[Federal Register Volume 86, Number 96 (Thursday, May 20, 2021)]
[Rules and Regulations]
[Pages 27273-27274]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-10586]


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DEPARTMENT OF THE TREASURY

Office of Foreign Assets Control

31 CFR Part 596


Terrorism List Governments 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 Terrorism List Governments Sanctions 
Regulations to implement changes resulting from the Secretary of 
State's December 14, 2020 rescission of the designation of Sudan as a 
State Sponsor of Terrorism. Specifically, OFAC is removing one general 
license in full and amending another general license to remove 
references to the Government of Sudan and Sudanese nationals because 
financial transactions with the Government of Sudan are no longer 
prohibited by the Terrorism List Governments Sanctions Regulations.

DATES: This rule is effective May 20, 2021.

FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for 
Licensing, tel.: 202-622-2480; Assistant Director for Regulatory 
Affairs, tel.: 202-622-4855; or Assistant Director for Sanctions 
Compliance & Evaluation, tel.: 202-622-2490.

SUPPLEMENTARY INFORMATION:

Electronic Availability

    This document and additional information concerning OFAC are 
available on OFAC's website (www.treasury.gov/ofac).

Background

    On August 12, 1993, in accordance with section 6(j) of the Export 
Administration Act of 1979, then codified at 50 U.S.C. App. 2405(j), 
the Secretary of State designated Sudan as a State Sponsor of Terrorism 
(58 FR 52523, October 8, 1993).
    On August 22, 1996, OFAC promulgated the Terrorism List Governments 
Sanctions Regulations, 31 CFR part 596 (61 FR 43462, August 23, 1996) 
(the ``Regulations''), to implement section 321 of the Antiterrorism 
and Effective Death Penalty Act of 1996 (18 U.S.C. 2332d).
    On July 1, 1998, OFAC issued the Sudanese Sanctions Regulations, 31 
CFR part 538 (63 FR 35809, July 1, 1998) (SSR), to implement Executive 
Order (E.O.) 13067 of November 3, 1997, ``Blocking Sudanese Government 
Property and Prohibiting Transactions With Sudan'' (62 FR 59989, 
November 5, 1997), in which the President declared a national emergency 
with respect to the policies and actions of the Government of Sudan. To 
deal with that threat, E.O. 13067 imposed comprehensive trade sanctions 
with respect to Sudan and blocked all property and interests in 
property of the Government of Sudan in the United States or within the 
possession or control of United States persons. The SSR were amended on 
various occasions to, among other things, implement further Executive 
orders, including E.O. 13412 of October 13, 2006, ``Blocking Property 
of and Prohibiting Transactions with the Government of Sudan'' (71 FR 
61369, October 17, 2006), and add additional authorizations.
    Effective October 12, 2017, sections 1 and 2 of E.O. 13067 and all 
of E.O. 13412 were revoked, pursuant to E.O. 13761 of January 13, 2017, 
``Recognizing Positive Actions by the Government of Sudan and Providing 
for the Revocation of Certain Sudan-Related Sanctions'' (82 FR 5331, 
January 18, 2017), as amended by E.O. 13804 of July 11, 2017, 
``Allowing Additional Time for Recognizing Positive Actions by the 
Government of Sudan and Amending

[[Page 27274]]

Executive Order 13761'' (82 FR 32611, July 14, 2017). Consistent with 
the revocation of these sanctions authorities, OFAC removed the SSR 
from the Code of Federal Regulations on June 29, 2018.
    Pursuant to section 906 of the Trade Sanctions Reform and Export 
Enhancement Act of 2000 (22 U.S.C. 7205) (TSRA), following the 
revocation of the SSR, OFAC authorization was still required for 
certain exports and reexports to Sudan of agricultural commodities, 
medicine, and medical devices as a result of Sudan's status as a State 
Sponsor of Terrorism. Effective October 12, 2017, OFAC issued on its 
website General License A, which authorized exports and reexports of 
these items to Sudan. When OFAC revoked the SSR, OFAC simultaneously 
amended the Regulations to incorporate the provisions of General 
License A into Sec.  596.506.
    On October 26, 2020, consistent with sections 1754(c) and 1768(c) 
of the National Defense Authorization Act for Fiscal Year 2019 (50 
U.S.C. 4813(c) and 4826(c)), the President certified and reported to 
Congress that the Government of Sudan had not provided any support for 
acts of international terrorism during the preceding six-month period 
and that the Government of Sudan had provided assurances that it would 
not support acts of international terrorism in the future (Presidential 
Report of October 26, 2020: Certification of Rescission of Sudan's 
Designation as a State Sponsor of Terrorism). This Certification also 
satisfied the provisions of section 620A(c)(2) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2371(c)(2)), section 40(f)(1)(B) of 
the Arms Export Control Act of 1976 (22 U.S.C. 2780(f)(1)(B), and, to 
the extent applicable, section 6(j) of the Export Administration Act of 
1979 (50 U.S.C. App. 2405(j)), as continued in effect by Executive 
Order 13222 of August 17, 2001, ``Continuation of Export Control 
Regulations.'' Effective December 14, 2020, based on the considerations 
contained in the memorandum accompanying the Presidential Report of 
October 26, 2020 regarding Sudan and in accordance with applicable law, 
the Secretary of State rescinded Sudan's designation as a State Sponsor 
of Terrorism (85 FR 82565, December 18, 2020). In accordance with the 
December 14, 2020 rescission of the designation of Sudan as a State 
Sponsor of Terrorism, this rule amends the Regulations to remove 
references to the Government of Sudan and Sudanese nationals in Sec.  
596.505 because financial transactions with the Government of Sudan are 
no longer prohibited by the Regulations, and to remove Sec.  596.506 
because section 906 of TSRA no longer imposes licensing requirements on 
the export of agricultural commodities, medicine, or medical devices to 
Sudan.

Public Participation

    Because the Regulations involve a foreign affairs function, the 
provisions of E.O. 12866 of September 30, 1993, ``Regulatory Planning 
and Review'' (58 FR 51735, October 4, 1993), 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 596

    Administrative practice and procedure, Banks, Banking, Credit, 
Foreign trade, Penalties, Reporting and recordkeeping requirements, 
Sanctions, Terrorism.

    For the reasons set forth in the preamble, OFAC amends 31 CFR part 
596 as follows:

PART 596--TERRORISM LIST GOVERNMENTS SANCTIONS REGULATIONS

0
1. The authority citation for part 596 continues to read as follows:

    Authority: 18 U.S.C. 2332d; 22 U.S.C. 7201-7211; 31 U.S.C. 
321(b).

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


Sec.  596.505   [Amended]

0
2. In Sec.  596.505(a), remove ``or the Government of Sudan to Sudanese 
nationals''.


Sec.  596.506   [Removed and Reserved]

0
3. Remove and reserve Sec.  596.506.

    Dated: May 14, 2021.
Bradley T. Smith,
Acting Director, Office of Foreign Assets Control.
[FR Doc. 2021-10586 Filed 5-19-21; 8:45 am]
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