[Federal Register Volume 67, Number 166 (Tuesday, August 27, 2002)]
[Rules and Regulations]
[Pages 54952-54953]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-21596]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
Bureau of Industry and Security
15 CFR Parts 732, 736, 758, 764, 766 and 772
[Docket No. 020628162-2162-01]
RIN 0694-AC58
Revision to the Export Administration Regulations: Denied Persons
List
AGENCY: Bureau of Industry and Security, Commerce.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule removes references in the Export Administration
Regulations (EAR) to the ``Denied Persons List'' maintained by the
Bureau of Industry and Security because the list is described, but not
published, in the Code of Federal Regulations, and is not intended to
be legally controlling. This rule also makes a format change in the
template of the standard denial order published in the EAR.
EFFECTIVE DATE: This rule is effective August 26, 2002.
FOR FURTHER INFORMATION CONTACT: Thomas W. Andrukonis, Director, Office
of Enforcement Analysis, Bureau of Industry and Security, Telephone:
(202) 482-4255.
SUPPLEMENTARY INFORMATION:
Background
As described in section 764.3 of the Export Administration
Regulations (15 CFR 764.3), the Bureau of Industry and Security (BIS)
has the authority to issue an order that restricts the ability of
persons named in it to engage in export or reexport transactions of
items subject to the Export Administration Regulations (EAR) and
restricts their access to items subject to the regulations. These
orders may also prohibit all persons from taking certain actions
specified in the order because those actions could circumvent the
restrictions imposed on the denied person by the order. BIS publishes
notices of such orders in the Federal Register to provide notice to all
persons of the provisions of the order. BIS maintains unofficial
compilations of such denial orders, for the convenience of the public,
in a ``Denied Persons List'' included in the unofficial version of the
EAR and on a Web site. Because these compilations are not included in
the Code of Federal Regulations, this rule removes references to the
``Denied Persons List'' from the EAR in parts 732, 736, 758, 764, 766
and 772. References to the ``Denied Persons List'' in part 752 of the
EAR will be removed in a separate rule.
This rule also replaces the word ``immediately'' with ``[date]'' in
the last sentence of the pro forma standard denial order, because a
standard order need not be effective as of the date of signing. This
rule does not change the scope of any order denying export privileges,
nor does it change the rights or duties of any person with respect to
the Export Administration Regulations.
Rulemaking Requirements
1. This final rule has been determined to be not significant for
purposes of E.O. 12866.
2. Notwithstanding any other provision of law, no person is
required to respond to, nor shall any person be subject to a penalty
for failure to comply with, a collection of information subject to the
requirements of the Paperwork Reduction Act, unless that collection of
information displays a currently valid Office of Management and Budget
Control Number. This rule does not involve a collection of information
subject to the Paperwork Reduction Act of 1980 (44 U.S.C. 3501 et
seq.).
3. This rule does not contain policies with Federalism implications
as that term is defined in Executive Order 13132.
4. Pursuant to 5 U.S.C. 553(b)(A), the provisions of the
Administrative Procedure Act requiring a notice of proposed rulemaking
and the opportunity for public comment are waived, because this
regulation involves a rule of agency procedure. No other law requires
that a notice of proposed rulemaking and an opportunity for public
comment be given for this rule.
Additionally, pursuant to 5 U.S.C. 553(d)(2), the 30 day delay in
effectiveness is waived for the same reason. Because a notice of
proposed rulemaking and an opportunity for public comment are not
required to be given for this rule under the Administrative Procedure
Act or by any other law, the analytical requirements of the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.) are not applicable. Therefore,
this regulation is issued in final form. Although there is no formal
comment period, public comments on this regulation are welcome on a
continuing basis. Comments should be submitted to William Arvin, Office
of Exporter Services, Bureau of Industry and Security, Department of
Commerce, P.O. Box 273, Washington, D.C. 20044.
List of Subjects
15 CFR Parts 732 and 758
Administrative practice and procedure, Advisory committees,
Exports, Foreign trade, Reporting and recordkeeping requirements.
15 CFR Parts 736 and 772
Exports, Foreign trade.
15 CFR Part 764
Administrative practice and procedure, Exports, Foreign trade, Law
enforcement, Penalties.
15 CFR Part 766
Administrative practice and procedure, Confidential business
information, Exports, Foreign trade.
Accordingly, parts 732, 736, 758, 764, 766 and 772 of the Export
Administration Regulations (15 CFR parts 730-799) are amended as
follows:
PART 732--[AMENDED]
1. The authority citation for 15 CFR part 732 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13026, 61 FR 58767, 3 CFR, 1996 Comp., p. 228; E.O. 13222, 66
FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August 14, 2002, 67
FR 53721, August 16, 2002.
2. Section 732.3 is amended by revising paragraph (g)(1) to read as
follows:
Sec. 732.3 Steps regarding the ten general prohibitions.
* * * * *
(g) * * *
(1) Determine whether your transferee, ultimate end-user, any
intermediate consignee, or any other party to a transaction is a person
denied export privileges (see part 764 of the EAR). It is a violation
of the EAR to
[[Page 54953]]
engage in any activity that violates the terms or conditions of a
denial order. General Prohibition Four (Denial Orders) applies to all
items subject to the EAR, i.e., both items on the CCL and within EAR99.
* * * * *
PART 736--[AMENDED]
3. The authority citation for 15 CFR part 736 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 12938, 59 FR 59099, 3 CFR, 1994 Comp., p. 950; E.O. 13020, 61
FR 54079, 3 CFR, 1996 Comp. p. 219; E.O. 13026, 61 FR 58767, 3 CFR,
1996 Comp., p. 228; E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p.
783; Notice of November 9, 2001, 66 FR 56965, 3 CFR, 2001 Comp., p.
917; Notice of August 14, 2002, 67 FR 53721, August 16, 2002.
4. Section 736.2 is amended by revising paragraph (b)(4)(i) to read
as follows:
Sec. 736.2 General Prohibitions and Determination of Applicability.
* * * * *
(b) * * *
(4) * * *
(i) You may not take any action that is prohibited by a denial
order issued under part 766 of the EAR, Administrative Enforcement
Proceedings. These orders prohibit many actions in addition to direct
exports by the person denied export privileges, including some
transfers within a single country, either in the United States or
abroad, by other persons. You are responsible for ensuring that any of
your transactions in which a person who is denied export privileges is
involved do not violate the terms of the order. Orders denying export
privileges are published in the Federal Register when they are issued
and are the legally controlling documents in accordance with their
terms. BIS also maintains compilations of persons denied export
privileges on a Web site and as a supplement to the unofficial edition
of the EAR available by subscription from the Government Printing
Office. BIS may, on an exceptional basis, authorize activity otherwise
prohibited by a denial order. See Sec. 764.3(a)(2) of the EAR.
* * * * *
PART 758--[AMENDED]
5. The authority citation for 15 CFR part 758 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
14, 2002, 67 FR 53721, August 16, 2002.
6. Section 758.2 is amended by revising paragraph (c)(2) to read as
follows:
Sec. 758.2 Automated Export System (AES).
* * * * *
(c) * * *
(2) Applicants are denied persons; or
* * * * *
PART 764--[AMENDED]
7. The authority citation for 15 CFR part 764 is revised to read as
follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
14, 2002, 67 FR 53721, August 16, 2002.
8. Supplement No. 1 to Part 764 is amended by revising paragraph
(a) (the undesignated paragraphs following paragraph (a) are
unchanged), revising the heading and introductory text of paragraph
(b), and revising the last sentence of the Supplement to read as
follows:
SUPPLEMENT NO. 1 TO PART 764-STANDARD TERMS OF ORDERS DENYING
EXPORT PRIVILEGES
(a) General. (1) Orders denying export privileges may be
``standard'' or ``non-standard.'' This Supplement specifies terms of
the standard order denying export privilege with respect to denial
orders issued after March 25, 1996. Denial orders issued prior to March
25, 1996 are to be construed, insofar as possible, as having the same
scope and effect as the standard denial order. All denial orders are
published in the Federal Register. The failure by any person to comply
with any denial order is a violation of the Export Administration
Regulations (EAR) (see Sec. 764.2(k) of this part). BIS provides lists
of denied persons on a Web site and as a supplement to the unofficial
edition of the EAR available by subscription from the Government
Printing Office.
(2) Each denial order shall include:
(i) The name and address of any denied persons and any related
persons subject to the denial order;
(ii) The basis for the denial order, such as final decision
following charges of violation, settlement agreement, section 11(h) of
the EAA, or temporary denial order request;
(iii) The period of denial, the effective date of the order,
whether and for how long any portion of the denial of export privileges
is suspended, and any conditions of probation; and
(iv) Whether any or all outstanding licenses issued under the EAR
to the person(s) named in the denial order or in which such person(s)
has an interest, are suspended or revoked.
* * * * *
(b) Standard denial order terms. The following are the standard
terms for imposing periods of export denial. Some orders also contain
other terms, such as those that impose civil penalties, or that suspend
all or part of the penalties or period of denial.
* * * * *
This order, which constitutes the final agency action in this
matter, is effective [DATE].
9. Supplement No. 2 to Part 764 is removed.
PART 766--[AMENDED]
10. The authority citation for 15 CFR part 766 is revised to read
as follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
14, 2002, 67 FR 53721, August 16, 2002.
11. Section 766.25 is amended by revising paragraph (f) to read as
follows:
Sec. 766.25 Administrative action denying export privileges.
* * * * *
(f) Publication. The orders denying export privileges under this
section are published in the Federal Register when issued, and, for the
convenience of the public, information about those orders may be
included in compilations maintained by BIS on a Web site and as a
supplement to the unofficial edition of the EAR available by
subscription from the Government Printing Office.
* * * * *
PART 772--[AMENDED]
12. The authority citation for 15 CFR part 772 is revised to read
as follows:
Authority: 50 U.S.C. app. 2401 et seq.; 50 U.S.C. 1701 et seq.;
E.O. 13222, 66 FR 44025, 3 CFR, 2001 Comp., p. 783; Notice of August
14, 2002, 67 FR 53721, August 16, 2002.
13. Section 772.1 is amended by removing the definition of ``Denied
Persons List.''
Dated: August 15, 2002.
James J. Jochum,
Assistant Secretary for Export Administration.
[FR Doc. 02-21596 Filed 8-26-02; 8:45 am]
BILLING CODE 3510-33-P