[Federal Register Volume 60, Number 175 (Monday, September 11, 1995)]
[Rules and Regulations]
[Pages 47061-47074]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-22387]



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DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control

31 CFR Part 560


Iranian Transactions Regulations; Implementation of Executive 
Orders 12957 and 12959

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Final rule; amendments.

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SUMMARY: The Office of Foreign Assets Control of the U.S. Department of 
the Treasury is amending the Iranian Transactions Regulations to 
implement the President's declaration of national emergency and 
imposition of sanctions against Iran.

EFFECTIVE DATE: September 6, 1995.

FOR FURTHER INFORMATION CONTACT: Regarding the issuance of licenses, 
Steven I. Pinter, Chief, Licensing Division (tel.: 202/622-2480); 
regarding banking and compliance questions, Dennis P. Wood, Chief, 
Compliance Programs Division (tel.: 202/622-2490); regarding Iranian 
government entities, J. Robert McBrien, Chief, International Programs 
Division (tel.: 202/622-2420); regarding legal questions, William B. 
Hoffman, Chief Counsel (tel.: 202/622-2410); Office of Foreign Assets 
Control, Department of the Treasury, Washington, D.C. 20220.

SUPPLEMENTARY INFORMATION:

Electronic Availability

    This document is available as an electronic file on The Federal 
Bulletin Board the day of publication in the Federal Register. By modem 
dial 202/512-1387 and type ``/GO FAC'' or call 

[[Page 47062]]
202/515-1530 for disks or paper copies. This file is available in 
WordPerfect 5.1, ASCII, and Adobe AcrobatTM readable (*.PDF) 
formats.

Background

    In Executive Order 12613 of October 29, 1987 (3 CFR, 1987 Comp., p. 
256, 52 FR 41940), President Reagan imposed import sanctions against 
Iran, invoking the authority, inter alia, of section 505 of the 
International Security and Development Cooperation Act of 1985, 22 
U.S.C. 2349aa-9 (``ISDCA''). In Executive Order 12957 of March 15, 1995 
(60 FR 14615, March 17, 1995), President Clinton declared a national 
emergency with respect to the actions and policies of the Government of 
Iran and imposed additional sanctions against Iran, invoking the 
authority, inter alia, of the International Emergency Economic Powers 
Act, 50 U.S.C. 1701-06 (``IEEPA''). The President substantially 
supplemented and amended the sanctions in those orders in Executive 
Order 12959 of May 6, 1995 (60 FR 24757, May 9, 1995), invoking the 
authority, inter alia, of IEEPA and ISDCA. In the Executive orders, the 
President authorized the Secretary of the Treasury, in consultation 
with the Secretary of State, to take such actions, including the 
promulgation of rules and regulations, as might be necessary to carry 
out the purposes of those orders. In implementation of these orders, 
the Office of Foreign Assets Control is amending in their entirety the 
Iranian Transactions Regulations (as amended, the ``Regulations'').
    The Regulations continue the prohibitions previously contained in 
31 CFR part 560 concerning the importation into the United States, or 
the financing of such importation, of any goods or services of Iranian 
origin. The Regulations also expand the prohibitions to (a) the 
exportation from the United States to Iran or the Government of Iran, 
or the financing of such exportation, of any goods, technology, or 
services; (b) the reexportation to Iran of certain goods and technology 
of U.S. origin; (c) any transaction by a United States person relating 
to goods or services of Iranian origin or owned or controlled by the 
Government of Iran; (d) any new investment by a United States person in 
Iran or in property owned or controlled by the Government of Iran; (e) 
the approval or facilitation by a United States person of the entry 
into or performance by a foreign entity owned or controlled by a United 
States person of a transaction or contract if the United States person 
is prohibited from engaging directly in such activity; and (f) any 
transaction by any United States person or within the United States 
that evades or avoids, or attempts to violate, these prohibitions.
    All General Licenses and General Notices issued by the Office of 
Foreign Assets Control prior to September 11, 1995 (see 60 FR 40881, 
Aug. 10, 1995), may continue to be relied on to validate actions prior 
to this date during the period of their validity. Specific licenses 
issued by OFAC prior to this date continue in effect according to their 
terms unless modified by the Office of Foreign Assets Control. 
Authorizations contained in General Licenses issued prior to 
publication of the Regulations can now be found in the following 
sections.


------------------------------------------------------------------------
 General License No.       Date of Issuance        Regulations Section  
------------------------------------------------------------------------
 1...................  05/19/95                  560.515                
 2...................  06/01/95                  560.516                
 3...................  06/01/95                  560.517                
 4...................  06/13/95                  560.518, 560.524       
 5...................  06/14/95                  560.210, 560.523       
 6...................  06/14/95                  560.521                
 7...................  06/14/95                  560.519                
 8...................  06/14/95                  560.520                
 9...................  06/14/95                  560.512                
 10..................  06/14/95                  560.510                
 11..................  07/21/95                  560.524                
 12..................  07/21/95                  560.525                
------------------------------------------------------------------------


    Transactions otherwise prohibited by this part may be authorized by 
a general license contained in subpart E or by a specific license 
issued pursuant to the procedures described in Sec. 560.801 of subpart 
H.
    The following sections contained in part 560 are removed and 
reserved and are no longer in force: Secs. 560.202, 560.302, 560.309, 
560.403, 560.404, 560.405, 560.409, 560.503, 560.504, 560.511, and 
560.514.
    Because the Regulations involve a foreign affairs function, 
Executive Order 12866 and the provisions of the Administrative 
Procedure Act, 5 U.S.C. 553, requiring notice of proposed rulemaking, 
opportunity for public participation, and delay in effective date, are 
inapplicable. Because no notice of proposed rulemaking is required for 
this rule, the Regulatory Flexibility Act, 5 U.S.C. 601-612, does not 
apply. Wherever possible, however, it is the practice of the Office of 
Foreign Assets Control to receive written submissions or hold informal 
consultations with interested parties concerning any rule or other 
public document.
    The collection of information requirements contained in Secs.  
560.601, 560.602, and 560.801 have been previously approved by the 
Office of Management and Budget (``OMB'') and assigned control number 
1505-0106. Because the Regulations are being issued without prior 
notice and public procedures pursuant to the Administrative Procedure 
Act, the collection of information requirements contained in 
Secs. 560.603 and 560.704 are being submitted to OMB under the 
Paperwork Reduction Act of 1980, 44 U.S.C. 3501-3520. Comments 
concerning the collection of information and the accuracy of estimated 
average annual burden, and suggestions for reducing this burden should 
be directed to OMB, Paperwork Reduction Project (1505--0106), 
Washington, DC 20503, with copies to the Office of Foreign Assets 
Control, Department of the Treasury, 1500 Pennsylvania Ave., N.W.--
Annex, Washington, DC 20220. Notice of OMB action on these requests 
will be published in the Federal Register.
    This collection of information is required by the Office of Foreign 
Assets Control for licensing, compliance, civil penalty, and 
enforcement purposes. This information will be used to determine the 
eligibility of applicants for the benefits provided through specific 
licenses, to determine whether persons subject to the Regulations are 
in compliance with applicable requirements, and to determine whether 
and to what extent civil penalty or other enforcement action is 
appropriate. The likely respondents and recordkeepers are individuals 
and business organizations.
    Estimated total annual reporting and/or recordkeeping burden: 1000 
hours.
    The estimated annual burden per respondent/recordkeeper varies from 
30 minutes to ten hours, depending on the individual circumstances, 
with an estimated average of 2 hours.
    Estimated number of respondents and/or recordkeepers: 500.
    Estimated annual frequency of responses: 1 to 4.

List of Subjects in 31 CFR Part 560

    Administrative practice and procedure, Agricultural commodities, 
Banking and finance, Exports, Foreign trade, Imports, Information, 
Investments, Iran, Loans, Penalties, Reporting and recordkeeping 
requirements, Services, Specially designated nationals, Transportation.
    For the reasons set forth in the preamble, 31 CFR part 560 is 
revised to read as follows:

[[Page 47063]]


PART 560--IRANIAN TRANSACTIONS REGULATIONS

    Authority: 50 U.S.C. 1701-1706; 50 U.S.C. 1601-1651; 22 U.S.C. 
2349aa-9; 3 U.S.C. 301; E.O. 12613, 52 FR 41940, 3 CFR, 1987 Comp., 
p. 256; E.O. 12957, 60 FR 14615, March 17, 1995; E.O. 12959, 60 FR 
24757, May 9, 1995.

Subpart A--Relation of This Part to Other Laws and Regulations

Sec.
560.101 Relation of this part to other laws and regulations.

Subpart B--Prohibitions

560.201 Prohibited importation of goods and services from Iran.
560.202 [Reserved]
560.203 Evasions; attempts.
560.204 Prohibited exportation of goods, technology, and services to 
Iran.
560.205 Prohibited reexportation of goods and technology to Iran.
560.206 Prohibited transactions related to Iranian-origin goods or 
services.
560.207 Prohibited investment.
560.208 Prohibited approval or facilitation.
560.209 Prohibited transactions with respect to the development of 
Iranian petroleum resources.
560.210 Exempt transactions.

Subpart C--General Definitions

560.301 Effective date.
560.302 [Reserved]
560.303 Iran; Iranian.
560.304 Government of Iran.
560.305 Person; entity.
560.306 Iranian-origin goods and services.
560.307 United States.
560.308 Importation.
560.309 [Reserved]
560.310 License.
560.311 General license.
560.312 Specific license.
560.313 Entity owned or controlled by the Government of Iran.
560.314 United States person.
560.315 Information or informational materials.
560.516 New investment.
560.317 Credits or loans.
560.318 Technology.
560.319 United States depository institution.
560.320 Iranian accounts.

Subpart D--Interpretations

560.401 Reference to amended sections.
560.402 Effect of amendment.
560.403 [Reserved]
560.404 [Reserved]
560.405 [Reserved]
560.406 Transshipments prohibited.
560.407 Transactions related to Iranian-origin goods.
560.408 Importation into and release from a bonded warehouse or 
foreign trade zone.
560.409 [Reserved]
560.410 Exportation of services.
560.411 Offshore transactions in Iranian-origin goods and services.
560.412 Extensions of credits or loans to Iran.
560.413 Letter of credit payments by Iranian banks in the United 
States.
560.414 Exports to third countries; reexports.

Subpart E--Licenses, Authorizations and Statements of Licensing Policy

560.501 Effect of license or authorization.
560.502 Exclusion from licenses and authorizations.
560.503 [Reserved]
560.504 [Reserved]
560.505 Certain services relating to participation in various events 
authorized.
560.506 Importation and exportation of certain gifts authorized.
560.507 Accompanied baggage authorized.
560.508 Telecommunications and mail transactions authorized.
560.509 Certain transactions related to patents, trademarks and 
copyrights authorized.
560.510 Transactions related to the resolution of disputes between 
the United States or United States nationals and the Government of 
Iran.
560.511 [Reserved]
560.512 Iranian Government missions in the United States.
560.513 Importation of Iranian-origin oil.
560.514 [Reserved]
560.515 30-day delayed effective date for pre-May 7, 1995 trade 
contracts involving Iran.
560.516 Payment and United States dollar clearing transactions 
involving Iran.
560.517 Exportation of services: Iranian accounts at United States 
depository institutions.
560.518 Transactions in Iranian-origin and Iranian Government 
property.
560.519 Policy governing news organization offices.
560.520 Exportation of agricultural commodities.
560.521 Diplomatic pouches.
560.522 Allowable payments for overflights of Iranian airspace.
560.523 Importation of information and informational materials.
560.524 Household goods and personal effects.
560.525 Exportation of certain legal services.
560.526 Commodities trading and related transactions.
560.527 Rescheduling existing loans.
560.528 Aircraft safety.

Subpart F--Reports

560.601 Required records.
560.602 Reports to be furnished on demand.
560.603 Reports on oil transactions engaged in by foreign 
affiliates.

Subpart G--Penalties

560.701 Penalties.
560.702 Detention of shipments.
560.703 Prepenalty notice.
560.704 Presentation responding to prepenalty notice.
560.705 Penalty notice.
560.706 Referral for administrative collection measures or to United 
States Department of Justice.

Subpart H--Procedures

560.801 Licensing.
560.802 Decisions.
560.803 Amendment, modification, or revocation.
560.804 Rulemaking.
560.805 Delegation by the Secretary of the Treasury.
560.806 Customs procedures: Goods specified in Sec. 560.201.
560.807 Rules governing availability of information.

Subpart I--Paperwork Reduction Act

560.901 Paperwork Reduction Act notice.

Subpart A--Relation of This Part to Other Laws and Regulations


Sec. 560.101  Relation of this part to other laws and regulations.

    (a) This part is separate from, and independent of, the other parts 
of this chapter, including part 535, ``Iranian Assets Control 
Regulations.'' No license or authorization contained in or issued 
pursuant to those other parts authorizes any transaction prohibited by 
this part. No license or authorization contained in or issued pursuant 
to any other provision of law or regulations authorizes any transaction 
prohibited by this part.
    (b) No license or authorization contained in or issued pursuant to 
this part relieves the involved parties from complying with any other 
applicable laws or regulations.

Subpart B--Prohibitions


Sec. 560.201  Prohibited importation of goods and services from Iran.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, the 
importation into the United States, or the financing of such 
importation, of any goods or services of Iranian origin, other than 
Iranian-origin publications and materials imported for news 
publications or news broadcast dissemination, is prohibited.


Sec. 560.202  [Reserved]


Sec. 560.203  Evasions; attempts.

    Any transaction by any United States person or within the United 
States that evades or avoids, or has the purpose of evading or 
avoiding, or attempts to violate, any of the prohibitions contained in 
this part is hereby prohibited.


Sec. 560.204  Prohibited exportation of goods, technology, and services 
to Iran.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, the 
exportation from the United States to Iran or the Government of Iran, 
or the financing of such exportation, of any goods, technology, or 
services is prohibited. 

[[Page 47064]]



Sec. 560.205  Prohibited reexportation of goods and technology to Iran.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, the 
reexportation to Iran or the Government of Iran of any goods or 
technology exported from the United States, the exportation of which to 
Iran was subject to export license application requirements under any 
United States regulations in effect immediately prior to May 6, 1995, 
is prohibited, unless the reexportation is of goods that have been 
substantially transformed outside the United States, or incorporated 
into another product outside the United States and constitute less than 
10 percent by value of that product exported from a third country.


Sec. 560.206  Prohibited transactions related to Iranian-origin goods 
or services.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, any 
transaction, including purchase, sale, transportation, swap, financing, 
or brokering transactions, by a United States person relating to goods 
or services of Iranian origin or owned or controlled by the Government 
of Iran is prohibited.


Sec. 560.207  Prohibited investment.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, any 
new investment by a United States person in Iran or in property 
(including entities) owned or controlled by the Government of Iran is 
prohibited.


Sec. 560.208  Prohibited approval or facilitation.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to May 7, 1995, the 
approval or facilitation by a United States person of the entry into or 
performance by an entity owned or controlled by a United States person 
of a transaction or contract prohibited as to United States persons by 
Secs. 560.205, 560.206, and 560.207, or relating to the financing of 
activities prohibited as to United States persons by those sections, or 
of a guaranty of another person's performance of such transaction or 
contract, is prohibited.


Sec. 560.209  Prohibited transactions with respect to the development 
of Iranian petroleum resources.

    Except as otherwise authorized, and notwithstanding any contract 
entered into or any license or permit granted prior to March 16, 1995, 
the following are prohibited:
    (a) The entry into or performance by a United States person, or the 
approval by a United States person of the entry into or performance by 
an entity owned or controlled by a United States person, of:
    (1) A contract that includes overall supervision and management 
responsibility for the development of petroleum resources located in 
Iran, or
    (2) A guaranty of another person's performance under such contract; 
or
    (b) The entry into or performance by a United States person, or the 
approval by a United States person of the entry into or performance by 
an entity owned or controlled by a United States person, of
    (1) A contract for the financing of the development of petroleum 
resources located in Iran, or
    (2) A guaranty of another person's performance under such a 
contract.


Sec. 560.210  Exempt transactions.

    (a) Personal communications. The prohibitions of Secs. 560.204 and 
560.206 do not apply to any postal, telegraphic, telephonic, or other 
personal communication, which does not involve the transfer of anything 
of value.
    (b) Humanitarian donations. The prohibitions of Secs. 560.204 and 
560.206 do not apply to donations by United States persons of articles, 
such as food, clothing, and medicine, intended to be used to relieve 
human suffering.
    (c) Information and informational materials.
    (1) The prohibitions of Secs. 560.204 and 560.206 do not apply to 
the exportation from the United States to Iran of information and 
informational materials, as defined in Sec. 560.315, whether commercial 
or otherwise, regardless of format or medium of transmission, or any 
transaction of common carriers incident to such exportation.
    (2) Paragraph (c)(1) of this section does not authorize 
transactions related to information and informational materials not 
fully created and in existence at the date of the transaction, or to 
the substantive or artistic alteration or enhancement of information or 
informational materials, or the provision of marketing and business 
consulting services by a United States person. Such prohibited 
transactions include, without limitation, payment of advances for 
information or informational materials not yet created and completed, 
and provision of services to market, produce or co-produce, create or 
assist in the creation of information or informational materials.
    (3) Paragraph (c)(1) does not authorize transactions incident to 
the exportation of restricted technical data as defined in part 779 of 
the Export Administration Regulations, 15 CFR part 779, or to the 
exportation of goods for use in the transmission of any data. The 
exportation of such goods to Iran is prohibited, as provided in 
Sec. 560.204.
    (d) Travel. The prohibitions contained in this part do not apply to 
transactions ordinarily incident to travel to or from any country, 
including importation of accompanied baggage for personal use, 
maintenance within any country including payment of living expenses and 
acquisition of goods or services for personal use, and arrangement or 
facilitation of such travel including nonscheduled air, sea, or land 
voyages. This exemption extends to transactions with Iranian carriers 
and those involving group tours and payments in Iran made with cash or 
traveler's checks for transactions incident to personal travel. The use 
of currency drafts, charge, debit, or credit cards is not permitted.
    (e) Letters of Credit. Letters of credit and other financing 
agreements with respect to trade contracts in force as of May 6, 1995, 
may be performed pursuant to their terms with respect to underlying 
trade transactions occurring prior to 12:01 a.m. EDT, June 6, 1995. See 
Sec. 560.413.

Subpart C--General Definitions


Sec. 560.301  Effective date.

    The term ``effective date'' means:
    (a) 12:01 p.m., Eastern Standard Time, October 29, 1987, for all 
prohibitions set forth in Sec. 560.201.
    (b) 12:01 a.m., Eastern Daylight Time, June 6, 1995, for all 
prohibitions set forth in Secs. 560.204, 560.205, and 560.206 with 
respect to trade transactions based on contracts in force as of May 6, 
1995, and which were authorized pursuant to federal regulations in 
force immediately prior to May 6, 1995.
    (c) 12:01 a.m., Eastern Standard Time, March 16, 1995, for all 
prohibitions set forth in Sec. 560.209 and the prohibitions set forth 
in Sec. 560.203 as they apply to the prohibitions set forth in 
Sec. 560.209.
    (d) 12:01 a.m., Eastern Daylight Time, May 7, 1995, for all other 
prohibitions contained in this part.


Sec. 560.302  [Reserved]


Sec. 560.303  Iran; Iranian.

    The term ``Iran'' means the territory of Iran, and any other 
territory or marine area, including the exclusive economic zone and 
continental shelf, over which the Government of Iran claims 
sovereignty, sovereign rights or jurisdiction, provided that the 

[[Page 47065]]
Government of Iran exercises partial or total de facto control over the 
area or derives a benefit from economic activity in the area pursuant 
to an international agreement. The term ``Iranian'' means pertaining to 
Iran as defined in this section.


Sec. 560.304  Government of Iran.

    The term ``Government of Iran'' includes:
    (a) The state and the Government of Iran, as well as any political 
subdivision, agency, or instrumentality thereof;
    (b) Any entity owned or controlled directly or indirectly by the 
foregoing;
    (c) Any person to the extent that such person is, or has been, or 
to the extent that there is reasonable cause to believe that such 
person is, or has been, since the applicable effective date, acting or 
purporting to act directly or indirectly on behalf of any of the 
foregoing; and
    (d) Any person or entity designated by the Secretary of the 
Treasury as included within paragraphs (a) through (c) of this section.


Sec. 560.305  Person; entity.

    (a) The term ``person'' means an individual or entity.
    (b) The term ``entity'' means a partnership, association, trust, 
joint venture, corporation or other organization.


Sec. 560.306  Iranian-origin goods and services.

    (a) The term ``goods or services of Iranian origin'' includes:
    (1) Goods grown, produced, manufactured, extracted, or processed in 
Iran;
    (2) Goods which have entered into Iranian commerce; and
    (3) Services performed in Iran or by the Government of Iran, as 
defined in Sec. 560.304.
    (b) The term ``services of Iranian origin'' does not include:
    (1) Diplomatic and consular services performed by or on behalf of 
the Government of Iran;
    (2) Diplomatic and consular services performed by or on behalf of 
the Government of the United States; or
    (3) Services provided in the United States by an Iranian national 
resident in the United States.


Sec. 560.307  United States.

    The term ``United States'' means the United States, including its 
territories and possessions.


Sec. 560.308  Importation.

    The term ``importation'' means the bringing of any goods into the 
United States, except that in the case of goods transported by vessel, 
``importation'' means the bringing of any goods into the United States 
with the intent to unlade them.


Sec. 560.309  [Reserved]


Sec. 560.310  License.

    Except as otherwise specified, the term ``license'' means any 
license or authorization contained in or issued pursuant to this part.


Sec. 560.311  General license.

    The term ``general license'' means any license or authorization the 
terms of which are set forth in this part.


Sec. 560.312  Specific license.

    The term ``specific license'' means any license or authorization 
not set forth in this part but issued pursuant to this part.


Sec. 560.313  Entity owned or controlled by the Government of Iran.

    The term ``entity owned or controlled by the Government of Iran'' 
includes any corporation, partnership, association, or other entity in 
which the Government of Iran owns a majority or controlling interest, 
and any entity which is otherwise controlled by that government.


Sec. 560.314  United States person.

    The term ``United States person'' means any United States citizen, 
permanent resident alien, entity organized under the laws of the United 
States (including foreign branches), or any person in the United 
States.


Sec. 560.315  Information or informational materials.

    (a) The term ``information'' or ``informational materials'' 
includes, without limitation:
    (1) Publications, films, posters, phonograph records, photographs, 
microfilms, microfiche, tapes, compact disks, CD ROMs, artworks, and 
news wire feeds.
    (2) To be considered ``information'' or ``informational 
materials'', artworks must be classified under chapter subheading 9701, 
9702, or 9703 of the Harmonized Tariff Schedule of the United States.
    (b) The term ``information'' and ``informational materials'' with 
respect to United States exports does not include items:
    (1) That were, as of April 30, 1994, controlled for export pursuant 
to section 5 of the Export Administration Act of 1979, 50 U.S.C. App. 
2401-2420 (the ``EAA''), or section 6 of the EAA to the extent that 
such controls promote the nonproliferation or antiterrorism policies of 
the United States, including ``software'' that is not ``publicly 
available'' as these terms are defined in 15 CFR parts 779 and 799.1; 
or
    (2) With respect to which acts are prohibited by 18 U.S.C. chapter 
37.


Sec. 560.316  New investment.

    The term ``new investment'' means a transaction after 12:01 EDT, 
May 7, 1995, that constitutes:
    (a) A commitment or contribution of funds or other assets; or
    (b) A loan or other extension of credit, as defined in 
Sec. 560.317.


Sec. 560.317  Credits or loans.

    The term ``credits'' or ``loans'' means any transfer or extension 
of funds or credit on the basis of an obligation to repay, or any 
assumption or guarantee of the obligation of another to repay an 
extension of funds or credit, including but not limited to: overdrafts; 
currency swaps; purchases of debt securities issued by the Government 
of Iran; purchases of a loan made by another person; sales of financial 
assets subject to an agreement to repurchase; renewals or refinancings 
whereby funds or credits are transferred to or extended to a prohibited 
borrower or prohibited recipient; the issuance of standby letters of 
credit; and drawdowns on existing lines of credit.


Sec. 560.318  Technology.

    For purposes of Secs. 560.204 and 560.205, the term ``technology'' 
includes technical data or other information subject to the Export 
Administration Regulations, 15 CFR parts 768-799.


Sec. 560.319  United States depository institution.

    The term ``United States depository institution'' means:
    (a) Any entity organized under the laws of any jurisdiction within 
the United States (including its foreign branches), and
    (b) Any agency, office, or branch located in the United States of a 
foreign entity; that is engaged primarily in the business of banking, 
including accepting deposits and making, granting, transferring, 
holding, or brokering loans or credits, or purchasing or selling 
foreign exchange, or procuring purchasers and sellers thereof, as 
principal or agent. The term includes, among others, banks, savings 
banks, savings associations, mortgage companies, credit unions, and 
trust companies and United States holding companies.


Sec. 560.320  Iranian accounts.

    The term ``Iranian accounts'' means accounts of persons located in 
Iran or of 

[[Page 47066]]
the Government of Iran maintained on the books of a United States 
depository institution.

Subpart D--Interpretations


Sec. 560.401 Reference to amended sections.

    Except as otherwise specified, reference to any section of this 
part or to any regulation, ruling, order, instruction, direction, or 
license issued pursuant to this part refers to the same as currently 
amended.


Sec. 560.402  Effect of amendment.

    Any amendment, modification, or revocation of any section of this 
part or of any order, regulation, ruling, instruction, or license 
issued by or under the direction of the Director of the Office of 
Foreign Assets Control does not, unless otherwise specifically 
provided, affect any act done or omitted to be done, or any civil or 
criminal suit or proceeding commenced or pending prior to such 
amendment, modification, or revocation. All penalties, forfeitures, and 
liabilities under any such order, regulation, ruling, instruction, or 
license continue and may be enforced as if such amendment, 
modification, or revocation had not been made.


Sec. 560.403  [Reserved]


Sec. 560.404  [Reserved]


Sec. 560.405  [Reserved]


Sec. 560.406  Transshipments prohibited.

    (a) The prohibitions in Sec. 560.201 apply to the importation into 
the United States, for transshipment or transit, of Iranian-origin 
goods which are intended or destined for third countries.
    (b) The prohibitions in Sec. 560.204 apply to the exportation from 
the United States, for transshipment or transit, of goods which are 
intended or destined for Iran.
    (c) The prohibitions in Sec. 560.205 apply to the reexportation of 
goods described in that section, for transshipment or transit, which 
are intended or destined for Iran.
    (d) The prohibitions in Sec. 560.206 apply to any transaction 
relating to the transshipment of goods of Iranian origin or owned or 
controlled by the Government of Iran through any country.


Sec. 560.407  Transactions related to Iranian-origin goods.

    (a) Importation into the United States from third countries of 
goods containing Iranian-origin raw materials or components is not 
prohibited if those raw materials or components have been incorporated 
into manufactured products or substantially transformed in a third 
country by a person other than a United States person.
    (b) Transactions relating to Iranian-origin goods that have not 
been incorporated into manufactured products or substantially 
transformed in a third country are prohibited.
    (c) Transactions relating to goods containing Iranian-origin raw 
materials or components are not prohibited if those raw materials or 
components have been incorporated into manufactured products or 
substantially transformed in a third country by a person other than a 
United States person.


Sec. 560.408  Importation into and release from a bonded warehouse or 
foreign trade zone.

    The prohibitions in Sec. 560.201 apply to importation into a bonded 
warehouse or a foreign trade zone of the United States. However, 
Sec. 560.201 does not prohibit the release from a bonded warehouse or a 
foreign trade zone of Iranian-origin goods imported into a bonded 
warehouse or a foreign trade zone prior to October 29, 1987.


Sec. 560.409  [Reserved]


Sec. 560.410  Exportation of services.

    (a) The prohibition on the exportation of services from the United 
States contained in Sec. 560.204 applies only to services performed on 
behalf of a person in Iran or the Government of Iran or where the 
benefit of such services is otherwise received in Iran, if such 
services are performed:
    (1) In the United States, or
    (2) Outside the United States by an individual United States person 
ordinarily resident in the United States, or
    (3) Outside the United States by an overseas branch of an entity 
located in the United States.
    (b) The benefit of services performed anywhere in the world on 
behalf of the Government of Iran is presumed to be received in Iran.
    (c) Services provided in the United States or by a United States 
person to a non-Iranian carrier transporting passengers or goods to or 
from Iran are not considered to be exported to Iran.
    (d) Services provided in a third country by a United States person 
ordinarily resident outside the United States are not considered to be 
exported from the United States.


Sec. 560.411  Offshore transactions in Iranian-origin goods and 
services.

    The prohibitions contained in Sec. 560.206 apply to, among other 
things, transactions by United States persons in locations outside the 
United States with respect to goods or services which the United States 
person knows, or has reason to know, are of Iranian origin or owned or 
controlled by the Government of Iran, including:
    (a) Importing into or exporting from such locations; and
    (b) Purchasing, selling, financing, swapping, insuring, 
transporting, lifting, storing, incorporating, or transforming, or 
brokering any of the foregoing.


Sec. 560.412  Extensions of credits or loans to Iran.

    (a) The prohibitions contained in Sec. 560.207 apply, among other 
things, to the unauthorized renewal or rescheduling of credits or loans 
in existence as of May 6, 1995.
    (b) The prohibitions contained in Sec. 560.209 apply, among other 
things, to the unauthorized renewal or rescheduling of credits or loans 
in existence as of March 15, 1995.
    (c) The prohibitions contained in Secs. 560.207 and 560.209 apply, 
among other things, to credits or loans in any currency.


Sec. 560.413  Letter of credit payments by Iranian banks in the United 
States.

    (a) For purposes of the exemption in Sec. 560.210(e), payment of 
letters of credit and other financing agreements according to their 
terms includes, in the case of payments made by an Iranian bank's 
branch or agency located in the United States, payments that such 
branch or agency is:
    (1) Legally obligated to make pursuant to the terms of letters of 
credit and other financing agreements relating to pre-May 7, 1995 trade 
contracts; or
    (2) Licensed to make by the Office of Foreign Assets Control with 
respect to pre-May 7, 1995 trade contracts.
    (b) Payments that are not binding legal obligations of an Iranian 
bank's branch or agency pursuant to the terms of the letter of credit 
or other financing agreement are not covered by this exemption.


Sec. 560.414  Exports to third countries; reexports.

    (a) The prohibitions contained in Sec. 560.205 do not apply to the 
reexportation to Iran by a person who is not a United States person of 
any item described in that section which was exported from the United 
States prior to 12:01 a.m. EDT, May 7, 1995, and was not the property 
of a United States person as of 12:01 a.m. EDT, May 7, 1995, if the 
reexportation to Iran of such item was not subject to export license 
application requirements under any United States regulations in effect 
immediately prior to May 6, 1995.
    (b) United States persons are prohibited as of 12:01 a.m. EDT, May 
7, 

[[Page 47067]]
1995, from reexporting any item subject to the prohibitions contained 
in Sec. 560.205 regardless of when the item was exported from the 
United States. United States persons are prohibited from approving or 
facilitating any reexport by an entity owned or controlled by a United 
States person of any item subject to the prohibitions of Sec. 560.205 
of this part regardless of when the item was exported from the United 
States.
    (c) Effective 12:01 a.m. EDT May 7, 1995, the exportation from the 
United States to any destination of any item that was subject to export 
license application requirements under any United States regulations in 
effect immediately prior to May 6, 1995, is subject to the condition 
that the reexportation to Iran requires a specific license, except as 
otherwise authorized by this part.

Subpart E--Licenses, Authorizations and Statements of Licensing 
Policy


Sec. 560.501  Effect of license or authorization.

    (a) No license or other authorization contained in this part, or 
otherwise issued by or under the direction of the Director of the 
Office of Foreign Assets Control, authorizes or validates any 
transaction effected prior to the issuance of the license, unless 
specifically provided in such license or other authorization.
    (b) No regulation, ruling, instruction, or license authorizes a 
transaction prohibited under this part unless the regulation, ruling, 
instruction, or license is issued by the Office of Foreign Assets 
Control and specifically refers to this part. No regulation, ruling, 
instruction, or license referring to this part authorizes any 
transactions prohibited by any provision of this chapter unless the 
regulation, ruling, instruction or license specifically refers to such 
provision.
    (c) Any regulation, ruling, instruction or license authorizing any 
transaction otherwise prohibited under this part has the effect of 
removing a prohibition or prohibitions contained in this part from the 
transaction, but only to the extent specifically stated by its terms. 
Unless the regulation, ruling, instruction or license otherwise 
specifies, such an authorization does not create any right, duty, 
obligation, claim, or interest in, or with respect to, any property 
which would not otherwise exist under ordinary principles of law.


Sec. 560.502  Exclusion from licenses and authorizations.

    The Director of the Office of Foreign Assets Control reserves the 
right to exclude any person, property, or transaction from the 
operation of any license, or from the privileges therein conferred, or 
to restrict the applicability thereof with respect to particular 
persons, property, transactions, or classes thereof. Such action is 
binding upon all persons receiving actual or constructive notice of 
such exclusion or restriction.


Sec. 560.503  [Reserved]


Sec. 560.504  [Reserved]


Sec. 560.505  Certain services relating to participation in various 
events authorized.

    The importation of Iranian-origin services into the United States 
is authorized where such services are performed in the United States by 
an Iranian national who enters the United States on a visa issued by 
the State Department for the purpose of participating in a public 
conference, performance, exhibition or similar event, and such services 
are consistent with that purpose.


Sec. 560.506  Importation and exportation of certain gifts authorized.

    The importation into the United States of Iranian-origin goods, and 
the exportation from the United States of goods, is authorized for 
goods sent as gifts to persons provided that the value of the gift is 
not more than $100.


Sec. 560.507  Accompanied baggage authorized.

    (a) Persons entering the United States directly or indirectly from 
Iran are authorized to import into the United States Iranian-origin 
accompanied baggage normally incident to travel.
    (b) Persons leaving the United States for Iran are authorized to 
export from the United States accompanied baggage normally incident to 
travel.
    (c) This authorization applies to accompanied baggage that includes 
only articles that are necessary for personal use incident to travel, 
not intended for any other person or for sale, and are not otherwise 
prohibited from importation or exportation under applicable United 
States laws.


Sec. 560.508  Telecommunications and mail transactions authorized.

    All transactions of common carriers incident to the receipt or 
transmission of telecommunications and mail between the United States 
and Iran are authorized. For purposes of this section, the term 
``mail'' includes parcels only to the extent the parcels contain goods 
exempted from the prohibitions contained in this part or otherwise 
eligible for importation from or exportation to Iran under a general or 
specific license.


Sec. 560.509  Certain transactions related to patents, trademarks and 
copyrights authorized.

    (a) All of the following transactions in connection with patent, 
trademark, copyright or other intellectual property protection in the 
United States or Iran are authorized:
    (1) The filing and prosecution of any application to obtain a 
patent, trademark, copyright or other form of intellectual property 
protection;
    (2) The receipt of a patent, trademark, copyright or other form of 
intellectual property protection;
    (3) The renewal or maintenance of a patent, trademark, copyright or 
other form of intellectual property protection; and
    (4) The filing and prosecution of opposition or infringement 
proceedings with respect to a patent, trademark, copyright or other 
form of intellectual property protection, or the entrance of a defense 
to any such proceedings.
    (b) Nothing in this section affects obligations under any other 
provision of law.


Sec. 560.510  Transactions related to the resolution of disputes 
between the United States or United States nationals and the Government 
of Iran.

    (a) Except as otherwise authorized, specific licenses may be issued 
on a case-by-case basis to authorize transactions in connection with 
awards, decisions or orders of the Iran-United States Claims Tribunal 
in The Hague, the International Court of Justice, or other 
international tribunals (collectively, ``tribunals''); agreements 
settling claims brought before tribunals; and awards, orders, or 
decisions of an administrative, judicial or arbitral proceeding in the 
United States or abroad, where the proceeding involves the enforcement 
of awards, decisions or orders of tribunals, or is contemplated under 
an international agreement, or involves claims arising before 12:01 
a.m. EDT, May 7, 1995, that resolve disputes between the Government of 
Iran and the United States or United States nationals, including the 
following transactions:
    (1) Importation into the United States of, or any transaction 
related to, goods and services of Iranian origin or owned or controlled 
by the Government of Iran;
    (2) Exportation or reexportation to Iran or the Government of Iran 
of any goods, technology, or services, except to the extent that such 
exportation or reexportation is also subject to export licensing 
application requirements of another agency of the United States 
Government and the granting of such a 

[[Page 47068]]
license by that agency would be prohibited by law;
    (3) Financial transactions related to the resolution of disputes at 
tribunals, including transactions related to the funding of proceedings 
or of accounts related to proceedings or to a tribunal; participation, 
representation, or testimony before a tribunal; and the payment of 
awards of a tribunal; and
    (4) Other transactions otherwise prohibited by this part which are 
necessary to permit implementation of the foregoing awards, decisions, 
orders, or agreements.
    (b) Specific licenses may be issued on a case-by-case basis to 
authorize payment of costs related to the storage or maintenance of 
goods in which the Government of Iran has title, and to authorize the 
transfer of title to such goods, provided that such goods are in the 
United States and that such goods are the subject of a proceeding 
pending before a tribunal.
    (c)(1) All transactions are authorized with respect to the 
importation of Iranian-origin goods and services necessary to the 
initiation and conduct of legal proceedings, in the United States or 
abroad, including administrative, judicial and arbitral proceedings and 
proceedings before tribunals.
    (2) Specific licenses may be issued on a case-by-case basis to 
authorize the exportation to Iran or the Government of Iran of goods, 
and of services not otherwise authorized by Sec. 560.525, necessary to 
the initiation and conduct of legal proceedings, in the United States 
or abroad, including administrative, judicial and arbitral proceedings 
and proceedings before tribunals, except to the extent that the 
exportation is also subject to export licensing application 
requirements of another agency of the United States Government and the 
granting of such a license by that agency would be prohibited by law.
    (3) Representation of United States persons or of third country 
persons in legal proceedings, in the United States or abroad, including 
administrative, judicial and arbitral proceedings and proceedings 
before tribunals, against Iran or the Government of Iran is not 
prohibited by this part. The exportation of certain legal services to a 
person in Iran or the Government of Iran is authorized in Sec. 560.525.
    (d) The following are authorized:
    (1) All transactions related to payment of awards of the Iran-
United States Claims Tribunal in The Hague against Iran out of the 
Security Account provided for in paragraph 7 of the Declaration of the 
Government of the Democratic and Popular Republic of Algeria of January 
19, 1981.
    (2) All transactions necessary to the payment of awards in a legal 
proceeding to which the United States Government is a party, or to 
payments pursuant to settlement agreements entered into by the United 
States Government in such a legal proceeding.


Sec. 560.511  [Reserved]


Sec. 560.512  Iranian Government missions in the United States.

    (a) All transactions ordinarily incident to the importation of 
goods or services into the United States by, the exportation of goods 
or services from the United States by, or the provision of goods or 
services in the United States to, the missions of the Government of 
Iran to international organizations in the United States, and Iranians 
admitted to the United States under section 101(a)(15)(G) of the 
Immigration and Nationality Act (``INA''), 8 U.S.C. 1101(a)(15)(G), are 
authorized, provided that:
    (1) The goods or services are for the conduct of the official 
business of the mission, or for personal use of personnel admitted to 
the United States under INA section 101(a)(15)(G), and are not for 
resale; and
    (2) The transaction is not otherwise prohibited by law.
    (b) All transactions ordinarily incident to the importation of 
goods or services into the United States by, the exportation of goods 
or services from the United States by, or the provision of goods or 
services in the United States to, the Iranian Interests Section of the 
Embassy of Pakistan (or any successor protecting power) in the United 
States, are authorized, provided that:
    (1) The goods or services are for the conduct of the official 
business of the Iranian Interests Section, and are not for resale; and
    (2) The transaction is not otherwise prohibited by law.
    (c) All transactions ordinarily incident to the provision of goods 
or services in the United States to the employees of Iranian missions 
to international organizations in the United States, and to employees 
of the Iranian Interests Section of the Embassy of Pakistan (or any 
successor protecting power) in the United States, are authorized, 
provided that the transaction is not otherwise prohibited by law.


Sec. 560.513  Importation of Iranian-origin oil.

    (a) Specific licenses will be issued on a case-by-case basis to 
permit the importation of Iranian-origin oil in connection with the 
resolution or settlement of cases before the Iran-United States Claims 
Tribunal in The Hague, established pursuant to the Declaration of the 
Government of the Democratic and Popular Republic of Algeria Concerning 
the Settlement of Claims by the Government of the United States of 
America and the Government of the Islamic Republic of Iran of January 
19, 1981, or where the proceeds are otherwise to be deposited in the 
Tribunal's Security Account.
    (b) License applications submitted pursuant to this section must 
contain the importer's certification that the oil is of Iranian origin 
with all relevant supporting documentation, including specification of 
the production site at which the oil was extracted, and that the sale 
or transfer of the oil is by or for the account of the Government of 
Iran. Licenses will not be issued for importations of Iranian-origin 
oil which is not sold or transferred by or for the account of the 
Government of Iran. In cases where the oil is being imported either in 
whole or in part in resolution or settlement of a case pending before 
the Tribunal, applicants are required to identify the case and submit a 
copy of the settlement agreement and the Award on Agreed Terms issued 
by the Tribunal. In cases where any proceeds are generated for the 
account of the Government of Iran from the importation of Iranian-
origin oil, the importer must demonstrate that irrevocable arrangements 
are in place that will ensure that the proceeds will be deposited in 
the Tribunal's Security Account.


Sec. 560.514  [Reserved]


Sec. 560.515  30-day delayed effective date for pre-May 7, 1995 trade 
contracts involving Iran.

    (a) All transactions necessary to complete performance of a trade 
contract entered into prior to May 7, 1995, and involving Iran (a 
``pre-existing trade contract''), including the exportation of goods, 
services (including financial services), or technology from the United 
States that was authorized pursuant to Federal regulations in force 
immediately prior to May 6, 1995, or performance under a pre-existing 
trade contract for transactions in Iranian-origin or Government of Iran 
owned or controlled goods or services not involving importation into 
the United States, are authorized without specific licensing by the 
Office of Foreign Assets Control if the conditions in paragraph (a)(1) 
or (a)(2) are met:
    (1) If the pre-existing trade contract is for exportation of goods 
or technology from the United States that was 

[[Page 47069]]
authorized pursuant to Federal regulations in force immediately prior 
to May 6, 1995, the goods or technology must be exported from the 
United States prior to 12:01 a.m. EDT, June 6, 1995, and all other 
activity by U.S. persons that is necessary and incidental to the 
performance of the pre-existing trade contract (other than payment 
under a financing contract) must be completed prior to 12:01 a.m. EDT, 
August 6, 1995; or
    (2) If the pre-existing trade contract is for:
    (i) The exportation of services from the United States and 
benefitting a person in Iran or the Government of Iran; or
    (ii) The reexportation of goods or technology to Iran, the 
Government of Iran, or an entity owned or controlled by the Government 
of Iran that was authorized pursuant to Federal regulations in force 
immediately prior to May 6, 1995, or
    (iii) Transactions relating to goods or services of Iranian origin 
or owned or controlled by the Government of Iran other than 
transactions relating to importation into the United States of such 
goods or services, all obligations under the pre-existing trade 
contract (other than payment under a financing contract) must be fully 
completed prior to 12:01 a.m. EDT, June 6, 1995.
    (b) In order to complete performance of a pre-existing trade 
contract, the arrangement or renegotiation of contracts for 
transactions necessary and incidental to performance of the pre-
existing trade contract is authorized. Such incidental transactions may 
include, for example, financing, shipping and insurance arrangements. 
Amendments to a pre-existing trade contract for the purpose of 
accelerating a previously-specified delivery schedule under a contract 
for a fixed quantity or value of goods, technology or services, or 
curtailing or canceling required performance, are authorized without 
specific licensing. Any other alteration of the trade contract must be 
specifically licensed by the Office of Foreign Assets Control.
    (c) The existence of a contract will be determined with reference 
to the principles contained in Article 2 of the Uniform Commercial 
Code.
    (d) No U.S. person may change its policies or operating procedures 
in order to enable a foreign entity owned or controlled by U.S. persons 
to enter into a transaction that could not be entered into directly by 
a U.S. person located in the United States pursuant to the prohibitions 
contained in this part.


Sec. 560.516  Payment and United States dollar clearing transactions 
involving Iran.

    (a) United States depository institutions are authorized to process 
transfers of funds to or from Iran, or for the direct or indirect 
benefit of persons in Iran or the Government of Iran, if the transfer 
is covered in full by any of the following conditions and does not 
involve debiting or crediting an Iranian account:
    (1) The transfer is by order of a foreign bank which is not an 
Iranian entity from its own account in a domestic bank (directly or 
through a foreign branch or subsidiary of a domestic bank) to an 
account held by a domestic bank (directly or through a foreign branch 
or subsidiary of a domestic bank) for a second foreign bank which is 
not an Iranian entity. For purposes of this section ``foreign bank'' 
includes a foreign subsidiary, but not a foreign branch of a domestic 
bank;
    (2) The transfer arises from an underlying transaction that has 
been authorized by a specific or general license issued pursuant to 
this part;
    (3) The transfer arises from an underlying transaction that is not 
prohibited or is exempted from regulation pursuant to Section 203(b) of 
the International Emergency Economic Powers Act, 50 U.S.C. 1702(b), 
such as an exportation of information or informational materials to 
Iran, a travel-related remittance, or payment for the shipment of a 
donation of articles to relieve human suffering or a third country 
transaction not involving a United States person nor otherwise 
prohibited by this part; or
    (4) The transfer is a non-commercial remittance to or from Iran, 
such as a family remittance not related to a family-owned enterprise.
    (b) Before a United States depository institution initiates a 
payment subject to the prohibitions contained in this part on behalf of 
any customer, or credits a transfer subject to such prohibitions to the 
account on its books of the ultimate beneficiary, the U.S. depository 
institution must determine that the transfer is not prohibited by this 
part.
    (c) Pursuant to the prohibitions contained in Sec. 560.208, a 
United States depository institution may not make transfers to or for 
the benefit of a foreign-organized entity owned or controlled by it if 
the underlying transaction would be prohibited if engaged in directly 
by the U.S. depository institution.
    (d) This section does not authorize transactions with respect to 
property blocked pursuant to part 535.


Sec. 560.517  Exportation of services: Iranian accounts at United 
States depository institutions.

    (a) United States depository institutions are prohibited from 
performing services with respect to Iranian accounts, as defined in 
Sec. 560.320, at the instruction of the Government of Iran or persons 
located in Iran, except that United States depository institutions are 
authorized to provide and be compensated for services and incidental 
transactions with respect to:
    (1) The maintenance of Iranian accounts, including the payment of 
interest and the debiting of service charges;
    (2) The processing of transfers arising from underlying 
transactions that are exempted from regulation pursuant to section 
203(b) of the International Emergency Economic Powers Act, 50 U.S.C. 
1702(b), such as an exportation of information or informational 
materials to Iran, a travel-related remittance, or payment for the 
shipment of a donation of articles to relieve human suffering; and
    (3) At the request of the account party, the closing of Iranian 
accounts and the lump sum transfer only to the account party of all 
remaining funds and other assets in the account.
    (b) Specific licenses may be issued with respect to the operation 
of Iranian accounts that constitute accounts of:
    (1) Foreign government missions and their personnel in Iran; or
    (2) Missions of the Government of Iran in the United States.


Sec. 560.518  Transactions in Iranian-origin and Iranian Government 
property.

    (a) Except for transactions involving the Government of Iran, all 
domestic transactions with respect to Iranian-origin goods located in 
the United States are authorized, provided that this paragraph (a) does 
not affect the status of property blocked pursuant to part 535 or 
detained or seized, or subject to detention or seizure, pursuant to 
this part.
    (b) All transactions necessary and incidental to a United States 
person's sale or other disposition of goods or services of Iranian 
origin or owned or controlled by the Government of Iran that are 
located or to be performed outside the United States and were acquired 
by that United States person in transactions not prohibited by part 535 
or this part are authorized, provided:
    (1) The sale or other disposition does not result in the 
importation of such goods or services into the United States, and 

[[Page 47070]]

    (2) The sale or other disposition is completed no later than 12:01 
a.m. EDT, August 6, 1995.
    (c) Except as provided in paragraphs (a) and (b) of this section, 
United States persons may not deal in goods or services of Iranian 
origin or owned or controlled by the Government of Iran, except that 
the following transactions are authorized:
    (1) Transactions by a United States person with third-country 
nationals incidental to the storage and maintenance in third countries 
of Iranian-origin goods owned prior to May 7, 1995, by that United 
States person or acquired thereafter by that United States person 
consistent with the provisions of this part;
    (2) Exportation of Iranian-origin household and personal effects 
from the United States incident to the relocation of United States 
persons outside the United States; and
    (3) Purchase for personal use or consumption in Iran of Iranian-
origin goods or services.
    (d) In addition to transactions authorized by paragraph (c)(1) of 
this section, a United States person is authorized after 12:01 a.m. 
EDT, May 7, 1995, to use or dispose of Iranian-origin household and 
personal effects that are located outside the United States and that 
have been acquired by the United States person in transactions not 
prohibited by part 535 or this part.


Sec. 560.519  Policy governing news organization offices.

    (a) Specific licenses may be issued on a case-by-case basis 
authorizing transactions necessary for the establishment and operation 
of news bureaus in Iran by United States organizations whose primary 
purpose is the gathering and dissemination of news to the general 
public.
    (b) Transactions that may be authorized include but are not limited 
to those incident to the following:
    (1) Leasing office space and securing related goods and services;
    (2) Hiring support staff;
    (3) Purchasing Iranian-origin goods for use in the operation of the 
office; and
    (4) Paying fees related to the operation of the office in Iran.
    (c) Specific licenses may be issued on a case-by-case basis 
authorizing transactions necessary for the establishment and operation 
of news bureaus in the United States by Iranian organizations whose 
primary purpose is the gathering and dissemination of news to the 
general public.
    (d) The number assigned to such specific licenses should be 
referenced in all import and export documents and in all funds 
transfers and other banking transactions through banking institutions 
organized or located in the United States in connection with the 
licensed transactions to avoid disruption of the trade and financial 
transactions.


Sec. 560.520  Exportation of agricultural commodities.

    (a) All transactions by United States persons in connection with 
the exportation from the United States to Iran of any agricultural 
commodity under an export sales contract are authorized, provided:
    (1) Such contract was entered into prior to 12:01 a.m. EDT, May 7, 
1995; and
    (2) The terms of such contract require delivery of the commodity 
prior to February 2, 1996.
    (b) The performance of letters of credit and other financing 
agreements with respect to exports authorized by this section is 
authorized pursuant to their terms.
    (c) For purposes of this section, the term ``agricultural 
commodity'' means feed grains, rice, wheat, cotton, peanuts, tobacco, 
dairy products, and oilseeds (including vegetable oil).
    (d) Specific licenses may be granted on a case-by-case basis for 
transactions by United States persons in connection with the 
exportation of other agricultural articles from the United States to 
Iran that do not fall within the definition of ``agricultural 
commodity'' contained in paragraph (c) of this section, provided such 
exportation is pursuant to an export sales contract and the conditions 
contained in paragraphs (a)(1) and (a)(2) of this section are met.


Sec. 560.521  Diplomatic pouches.

    All transactions in connection with the importation into the United 
States from Iran, or the exportation from the United States to Iran, of 
diplomatic pouches and their contents are authorized.


Sec. 560.522  Allowable payments for overflights of Iranian airspace.

    Payments to Iran of charges for services rendered by the Government 
of Iran in connection with the overflight of Iran or emergency landing 
in Iran of aircraft owned by a United States person or registered in 
the United States are authorized.


Sec. 560.523  Importation of information and informational materials.

    (a) In addition to transactions relating to information or 
informational materials that are exempted from regulation under 
Sec. 560.210, the following are authorized:
    (1) The importation of information and informational materials of 
Iranian origin from any location, whether commercial or otherwise, 
regardless of format or medium of transmission; and
    (2) All financial and other transactions related to the importation 
of information and informational materials.
    (b) Specific licenses may be issued on a case-by-case basis for the 
exportation of equipment necessary for the establishment of news wire 
feeds or other transmissions of information or informational materials.


Sec. 560.524  Household goods and personal effects.

    (a) The exportation from the United States to Iran of household and 
personal effects, including baggage and articles for family use, of 
persons departing the United States to relocate in Iran is authorized 
provided the articles included in such effects have been actually used 
by such persons or by family members accompanying them, are not 
intended for any other person or for sale, and are not otherwise 
prohibited from exportation. See also, Sec. 560.518(c)(2).
    (b) The importation of Iranian-origin household and personal 
effects, including baggage and articles for family use, of persons 
arriving in the United States is authorized; to qualify, articles 
included in such effects must have been actually used abroad by such 
persons or by other family members arriving from the same foreign 
household, must not be intended for any other person or for sale, and 
must not be otherwise prohibited from importation.


Sec. 560.525  Exportation of certain legal services.

    (a) The provision of the following legal services to the Government 
of Iran or to a person in Iran, and receipt of payment therefor, are 
authorized:
    (1) Provision of legal advice and counselling on the requirements 
of and compliance with the laws of any jurisdiction within the United 
States, provided that such advice and counselling is not provided to 
facilitate transactions that would violate any of the prohibitions 
contained in this part;
    (2) Representation when a person in Iran or the Government of Iran 
has been named as a defendant in or otherwise made a party to domestic 
United States legal, arbitration, or administrative proceedings;
    (3) Initiation of domestic United States legal, arbitration, or 
administrative proceedings in defense of 

[[Page 47071]]
property interests of the Government of Iran that were in existence 
prior to May 7, 1995, or acquired thereafter in a transaction not 
inconsistent with the prohibitions contained in this part;
    (4) Representation before any federal or state agency with respect 
to the imposition, administration, or enforcement of United States 
sanctions against Iran;
    (5) Initiation and conduct of legal proceedings, in the United 
States or abroad, including administrative, judicial and arbitral 
proceedings and proceedings before international tribunals (including 
the Iran-United States Claims Tribunal in The Hague and the 
International Court of Justice):
    (i) To resolve disputes between the Government of Iran and the 
United States or a United States national;
    (ii) Where the proceeding is contemplated under an international 
agreement; or
    (iii) Where the proceeding involves the enforcement of awards, 
decisions, or orders resulting from legal proceedings within the scope 
of paragraph (a)(5)(i) or (a)(5)(ii) of this section, provided that any 
transaction, unrelated to the provision of legal services or the 
payment therefor, that is necessary or related to the execution of an 
award, decision or order resulting from such legal proceeding, or 
otherwise necessary for the conduct of such proceeding, and which would 
otherwise be prohibited by this part requires a specific license in 
accordance with Secs. 560.510 and 560.801;
    (6) Provision of legal advice and counselling in connection with 
settlement or other resolution of matters described in paragraph (a)(5) 
of this section; and
    (7) Provision of legal services in any other context in which 
prevailing United States law requires access to legal counsel at public 
expense.
    (b) The provision of any other legal services to a person in Iran 
or the Government of Iran, not otherwise authorized in or exempted by 
this part, requires the issuance of a specific license.


Sec. 560.526  Commodities trading and related transactions.

    (a) Trading in Iranian-origin commodities. With respect to 
Sec. 560.206, specific licenses may be issued on a case-by-case basis 
to authorize certain commodities trading by a United States person in 
Iranian-origin goods, or transactions incidental to such trading, 
where:
    (1) No party to the transaction with the United States person is a 
person in Iran or the Government of Iran, and
    (2) It was impossible for the United States person to determine at 
the time of entry into the transaction, given all circumstances of the 
transaction, that the goods would be of Iranian origin or would be 
owned or controlled by the Government of Iran.
    (b) Trading in commodities destined for Iran or the Government of 
Iran. With respect to Sec. 560.204, specific licenses may be issued on 
a case-by-case basis to authorize certain trading by United States 
persons in commodities of U.S. or third-country origin destined for 
Iran or the Government of Iran, or transactions incidental to such 
trading, where:
    (1) It was impossible for the United States person to determine at 
the time of entry into the transaction, given all circumstances of the 
transaction, that the goods would be for delivery to Iran or to the 
Government of Iran;
    (2) The United States person did not contract with a person in Iran 
or the Government of Iran; and
    (3) The United States person did not initiate the nomination of the 
commodity's destination as Iran or the Government of Iran.


Sec. 560.527  Rescheduling existing loans.

    Specific licenses may be issued on a case-by-case basis for 
rescheduling loans or otherwise extending the maturities of existing 
loans, and for charging fees or interest at commercially reasonable 
rates, in connection therewith, provided that no new funds or credits 
are thereby transferred or extended to Iran or the Government of Iran.


Sec. 560.528  Aircraft safety.

    Specific licenses may be issued on a case-by-case basis for the 
exportation and reexportation of goods, services, and technology to 
insure the safety of civil aviation and safe operation of U.S.-origin 
commercial passenger aircraft.

Subpart F--Reports


Sec. 560.601  Required records.

    Every person engaging in any transaction subject to the provisions 
of this part must keep a full and accurate record of each such 
transaction in which that person engages, regardless of whether such 
transaction is effected pursuant to license or otherwise, and such 
record must be available for examination for at least 2 years after the 
date of such transaction.


Sec. 560.602  Reports to be furnished on demand.

    Every person is required to furnish under oath, in the form of 
reports or otherwise, from time to time and at any time as may be 
required, complete information relative to any transaction, regardless 
of whether such transaction is effected pursuant to license or 
otherwise, subject to the provisions of this part. Such reports may be 
required to include the production of any books of account, contracts, 
letters or other papers, connected with any such transaction or 
property, in the custody or control of the persons required to make 
such reports. Reports with respect to transactions may be required 
either before or after such transactions are completed. The Director of 
Foreign Assets Control may, through any person or agency, conduct 
investigations, hold hearings, administer oaths, examine witnesses, 
receive evidence, take depositions, and require by subpoena the 
attendance and testimony of witnesses and the production of all books, 
papers, and documents relating to any matter under investigation, 
regardless of whether any report has been required or filed in 
connection therewith.


Sec. 560.603  Reports on oil transactions engaged in by foreign 
affiliates.

    (a) Requirement for reports. Reports are required to be filed in 
the manner prescribed in this section with respect to all reportable 
transactions, as defined in paragraph (f) of this section, engaged in 
by the foreign affiliates of a United States person. Reports are due 
within fifteen days after the end of each calendar quarter. The first 
report must cover the period beginning June 6, 1995, and ending 
September 30, 1995. Reports must be filed covering each three-month 
period thereafter.
    (b) Who must report. Reports are required to be filed by any United 
States person whose foreign affiliate engaged in a reportable 
transaction during the prior calendar quarter. A single United States 
entity within a consolidated or affiliated group may be designated to 
report on each foreign affiliate of the United States members of the 
group. Such centralized reporting may be done by the United States 
person who owns or controls, or has been delegated authority to file on 
behalf of, the remaining United States persons in the group.
    (c) What must be reported.
    (1) Part I of the report must include the following information 
with respect to United States persons with a foreign affiliate:
    (i) Its name and address;
    (ii) Its principal place of business;
    (iii) For entities, its state of incorporation; and 

[[Page 47072]]

    (iv) The name, corporate title, and telephone number of the 
individual to contact concerning the report.
    (2) Part II of the report must include the following information 
with respect to the foreign affiliate:
    (i) Its name and address;
    (ii) The country of its incorporation and its principal place of 
business;
    (iii) Its entity type (e.g., corporation, partnership, limited 
liability company, etc.);
    (iv) Its relationship to the reporting United States person, 
including percentage of direct and indirect ownership;
    (v) The name, title, and nationality of principal corporate 
officers; and
    (vi) A description of the manner and degree to which the United 
States person exercises control over the foreign affiliate's oil-
related transactions. The description must include any written or 
verbal directions or instructions issued by the United States person to 
the foreign affiliate concerning such transactions, any requirements 
for prior approval by the United States person concerning such 
transactions, and the frequency of, and the nature of information 
contained in, written or verbal reports by the foreign affiliate to the 
United States person in which these transactions are described, 
aggregated, or summarized.
    (3) Part III of the report must include the following information 
with respect to each reportable transaction (a separate part III must 
be submitted for each reportable transaction):
    (i) The nature of transaction (e.g., purchase, sale, swap);
    (ii) A description of the product, technology, or service involved;
    (iii) The name of the Iranian or third country party involved in 
the transaction;
    (iv) The currency and amount of the transaction (and corresponding 
United States dollar value of the transaction, if not conducted in 
United States dollars);
    (v) The division or branch of the foreign affiliate involved in the 
negotiating and executing of the transaction;
    (vi) The name, corporate title, and nationality of each employee 
engaged in the transaction; and
    (vii) How the transaction is reflected in the report or reports as 
required by paragraph (c)(2)(vi) of this section. If the transaction is 
aggregated with other transactions, an explanation must be provided for 
all the components in the aggregate report.
    (d) Where to report. Reports must be filed with the Compliance 
Programs Division, Office of Foreign Assets Control, Department of the 
Treasury, 1500 Pennsylvania Avenue, NW--Annex, Washington, DC 20220. 
Reports may be submitted by facsimile transmission at 202-622-1657. A 
copy must be retained for the reporter's records.
    (e) Whom to contact. Blocked Assets Division, Office of Foreign 
Assets Control, Department of the Treasury, 1500 Pennsylvania Avenue, 
NW--Annex, Washington, DC 20220, telephone: 202-622-2440.
    (f) Definitions. For the purposes of this section:
    (1) The term ``foreign affiliate'' means a person or entity (other 
than a United States person as defined in Sec. 560.314) which is 
organized or located outside of the United States, and which is owned 
or controlled by a United States person or persons; and
    (2) The term ``reportable transaction'' includes any purchase, 
sale, or swap, or the provision of services related to such purchase, 
sale, or swap, such as financing, lifting, transporting, insuring, 
processing, transforming, or incorporating, related to:
    (i) Iranian-origin crude oil or natural gas; or
    (ii) Crude oil or natural gas and involving Iran or the Government 
of Iran.

Subpart G--Penalties


Sec. 560.701  Penalties.

    (a) Attention is directed to Sec. 206 of the International 
Emergency Economic Powers Act (50 U.S.C. 1705), which provides that a 
civil penalty of not to exceed $10,000 may be imposed on any person who 
violates any license, order, or regulation issued under the 
International Emergency Economic Powers Act, and that whoever willfully 
violates any license, order, or regulation issued under the 
International Emergency Economic Powers Act may, upon conviction, be 
fined not more than $50,000, or, if a natural person, may be imprisoned 
for not more than 10 years, or both; and any officer, director, or 
agent of any corporation who knowingly participates in such violation 
may be punished by a like fine, imprisonment, or both. Section 206 of 
the International Emergency Economic Powers Act is applicable to 
violations of any provision of this part and to violations of the 
provisions of any license, ruling, regulation, order, direction, or 
instruction issued by or pursuant to the direction or authorization of 
the Secretary of the Treasury pursuant to this part or otherwise under 
the International Emergency Economic Powers Act.
    (b) Attention is directed to 18 U.S.C. 1001, which provides that 
whoever, in any matter within the jurisdiction of any department or 
agency of the United States, knowingly and willfully falsifies, 
conceals or covers up by any trick, scheme, or device a material fact, 
or makes any false, fictitious or fraudulent statements or 
representation or makes or uses any false writing or document knowing 
the same to contain any false, fictitious or fraudulent statement or 
entry, may be fined not more than $10,000 or imprisoned not more than 5 
years, or both.
    (c) Violations of this part may also be subject to relevant 
provisions of the Customs laws and other applicable laws.


Sec. 560.702  Detention of shipments.

    Import shipments into the United States of Iranian-origin goods in 
violation of Sec. 560.201 and export shipments from the United States 
of goods destined for Iran in violation of Secs. 560.202 or 560.204 
shall be detained. No such import, export, or reexport will be 
permitted to proceed, except as specifically authorized by the 
Secretary of the Treasury. Unless licensed, such shipments are subject 
to penalty or seizure and forfeiture action, under the Customs laws or 
other applicable provisions of law, depending on the circumstances.


Sec. 560.703  Prepenalty notice.

    (a) When required. If the Director of the Office of Foreign Assets 
Control has reasonable cause to believe that there has occurred a 
violation of any provision of this part or a violation of the 
provisions of any license, ruling, regulation, order, direction or 
instruction issued by or pursuant to the direction or authorization of 
the Secretary of the Treasury pursuant to this part or otherwise under 
the International Emergency Economic Powers Act, and the Director 
determines that further proceedings are warranted, he may issue to the 
person concerned a notice of his intent to impose a monetary penalty. 
The prepenalty notice may be issued whether or not another agency has 
taken any action with respect to this matter.
    (b) Contents--(1) Facts of violation. The prepenalty notice will 
describe the violation, specify the laws and regulations allegedly 
violated, and state the amount of the proposed monetary penalty.
    (2) Right to make presentations. The prepenalty notice also shall 
inform the person of his right to make a written presentation within 30 
days of mailing of the notice as to why a monetary 

[[Page 47073]]
penalty should not be imposed, or, if imposed, why it should be in a 
lesser amount than proposed.


Sec. 560.704  Presentation responding to prepenalty notice.

    (a) Time within which to respond. The named person shall have 30 
days from the date of mailing of the prepenalty notice to make a 
written presentation to the Director.
    (b) Form and contents of the written presentation. The written 
presentation need not be in any particular form, but shall contain 
information sufficient to indicate that it is in response to the 
prepenalty notice. It should contain responses to the allegations in 
the prepenalty notice and set forth the reasons why the person believes 
the penalty should not be imposed or, if imposed, why it should be in a 
lesser amount than proposed.


Sec. 560.705  Penalty notice.

    (a) No violation. If, after considering any presentations made in 
response to the prepenalty notice and any relevant facts, the Director 
determines that there was no violation by the person named in the 
prepenalty notice, he shall promptly notify the person in writing of 
the determination and that no monetary penalty will be imposed.
    (b) Violation. If, after considering any presentations made in 
response to the prepenalty notice, the Director determines that there 
was a violation by the person named in the prepenalty notice, he may 
issue a written notice of the imposition of the monetary penalty to 
that person.


Sec. 560.706  Referral for administrative collection measures or to 
United States Department of Justice.

    In the event that the person named does not pay the penalty imposed 
pursuant to this part or make payment arrangements acceptable to the 
Director within 30 days of the mailing of the written notice of the 
imposition of the penalty, the matter may be referred for 
administrative collection measures or to the United States Department 
of Justice for appropriate action to recover the penalty in a civil 
suit in a Federal district court.

Subpart H--Procedures


Sec. 560.801  Licensing.

    (a) General licenses. General licenses have been issued authorizing 
under appropriate terms and conditions certain types of transactions 
which are subject to the prohibitions contained in this part. All such 
licenses in effect on the date of publication are set forth in subpart 
E of this part. It is the policy of the Office of Foreign Assets 
Control not to grant applications for specific licenses authorizing 
transactions to which the provisions of an outstanding general license 
are applicable. Persons availing themselves of certain general licenses 
may be required to file reports and statements in accordance with the 
instructions specified in those licenses. Failure to file such reports 
or statements will nullify the authorization to such person provided by 
the general license.
    (b) Specific licenses--(1) General course of procedure. 
Transactions subject to the prohibitions contained in this part which 
are not authorized by general license may be effected only under 
specific licenses.
    (2) Applications for specific licenses. Applications for specific 
licenses to engage in any transactions prohibited by or pursuant to 
this part may be filed by letter with the Office of Foreign Assets 
Control. Any person having an interest in a transaction or proposed 
transaction may file an application for a license authorizing such 
transaction, but the applicant for a specific license is required to 
make full disclosure of all parties in interest to the transaction so 
that a decision on the application may be made with full knowledge of 
all relevant facts and so that the identity and location of the persons 
who know about the transaction may be easily ascertained in the event 
of inquiry.
    (3) Information to be supplied. The applicant must supply all 
information specified by relevant instructions and/or forms, and must 
fully disclose the names of all the parties who are concerned with or 
interested in the proposed transaction. If the application is filed by 
an agent, the agent must disclose the name of his principal(s). Such 
documents as may be relevant shall be attached to each application as a 
part of such application except that documents previously filed with 
the Office of Foreign Assets Control may, where appropriate, be 
incorporated by reference. Applicants may be required to furnish such 
further information as is deemed necessary to a proper determination by 
the Office of Foreign Assets Control. Any applicant or other party in 
interest desiring to present additional information or discuss or argue 
the application may do so at any time before or after decision. 
Arrangements for oral presentation should be made with the Office of 
Foreign Assets Control.
    (4) Effect of denial. The denial of a license does not preclude the 
reopening of an application or the filing of a further application. The 
applicant or any other party in interest may at any time request 
explanation of the reasons for a denial by correspondence or personal 
interview.
    (5) Reports under specific licenses. As a condition for the 
issuance of any license, the licensee may be required to file reports 
with respect to the transaction covered by the license, in such form 
and at such times and places as may be prescribed in the license or 
otherwise.
    (6) Issuance of license. Licenses will be issued by the Office of 
Foreign Assets Control acting on behalf of the Secretary of the 
Treasury, or licenses may be issued by the Secretary of the Treasury 
acting directly or through any specifically designated person, agency, 
or instrumentality.
    (c) Address. License applications, reports, and inquiries should be 
addressed to the appropriate section or individual within the Office of 
Foreign Assets Control, or to the Director, at the following address: 
Office of Foreign Assets Control, Department of the Treasury, 1500 
Pennsylvania Avenue, NW--Annex, Washington, DC 20220.


Sec. 560.802  Decisions.

    The Office of Foreign Assets Control will advise each applicant of 
the decision respecting filed applications. The decision of the Office 
of Foreign Assets Control acting on behalf of the Secretary of the 
Treasury with respect to an application shall constitute final agency 
action.


Sec. 560.803  Amendment, modification, or revocation.

    The provisions of this part and any rulings, licenses, whether 
general or specific, authorizations, instructions, orders, or forms 
issued hereunder may be amended, modified, or revoked at any time.


Sec. 560.804  Rulemaking.

    (a) All rules and other public documents are issued by the 
Secretary of the Treasury upon recommendation of the Director of the 
Office of Foreign Assets Control. In general, rulemaking by the Office 
of Foreign Assets Control involves foreign affairs functions of the 
United States, and for that reason is exempt from the requirements 
under the Administrative Procedure Act (5 U.S.C. 553) for notice of 
proposed rulemaking, opportunity for public comment, and delay in 
effective date. Wherever possible, however, it is the practice of the 
Office of Foreign Assets Control to receive written submissions or hold 
informal consultations with interested parties before the issuance of 
any rule or other public document.
    (b) Any interested person may petition the Director of the Office 
of 

[[Page 47074]]
Foreign Assets Control in writing for the issuance, amendment, or 
repeal of any rule.


Sec. 560.805  Delegation by the Secretary of the Treasury.

    Any action which the Secretary of the Treasury is authorized to 
take pursuant to Executive Order 12613, Executive Order 12957, 
Executive Order 12959, and any further Executive orders relating to the 
national emergency declared in Executive Order 12957 may be taken by 
the Director, Office of Foreign Assets Control, or by any other person 
to whom the Secretary of the Treasury has delegated authority so to 
act.


Sec. 560.806  Customs procedures: Goods specified in Sec. 560.201.

    (a) With respect to goods specified in Sec. 560.201, and not 
otherwise licensed or excepted from the scope of that section, 
appropriate Customs officers shall not accept or allow any:
    (1) Entry for consumption or warehouse (including any appraisement 
entry, any entry of goods imported in the mails, regardless of value, 
and any informal entries);
    (2) Entry for immediate exportation;
    (3) Entry for transportation and exportation;
    (4) Withdrawal from warehouse;
    (5) Admission, entry, transfer or withdrawal to or from a foreign 
trade zone; or
    (6) Manipulation or manufacture in a warehouse or in a foreign 
trade zone.
    (b) Customs officers may accept or allow the importation of 
Iranian-origin goods under the procedures listed in paragraph (a) if:
    (1) A specific license pursuant to this part is presented; or
    (2) Instructions authorizing the transaction are received from the 
Office of Foreign Assets Control.
    (c) Whenever a specific license is presented to an appropriate 
Customs officer in accordance with this section, one additional legible 
copy of the entry, withdrawal or other appropriate document with 
respect to the merchandise involved must be filed with the appropriate 
Customs officers at the port where the transaction is to take place. 
Each copy of any such entry, withdrawal or other appropriate document, 
including the additional copy, must bear plainly on its face the number 
of the license pursuant to which it is filed. The original copy of the 
specific license must be presented to the appropriate Customs officers 
in respect of each such transaction and must bear a notation in ink by 
the licensee or person presenting the license showing the description, 
quantity and value of the merchandise to be entered, withdrawn or 
otherwise dealt with. This notation must be so placed and so written 
that there will exist no possibility of confusing it with anything 
placed on the license at the time of its issuance. If the license in 
fact authorizes the entry, withdrawal, or other transaction with regard 
to the merchandise, the appropriate Customs officer, or other 
authorized Customs employee, shall verify the notation by signing or 
initialing it after first assuring himself that it accurately describes 
the merchandise it purports to represent. The license shall thereafter 
be returned to the person presenting it and the additional copy of the 
entry, withdrawal or other appropriate document shall be forwarded by 
the appropriate Customs officer to the Office of Foreign Assets 
Control.
    (d) If it is unclear whether an entry, withdrawal or other action 
affected by this section requires a specific license from the Office of 
Foreign Assets Control, the appropriate Customs officer may withhold 
any action thereon and shall advise such person to communicate directly 
with the Office of Foreign Assets Control to request that instructions 
be sent to the Customs officer to authorize him to take action with 
regard thereto.


Sec. 560.807  Rules governing availability of information.

    (a) The records of the Office of Foreign Assets Control which are 
required by 5 U.S.C. 552 to be made available to the public shall be 
made available in accordance with the definitions, procedures, payment 
of fees, and other provisions of the Regulations on the Disclosure of 
Records of the Office of the Secretary and of other bureaus and offices 
of the Department of Treasury issued pursuant to 5 U.S.C. 552 and 
published at 31 CFR part 1.
    (b) The records of the Office of Foreign Assets Control required by 
the Privacy Act (5 U.S.C. 552a) to be made available to an individual 
shall be made available in accordance with the definitions, procedures, 
requirements for payment of fees, and other provisions of the 
Regulations on Disclosure of Records of the Departmental Offices and of 
other bureaus and offices of the Department of the Treasury issued 
under 5 U.S.C. 552a and published at 31 CFR part 1.
    (c) Any form issued for use in connection with the Iranian 
Transactions Regulations may be obtained in person or by writing to the 
Office of Foreign Assets Control, Department of the Treasury, 1500 
Pennsylvania Avenue, NW--Annex, Washington, DC 20220 or by calling 202/
622-2480.

Subpart I--Paperwork Reduction Act


Sec. 560.901  Paperwork Reduction Act notice.

    The information collection requirements in Secs. 560.601, 560.602, 
and 560.801 have been approved by the Office of Management and Budget 
and assigned control number 1505-0106.

    Dated: August 23, 1995.
R. Richard Newcomb,
Director, Office of Foreign Assets Control.
    Approved: August 28, 1995.
John P. Simpson,
Deputy Assistant Secretary (Regulatory, Tariff and Trade Enforcement).
[FR Doc. 95-22387 Filed 9-6-95; 5:01 pm]
BILLING CODE 4810-25-F