[House Document 105-38]
[From the U.S. Government Publishing Office]



                                     

105th Congress, 1st Session - - - - - - - - - - - House Document 105-38


 
    DEVELOPMENTS CONCERNING THE NATIONAL EMERGENCY WITH RESPECT TO 
   TERRORISTS WHO THREATEN TO DISRUPT THE MIDDLE EAST PEACE PROCESS

                               __________

                             COMMUNICATION

                                  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 WITH RESPECT TO ORGANIZATIONS THAT DISRUPT THE MIDDLE EAST 
 PEACE PROCESS--RECEIVED IN THE UNITED STATES HOUSE OF REPRESENTATIVES 
 JANUARY 31, 1997, PURSUANT TO 50 U.S.C. 1641(c) AND 50 U.S.C. 1703(c)




February 5, 1997.--Referred to the Committee on International Relations 
                       and ordered to be printed


                                           The White House,
                                      Washington, January 28, 1997.

Hon. Newt Gingrich,
Speaker of the House of Representatives,
Washington, DC.
    Dear Mr. Speaker: I hereby report to the Congress on the 
developments concerning the national emergency with respect to 
terrorists who threaten to disrupt the Middle East peace 
process that was declared in Executive Order 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). Since the crisis with respect to 
the grave acts of violence committed by foreign terrorists that 
threaten the Middle East peace process has not been resolved, 
on January 21, 1997, I renewed this national emergency in 
accordance with section 202(d) of the National Emergencies Act 
(50 U.S.C. 1622(d)).
    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. 4079, 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 (OFAC) 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 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 
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, August 11, 1995; 60 Fed. Reg. 44932, 
August 29, 1995; and 60 Fed. Reg. 58435, November 27, 1995). 
The OFAC, 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. On February 2, 1996, the OFAC issued the Terrorism 
Sanctions Regulations (the ``TSRs'') (61 Fed. Reg. 3805, 
February 2, 1996). The TSRs implement the President's 
declaration of a national emergency and imposition of sanctions 
against certain person whose acts of violence have the purpose 
or effect of disrupting the Middle East peace process.
    4. The expenses incurred by the Federal Government in the 
6-month period from July 23, 1996, through January 22, 1997, 
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 $285,000.
    5. Executive Order 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 the 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, comprehensive counterterrorism legislation was 
enacted on April 24, 1996, 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 12947 
and the Antiterrorism and Effective Death Penalty Act of 1996 
demonstrate the United States 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 peacefull coexistence between Arabs and Israelis 
as long as these measures are appropriate, and will continue to 
report periodically to the Congress in significant developments 
pursuant to 50 U.S.C. 1703(c).
            Sincerely,
                                                William J. Clinton.

                            -O-
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