[House Document 112-46]
[From the U.S. Government Publishing Office]



112th Congress, 1st Session - - - - - - - - - - - - - House Document 112-46


 
 NOTIFICATION THAT AN EXECUTIVE ORDER WAS ISSUED DECLARING A NATIONAL 
  EMERGENCY WITH RESPECT TO THE UNUSUAL AND EXTRAORDINARY THREAT THAT 
         SIGNIFICANT TRANSNATIONAL CRIMINAL ORGANIZATIONS POSE

                               __________

                                MESSAGE

                                  from

                  THE PRESIDENT OF THE UNITED STATES

                              transmitting

 NOTIFICATION THAT AN EXECUTIVE ORDER WAS ISSUED DECLARING A NATIONAL 
  EMERGENCY WITH RESPECT TO THE UNUSUAL AND EXTRAORDINARY THREAT THAT 
 SIGNIFICANT TRANSNATIONAL CRIMINAL ORGANIZATIONS POSE TO THE NATIONAL 
SECURITY, FOREIGN POLICY, AND ECONOMY OF THE UNITED STATES, PURSUANT TO 
                         50 U.S.C. 1701 ET SEQ.




    July 26, 2011.--Message and accompanying papers referred to the 
         Committee on Foreign Affairs 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 (the ``order'') declaring a national 
emergency with respect to the unusual and extraordinary threat 
that significant transnational criminal organizations pose to 
the national security, foreign policy, and economy of the 
United States.
    Organized crime is no longer a local or regional problem; 
it has become a danger to international stability. Significant 
transnational criminal organizations have become increasingly 
sophisticated and dangerous to the United States, and their 
activities have reached such scope and gravity that they 
destabilize the international system. These groups have taken 
advantage of globalization and other factors to diversify their 
geographic scope and range of activities. They have increased 
and deepened their ties to governments and the international 
financial system, relying not only on bribery and violence, but 
also more and more on the ability to exploit differences among 
countries and to create and maintain legal facades to hide 
illicit activities.
    The specific harms that significant transnational criminal 
organizations threaten today are many. They corrupt--and in 
some cases co-opt--governments, thereby destabilizing them and 
weakening democratic institutions and the rule of law. They 
threaten U.S. economic interests by subverting, exploiting, and 
distorting legitimate markets, and could gain influence in 
strategic sectors of the world economy.
    Significant transnational criminal organizations that 
engage in cybercrime threaten sensitive public and private 
computer networks, undermine the integrity of the international 
financial system, and impose costs on the American consumer. 
Those that engage in the theft of intellectual property not 
only erode U.S. competitiveness, but also endanger the public 
health and safety through the distribution of tainted and 
counterfeit goods. Many of them also engage in drug 
trafficking.
    Finally, significant transnational criminal organizations 
increasingly support the activities of other dangerous persons. 
Some of these organizations are involved in arms smuggling, 
which can facilitate and aggravate violent civil conflicts. 
Others are involved in human smuggling, exacerbating the 
problem of forced labor. There is also evidence of growing ties 
between significant transnational criminal organizations and 
terrorists.
    The Executive Order I have issued today is one part of a 
comprehensive strategy to address the growing threat of 
transnational organized crime. The order targets significant 
transnational criminal organizations and the networks that 
support them, striking at the core of those networks--their 
ability and need to move money. It does this by blocking the 
property and interests in property of four transnational 
criminal organizations, listed in the Annex to the order, that 
currently pose significant threats to U.S. domestic and foreign 
economic interests, as well as to U.S. promotion of 
transparency and stability in the international political and 
financial systems. The order provides criteria for the further 
blocking of persons determined by the Secretary of the 
Treasury, in consultation with the Attorney General and the 
Secretary of State:
           to be a foreign person that constitutes a 
        significant transnational criminal organization;
           to have materially assisted, sponsored, or 
        provided financial, material, or technological support 
        for, or goods or services to or in support of, any 
        person whose property and interests in property are 
        blocked pursuant to the order; or
           to be owned or controlled by, or to have 
        acted or purported to act for or on behalf of, directly 
        or indirectly, any person whose property and interests 
        in property are blocked pursuant to the order.
    I have delegated to the Secretary of the Treasury the 
authority, in consultation with the Attorney General and the 
Secretary of State, 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 the order.
    The order is effective at 12:01 a.m. eastern daylight time 
on July 25, 2011. All executive agencies of the United States 
Government are directed to take all appropriate measures within 
their authority to carry out the provisions of the order.
    I am enclosing a copy of the Executive Order I have issued.

                                                      Barack Obama.
    The White House, July 24, 2011.
                            Executive Order

                              ----------                              


       Blocking Property of Transnational Criminal Organizations

    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.) (NEA), and section 301 of title 3, United 
States Code,
    I, BARACK OBAMA, President of the United States of America, 
find that the activities of significant transnational criminal 
organizations, such as those listed in the Annex to this order, 
have reached such scope and gravity that they threaten the 
stability of international political and economic systems. Such 
organizations are becoming increasingly sophisticated and 
dangerous to the United States; they are increasingly 
entrenched in the operations of foreign governments and the 
international financial system, thereby weakening democratic 
institutions, degrading the rule of law, and undermining 
economic markets. These organizations facilitate and aggravate 
violent civil conflicts and increasingly facilitate the 
activities of other dangerous persons. I therefore determine 
that significant transnational criminal organizations 
constitute an unusual and extraordinary threat to the national 
security, foreign policy, and economy of the United States, and 
hereby declare a national emergency to deal with that threat.
    Accordingly, I hereby order:
    Section 1. (a) All property and interests in property 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 any United States person, including any overseas 
branch, of the following 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 and
    (ii) any person determined by the Secretary of the 
Treasury, in consultation with the Attorney General and the 
Secretary of State:
    (A) to be a foreign person that constitutes a significant 
transnational criminal organization;
    (B) to have materially assisted, sponsored, or provided 
financial, material, or technological support for, or goods or 
services to or in support of, any person whose property and 
interests in property are blocked pursuant to this order; or
    (C) to be owned or controlled by, or to have acted or 
purported 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) I hereby determine that the making of donations of the 
types 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 this order, and I hereby 
prohibit such donations as provided by subsection (a) of this 
section.
    (c) The prohibitions in subsection (a) of this section 
include, but are 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.
    (d) The prohibitions in subsection (a) of this section 
apply except to the extent provided by statutes, 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.
    Sec. 2. (a) Any transaction by a United States person or 
within the United States that evades or avoids, has the purpose 
of evading or avoiding, causes a violation of, or attempts to 
violate any of the prohibitions set forth in this order is 
prohibited.
    (b) Any conspiracy formed to violate any of the 
prohibitions set forth in this order is prohibited.
    Sec. 3. For the 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;
    (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;
    (d) the term ``foreign person'' means any citizen or 
national of a foreign state, or any entity organized under the 
laws of a foreign state or existing in a foreign state, 
including any such individual or entity who is also a United 
States person; and
    (e) the term ``significant transnational criminal 
organization'' means a group of persons, such as those listed 
in the Annex to this order, that includes one or more foreign 
persons; that engages in an ongoing pattern of serious criminal 
activity involving the jurisdictions of at least two foreign 
states; and that threatens the national security, foreign 
policy, or economy of the United States.
    Sec. 4. For those persons whose property and interests in 
property are blocked pursuant to 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 
this order, there need be no prior notice of a listing or 
determination made pursuant to section 1(a) of this order.
    Sec. 5. The Secretary of the Treasury, in consultation with 
the Attorney General and 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.
    Sec. 6. The Secretary of the Treasury, in consultation with 
the Attorney General and the Secretary of State, is hereby 
authorized to submit the recurring and final reports to the 
Congress on the national emergency declared in this order, 
consistent with section 401(c) of the NEA (50 U.S.C. 1641(c)) 
and section 204(c) of IEEPA (50 U.S.C. 1703(c)).
    Sec. 7. The Secretary of the Treasury, in consultation with 
the Attorney General and the Secretary of State, is hereby 
authorized to determine that circumstances no longer warrant 
the blocking of the property and interests in property of a 
person listed in the Annex to this order, and to take necessary 
action to give effect to that determination.
    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, or entities, its officers, employees, or 
agents, or any other person.
    Sec. 9. This order is effective at 12:01 a.m. eastern 
daylight time on July 25, 2011.
                                                      Barack Obama.
    The White House, July 24, 2011.
                                 ANNEX

Entities
    1. THE BROTHERS' CIRCLE (f.k.a. FAMILY OF ELEVEN; f.k.a. 
THE TWENTY)
    2. CAMORRA
    3. YAKUZA (a.k.a. BORYOKUDAN; a.k.a. GOKUDO)
    4. LOS ZETAS

                                  
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