[Federal Register Volume 76, Number 118 (Monday, June 20, 2011)]
[Rules and Regulations]
[Pages 35740-35742]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-15166]


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DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 510


North Korea Sanctions Regulations

AGENCY: Office of Foreign Assets Control, Treasury.

ACTION: Final rule.

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SUMMARY: The Department of the Treasury's Office of Foreign Assets 
Control (``OFAC'') is amending the North Korea Sanctions Regulations to 
implement Executive Order 13570 of April 18, 2011. OFAC intends to 
supplement these regulations with a more comprehensive set of 
regulations, which may include additional interpretive and definitional 
guidance and additional general licenses and statements of licensing 
policy.

DATES: Effective Date: June 20, 2011.

FOR FURTHER INFORMATION CONTACT: Assistant Director for Sanctions 
Compliance & Evaluation, tel.: 202/622-2490, Assistant Director for 
Licensing, tel.: 202/622-2480, Assistant Director for Policy, tel.: 
202/622-4855, Office of Foreign Assets Control, or Chief Counsel 
(Foreign Assets Control), tel.: 202/622-2410, Office of the General 
Counsel, Department of the Treasury (not toll free numbers).

SUPPLEMENTARY INFORMATION:

Electronic and Facsimile Availability

    This document and additional information concerning OFAC are 
available from OFAC's Web site (http://www.treasury.gov/ofac). Certain 
general information pertaining to OFAC's sanctions programs also is 
available via facsimile through a 24-hour fax-on-demand service, tel.: 
202/622-0077.

Background

    On June 26, 2008, the President, invoking the authority of, inter 
alia, the International Emergency Economic Powers Act (50 U.S.C. 1701-
1706) (``IEEPA'') and the National Emergencies Act (50 U.S.C. 1601-
1651) (the ``NEA''), issued Executive Order 13466 (73 FR 36787, June 
27, 2008) (``E.O. 13466''). On August 30, 2010, the President, invoking 
the authority of, inter alia, IEEPA, the NEA, and section 5 of the 
United Nations Participation Act (22 U.S.C. 287c) (the ``UNPA''), 
issued Executive Order 13551 (75 FR 53837, September 1, 2010) (``E.O. 
13551''), effective at 12:01 p.m. eastern daylight time on August 30, 
2010.
    On November 4, 2010, the Department of the Treasury's Office of 
Foreign Assets Control published the North Korea Sanctions Regulations, 
31 CFR part 510 (the ``Regulations''), to implement E.O. 13466 and E.O. 
13551, pursuant to authorities delegated to the Secretary of the 
Treasury in those orders (75 FR 67912, November 4, 2010).
    On April 18, 2011, the President, invoking the authority of, inter 
alia, IEEPA, the NEA, and the UNPA, issued Executive Order 13570 (76 FR 
22291, April 20, 2011) (``E.O. 13570''), effective at 12:01 a.m. 
eastern daylight time on April 19, 2011.
    This final rule amends the Regulations to implement E.O. 13570, 
pursuant to authorities delegated to the Secretary of the Treasury in 
E.O. 13570. A copy of E.O. 13570 appears in appendix C to this part.
    These amendments to the Regulations are being published in 
abbreviated form at this time for the purpose of providing immediate 
guidance to the public. OFAC intends to supplement part 510 with a more 
comprehensive set of regulations, which may include additional 
interpretive and definitional guidance and additional general licenses 
and statements of licensing policy. (The appendices to the Regulations 
will be removed when OFAC publishes a more comprehensive set of 
regulations.)

Public Participation

    Because the Regulations involve a foreign affairs function, the 
provisions of Executive Order 12866 and 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 collections of information related to the Regulations are 
contained in 31 CFR part 501 (the ``Reporting, Procedures and Penalties 
Regulations''). Pursuant to the Paperwork Reduction Act of 1995 (44 
U.S.C. 3507), those collections of information have been approved by 
the Office of Management and Budget under 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 the collection of 
information displays a valid control number.

List of Subjects in 31 CFR Part 510

    Administrative practice and procedure, Imports, North Korea, 
Services.


[[Page 35741]]


    For the reasons set forth in the preamble, the Department of the 
Treasury's Office of Foreign Assets Control amends part 510 of 31 CFR 
chapter V as follows:

PART 510--NORTH KOREA SANCTIONS REGULATIONS

0
1. Revise the authority citation for part 510 to read as follows:

    Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601-1651, 
1701-1706; 22 U.S.C. 287c; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 
2461 note); Pub. L. 110-96, 121 Stat. 1011 (50 U.S.C. 1705 note); 
E.O. 13466, 73 FR 36787, June 27, 2008, 3 CFR, 2008 Comp., p. 195; 
E.O. 13551, 75 FR 53837, September 1, 2010; E.O. 13570, 76 FR 22291, 
April 20, 2011.

Subpart B--Prohibitions

0
2. Amend Sec.  510.201 by redesignating Note 1 to Sec.  510.201(a) as 
Note to Sec.  510.201(a), redesignating Note 1 to Sec.  510.201 and 
Note 2 to Sec.  510.201 as Note 1 to Sec.  510.201(b) and Note 2 to 
Sec.  510.201(b), respectively, redesignating Note 3 to Sec.  510.201 
as Note to Sec.  510.201, and adding new paragraph (c) to read as 
follows:


Sec.  510.201  Prohibited transactions.

* * * * *
    (c) All transactions prohibited pursuant to Executive Order 13570 
are also prohibited pursuant to this part.

Subpart C--General Definitions

0
3. Amend Sec.  510.302 by revising paragraphs (b) and (c) and adding 
new paragraph (d) to read as follows:


Sec.  510.302  Effective date.

* * * * *
    (b) With respect to a person listed in the Annex to E.O. 13551, 
12:01 p.m. eastern daylight time, August 30, 2010;
    (c) With respect to a person whose property and interests in 
property are otherwise blocked pursuant to E.O. 13551, the earlier of 
the date of actual or constructive notice that such person's property 
and interests in property are blocked; or
    (d) With respect to E.O. 13570, 12:01 a.m. eastern daylight time, 
April 19, 2011.

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

0
4. Add new Sec.  510.501 to read as follows:


Sec.  510.501  General and specific licensing procedures.

    For provisions relating to licensing procedures, see part 501, 
subpart E, of this chapter. Licensing actions taken pursuant to part 
501 of this chapter with respect to the prohibitions contained in this 
part are considered actions taken pursuant to this part.

Subpart H--Procedures

0
5. Add new Sec.  510.801 to read as follows:


Sec.  510.801  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 
part 501, subpart E, of this chapter.

0
6. Revise Sec.  510.802 to read as follows:


Sec.  510.802  Delegation by the Secretary of the Treasury.

    Any action that the Secretary of the Treasury is authorized to take 
pursuant to Executive Order 13466 of June 26, 2008 (73 FR 36787, June 
27, 2008), Executive Order 13551 of August 30, 2010 (75 FR 53837, 
September 1, 2010), Executive Order 13570 of April 18, 2011 (76 FR 
22291, April 20, 2011), and any further Executive orders relating to 
the national emergency declared in Executive Order 13466 may be taken 
by the Director of the Office of Foreign Assets Control or by any other 
person to whom the Secretary of the Treasury has delegated authority so 
to act.

0
7. Add new appendix C to part 510 to read as follows:

Appendix C to Part 510--Executive Order 13570

Executive Order 13570 of April 18, 2011

Prohibiting Certain Transactions With Respect to North Korea

    By the authority vested in me as President by the Constitution 
and the laws of the United States of America, including the 
International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) 
(IEEPA), the National Emergencies Act (50 U.S.C. 1601 et seq.), 
section 5 of the United Nations Participation Act of 1945 (22 U.S.C. 
287c) (UNPA), and section 301 of title 3, United States Code, and in 
view of United Nations Security Council Resolution (UNSCR) 1718 of 
October 14, 2006, and UNSCR 1874 of June 12, 2009,
    I, BARACK OBAMA, President of the United States of America, in 
order to take additional steps to address the national emergency 
declared in Executive Order 13466 of June 26, 2008, and expanded in 
Executive Order 13551 of August 30, 2010, that will ensure 
implementation of the import restrictions contained in UNSCRs 1718 
and 1874 and complement the import restrictions provided for in the 
Arms Export Control Act (22 U.S.C. 2751 et seq.), hereby order:
    Section 1. Except to the extent provided in statutes or in 
licenses, regulations, orders, or directives that may be issued 
pursuant to this order, and notwithstanding any contract entered 
into or any license or permit granted prior to the date of this 
order, the importation into the United States, directly or 
indirectly, of any goods, services, or technology from North Korea 
is prohibited.
    Sec. 2. (a) Any transaction by a United States person or within 
the United States that evades or avoids, has the purpose of evading 
or avoiding, causes a violation of, or attempts to violate any of 
the prohibitions set forth in this order is prohibited.
    (b) Any conspiracy formed to violate any of the prohibitions set 
forth in this order is prohibited.
    Sec. 3. The provisions of Executive Orders 13466 and 13551 
remain in effect, and this order does not affect any action taken 
pursuant to those orders.
    Sec. 4. For the purposes of this order:
    (a) The term ``person'' means an individual or entity;
    (b) The term ``entity'' means a partnership, association, trust, 
joint venture, corporation, group, subgroup, or other organization;
    (c) The term ``United States person'' means any United States 
citizen, permanent resident alien, entity organized under the laws 
of the United States or any jurisdiction within the United States 
(including foreign branches), or any person in the United States;
    (d) The term ``North Korea'' includes the territory of the 
Democratic People's Republic of Korea and the Government of North 
Korea; and
    (e) The term ``Government of North Korea'' means the Government 
of the Democratic People's Republic of Korea, its agencies, 
instrumentalities, and controlled entities.
    Sec. 5. The Secretary of the Treasury, in consultation with the 
Secretary of State, is hereby authorized to take such actions, 
including the promulgation of rules and regulations, and to employ 
all powers granted to the President by IEEPA and the UNPA as may be 
necessary to carry out the purposes of this order. The Secretary of 
the Treasury may redelegate any of these functions to other officers 
and agencies of the United States Government consistent with 
applicable law. All agencies of the United States Government are 
hereby directed to take all appropriate measures within their 
authority to carry out the provisions of this order.
    Sec. 6. This order is not intended to, and does not, create any 
right or benefit, substantive or procedural, enforceable at law or 
in equity by any party against the United States, its departments, 
agencies, or entities, its officers, employees, or agents, or any 
other person.
    Sec. 7. This order is effective at 12:01 a.m. eastern daylight 
time on April 19, 2011.

Barack Obama,

THE WHITE HOUSE,

April 18, 2011.


[[Page 35742]]


    Dated: June 13, 2011.
Adam J. Szubin,
Director, Office of Foreign Assets Control.
[FR Doc. 2011-15166 Filed 6-17-11; 8:45 am]
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