``order'') (60 
Fed. Reg. 5079, January 25, 1995). The order blocks all 
property subject to U.S. jurisdiction in which there is any 
interest of 12 terrorist organizations that threaten the Middle 
East peace process as identified in an Annex to the order. The 
order also blocks the property and interests in property 
subject to U.S. jurisdiction of persons designated by the 
Secretary of State, in coordination with the Secretary of the 
Treasury and the Attorney General, who are found (1) to have 
committed, or to pose a significant risk of committing, acts of 
violence that have the purpose or effect of disrupting the 
Middle East peace process, or (2) to assist in, sponsor or 
provide financial, material, or technological support for, or 
services in support of, such acts of violence. In addition, the 
order blocks all property and interests in property subject to 
U.S. jurisdiction in which there is any interest of persons 
determined by the Secretary of the Treasury, in coordination 
with the Secretary of State and the Attorney General, to be 
owned or controlled by, or to act for or on behalf of, any 
other person designated pursuant to the order (collectively 
``Specially Designated Terrorists'' or ``SDTs'').
    The order further prohibits any transaction or dealing by a 
United States person or within the United States in property or 
interests in property of SDTs, including the making or 
receiving of any contribution of funds, goods, or services to 
or for the benefit of such persons. This prohibition includes 
donations that are intended to relieve human suffering.
    Designations of persons blocked pursuant to the order are 
effective upon the date of determination by the Secretary of 
State or his delegate, or the Director of the Office of Foreign 
Assets Control (FAC) acting under authority delegated by the 
Secretary of the Treasury. Public notice of blocking is 
effective upon the date of filing with the Federal Register, or 
upon prior actual notice.
    2. On January 25, 1995, the Department of the Treasury 
issued a notice listing persons blocked pursuant to Executive 
Order No. 12947 who have been designated by the President as 
terrorist organizations threatening the Middle East peace 
process or who have been found to be owned or controlled by, or 
to be acting for or on behalf of, these terrorist organizations 
(60 Fed. Reg. 5084, January 25, 1995). The notice identified 31 
entities that act for or on behalf of the 12 Middle East 
terrorist organizations listed in the Annex to Executive Order 
No. 12947, as well as 18 individuals who are leaders or 
representatives of these groups. In addition the notice 
provides 9 name variations or pseudonyms used by the 18 
individuals identified. The list identifies blocked persons who 
have been found to have committed, or to pose a risk of 
committing, acts of violence that have the purpose of 
disrupting the Middle East peace process or to have assisted 
in, sponsored, or provided financial, material or technological 
support for, or service in support of, such acts of violence, 
or are owned or controlled by, or to act for or on behalf of 
other blocked persons. The Department of the Treasury issued 
three additional notices adding the names of three individuals, 
as well as their pseudonyms, to the List of SDTs (60 Fed. Reg. 
41152-53, August 11, 1995; 60 Fed. Reg. 44932-33, August 29, 
1995; and 60 Fed. Reg. 58435-36, November 27, 1995). Copies of 
the notices are attached to this report. The FAC, in 
coordination with the Secretary of State and the Attorney 
General, is continuing to expand the list of Specially 
Designated Terrorists, including both organizations and 
individuals, as additional information is developed.
    3. The expenses incurred by the Federal Government in the 
6-month period from July 23, 1995, through January 22, 1996, 
that are directly attributable to the exercise of powers and 
authorities conferred by the declaration of the national 
emergency with respect to organizations that disrupt the Middle 
East peace process are estimated at approximately $2.6 million. 
(The expenses for the previous period, incorrectly stated in 
the report of July 27, 1995, to be approximately $55,000, were 
about $2.5 million.) Personnel costs were largely centered in 
the Department of the Treasury (particularly in the Office of 
Foreign Assets Control, the Office of the General Counsel, and 
the U.S. Customs Service), the Department of State, and the 
Department of Justice.
    4. Executive Order No. 12947 provides this Administration 
with a new tool for combating fundraising in this country on 
behalf of organizations that use terror to undermine the Middle 
East peace process. The order makes it harder for such groups 
to finance these criminal activities by cutting off their 
access to sources of support in the United States and to U.S. 
financial facilities. It is also intended to reach charitable 
contributions to designated organizations and individuals to 
preclude diversion of such donations to terrorist activities.
    In addition, the Congress has pending before it 
comprehensive counterterrorism legislation proposed by the 
Administration that would strengthen our ability to prevent 
terrorist acts, identify those who carry them out, and bring 
them to justice. The combination of Executive Order No. 12947 
and the proposed legislation demonstrate the U.S. determination 
to confront and combat those who would seek to destroy the 
Middle East peace process, and our commitment to the global 
fight against terrorism.
    I shall continue to exercise the powers at my disposal to 
apply economic sanctions against extremists seeking to destroy 
the hopes of peaceful coexistence between Arabs and Israelis as 
long as these measures are appropriate, and will continue to 
report periodically to the Congress on significant developments 
pursuant to 50 U.S.C. 1703(c).
                                                William J. Clinton.
    The White House, February 9, 1996.

    
    
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