[House Document 109-38]
[From the U.S. Government Publishing Office]



                                     

109th Congress 1st Session - - - - - - - - - - - - - House Document 109-38

 
CONTINUATION OF THE NATIONAL EMERGENCY WITH RESPECT TO PROLIFERATION OF 
                     WMD AND THEIR DELIVERY SYSTEMS

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                             COMMUNICATION

                                  from

                     THEPRESIDENTOFTHEUNITEDSTATES

                              transmitting

  NOTIFICATION OF AN EXECUTIVE ORDER THAT TAKES ADDITIONAL STEPS WITH 
    RESPECT TO THE NATIONAL EMERGENCY DECLARED WITH RESPECT TO THE 
PROLIFERATION OF WEAPONS OF MASS DESTRUCTION AND THEIR DELIVERY SYSTEMS 
 DECLARED BY EXECUTIVE ORDER 12938 ON NOVEMBER 14, 1994, AS AMENDED BY 
 EXECUTIVE ORDER 13094 ON JULY 28, 1998, PURSUANT TO 50 U.S.C. 1622(d)




 July 11, 2005.--Referred to the Committee on International Relations 
                       and ordered to be printed


To the Congress of the United States:
    Pursuant to the International Emergency Economic Powers 
Act, 50 U.S.C. 1701 et seq. (IEEPA), I hereby report that I 
have issued an Executive Order that takes additional steps with 
respect to the national emergency declared in Executive Order 
12938 of November 14, 1994, regarding the proliferation of 
weapons of mass destruction (WMD) and the means of delivering 
them, and the measures imposed by that order, as expanded by 
Executive Order 13094 of July 28, 1998.
    This order is designed to combat WMD trafficking by 
blocking the property of persons that engage in proliferation 
activities and their support networks. It is intended to 
advance international cooperative efforts against WMD 
financing, including with our G-8 partners and through the 
Proliferation Security Initiative. This order also provides a 
model for other nations to follow in adopting laws to stem the 
flow of financial and other support for proliferation 
activities, as decided in United Nations Security Council 
Resolution 1540. It further implements a key recommendation of 
the Silberman-Robb WMD Commission.
    Executive Order 12938, as amended, authorizes the Secretary 
of State to impose certain measures against foreign persons 
(individuals or entities) determined to have materially 
contributed to the proliferation efforts of any foreign 
country, project, or entity of proliferation concern. The 
measures that the Secretary of State may choose to impose under 
Executive Order 12938, as amended, are a ban on U.S. Government 
procurement from the designated foreign person; a ban on U.S. 
Government assistance to the designated foreign person; and a 
ban on imports from the designated foreign person.
    Recognizing the need for additional tools to defeat the 
proliferation of WMD, I have signed the new order, which 
authorizes the imposition of a new measure--blocking--against 
WMD proliferators and their support networks. This action, 
sometimes referred to as freezing, will apply to property and 
interests in property of persons designated under the order and 
will deny such persons access to the U.S. financial and 
commercial systems. Modeled after Executive Order 13224 of 
September 23, 2001, the new order provides broad new 
authorities to target not only persons engaged in proliferation 
activities, but also those providing support or services to 
such proliferators.
    In particular, the order blocks the property and interests 
in property in the United States, or in the possession or 
control of United States persons, of (1) the persons listed in 
the Annex to the order; (2) any foreign person determined by 
the Secretary of State, in consultation with the Secretary of 
the Treasury, the Attorney General, and other relevant 
agencies, to have engaged, or attempted to engage, in 
activities or transactions that have materially contributed to, 
or pose a risk of materially contributing to, the proliferation 
of WMD or their means of delivery (including missiles capable 
of delivering such weapons) by any person or foreign country of 
proliferation concern; (3) any person determined by the 
Secretary of the Treasury, in consultation with the Secretary 
of State, the Attorney General, and other relevant agencies, to 
have provided, or attempted to provide, financial, material, 
technological, or other support for, or goods or services in 
support of, proliferation-related activities or any person 
blocked pursuant to the order; and (4) any person determined by 
the Secretary of the Treasury, in consultation with the 
Secretary of State, the Attorney General, and other relevant 
agencies, to be owned or controlled by, or acting or purporting 
to act for or on behalf of, directly or indirectly, any blocked 
person.
    In addition, the order amends section 4(a) of Executive 
Order 12938, as amended, by conforming the criteria for 
determining that a foreign person has engaged in activity 
described in that order to the criteria for designations by the 
Secretary of State set forth in section 1(a)(ii) of the new 
order. Executive Order 12938, as amended, will continue to be 
an important tool to combat WMD proliferation.
    Actions taken under the order become effective on June 29, 
2005. The new order recognizes the need for more robust tools 
to defeat the proliferation of WMD around the world. The steps 
that we are undertaking in this new order form yet another part 
of our evolving response to this challenge.

                                                    George W. Bush.
    The White House, June 28, 2005.
                            Executive Order

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  Blocking Property of Weapons of Mass Destruction Proliferators and 
                            Their Supporters

    By the authority vested in me as President by the 
Constitution and the laws of the United States of America, 
including the International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) (IEEPA), the National Emergencies Act (50 
U.S.C. 1601 et seq.), and section 301 of title 3, United States 
Code,
    I, George W. Bush, President of the United States of 
America, in order to take additional steps with respect to the 
national emergency described and declared in Executive Order 
12938 of November 14, 1994, regarding the proliferation of 
weapons of mass destruction and the means of delivering them, 
and the measures imposed by that order, as expanded by 
Executive Order 13094 of July 28, 1998, hereby order:
    Section 1. (a) Except to the extent provided in section 
203(b)(1), (3), and (4) of IEEPA (50 U.S.C. 1702(b)(1), (3), 
and (4)), or in regulations, orders, directives, or licenses 
that may be issued pursuant to this order, and notwithstanding 
any contract entered into or any license or permit granted 
prior to the effective date of this order, all property and 
interests in property of the following persons, that are in the 
United States, that hereafter come within the United States, or 
that are or hereafter come within the possession or control of 
United States persons, are blocked and may not be transferred, 
paid, exported, withdrawn, or otherwise dealt in:
          (i) the persons listed in the Annex to this order;
          (ii) any foreign person determined by the Secretary 
        of State, in consultation with the Secretary of the 
        Treasury, the Attorney General, and other relevant 
        agencies, to have engaged, or attempted to engage, in 
        activities or transactions that have materially 
        contributed to, or pose a risk of materially 
        contributing to, the proliferation of weapons of mass 
        destruction or their means of delivery (including 
        missiles capable of delivering such weapons), including 
        any efforts to manufacture, acquire, possess, develop, 
        transport, transfer or use such items, by any person or 
        foreign country of proliferation concern; (iii) any 
        person determined by the Secretary of the Treasury, in 
        consultation with the Secretary of State, the Attorney 
        General, and other relevant agencies, to have provided, 
        or attempted to provide, financial, material, 
        technological or other support for, or goods or 
        services in support of, any activity or transaction 
        described in paragraph (a)(ii) of this section, or any 
        person whose property and interests in property are 
        blocked pursuant to this order; and (iv) any person 
        determined by the Secretary of the Treasury, in 
        consultation with the Secretary of State, the Attorney 
        General, and other relevant agencies, to be owned or 
        controlled by, or acting or purporting to act for or on 
        behalf of, directly or indirectly, any person whose 
        property and interests in property are blocked pursuant 
        to this order.
    (b) Any transaction or dealing by a United States person or 
within the United States in property or interests in property 
blocked pursuant to this order is prohibited, including, but 
not limited to, (i) the making of any contribution or provision 
of funds, goods, or services by, to, or for the benefit of, any 
person whose property and interests in property are blocked 
pursuant to this order, and (ii) the receipt of any 
contribution or provision of funds, goods, or services from any 
such person.
    (c) Any transaction by a United States person or within the 
United States that evades or avoids, has the purpose of evading 
or avoiding, or attempts to violate any of the prohibitions set 
forth in this order is prohibited.
    (d) Any conspiracy formed to violate the prohibitions set 
forth in this order is prohibited.
    Sec. 2. For purposes of this order:
    (a) the term ``person'' means an individual or entity;
    (b) the term ``entity'' means a partnership, association, 
trust, joint venture, corporation, group, subgroup, or other 
organization; and
    (c) the term ``United States person'' means any United 
States citizen, permanent resident alien, entity organized 
under the laws of the United States or any jurisdiction within 
the United States (including foreign branches), or any person 
in the United States.
    Sec. 3. I hereby determine that the making of donations of 
the type of articles specified in section 203(b)(2) of IEEPA 
(50 U.S.C. 1702(b)(2)) by, to, or for the benefit of, any 
person whose property and interests in property are blocked 
pursuant to this order would seriously impair my ability to 
deal with the national emergency declared in Executive Order 
12938, and I hereby prohibit such donations as provided by 
section 1 of this order.
    Sec. 4. Section 4(a) of Executive Order 12938, as amended, 
is further amended to read as follows:
    ``Sec. 4 Measures Against Foreign Persons.
    (a) Determination by Secretary of State; Imposition of 
Measures. Except to the extent provided in section 203(b) of 
the International Emergency Economic Powers Act (50 U.S.C. 
1702(b)), where applicable, if the Secretary of State, in 
consultation with the Secretary of the Treasury, determines 
that a foreign person, on or after November 16, 1990, the 
effective date of Executive Order 12735, the predecessor order 
to Executive Order 12938, has engaged, or attempted to engage, 
in activities or transactions that have materially contributed 
to, or pose a risk of materially contributing to, the 
proliferation of weapons of mass destruction or their means of 
delivery (including missiles capable of delivering such 
weapons), including any efforts to manufacture, acquire, 
possess, develop, transport, transfer, or use such items, by 
any person or foreign country of proliferation concern, the 
measures set forth in subsections (b), (c), and (d) of this 
section shall be imposed on that foreign person to the extent 
determined by the Secretary of State, in consultation with the 
implementing agency and other relevant agencies. Nothing in 
this section is intended to preclude the imposition on that 
foreign person of other measures or sanctions available under 
this order or under other authorities.''
    Sec. 5. For those persons whose property and interests in 
property are blocked pursuant to section 1 of this order who 
might have a constitutional presence in the United States, I 
find that because of the ability to transfer funds or other 
assets instantaneously, prior notice to such persons of 
measures to be taken pursuant to this order would render these 
measures ineffectual. I therefore determine that for these 
measures to be effective in addressing the national emergency 
declared in Executive Order 12938, as amended, there need be no 
prior notice of a listing or determination made pursuant to 
section 1 of this order.
    Sec. 6. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to take such 
actions, including the promulgation of rules and regulations, 
and to employ all powers granted to the President by IEEPA as 
may be necessary to carry out the purposes of this order. The 
Secretary of the Treasury may redelegate any of these functions 
to other officers and agencies of the United States Government, 
consistent with applicable law. All agencies of the United 
States Government are hereby directed to take all appropriate 
measures within their authority to carry out the provisions of 
this order and, where appropriate, to advise the Secretary of 
the Treasury in a timely manner of the measures taken.
    Sec. 7. The Secretary of the Treasury, in consultation with 
the Secretary of State, is hereby authorized to determine, 
subsequent to the issuance of this order, that circumstances no 
longer warrant the inclusion of a person in the Annex to this 
order and that the property and interests in property of that 
person are therefore no longer blocked pursuant to section 1 of 
this order.
    Sec. 8. This order is not intended to, and does not, create 
any right or benefit, substantive or procedural, enforceable at 
law or in equity by any party against the United States, its 
departments, agencies, instrumentalities, or entities, its 
officers or employees, or any other person.
    Sec. 9. (a) This order is effective at 12:01 a.m. eastern 
daylight time on June 29, 2005.
    (b) This order shall be transmitted to the Congress and 
published in the Federal Register.

                                                    George W. Bush.
    The White House, June 28, 2005.

                                 ANNEX

Korea Mining Development Trading Corporation
Tanchon Commercial Bank
Korea Ryonbong General Corporation
Aerospace Industries Organization
Shahid Hemmat Industrial Group
Shahid Bakeri Industrial Group
Atomic Energy Organization of Iran
Scientific Studies and Research Center

                                  
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