[House Document 107-64]
[From the U.S. Government Publishing Office]



                                     

107th Congress, 1st Session - - - - - - - - - - - - - House Document 107-64


 
                    NATIONAL EMERGENCY WITH RESPECT
                               TO SUDAN

                               __________

                                MESSAGE

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

  A 6-MONTH PERIODIC REPORT ON THE NATIONAL EMERGENCY WITH RESPECT TO 
 SUDAN THAT WAS DECLARED IN EXECUTIVE ORDER 13067 OF NOVEMBER 3, 1997, 
                     PURSUANT TO 50 U.S.C. 1641(c)




May 3, 2001.--Message and accompanying papers referred to the Committee 
          on International Relations and ordered to be printed
To the Congress of the United States:
    As required by 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), I 
transmit herewith a 6-month periodic report on the national 
emergency with respect to Sudan that was declared in Executive 
Order 13067 of November 3, 1997.

                                                    George W. Bush.
    The White House, May 2, 2001.
 President's Periodic Report on the National Emergency With Respect to 
                                 Sudan

    I hereby report to the Congress on developments over the 
course of the past six months concerning the national emergency 
with respect to Sudan that was declared in Executive Order 
13067 of November 3, 1997. This report is submitted pursuant to 
section 204(c) of the International Emergency Economic Powers 
Act, 50 U.S.C. 1703(c) (``IEEPA''), and section 401(c) of the 
National Emergencies Act, 50 U.S.C. 1641(c). This report 
discusses only matters concerning the national emergency with 
respect to Sudan that was declared in Executive Order 13067.
    1. There have been no amendments to the Sudanese Sanctions 
Regulations, 31 CFR Part 538, since the last report.
    2. Since the issuance of Executive Order 13067, the 
Department of the Treasury's Office of Foreign Assets Control 
(``OFAC'') has made numerous decisions with respect to 
applications for authorizations to engage in transactions under 
the Sudanese sanctions. As of March 12, 2001, OFAC, during the 
course of this program, has issued a total of 506 licenses as 
well as 132 authorizations to nongovernmental organizations 
engaged in the delivery of humanitarian aid. Sixty-four 
licenses were issued during the current reporting period. The 
majority of these licenses permitted the unblocking of 
financial transactions for individual remitters who 
inadvertently routed their funds through blocked Sudanese 
banks. Twenty-two licenses were issued authorizing commercial 
sales and exportation to Sudan of bulk agricultural 
commodities, food and agricultural products, medicine and 
medical equipment. Several requests to authorize commercial 
exports to Sudan--particularly of machinery and equipment for 
various industries--and the importation of Sudanese-origin 
goods were denied.
    3. Since the inception of the program, 126 entities have 
been designated by OFAC as being owned or controlled by the 
Government of Sudan, including 12 financial institutions. As of 
March 12, 2001, 85 transactions totaling more than $917,000 had 
been blocked during this reporting period. Under the 
Regulations, transactions in violation of these sanctions where 
there is no blockable interest of the Government of Sudan must 
be returned to remitters (``rejected''). During the reporting 
period, 476 transactions were rejected by U.S. banks causing a 
disruption of more than $36 million in business for Sudan.
    4. Since the last report, OFAC has collected twelve civil 
monetary penalties totaling nearly $63,000 for violations of 
IEEPA and the Regulations from five U.S. financial 
institutions, three carriers, and two companies. An additional 
40 cases are undergoing penalty action for violation of the 
Regulations and IEEPA. OFAC, in cooperation with the U.S. 
Customs Service, is closely monitoring potential violations of 
the prohibitions of the Regulations by businesses and 
individuals. Various reports of violations are being 
aggressively pursued.
    5. The expenses incurred by the Federal Government in the 
six-month period from November 3, 2000 through May 2, 2001, 
that are directly attributable to the exercise of powers and 
authorities conferred by the declaration of a national 
emergency with respect to Sudan are reported to be 
approximately $170,000, most of which represent wage and salary 
costs for Federal personnel. Personnel costs were largely 
centered in the Department of the Treasury (particularly in the 
Office of Foreign Assets Control, the U.S. Customs Service, the 
Office of the Under Secretary for Enforcement, and the Office 
of the General Counsel), the Department of State (particularly 
the Bureaus of Economic and Business Affairs, African Affairs, 
Near Eastern Affairs, Consular Affairs, and the Office of the 
Legal Adviser), and the Department of Commerce (the Bureau of 
Export Administration and the General Counsel's Office).
    6. The situation in Sudan continues to present an 
extraordinary and unusual threat to the national security and 
foreign policy of the United States. The declaration of the 
national emergency with respect to Sudan contained in Executive 
Order 13067 underscores the United States Government's 
opposition to the actions and policies of the Government of 
Sudan, particularly its support of international terrorism and 
its failures to respect basic human rights, including 
restrictions on religious freedom. The prohibitions contained 
in Executive Order 13067 advance important objectives in 
promoting the anti-terrorism and human rights policies of the 
United States. I shall exercise the powers at my disposal to 
deal with these problems and will continue to report 
periodically to the Congress on significant developments.

                                
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