[Federal Register Volume 62, Number 164 (Monday, August 25, 1997)]
[Rules and Regulations]
[Pages 45098-45114]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-22378]
[[Page 45097]]
_______________________________________________________________________
Part V
Department of the Treasury
_______________________________________________________________________
Office of Foreign Assets Control
_______________________________________________________________________
31 CFR Part 500, et al.
Reporting and Procedures Regulations; Consolidation and Standardization
of Information Collection Provisions, Etc.; Final Rule
Federal Register / Vol. 62, No. 164 / Monday, August 25, 1997 / Rules
and Regulations
[[Page 45098]]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Parts 500, 501, 505, 515, 535, 536, 550, 560, 575, 585, 590,
595, and 596
Reporting and Procedures Regulations: Consolidation of
Information Collections; Annual Reports on Blocked Assets and Retained
Transfers; Reports on Rejected Transfers; Reports on Litigation;
Procedure for Releasing Funds Believed to Have Been Blocked Due to
Mistaken Identity; Procedure For Removal From the Lists of Blocked
Persons and Vessels
AGENCY: Office of Foreign Assets Control, Treasury.
ACTION: Final rule; amendments.
-----------------------------------------------------------------------
SUMMARY: The Office of Foreign Assets Control (``OFAC'') is issuing the
Reporting and Procedures Regulations. This new part simplifies--by
consolidating and standardizing in a single part--common provisions on
collections of information in existing OFAC regulations. Those
collections are eliminated from the individual parts of 31 CFR chapter
V. This final rule includes an initial and annual requirement to report
on blocked assets or retained funds transfers--as well as periodic
reports on funds transfers rejected by U.S. financial institutions--for
administrative and foreign policy formulation purposes. The rule also
requires reports on U.S. litigation and other dispute resolution
proceedings where the proceedings may affect blocked assets or funds
retained by banks that have stopped violative transfers. In addition,
new procedures are set forth for persons seeking the unblocking of
funds they believe have been blocked due to mistaken identity, or
seeking administrative review of their designation or that of a vessel
as blocked. Finally, the reporting requirements and licensing and other
procedures of the new part are made applicable to transactions that
have become subject to economic sanctions programs for which
implementation and administration are delegated to the Office of
Foreign Assets Control. The final rule also makes conforming amendments
and technical corrections to the various parts of 31 CFR chapter V.
EFFECTIVE DATE: August 25, 1997.
FOR FURTHER INFORMATION CONTACT: Daniel A. Yorks, Blocked Assets
Division (tel.: 202/622-2440); Dennis P. Wood, Chief, Compliance
Programs Division (tel.: 202/622-2490); or William B. Hoffman, Chief
Counsel (tel.: 202/622-2410), Office of Foreign Assets Control,
Department of the Treasury, Washington, DC 20220.
SUPPLEMENTARY INFORMATION:
Electronic and Facsimile 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 202/512-1530 for
disk or paper copies. This file is available for downloading without
charge in WordPerfect 5.1, ASCII, and Adobe Acrobat TM readable (*.PDF)
formats. For Internet access, the address for use with the World Wide
Web (Home Page), Telnet, or FTP protocol is: fedbbs.access.gpo.gov. The
document is also accessible for downloading in ASCII format without
charge from Treasury's Electronic Library (``TEL'') in the ``Business,
Trade and Labor Mall'' of the FedWorld bulletin board. By modem, dial
703/321-3339, and select the self-extracting file T11FR00.EXE in TEL.
For Internet access, use one of the following protocols: Telnet =
fedworld.gov (192.239.93.3); World Wide Web (Home Page) = http://
www.fedworld.gov; FTP = ftp.fedworld.gov (192.239.92.205). Additional
information concerning the programs of the Office of Foreign Assets
Control is available for downloading from the Office's Internet Home
Page: http://www.ustreas.gov/treasury/services/fac/fac.html, or in fax
form through the Office's 24-hour fax-on-demand service: call 202/622-
0077 using a fax machine, fax modem, or (within the United States) a
touch-tone telephone.
Background
The Office of Foreign Assets Control (``OFAC'') is adding a new
part 501 to 31 CFR chapter V (``chapter V''), consolidating and
standardizing general information collections and license application
and other procedures currently authorized under the Paperwork Reduction
Act of 1995 (the ``PRA'') and contained in the Foreign Assets Control
Regulations (part 500), Regulations Prohibiting Transactions Involving
the Shipment of Certain Merchandise Between Foreign Countries (part
505), Cuban Assets Control Regulations (part 515), Iranian Assets
Control Regulations (part 535), Narcotics Trafficking Sanctions
Regulations (part 536), Libyan Sanctions Regulations (part 550),
Iranian Transactions Regulations (part 560), Iraqi Sanctions
Regulations (part 575), Federal Republic of Yugoslavia (Serbia &
Montenegro) and Bosnian Serb-Controlled Areas of the Republic of Bosnia
and Herzegovina Sanctions Regulations (part 585), Unita (Angola)
Sanctions Regulations (part 590), Terrorism Sanctions Regulations (part
595), and Terrorism List Governments Sanctions Regulations (part 596).
Part 501 also makes these information collections and licensing and
other procedures applicable to transactions that have become subject to
economic sanctions programs for which implementation and administration
are delegated to OFAC, but for which implementing regulations have not
yet been issued. This is intended to provide standardized procedures
for requesting licenses and other actions, as well as common
recordkeeping and reporting requirements, that will be familiar to the
public and immediately available upon the imposition of future
sanctions programs delegated to OFAC for implementation.
Section 501.601 consolidates OFAC recordkeeping requirements and
standardizes record retention periods at 5 years from the date of a
transaction subject to the prohibitions in chapter V and 5 years from
the date property blocked or retained (see Sec. 596.504(b) of part 596)
under chapter V is unblocked or released. Section 501.602 consolidates
provisions requiring reports at OFAC's demand concerning transactions
or property subject to the prohibitions in chapter V. These provisions
were previously found in subpart F of the individual parts of chapter
V.
New Sec. 501.603 establishes a comprehensive reporting system for
property blocked pursuant to chapter V or retained pursuant to
Sec. 596.504(b) of the Terrorism List Governments Sanctions
Regulations, 31 CFR part 596 (the ``TLGSR''). Section 501.603 imposes
an affirmative obligation to report information regarding such property
within 10 days of the date the property is blocked or funds retained.
Reports must thereafter be filed on a cumulative and comprehensive
annual basis with respect to blocked property or retained funds. The
reporting requirement with respect to blocked property applies to any
form of tangible or intangible ``property'' (as defined in the
individual parts contained in chapter V) that is blocked pursuant to
chapter V. The first annual report is due on September 30, 1997.
The initial and annual reporting requirement in Sec. 501.603
replaces the current requirements contained in subparts E and F of the
individual parts of chapter V for registration by any
[[Page 45099]]
person, including financial institutions (which term includes the terms
``banking institution'' in parts 500, 515, and 550, ``depository
institution'' in part 515, ``domestic bank'' in parts 500, 515, 535,
and 550, ``financial institution'' in part 596, ``United States
depository institution'' in part 560, and ``U.S. financial
institution'' in parts 536, 575, 585, and 595), of blocked property
with OFAC and for designating a person to contact for information
concerning blocked property. The annual report form (Form TDF 90-22.50)
is available by calling the fax-on-demand service maintained by the
Office of Foreign Assets Control at 202/622-0077, or by downloading the
form from the ``OFAC Press Releases and Miscellaneous Documents'' file
library (``FAC__MISC'') located on the Government Printing Office's
Federal Bulletin Board Online via GPO Access (Internet site: http://
fedbbs.access.gpo.gov/libs/fac__misc.htm). The report form is also
added as an appendix to this document, but will not be published in
chapter V. OFAC invites and will consider on a case-by-case basis
requests to submit the information required in the annual report in
alterative formats. The reporting requirements of Sec. 501.603 are
necessary to monitor compliance with regulatory requirements, to
address issues involving U.S. government and private claims, and to
support related diplomatic negotiations.
New Sec. 501.604 requires U.S. financial institutions to report
funds transfers that are rejected where the funds themselves are not
blocked under chapter V, but where the processing of the transfer would
nonetheless facilitate an underlying transaction that is prohibited
under other provisions contained in chapter V. Examples of instances
wherein funds are rejected and this reporting requirement is applicable
include funds transfer instructions (1) referencing a blocked vessel in
the absence of references to blocked parties or financial institutions,
(2) sending funds to a person in Iraq, (3) transferring unlicensed
gifts or charitable donations from the Government of Syria or Sudan to
a U.S. person, (4) crediting Iranian accounts on the books of a U.S.
financial institution, and (5) making unauthorized transfers from U.S.
persons to Iran or the Government of Iran. This reporting requirement
is necessary to monitor compliance with regulatory requirements and
replaces the current requirement in Sec. 596.603 of the TLGSR that
financial institutions report rejected funds transfers pursuant to that
section.
New Sec. 501.605 requires that parties involved in litigation,
arbitration, or other binding alternative dispute resolution
proceedings in the United States on behalf of or against persons whose
property is blocked or required to be retained under chapter V--or
where the outcome of any proceeding may affect blocked property or
retained funds--provide notice of the proceedings to OFAC, as well as
copies of certain documents pertaining to the proceedings. They must
also notify OFAC of certain judicial or similar actions that may affect
blocked property or retained funds, and notify the court or other
adjudicatory body of applicable regulatory restrictions on transfers of
blocked property or retained funds. This reporting requirement is
necessary to ensure that blocked property or retained funds are not
intentionally or inadvertently transferred by judicial or similar
action except as authorized by OFAC. This requirement also replaces
identical reporting requirements previously contained in specific
licenses authorizing payment of attorneys' fees by blocked persons from
unblocked sources.
New Sec. 501.606 makes these reporting requirements in subpart C of
part 501 applicable to transactions subject to economic sanctions
programs for which implementation and administration have been
delegated to the Office of Foreign Assets Control.
Sections 501.801-501.805 include most of the material previously
contained in subpart H of the individual parts of chapter V governing
licensing procedures and procedures relating to administrative
decisions; amendments, modifications, or revocations of licenses;
rulemaking; and requests for documents pursuant to the Freedom of
Information and Privacy Acts.
Section 501.801 provides procedures for requesting specific
licenses, including application procedures under those statements of
licensing policy contained in subpart E of the individual parts in
chapter V, which note the availability of specific licenses for
particular categories of transactions but do not establish requirements
for the submission of specific information.
Information collection provisions that require production of
specified documentation unique to a given general license or statement
of licensing policy will continue to be authorized separately under the
PRA. Examples include statements of licensing policy contained in
subpart E of the individual parts in chapter V that require the
submission of particular, specified documents and/or information in
license applications; quarterly reports by U.S. persons on certain
Iran-related oil transactions by foreign affiliates pursuant to
Sec. 560.603 of chapter V; and censuses of blocked property and claims
previously conducted under sanctions programs administered against
Cambodia, Vietnam, and Libya.
This final rule institutes new administrative procedures in
Sec. 501.806 for requesting the unblocking of funds believed to have
been blocked due to mistaken identity. New administrative procedures
are also set forth in Sec. 501.807 for persons seeking administrative
reconsideration of their designation or that of a vessel as blocked, or
who wish to assert that the circumstances resulting in the designation
are no longer applicable. Denial of an application for removal from the
list of designees subject to the applicable prohibitions of chapter V
(see appendices A, B, and C to chapter V) constitutes final agency
action for purposes of judicial review. These procedures standardize
and codify collections of information for these purposes that were
previously made by individual requests for specific licenses.
New Sec. 501.808 makes these license application and other
procedures in subpart D of part 501 applicable to transactions that
have become subject to economic sanctions programs for which
implementation and administration are delegated to the Office of
Foreign Assets Control, but for which implementing regulations have not
yet been issued.
This final rule also makes a technical correction to the civil
penalty provisions of each affected sanctions program to note that the
Civil Penalties Inflation Adjustment Act of 1990, as amended by the
Debt Collection Improvement Act of 1996, required adjustments to civil
penalties, but did not ``amend'' the underlying statutes authorizing
imposition of those penalties. These changes are made to Sec. 701(a) of
parts 500, 515, 535, 550, 560, 575, 585, 590, and 595.
Since this final rule involves a foreign affairs function,
Executive Order 12886 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.
Paperwork Reduction Act
The Reporting and Procedures Regulations are being issued without
prior notice and public comment procedure pursuant to the
Administrative Procedure Act (5 U.S.C. 553). Pursuant to the Paperwork
Reduction Act of 1995 (44 U.S.C. 3507),
[[Page 45100]]
the collections of information contained in the Regulations have been
submitted to and approved by the Office of Management and Budget
(``OMB'') pending public comment, and have been assigned control number
1505-0164. An agency may not conduct or sponsor, and a person is not
required to respond to, a collection of information unless it displays
a valid control number assigned by OMB.
Collections of information previously authorized are contained in
Secs. 501.601-501.602 and 501.801-501.805. Section 501.601 relates to
the maintenance of records and Sec. 501.602 relates to OFAC demands for
information. These provisions were previously contained in subpart F of
the individual parts of chapter V. Sections 501.801-501.805 relate to
licensing, decisionmaking, amendment, modification or revocation,
rulemaking, and document request procedures previously set forth in
subpart H of the individual parts of chapter V.
The new collections of information are contained in Secs. 501.603,
501.604, 501.605, 501.806, and 501.807. Section 501.603 imposes
reporting requirements pertaining to blocked assets and retained funds
transfers. This information is required by OFAC to monitor compliance
with regulatory requirements, to support diplomatic negotiations
concerning the targets of sanctions, and to support settlement
negotiations addressing U.S. claims. Section 501.604 requires the
filing of reports for compliance purposes by U.S. financial
institutions where a funds transfer is not required to be blocked but
is rejected because the underlying transaction is otherwise prohibited.
Section 501.605 requires reporting of information pertaining to
litigation, arbitration, and other binding alternative dispute
resolution proceedings in the United States to prevent the intentional
or inadvertent transfer through such proceedings of blocked property or
retained funds. Section 501.806 sets forth the procedures to be
followed by a person seeking to have funds released at a financial
institution if the person believes that the funds were blocked due to
mistaken identity. Section 501.807 sets forth the procedures to be
followed by persons seeking administrative reconsideration of their
designation or that of a vessel as blocked, or who wish to assert that
the circumstances resulting in the designation are no longer
applicable.
The likely respondents and recordkeepers affected by the
information collections contained in part 501 are financial
institutions, business organizations, and legal representatives.
The estimated total annual reporting and/or recordkeeping burden:
10,000 hours. The estimated annual burden per respondent/record keeper
varies from thirty minutes to 10 hours, depending on individual
circumstances, with an estimated average of 1.25 hours. Estimated
number of respondents and/or record keepers: 8,000. Estimated annual
frequency of responses: 1-12.
Comments are invited on: (a) Whether these new or restated
collections of information are necessary for the proper performance of
the functions of the agency, including whether the information has
practical utility; (b) the accuracy of the agency's estimate of the
burden of the collections of information; (c) ways to enhance the
quality, utility, and clarity of the information to be collected; (d)
ways to minimize the burden of the collection of information on
respondents, including through the use of automated collection
techniques or other forms of information technology; and (e) estimates
of capital or start-up costs and costs of operation, maintenance, and
purchase of services to provide information.
Comments concerning the above information, the accuracy of
estimated average annual burden, and suggestions for reducing this
burden should be directed to OMB, Paperwork Reduction Project, control
number 1505-0164, Washington, DC '20503, with a copy to the Office of
Foreign Assets Control, Department of the Treasury, 1500 Pennsylvania
Ave., NW--Annex, Washington, D.C. 20220. Any such comments should be
submitted not later than October 24, 1997. Comments on aspects of this
final rule other than those involving collections of information
subject to the PRA should not be sent to OMB.
List of Subjects
31 CFR Part 500
Administrative practice and procedure, Banks, banking, Blocking of
assets, Cambodia, Exports, Finance, Foreign claims, Foreign investment
in the United States, Foreign trade, Imports, Information and
informational materials, International organizations, North Korea,
Penalties, Publications, Reporting and recordkeeping requirements,
Securities, Services, Specially designated nationals, Terrorism, Travel
restrictions, Trusts and estates, Vietnam.
31 CFR Part 501
Administrative practice and procedure, Banks, banking, Blocking of
assets, Foreign trade, Reporting and recordkeeping requirements
31 CFR Part 505
Administrative practice and procedure, Banks, banking, COCOM,
Communist countries, Exports, Finance, Foreign trade, Penalties,
Reporting and recordkeeping requirements.
31 CFR Part 515
Administrative practice and procedure, Air carriers, Banks,
banking, Blocking of assets, Cuba, Currency, Estates, Exports, Foreign
investment in the United States, Foreign trade, Imports, Informational
materials, Penalties, Publications, Reporting and recordkeeping
requirements, Securities, Shipping, Specially designated nationals,
Terrorism, Travel restrictions, Trusts and trustees, Vessels.
31 CFR Part 535
Administrative practice and procedure, Banks, banking, Blocking of
assets, Currency, Foreign investment in the United States, Iran,
Penalties, Reporting and recordkeeping requirements, Securities,
Terrorism.
31 CFR Part 536
Administrative practice and procedure, Banks, banking, Blocking of
assets, Narcotics trafficking, Penalties, Reporting and recordkeeping
requirements, Specially designated narcotics traffickers, Transfer of
assets.
31 CFR Part 550
Administrative practice and procedure, Banks, banking, Blocking of
assets, Exports, Foreign investment, Foreign trade, Government of
Libya, Imports, Libya, Loans, Penalties, Reporting and recordkeeping
requirements, Securities, Services, Specially designated nationals,
Terrorism, Travel restrictions.
31 CFR Part 560
Administrative practice and procedure, Agriculture commodities,
Banks, banking, Exports, Foreign trade, Imports, Information,
Investments, Iran, Loans, Penalties, Reporting and recordkeeping
requirements, Services, Specially designated nationals, Terrorism,
Transportation.
31 CFR Part 575
Administrative practice and procedure, Banks, banking, Blocking of
assets, Exports, Foreign trade, Humanitarian aid, Imports, Iraq, Oil
imports, Penalties, Petroleum, Petroleum products, Reporting and
recordkeeping requirements, Specially designated nationals, Terrorism,
Travel restrictions.
[[Page 45101]]
31 CFR Part 585
Administrative practice and procedure, Banks, banking, Blocking of
assets, Bosnian Serbs, Exports, Federal Republic of Yugoslavia (Serbia
and Montenegro), Foreign trade, Imports, Intellectual property, Loans,
Penalties, Reporting and recordkeeping requirements, Securities,
Services, Shipping, Telecommunications, Transfer of assets, Vessels.
31 CFR Part 590
Administrative practice and procedure, Angola, Exports, Foreign
trade, National Union for the Total Independence of Angola, Penalties,
Reporting and recordkeeping requirements, Shipping, UNITA, Vessels.
31 CFR Part 595
Administrative practice and procedure, Banks, banking, Blocking of
assets, Penalties, Reporting and recordkeeping requirements, Specially
designated terrorists, Terrorism, Transfer of assets.
31 CFR Part 596
Administrative practice and procedure, Banks, banking, Cuba,
Penalties, Iran, Iraq, Libya, North Korea, Reporting and recordkeeping
requirements, Sudan, Syria, Terrorism, Transfer of assets.
For the reasons set forth in the preamble, 31 CFR chapter V is
amended as follows:
PART 500--FOREIGN ASSETS CONTROL REGULATIONS
1. The authority citation for part 500 is revised to read as
follows:
Authority: 18 U.S.C. 2332d; 31 U.S.C. 321(b); 50 U.S.C. App. 1-
44; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note); E.O. 9193,
7 FR 5205, 3 CFR, 1938-1943 Comp., p. 1174; E.O. 9989, 13 FR 4891, 3
CFR, 1943-1948 Comp., p. 748.
1a. The heading of subpart A is revised to read as follows:
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 500.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 500.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 500.201 is amended by adding new paragraph (e) to read
as follows:
Sec. 500.201 Transactions involving designated foreign countries or
their nationals; effective date.
* * * * *
(e) When a transaction results in the blocking of funds at a
banking institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. The note at the end of Sec. 500.306 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 500.306 Specially designated national.
* * * * *
Note to Sec. 500.306: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation or that of a
vessel as blocked, or who wish to assert that the circumstances
resulting in the designation are no longer applicable.
Subpart E--Licenses, Authorizations and Statements of Licensing
Policy
5. Section 500.508 is amended by removing paragraph (f) and by
adding a note to the end of the section to read as follows:
Sec. 500.508 Payments to blocked accounts in domestic banks.
* * * * *
Note to Sec. 500.508: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 500.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 500.701 [Amended]
7. Section 500.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
8. Section 500.801 is revised to read as follows:
Sec. 500.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 500.802--500.806 and 500.809 [Removed]
8a. Sections 500.802 through 500.806 and 500.809 are removed.
Secs. 500.807 and 500.808 [Redesignated as Secs. 500.802 and 500.803]
8b. Sections 500.807 and 500.808 are redesignated as Secs. 500.802
and 500.803, respectively.
Subpart I--Miscellaneous Provisions
9. Section 500.901 is revised to read as follows:
Sec. 500.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
10. Part 501 is added to read as follows:
PART 501--REPORTING AND PROCEDURES REGULATIONS
Subpart A--Relation of This Part to Other Parts in This Chapter
Sec.
501.101 Relation of this part to other parts in this chapter.
Subpart B--Definitions
501.301 Definitions.
Subpart C--Reports
501.601 Records and recordkeeping requirements.
501.602 Reports to be furnished on demand.
501.603 Reports on blocked property.
501.604 Reports by U.S. financial institutions on rejected funds
transfers.
501.605 Reports on litigation, arbitration, and dispute resolution
proceedings.
[[Page 45102]]
501.606 Reporting and recordkeeping requirements applicable to
economic sanctions programs.
Subpart D--Procedures
501.801 Licensing.
501.802 Decisions.
501.803 Amendment, modification, or revocation.
501.804 Rulemaking.
501.805 Rules governing availability of information.
501.806 Procedures for unblocking funds believed to have been
blocked due to mistaken identity.
501.807 Procedures governing removal of names from appendices A, B,
and C to this chapter.
501.808 License application and other procedures applicable to
economic sanctions programs.
Subpart E--Paperwork Reduction Act
501.901 Paperwork Reduction Act notice.
Authority: 22 U.S.C. 287c; 31 U.S.C. 321(b); 50 U.S.C. 1701-
1706; 50 U.S.C. App. 1-44.
Subpart A--Relation of This Part to Other Parts in This Chapter
Sec. 501.101 Relation of this part to other parts in this chapter.
This part sets forth standard reporting and recordkeeping
requirements and license application and other procedures governing
transactions regulated pursuant to other parts codified in this
chapter, as well as to economic sanctions programs for which
implementation and administration are delegated to the Office of
Foreign Assets Control. Substantive prohibitions and policies
particular to each economic sanctions program are not contained in this
part but are set forth in the particular part of this chapter dedicated
to that program, or, in the case of economic sanctions programs not yet
implemented in regulations, in the applicable executive order or other
authority. License application procedures and reporting requirements
set forth in this part govern transactions undertaken pursuant to
general or specific licenses, the criteria for which are set forth in
subpart E of the individual parts in this chapter. Statements of
licensing policy contained in subpart E of the individual parts in this
chapter, however, may contain additional information collection
provisions that require production of specified documentation unique to
a given general license or statement of licensing policy.
Subpart B--Definitions
Sec. 501.301 Definitions.
Definitions of terms used in this part are found in subpart C of
the part within this chapter applicable to the relevant application,
record, report, procedure or transaction. In the case of economic
sanctions programs for which implementation and administration are
delegated to the Office of Foreign Assets Control but for which
regulations have not yet been issued, the definitions of terms in this
part are governed by definitions contained in the implementing statute
or Executive order.
Subpart C--Reports
Sec. 501.601 Records and recordkeeping requirements.
Except as otherwise provided, every person engaging in any
transaction subject to the provisions of this chapter shall keep a full
and accurate record of each such transaction engaged in, regardless of
whether such transaction is effected pursuant to license or otherwise,
and such record shall be available for examination for at least 5 years
after the date of such transaction. Except as otherwise provided, every
person holding property blocked pursuant to the provisions of this
chapter or funds transfers retained pursuant to Sec. 596.504(b) of this
chapter shall keep a full and accurate record of such property, and
such record shall be available for examination for the period of time
that such property is blocked and for at least 5 years after the date
such property is unblocked.
Sec. 501.602 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 by the Director, Office of Foreign Assets Control, complete
information relative to any transaction, regardless of whether such
transaction is effected pursuant to license or otherwise, subject to
the provisions of this chapter or relative to any property in which any
foreign country or any national thereof has any interest of any nature
whatsoever, direct or indirect. The Director may require that such
reports 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
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. 501.603 Reports on blocked property.
(a) Who must report--(1) Holders of blocked property. Any person,
including a financial institution, holding property blocked pursuant to
this chapter must report. The requirement includes financial
institutions that receive and block payments or transfers. This
requirement is mandatory and applies to all U.S. persons (or persons
subject to U.S. jurisdiction in the case of parts 500 and 515 of this
chapter) who have in their possession or control any property or
interests in property blocked pursuant to this chapter.
(2) Primary responsibility to report. A report may be filed on
behalf of a holder of blocked property by an attorney, agent, or other
person. Primary responsibility for reporting blocked property, however,
rests with the actual holder of the property, or the person exercising
control over property located outside the United States, with the
following exceptions: primary responsibility for reporting any trust
assets rest with the trustee; and primary responsibility for reporting
real property rests with any U.S. co-owner, legal representative,
agent, or property manager in the United States. No person is excused
from filing a report by reason of the fact that another person has
submitted a report with regard to the same property, except upon actual
knowledge of the report filed by such other person. Reports filed are
regarded as privileged and confidential.
(3) Financial institutions. For purposes of this section, the term
``financial institution'' shall include a banking institution, domestic
bank, United States depository institution, financial institution, or
U.S. financial institution, as those terms are defined in the
applicable part of this chapter.
(b) What must be reported--(1) Initial reports--(i) When reports
are due. Reports are required to be filed within 10 business days from
the date that property becomes blocked. This reporting requirement
includes payments or transfers that are received and blocked by
financial institutions.
(ii) Contents of reports. Initial reports on blocked property shall
describe the owner or account party, the property, its location, any
existing or new account number or similar reference necessary to
identify the property, actual or estimated value and the date it was
blocked, and shall include the name and
[[Page 45103]]
address of the holder, along with the name and telephone number of a
contact person from whom compliance information can be obtained. If the
report is filed by a financial institution and involves the receipt of
a payment or transfer of funds which are blocked by the financial
institution, the report shall also include a photocopy of the payment
or transfer instructions received and shall confirm that the payment
has been deposited into a new or existing blocked account which is
labeled as such and is established in the name of, or contains a means
of clearly identifying the interest of, the individual or entity
subject to blocking pursuant to the requirements of this chapter.
(2) Annual reports--(i) When reports are due. A comprehensive
report on all blocked property held as of June 30 of the current year
shall be filed annually by September 30. The first annual report is due
September 30, 1997.
(ii) Contents of reports. Annual reports shall be filed using Form
TDF 90-22.50, Annual Report of Blocked Property. Copies of Form TDF 90-
22.50 may be obtained directly from the Office of Foreign Assets
Control, by calling the fax-on-demand service maintained by the Office
of Foreign Assets Control at 202/622-0077, or by downloading the form
from the ``OFAC Press Releases and Miscellaneous Documents'' file
library (``FAC__MISC'') located on the Government Printing Office's
Federal Bulletin Board Online via GPO Access (Internet site: http://
fedbbs.access.gpo.gov/libs/fac__misc.htm). Photocopies of the report
form may be used. Requests to submit the information required on Form
TDF 90-22.50 in an alternative format developed by the reporter are
invited and will be considered by the Office of Foreign Assets Control
on a case-by-case basis. A copy of reports filed using form TDF 90-
22.50 or in alternative formats must be retained for the reporter's
records.
(c) Reports on retained funds pursuant to Sec. 596.504(b) of this
chapter. The reporting requirements set forth in this section are
applicable to any financial institution retaining funds pursuant to
Sec. 596.504(b) of this chapter, except that the account name shall
reflect the name of the person whose interest required retention of the
funds.
(d) Where to report. All reports must be filed with the Office of
Foreign Assets Control, Compliance Programs Division, U.S. Treasury
Department, 1500 Pennsylvania Avenue NW--Annex, Washington, DC 20220.
Sec. 501.604 Reports by U.S. financial institutions on rejected funds
transfers.
(a) Who must report. Any financial institution that rejects a funds
transfer where the funds are not blocked under the provisions of this
chapter, but where processing the transfer would nonetheless violate,
or facilitate an underlying transaction that is prohibited under, other
provisions contained in this chapter, must report. For purposes of this
section, the term ``financial institution'' shall include a banking
institution, depository institution or United States depository
institution, domestic bank, financial institution or U.S. financial
institution, as those terms are defined in the applicable part of this
chapter.
(b) Rejected transfers. Examples of transactions involving rejected
funds transfers include funds transfer instructions:
(1) Referencing a blocked vessel but where none of the parties or
financial institutions involved in the transaction is a blocked person;
(2) Sending funds to a person in Iraq;
(3) Transferring unlicensed gifts or charitable donations from the
Government of Syria or Sudan to a U.S. person;
(4) Crediting Iranian accounts on the books of a U.S. financial
institution; and
(5) Making unauthorized transfers from U.S. persons to Iran or the
Government of Iran.
(c) When reports are due. Reports are required to be filed within
10 business days by any financial institution rejecting instructions to
execute payments or transfers involving underlying transactions
prohibited by the provisions of this chapter.
(d) What must be reported. The report shall include the name and
address of the transferee financial institution, the date of the
transfer, the amount of the payment transfer, and a photocopy of the
payment or transfer instructions received, and shall state the basis
for the rejection of the transfer instructions. The report shall also
provide the name and telephone number of a contact person at the
transferee financial institution from whom compliance information may
be obtained.
(e) Where to report. Reports must be filed with the Office of
Foreign Assets Control, Compliance Programs Division, U.S. Treasury
Department, 1500 Pennsylvania Avenue NW--Annex, Washington, DC 20220.
Sec. 501.605 Reports on litigation, arbitration, and dispute
resolution proceedings.
(a) U.S. persons (or persons subject to the jurisdiction of the
United States in the case of parts 500 and 515 of this chapter)
participating in litigation, arbitration, or other binding alternative
dispute resolution proceedings in the United States on behalf of or
against persons whose property or interests in property are blocked or
whose funds have been retained pursuant to Sec. 596.504(b) of this
chapter, or when the outcome of any proceeding may affect blocked
property or retained funds, must:
(1) Provide notice of such proceedings upon their commencement or
upon submission or receipt of documents bringing the proceedings within
the terms of the introductory text to this paragraph (a);
(2) Submit copies of all pleadings, motions, memoranda, exhibits,
stipulations, correspondence, and proposed orders or judgments
(including any proposed final judgment or default judgment) submitted
to the court or other adjudicatory body, and all orders, decisions,
opinions, or memoranda issued by the court, to the Chief Counsel,
Office of Foreign Assets Control, U.S. Department of the Treasury, 1500
Pennsylvania Avenue, NW--Annex, Washington, DC 20220, within 10 days of
filing, submission or issuance. This paragraph (a)(2) shall not apply
to discovery requests or responses, documents filed under seal, or
requests for procedural action not seeking action dispositive of the
proceedings (such as requests for extension of time to file); and
(3) Report by immediate facsimile transmission to the Chief
Counsel, Office of Foreign Assets Control, at facsimile number 202/622-
1911, the scheduling of any hearing or status conference in the
proceedings whenever it appears that the court or other adjudicatory
body may issue an order or judgment in the proceedings (including a
final judgment or default judgment) or is considering or may decide any
pending request dispositive of the merits of the proceedings or of any
claim raised in the proceedings.
(b) The reporting requirements of paragraph (a) of this section do
not apply to proceedings to which the Office of Foreign Assets Control
is a party.
(c) Persons initiating proceedings subject to the reporting
requirements of this section must notify the court or other
adjudicatory body of the restrictions set forth under the applicable
part in this chapter governing the transfer of blocked property or
funds retained pursuant to Sec. 596.504(b) of this chapter, including
the prohibition on any unlicensed attachment, judgment, decree, lien,
execution, garnishment or other judicial process with respect to
[[Page 45104]]
any property in which, on or after the applicable effective date, there
existed an interest of any person whose property and property interests
were subject to blocking pursuant to this chapter or were subject to
retention pursuant to Sec. 596.504(b) of this chapter.
Sec. 501.606 Reporting and recordkeeping requirements applicable to
economic sanctions programs.
The reporting and recordkeeping requirements set forth in this
subpart are applicable to economic sanctions programs for which
implementation and administration have been delegated to the Office of
Foreign Assets Control.
Subpart D--Procedures
Sec. 501.801 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 chapter. All
such licenses are set forth in subpart E of each part contained in this
chapter. General licenses may also be issued authorizing under
appropriate terms and conditions certain types of transactions which
are subject to prohibitions contained in economic sanctions programs
the implementation and administration of which have been delegated to
the Director of the Office of Foreign Assets Control but which are not
yet codified in this chapter. 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 authority of the
general license.
(b) Specific licenses--(1) General course of procedure.
Transactions subject to the prohibitions contained in this chapter, or
to prohibitions the implementation and administration of which have
been delegated to the Director of the Office of Foreign Assets Control,
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 chapter or sanctions programs that have been delegated to the
Director of the Office of Foreign Assets Control for implementation and
administration 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 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 in such application. Applicants are required
to supply their taxpayer identifying number pursuant to 31 U.S.C. 7701,
which number may be used for purposes of collecting and reporting on
any delinquent amounts arising out of the applicant's relationship with
the United States Government. 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 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.
(7) Address. License applications, reports, and inquiries should be
addressed to the appropriate division or individual within the Office
of Foreign Assets Control, or to its Director, at the following
address: Office of Foreign Assets Control, U.S. Department of the
Treasury, 1500 Pennsylvania Avenue, NW--Annex, Washington, DC 20220.
Sec. 501.802 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. 501.803 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. 501.804 Rulemaking.
(a) All rules and other public documents are issued by 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.
(b) Any interested person may petition the Director of the Office
of Foreign Assets Control in writing for the issuance, amendment, or
repeal of any rule.
Sec. 501.805 Rules governing availability of information.
(a) The records of the Office of Foreign Assets Control which are
required by the Freedom of Information Act (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 Departmental Offices
and of other bureaus and offices of the Department of the Treasury
issued under 5 U.S.C. 552 and published at 31 CFR part 1.
(b) The records of the Office of Foreign Assets Control which are
required by the Privacy Act (5 U.S.C. 552a) to be made available to an
[[Page 45105]]
individual shall be made available in accordance with the definitions,
procedures, requirements for payment of fees, and other provisions of
the Regulations on the 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 this chapter may be
obtained in person or by writing to the Office of Foreign Assets
Control, U.S. Department of the Treasury, 1500 Pennsylvania Avenue,
NW--Annex, Washington, DC 20220, or by calling 202/622-2480.
Sec. 501.806 Procedures for unblocking funds believed to have been
blocked due to mistaken identity.
When a transaction results in the blocking of funds at a financial
institution pursuant to the applicable regulations of this chapter and
a party to the transaction believes the funds have been blocked due to
mistaken identity, that party may seek to have such funds unblocked
pursuant to the following administrative procedures:
(a) Any person who is a party to the transaction may request the
release of funds which the party believes to have been blocked due to
mistaken identity.
(b) Requests to release funds which a party believes to have been
blocked due to mistaken identity must be made in writing and addressed
to the Office of Foreign Assets Control, 1500 Pennsylvania Avenue, NW--
Annex, Washington, DC 20220, or sent by facsimile transmission to 202/
622-1657.
(c) The written request to release funds must include the name,
address, telephone number, and (where available) fax number of the
party seeking the release of the funds. For individuals, the inclusion
of a social security number is voluntary but will facilitate resolution
of the request. For corporations or other entities, the application
should include its principal place of business, the state of
incorporation or organization, and the name and telephone number of the
appropriate person to contact regarding the application.
(d) A request to release funds should include the following
information, where known, concerning the transaction:
(1) The name of the financial institution in which the funds are
blocked;
(2) The amount blocked;
(3) The date of the blocking;
(4) The identity of the original remitter of the funds and any
intermediary financial institutions;
(5) The intended beneficiary of the blocked transfer;
(6) A description of the underlying transaction including copies of
related documents (e.g., invoices, bills of lading, promissory notes,
etc.);
(7) The nature of the applicant's interest in the funds; and
(8) A statement of the reasons why the applicant believes the funds
were blocked due to mistaken identity.
(e) Upon receipt of the materials required by paragraph (d) of this
section, OFAC may request additional material from the applicant
concerning the transaction pursuant to Sec. 501.602.
(f) Following review of all applicable submissions, the Director of
the Office of Foreign Assets Control will determine whether to release
the funds. In the event the Director determines that the funds should
be released, the Office of Foreign Assets Control will direct the
financial institution to return the funds to the appropriate party.
(g) For purposes of this section, the term ``financial
institution'' shall include a banking institution, depository
institution or United States depository institution, domestic bank,
financial institution or U.S. financial institution, as those terms are
defined in the applicable part of this chapter.
Sec. 501.807 Procedures governing removal of names from appendices A,
B, and C to this chapter.
Persons seeking administrative reconsideration of their designation
or that of a vessel as blocked, or who wish to assert that the
circumstances resulting in the designation are no longer applicable,
may seek to have the designation rescinded pursuant to the following
administrative procedures:
(a) A specially designated national (``SDN''), specially designated
terrorist (``SDT''), or specially designated narcotics trafficker
(``SDNT'') (collectively, a ``designated person''), or a person owning
a majority interest in a blocked vessel, may request disclosure of the
factual basis for designation and, subject to the limitations contained
in paragraph (c) of this section, review factual materials relied upon
by the Office of Foreign Assets Control in designating the person or
vessel.
(b) Requests to review such information must be made in writing and
addressed to the Director, Office of Foreign Assets Control, U.S.
Department of the Treasury, 1500 Pennsylvania Avenue, NW--Annex,
Washington, DC 20220.
(c) The Office of Foreign Assets Control will deny access to
documents that are classified pursuant to Executive Order No. 12958 or
similar Executive orders, or to documents that the Office deems
privileged, or that the Office determines would not otherwise be
available by law to a party in litigation with the Office. Similarly,
the Office may redact materials to protect confidential or privileged
information.
(d) Following a review of the basis of designation, a designated
person or person owning a majority interest in a blocked vessel may
submit arguments or evidence that the person believes refutes the basis
for designation, or may propose remedial steps on its part, including
corporate reorganization, resignation of position(s) in a blocked
organization or similar steps, which it believes would negate the basis
for designation. A person owning a majority interest in a blocked
vessel may propose the sale of the vessel, with the proceeds to be
placed into a blocked interest-bearing account after deducting the
costs incurred while the vessel was blocked and the costs of the sale.
(e) After making a written submission, a designated person or
person seeking the unblocking of a vessel may request a meeting with
the Director of the Office of Foreign Assets Control; however, such
meetings are not required, and the Director may, at his discretion,
decline to conduct such meetings prior to making a review pursuant to
this section.
(f) The information submitted by the designated person or person
seeking the unblocking of a vessel will be reviewed by the Director,
who may request clarifying, corroborating, or other additional
information.
(g) For purposes of judicial review, a decision pursuant to this
section constitutes a final agency action.
Sec. 501.808 License application and other procedures applicable to
economic sanctions programs.
Upon submission to the Office of Management and Budget of an
amendment to the overall burden hours for the information collections
imposed under this part, the license application and other procedures
set forth in this subpart are applicable to economic sanctions programs
for which implementation and administration have been delegated to the
Office of Foreign Assets Control.
Subpart E--Paperwork Reduction Act
Sec. 501.901 Paperwork Reduction Act notice.
The information collection requirements in subparts C and D have
been approved by the Office of Management and Budget (``OMB'')
[[Page 45106]]
under the Paperwork Reduction Act (44 U.S.C. 3507(j)) and assigned
control number 1505-0164. An agency may not conduct or sponsor, and a
person is not required to respond to, a collection of information
unless it displays a valid control number assigned by OMB.
PART 505--REGULATIONS PROHIBITING TRANSACTIONS INVOLVING THE
SHIPMENT OF CERTAIN MERCHANDISE BETWEEN FOREIGN COUNTRIES
1. The authority citation for part 505 is revised to read as
follows:
Authority: 31 U.S.C. 321(b); 50 U.S.C. App. 1-44; Pub. L. 101-
410, 104 Stat. 890 (28 U.S.C. 2461 note); E.O. 9193, 7 FR 5205, 3
CFR, 1938-1943 Comp., p. 1174; E.O. 9989, 13 FR 4891, 3 CFR, 1943-
1948 Comp., p. 748.
Sec. 505.40 [Amended]
2. Section 505.40 is amended by revising the reference to
``Secs. 500.601 and 500.602'' to read ``Secs. 501.601 and 501.602''.
3. Section 505.60 is revised to read as follows:
Sec. 505.60 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
Sec. 500.802 and subpart D of part 501 of this chapter.
PART 515--CUBAN ASSETS CONTROL REGULATIONS
1. The authority citation for part 515 is revised to read as
follows:
Authority: 18 U.S.C. 2332d; 22 U.S.C. 2370(a), 6001-6010; 31
U.S.C. 321(b); 50 U.S.C. App. 1-44; Pub. L. 101-410, 104 Stat. 890
(28 U.S.C. 2461 note); E.O. 9193, 7 FR 5205, 3 CFR, 1938-1943 Comp.,
p. 1147; E.O. 9989, 13 FR 4891, 3 CFR, 1943-48 Comp., p. 748; Proc.
3447, 27 FR 1085, 3 CFR 1959-1963 Comp., p. 157; E.O. 12854, 58 FR
36587, 3 CFR, 1993 Comp., p. 614.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 515.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 515.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 515.201 is amended by adding new paragraph (e) to read
as follows:
Sec. 515.201 Transactions involving designated foreign countries or
their nationals; effective date.
* * * * *
(e) When a transaction results in the blocking of funds at a
banking institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. The note at the end of Sec. 515.306 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 515.306 Specially designated national.
* * * * *
Note to Sec. 515.306: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation or that of a
vessel as blocked, or who wish to assert that the circumstances
resulting in the designation are no longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 515.508 is amended by removing paragraph (f) and by
adding a note to the end of the section to read as follows:
Sec. 515.508 Payments to blocked accounts in domestic banks.
* * * * *
Note to Sec. 515.508: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 515.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 515.701 [Amended]
7. Section 515.701(a) introductory text is amended by removing the
words ``as amended by'' and by adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
8. Section 515.801 is revised to read as follows:
Sec. 515.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 515.802-500.806 and 515.809 [Removed]
8a. Sections 515.802 through 515.806 and 515.809 are removed.
Secs. 515.807 and 515.808 [Redesignated as Secs. 515.802 and 515.803]
8b. Sections 515.807 and 515.808 are redesignated as Secs. 515.802
and 515.803, respectively.
Subpart I--Miscellaneous Provisions
9. Section 515.901 is revised to read as follows:
Sec. 515.901 Paperwork Reduction Act notice.
Collection of information on TDF 90-22.39, ``Declaration, Travel to
Cuba,'' has been approved by the Office of Management and Budget
(``OMB'') under the Paperwork Reduction Act (44 U.S.C. 3507(j)) and
assigned control number 1505-0118. For approval by OMB under the
Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 535--IRANIAN ASSETS CONTROL REGULATIONS
1. The authority citation for part 535 is revised to read as
follows:
Authority: 18 U.S.C. 2332d; 31 U.S.C. 321(b); 50 U.S.C. 1701-
1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note); E.O.
12170, 44 FR 65729, 3 CFR, 1979 Comp., p. 457; E.O. 12205, 45 FR
24099, 3 CFR, 1980 Comp., p. 248; E.O. 12211, 45 FR 26685, 3 CFR,
1980 Comp., p. 253; E.O. 12276, 46 FR 7913, 3 CFR 1981 Comp., p.
104; E.O. 12279, 46 FR 7919, 3 CFR, 1981 Comp., p. 109; E.O. 12280,
46 FR 7921, 3 CFR, 1981 Comp., p. 110; E.O. 12281, 46 FR 7923, 3
CFR, 1981 Comp., p. 110; E.O. 12282, 46 FR 7925, 3 CFR, 1981 Comp.,
p. 113; E.O. 12283, 46 FR 7927, 3 CFR, 1981 Comp., p. 114; and E.O.
[[Page 45107]]
12294, 46 FR 14111, 3 CFR, 1981 Comp., p. 139.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 535.101 is amended by removing the first two sentences
of paragraph (a) and adding a new sentence in their place to read as
follows:
Sec. 535.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart E--Licenses, Authorizations and Statements of Licensing
Policy
3. Section 535.508 is amended by removing paragraph (f) and by
adding a note to the end of the section to read as follows:
Sec. 535.508 Payments to blocked accounts in domestic banks.
* * * * *
Note to Sec. 535.508: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
4. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 535.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 535.701 [Amended]
5. Section 535.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
6. Subpart H is revised to read as follows:
Subpart H--Procedures
Sec. 535.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Subpart I--Miscellaneous Provisions
7. Section 535.905 is revised to read as follows:
Sec. 535.905 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 536--NARCOTICS TRAFFICKING SANCTIONS REGULATIONS
1. The authority citation for part 536 is revised to read as
follows:
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601-1641,
1701-1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note);
E.O. 12978, 60 FR 54579, 3 CFR, 1995 Comp., p. 415.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 536.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 536.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 536.201 is amended by designating the existing paragraph
as paragraph (a) and by adding new paragraph (b) to read as follows:
Sec. 536.201 Prohibited transactions involving blocked property.
* * * * *
(b) When a transaction results in the blocking of funds at a
financial institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. Section 536.312 is amended by adding a note to the end of the
section to read as follows:
Sec. 536.312 Specially designated narcotics traffickers.
* * * * *
Note to Sec. 536.312: Please refer to the appendices at the end
of this chapter for listings of persons determined to fall within
this definition who have been designated pursuant to this part.
Section 501.807 of this chapter sets forth the procedures to be
followed by persons seeking administrative reconsideration of their
designation, or who wish to assert that the circumstances resulting
in the designation are no longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 536.503 is amended by revising paragraph (a) and by
adding a note to the end of the section to read as follows:
Sec. 536.503 Payments and transfers to blocked accounts in U.S.
financial institutions.
(a) Any payment of funds or transfer of credit or other financial
or economic resources or assets into a blocked account in a U.S.
financial institution is authorized, provided that a transfer from a
blocked account pursuant to this authorization may only be made to
another blocked account held in the same name on the books of the same
U.S. financial institution.
* * * * *
Note to Sec. 536.503: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 536.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart H--Procedures
7. Section 536.801 is revised to read as follows:
Sec. 536.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
[[Page 45108]]
Secs. 536.802-536.804 and 536.806 [Removed]
7a. Sections 536.802 through 536.804 and 536.806 are removed.
Sec. 536.805 [Redesignated as Sec. 536.802]
7b. Section 536.805 is redesignated as Sec. 536.802.
Subpart I--Paperwork Reduction Act
8. Section 536.901 is revised to read as follows:
Sec. 536.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 550--LIBYAN SANCTIONS REGULATIONS
1. The authority citation for part 550 is revised to read as
follows:
Authority: 3 U.S.C. 301; 18 U.S.C. 2332d; 22 U.S.C. 287c,
2349aa-8 and 2349aa-9; 31 U.S.C. 321(b); 49 U.S.C. App. 1514; 50
U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890 (28
U.S.C. 2461 note); E.O. 12543, 51 FR 875, 3 CFR, 1986 Comp., p. 181;
E.O. 12544, 51 FR 1235, 3 CFR, 1986 Comp., p. 183; E.O. 12801, 57 FR
14319, 3 CFR, 1992 Comp., p. 294.
Subpart A--Relation of this Part to Other Laws and Regulations
2. Section 550.101 is amended by removing the first two sentences
of paragraph (a) and adding a new sentence in their place to read as
follows:
Sec. 550.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 550.209 is amended by adding new paragraph (c) to read
as follows:
Sec. 550.209 Prohibited transactions involving property in which the
Government of Libya has an interest; transactions with respect to
securities.
* * * * *
(c) When a transaction results in the blocking of funds at a
financial institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--Definitions
4. The note at the end of Sec. 550.304 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 550.304 Government of Libya.
* * * * *
Note to Sec. 550.304: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation or that of a
vessel as blocked, or who wish to assert that the circumstances
resulting in the designation are no longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 550.511 is amended by removing paragraph (g) and
redesignating paragraph (h) as paragraph (g), by removing the words
``paragraph (g) of this section'' from the last sentence of newly
designated paragraph (g) and adding in their place the words ``the note
to this section'', and by adding a note to the end of the section to
read as follows:
Sec. 550.511 Payments and transfers to blocked accounts in domestic
banks.
* * * * *
Note to Sec. 550.511: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 550.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 550.701 [Amended]
7. Section 550.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
8. Section 550.801 is revised to read as follows:
Sec. 550.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 550.802-550.804 and 500.806 [Removed]
8a. Sections 550.802 through 550.804 and 500.806 are removed.
Secs. 550.805 and 550.807 [Redesignated as Secs. 550.802 and 550.803]
8b. Sections 550.805 and 550.807 are redesignated as Secs. 550.802
and 550.803, respectively.
Subpart I--Miscellaneous
9. Section 550.901 is revised to read as follows:
Sec. 550.901 Paperwork Reduction Act notice.
The information collection requirements in Sec. 550.560(d) have
been approved by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act (44 U.S.C. 3507(j)) and assigned control
number 1505-0093. For approval by OMB under the Paperwork Reduction Act
of information collections relating to recordkeeping and reporting
requirements, to licensing procedures (including those pursuant to
statements of licensing policy), and to other procedures, see
Sec. 501.901 of this chapter. An agency may not conduct or sponsor, and
a person is not required to respond to, a collection of information
unless it displays a valid control number assigned by OMB.
PART 560--IRANIAN TRANSACTIONS REGULATIONS
1. The authority citation for part 560 is revised to read as
follows:
Authority: 3 U.S.C. 301; 18 U.S.C. 2332d; 22 U.S.C. 2349aa-9; 31
U.S.C. 321(b); 50 U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104
Stat. 890 (28 U.S.C. 2461 note); E.O. 12613, 52 FR 41940, 3 CFR,
1987 Comp., p. 256; E.O. 12957, 60 FR 14615, 3 CFR, 1995 Comp., p.
332; E.O. 12959, 60 FR 24757, 3 CFR, 1995 Comp., p. 356.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 560.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
[[Page 45109]]
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 of this chapter, ``Iranian Assets
Control Regulations,'' with the exception of part 501 of this chapter,
the recordkeeping and reporting requirements and license application
and other procedures of which apply to this part. * * *
* * * * *
Subpart F--Reports
3. Section 560.601 is revised to read as follows:
Sec. 560.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Sec. 560.602 [Removed and reserved]
3a. Section 560.602 is removed and reserved.
Subpart G--Penalties
Sec. 560.701 [Amended]
4. Section 560.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
5. Section 560.801 is revised to read as follows:
Sec. 560.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 560.802-560.804 and 560.807 [Removed]
5a. Sections 560.802 through 560.804 and 560.807 are removed.
Secs. 560.805 and 560.806 [Redesignated as Secs. 560.802 and 560.803]
5b. Sections 560.805 and 560.806 are redesignated as Secs. 560.802
and 560.803, respectively.
Subpart I--Paperwork Reduction Act
6. Section 560.901 is revised to read as follows:
Sec. 560.901 Paperwork Reduction Act notice.
The specific information collection requirements in Sec. 560.603
have been approved by the Office of Management and Budget (``OMB'')
under the Paperwork Reduction Act (44 U.S.C. 3507(j)) and assigned
control number 1505-0106. For approval by OMB under the Paperwork
Reduction Act of information collections relating to recordkeeping and
reporting requirements, to licensing procedures (including those
pursuant to statements of licensing policy), and to other procedures,
see Sec. 501.901 of this chapter. An agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a valid control number assigned by OMB.
PART 575--IRAQI SANCTIONS REGULATIONS
1. The authority citation for part 575 is revised to read as
follows:
Authority: 3 U.S.C. 301; 18 U.S.C. 2332d; 22 U.S.C. 287c; Pub.
L. 101-513, 104 Stat. 2047-55 (50 U.S.C. 1701 note); 31 U.S.C.
321(b); 50 U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104 Stat.
890 (28 U.S.C. 2461 note); E.O. 12722, 55 FR 31803, 3 CFR, 1990
Comp., p. 294; E.O. 12724, 55 FR 33089, 3 CFR, 1992 Comp., p. 317;
E.O. 12817, 57 FR 48433, 3 CFR, 1992 Comp., p. 317.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 575.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 575.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 575.201 is amended by adding new paragraph (c) to read
as follows:
Sec. 575.201 Prohibited transactions involving property in which the
Government of Iraq has an interest; transactions with respect to
securities.
* * * * *
(c) When a transaction results in the blocking of funds at a
financial institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. The note at the end of Sec. 575.306 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 575.306 Government of Iraq.
* * * * *
Note to Sec. 575.306: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation or that of a
vessel as blocked, or who wish to assert that the circumstances
resulting in the designation are no longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 575.503 is amended by removing paragraph (h) and by
adding a note to the end of the section to read as follows:
Sec. 575.503 Payments and transfers to blocked accounts in U.S.
financial institutions.
* * * * *
Note to Sec. 575.503: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 575.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 575.701 [Amended]
7. Section 557.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
8. Section 575.801 is revised to read as follows:
Sec. 575.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 575.802-575.804 and 575.806 [Removed]
8a. Sections 575.802 through 575.804 and 575.806 are removed.
Sec. 575.805 [Redesignated as Sec. 575.802]
8b. Section 575.805 is redesignated as Sec. 575.802.
[[Page 45110]]
Subpart I--Paperwork Reduction Act
9. Section 575.901 is revised to read as follows:
Sec. 575.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 585--FEDERAL REPUBLIC OF YUGOSLAVIA (SERBIA AND MONTENEGRO)
AND BOSNIAN SERB-CONTROLLED AREAS OF THE REPUBLIC OF BOSNIA AND
HERZEGOVINA SANCTIONS REGULATIONS
1. The authority citation for part 585 is revised to read as
follows:
Authority: 3 U.S.C. 301; 22 U.S.C. 287c; 31 U.S.C. 321(b); 49
U.S.C. 40106; 50 U.S.C. 1601-1651, 1701-1706; Pub.L. 101-410, 104
Stat 890 (28 U.S.C. 2461 note); E.O. 12808, 57 FR 23299, 3 CFR, 1992
Comp., p. 305; E.O. 12810, 57 FR 24347, 3 CFR, 1992 Comp., p. 307;
E.O. 12831, 58 FR 5253, 3 CFR, 1993 Comp., p. 576; E.O. 12846, 58 FR
25771, 3 CFR, 1993 Comp., p. 501; E.O. 12934, 59 FR 54117, 3 CFR,
1994 Comp., p. 930.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 585.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 585.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 585.201 is amended by adding a new sentence to the end
of the note to Sec. 585.201(c) and by adding new paragraph (e) to read
as follows:
Sec. 585.201 Prohibited transactions involving blocked property;
transactions with respect to securities.
* * * * *
(c) * * *
Note to Sec. 585.201(c): * * * Section 501.807 of this chapter
sets forth the procedures to be followed by persons seeking
administrative reconsideration of their designation or that of a
vessel as blocked, or who wish to assert that the circumstances
resulting in the designation are no longer applicable.
* * * * *
(e) When a transaction results in the blocking of funds at a
financial institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. The note at the end of Sec. 585.311 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 585.311 Government of the FRY (S&M).
* * * * *
Note to Sec. 585.311: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation, or who wish to
assert that the circumstances resulting in the designation are no
longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 585.503 is amended by revising paragraph (a) and by
adding a note to the end of the section to read as follows:
Sec. 585.503 Payments and transfers to blocked accounts in U.S.
financial institutions.
(a) Any payment of funds or transfer of credit or other financial
or economic resources or assets into a blocked account in a U.S.
financial institution is authorized, provided that a transfer from a
blocked account pursuant to this authorization may only be made to
another blocked account held in the same name on the books of the same
U.S. financial institution.
* * * * *
Note to Sec. 585.503: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 585.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 585.701 [Amended]
7. Section 585.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
8. Section 585.801 is revised to read as follows:
Sec. 585.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 585.802-585.804 and 585.806 [Removed]
8a. Sections 585.802 through 585.804 and 585.806 are removed.
Sec. 585.805 [Redesignated as Sec. 585.802]
8b. Section 585.805 is redesignated as Sec. 585.802.
Subpart I--Paperwork Reduction Act
9. Section 585.901 is revised to read as follows:
Sec. 585.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 590--UNITA (ANGOLA) SANCTIONS REGULATIONS
1. The authority citation for part 590 is revised to read as
follows:
Authority: 3 U.S.C. 301; 22 U.S.C. 287c; 31 U.S.C. 321(b); 50
U.S.C. 1601-1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890 (28
U.S.C. 2461 note); E.O. 12865, 58 FR 51005, 3 CFR, 1993 Comp., p.
636.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 590.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
[[Page 45111]]
Sec. 590.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
3. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 590.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 590.701 [Amended]
4. Section 590.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by''.
Subpart H--Procedures
5. Section 590.801 is revised to read as follows:
Sec. 590.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 590.802 through 590.804 and 590.806 [Removed]
5a. Sections 590.802 through 590.804 and 590.806 are removed.
Sec. 590.805 [Redesignated as Sec. 590.802]
5b. Section 590.805 is redesignated as Sec. 590.802.
Subpart I--Paperwork Reduction Act
6. Section 590.901 is added to read as follows:
Sec. 590.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
PART 595--TERRORISM SANCTIONS REGULATIONS
1. The authority citation for part 595 is revised to read as
follows:
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601-1651,
1701-1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note);
E.O. 12947, 60 FR 5079, 3 CFR, 1995 Comp., p. 319.
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 595.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 595.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
Subpart B--Prohibitions
3. Section 595.201 is amended by designating the existing paragraph
as paragraph (a) and by adding new paragraph (b) to read as follows:
Sec. 595.201 Prohibited transactions involving blocked property.
* * * * *
(b) When a transaction results in the blocking of funds at a
financial institution pursuant to this section and a party to the
transaction believes the funds have been blocked due to mistaken
identity, that party may seek to have such funds unblocked pursuant to
the administrative procedures set forth in Sec. 501.806 of this
chapter.
Subpart C--General Definitions
4. The note at the end of Sec. 595.311 is amended by adding a
sentence to the end of the note to read as follows:
Sec. 595.311 Specially designated terrorist.
* * * * *
Note to Sec. 595.311: * * * Section 501.807 of this chapter sets
forth the procedures to be followed by persons seeking
administrative reconsideration of their designation, or who wish to
assert that the circumstances resulting in the designation are no
longer applicable.
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
5. Section 595.503 is amended by revising paragraph (a) and by
adding a note to the end of the section to read as follows:
Sec. 595.503 Payments and transfers to blocked accounts in U.S.
financial institutions.
(a) Any payment of funds or transfer of credit or other financial
or economic resources or assets into a blocked account in a U.S.
financial institution is authorized, provided that a transfer from a
blocked account pursuant to this authorization may only be made to
another blocked account held in the same name on the books of the same
U.S. financial institution.
* * * * *
Note to Sec. 595.503: Please refer to Sec. 501.603 of this
chapter for mandatory reporting requirements regarding financial
transfers.
6. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 595.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart G--Penalties
Sec. 595.701 [Amended]
7. Section 595.701(a) introductory text is amended by removing the
words ``as amended by'' and adding in their place the words ``as
adjusted by.''
Subpart H--Procedures
8. Section 595.801 is revised to read as follows:
Sec. 595.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 595.802-595.804 and 595.806 [Removed]
8a. Sections 595.802 through 595.804 and 595.806 are removed.
Sec. 595.805 [Redesignated as Sec. 595.802]
8b. Section 595.805 is redesignated as Sec. 595.802.
Subpart I--Paperwork Reduction Act
9. Section 595.901 is revised to read as follows:
Sec. 595.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of
[[Page 45112]]
information collections relating to recordkeeping and reporting
requirements, to licensing procedures (including those pursuant to
statements of licensing policy), and to other procedures, see
Sec. 501.901 of this chapter. An agency may not conduct or sponsor, and
a person is not required to respond to, a collection of information
unless it displays a valid control number assigned by OMB.
PART 596--TERRORISM LIST GOVERNMENTS SANCTIONS REGULATIONS
1. The authority citation for part 596 is revised to read as
follows:
Authority: 18 U.S.C. 2332d; 31 U.S.C. 321(b).
Subpart A--Relation of This Part to Other Laws and Regulations
2. Section 596.101 is amended by revising the first sentence of
paragraph (a) to read as follows:
Sec. 596.101 Relation of this part to other laws and regulations.
(a) This part is separate from, and independent of, the other parts
of this chapter with the exception of part 501 of this chapter, the
recordkeeping and reporting requirements and license application and
other procedures of which apply to this part. * * *
* * * * *
3. Subpart F is revised to read as follows:
Subpart F--Reports
Sec. 596.601 Records and reports.
For provisions relating to records and reports, see subpart C of
part 501 of this chapter.
Subpart H--Procedures
4. Section 596.801 is revised to read as follows:
Sec. 596.801 Procedures.
For license application procedures and procedures relating to
amendments, modifications, or revocations of licenses; administrative
decisions; rulemaking; and requests for documents pursuant to the
Freedom of Information and Privacy Acts (5 U.S.C. 552 and 552a), see
subpart D of part 501 of this chapter.
Secs. 596.802-596.804 and 596.806 [Removed]
4a. Sections 596.802 through 596.804 and 596.806 are removed.
Sec. 596.805 [Redesignated as Sec. 596.802]
4b. Section 596.805 is redesignated as Sec. 596.802.
Subpart I--Paperwork Reduction Act
5. Section 596.901 is revised to read as follows:
Sec. 596.901 Paperwork Reduction Act notice.
For approval by the Office of Management and Budget (``OMB'') under
the Paperwork Reduction Act of information collections relating to
recordkeeping and reporting requirements, to licensing procedures
(including those pursuant to statements of licensing policy), and to
other procedures, see Sec. 501.901 of this chapter. An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a valid control number
assigned by OMB.
Dated: August 7, 1997.
R. Richard Newcomb,
Director, Office of Foreign Assets Control.
Approved: August 11, 1997.
John P. Simpson,
Acting Assistant Secretary (Enforcement).
Note: The following Form will not appear in the Code of Federal
Regulations.
BILLING CODE 4810-25-P
[[Page 45113]]
[GRAPHIC] [TIFF OMITTED] TR25AU97.000
[[Page 45114]]
[GRAPHIC] [TIFF OMITTED] TR25AU97.001
[FR Doc. 97-22378 Filed 8-22-97; 8:45 am]
BILLING CODE 4810-25-P