Public Papers of the Presidents of the United States: William J. Clinton (1993, Book II)

[Public Papers of the Presidents of the United States: William J. Clinton (1993, Book II)]
[November 13, 1993]
[Pages 1991-1995]
[From the U.S. Government Publishing Office www.gpo.gov]

Letter to Congressional Leaders on Haiti
November 13, 1993

Dear Mr. Speaker: (Dear Mr. President:)
1. In December 1990, the Haitian people elected Jean-Bertrand
Aristide as their President by an overwhelming margin in a free and fair
election. The United States praised Haiti's success in peacefully
implementing its democratic constitutional system and provided
significant political and economic support to the new government. The
Haitian military abruptly interrupted the consolidation of Haiti's new
democracy when in September 1991, it illegally and violently ousted
President Aristide from office and drove him into exile.
2. The United States, on its own and with the Organization of
American States (OAS), immediately imposed sanctions against the illegal
regime. The United States has also actively supported the efforts of the
OAS and the United Nations to restore democracy to Haiti and bring about
President Aristide's return by facilitating negotiations between the
Haitian parties. The United States and the international community also
offered material assistance within the context of an eventual negotiated
settlement of the Haitian crisis to support the return to democracy,
build constitutional structures, and foster economic well-being.
3. My last report detailed asset freezes and entry prohibitions that
I ordered be imposed against individuals associated with the illegal
regime on June 4. That report also described the imposition of mandatory
oil, arms, and financial sanctions by the United Nations Security
Council on June 23 and the tightening of the OAS trade embargo in the
same period.
4. Since those events my Administration has intensively supported
the negotiating process, using the international community's
determination as expressed in the sanctions to bring about the
restoration of democracy and return of President Aristide. Our efforts
bore fruit in the July 3 Governors Island Agreement between President
Aristide and Haitian military Commander in Chief General Cedras. That
agreement establishes a comprehensive framework for achievement of our
policy objectives in Haiti. Progress in implementing its provisions
permitted the suspension of the United Nations,

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OAS, and our own targeted sanctions at the end of August.
5. However, as the date for fulfillment of the final terms of the
Governors Island Agreement including the return of President Aristide
neared, violence in Haiti increased and, on October 11, the Haitian
military and police failed to maintain order necessary for the
deployment of U.S. and other forces participating in the United Nations
Mission in Haiti. This Haitian military intransigence led to the
reimposition of U.N. and OAS sanctions on October 18. That same day, I
ordered the reimposition of our targeted asset freeze and entry
prohibition, the scope and reach of which were at the same time
significantly enhanced.
6. This report details the measures we have instituted and enforced
pursuant to the requirements of the International Emergency Economic
Powers Act. Military refusal to honor obligations incurred in the
Governors Island Agreement persists to this date. However, I remain
committed to the restoration of democracy in Haiti and I am confident
that the application of the measures described in this report will
significantly buttress our efforts to achieve that outcome.
7. As noted in my previous report, on June 30, 1993, I issued
Executive Order No. 12853 to implement in the United States petroleum,
arms, and financial sanctions mandated by United Nations Security
Council Resolution No. 841 of June 16, 1993. The order broadened U.S.
authority to block all property of the de facto regime in Haiti that is
in the United States or in the possession or control of U.S. persons,
prohibiting transactions involving Haitian nationals providing
substantial financial or material contributions to, or doing substantial
business with, the de facto regime in Haiti. Executive Order No. 12853
also prohibited the sale or supply from the United States of petroleum,
petroleum products, arms, or related materiel of all types. Finally, the
order also prohibited the carriage on U.S.-registered vessels of
petroleum or petroleum products, or arms and related materiel, with
entry into, or with the intent to enter, the territory or territorial
waters of Haiti.
Apparent steady progress toward achieving my firm goal of restoring
democracy in Haiti permitted the United States and the world community
to suspend economic sanctions against Haiti in August. With our strong
support, the United Nations Security Council adopted Resolution No. 861
on August 27, 1993, calling on Member States to suspend the petroleum,
arms, and financial sanctions imposed under United Nations Security
Council Resolution No. 841. Resolution No. 861 noted with approval the
Governors Island Agreement signed in New York on July 3 between the
President of the Republic of Haiti, Jean-Bertrand Aristide, and the
Commander in Chief of the Armed Forces of Haiti, Lieutenant General
Raoul Cedras. Similarly, the Secretary General of the OAS announced on
August 27 that the OAS was urging Member States to suspend their trade
embargoes.
As a result of these U.N. and OAS actions and the anticipated
swearing-in of Prime Minister Robert Malval, the Department of the
Treasury, in consultation with the Department of State, suspended U.S.
trade and financial restrictions against Haiti, effective at 9:35 a.m.
e.d.t. on August 31, 1993. The suspension permitted new trade
transactions with Haiti and authorized new financial and other
transactions involving property in which the Government of Haiti has an
interest. Property of the Government of Haiti that was blocked before
August 31 would be unblocked gradually and when requested by that
government. However, property of blocked individuals of the de facto
regime in Haiti was unblocked as of August 31, 1993.
The Haitian military betrayed its commitments, first by the
acceleration of violence in Haiti that it sponsored or tolerated, and
then on October 11 when armed ``attaches,'' with military and police
support, obstructed deployment to Haiti of U.S. military trainers and
engineers as part of the United Nations Mission in Haiti. On October 13,
1993, the U.N. Security Council issued Resolution No. 873 that
terminated the suspension of sanctions, effective October 18, 1993.
Therefore, we have taken three steps to bring the sanctions to bear once
again on those who are obstructing the restoration of democracy and
return of President Aristide by blocking fulfillment of the Governors
Island Agreement and implementation of the relevant U.N. Security
Council resolutions.
First, effective at 11:59 p.m. e.d.t., October 18, 1993, I issued
Executive Order No. 12872, authorizing the Department of the Treasury to
block assets of persons who have: (1) contributed to the obstruction of
U.N. resolutions 841 and 843, the Governors Island Agreement, or the
activities of the United Nations Mission in

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Haiti; (2) perpetuated or contributed to the violence in Haiti; or (3)
materially or financially supported either the obstruction or the
violence referred to above. This authority is in addition to the
blocking authority provided for in the original sanctions and in
Executive Order No. 12853 of June 30, 1993, and ensures adequate scope
to reach U.S.-connected assets of senior military and police officials,
civilian ``attaches,'' and their financial patrons. A list of 41 such
individuals was published on November 1, 1993, by the Office of Foreign
Assets Control of the Department of the Treasury (58 Fed. Reg. 58482). A
copy of the notice is attached.
Second, also effective at 11:59 p.m. e.d.t., October 18, 1993, the
Department of the Treasury revoked the suspension of its sanctions, so
that the full scope of prior prohibitions has been reinstated. The
reinstated sanctions again prohibit most unlicensed trade with Haiti and
block the assets of those entities and persons covered by the broadened
authority granted in Executive Order No. 12853 of June 16, 1993.
Restrictions on the entry into U.S. ports of vessels whose Haitian calls
would violate U.S. or OAS sanctions if they had been made by U.S.
persons are also reinstated.
Third, on October 18, I ordered the deployment of six U.S. Navy
vessels off Haiti's shore to enforce strictly the U.N. sanctions and our
regulations implementing the OAS embargo. Our ships have been, or will
shortly be, joined by vessels from the navies of Canada, France,
Argentina, the Netherlands, and the United Kingdom.
8. Economic sanctions against the de facto regime in Haiti were
first imposed in October 1991. On October 4, 1991, in Executive Order
No. 12775, President Bush declared a national emergency to deal with the
threat to the national security, foreign policy, and economy of the
United States caused by events that had occurred in Haiti to disrupt the
legitimate exercise of power by the democratically elected government of
that country (56 Fed. Reg. 50641). In that order, the President ordered
the immediate blocking of all property and interests in property of the
Government of Haiti (including the Banque de la Republique d'Haiti) then
or thereafter located in the United States or within the possession or
control of a U.S. person, including its overseas branches. The Executive
order also prohibited any direct or indirect payments or transfers to
the de facto regime in Haiti of funds or other financial or investment
assets or credits by any U.S. person, including its overseas branches,
or by any entity organized under the laws of Haiti and owned or
controlled by a U.S. person.
Subsequently, on October 28, 1991, President Bush issued Executive
Order No. 12779, adding trade sanctions against Haiti to the sanctions
imposed on October 4 (56 Fed. Reg. 55975). This order prohibited
exportation from the United States of goods, technology, and services
and importation into the United States of Haitian-originated goods and
services, after November 5, 1991, with certain limited exceptions. The
order exempted trade in publications and other informational materials
from the import, export, and payment prohibitions and permitted the
exportation to Haiti of donations to relieve human suffering as well as
commercial sales of five food commodities: rice, beans, sugar, wheat
flour, and cooking oil. In order to permit the return to the United
States of goods being prepared for U.S. customers by Haiti's substantial
``assembly sector,'' the order also permitted, through December 5, 1991,
the importation into the United States of goods assembled or processed
in Haiti that contained parts or materials previously exported to Haiti
from the United States. On February 5, 1992, it was announced that
specific licenses could be applied for on a case-by-case basis by U.S.
persons wishing to resume a pre-embargo import/export relationship with
the assembly sector in Haiti.
9. The declaration of the national emergency on October 4, 1991, was
made pursuant to the authority vested in the President by the
Constitution and laws of the United States, including the International
Emergency Economic Powers Act (IEEPA) (50 U.S.C. 1701 et seq.), the
National Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of
title 3 of the United States Code. The emergency declaration was
reported to the Congress on October 4, 1991, pursuant to section 204(b)
of IEEPA (50 U.S.C. 1703(b)). The additional sanctions set forth in the
Executive order of October 28, 1991, were imposed pursuant to the
authority vested in the President by the Constitution and laws of the
United States, including the statutes cited above, and represent the
response by the United States to Resolution MRE/RES. 2/91, adopted by
the Ad Hoc Meeting of Ministers of Foreign Affairs of the OAS on October
8, 1991, which called on Member States to impose a trade embargo

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on Haiti and to freeze Government of Haiti assets. The current report is
submitted pursuant to 50 U.S.C. 1641(c) and 1703(c), and discusses
Administration actions and expenses since the last report that are
directly related to the national emergency with respect to Haiti
declared in Executive Order No. 12775, as implemented pursuant to that
order and Executive Order No. 12779.
10. Since my report of July 12, 1993, the Office of Foreign Assets
Control of the Department of the Treasury (FAC), in consultation with
the Department of State and other Federal agencies, has issued three
amendments to the Haitian Transactions Regulations (the
``Regulations''), 31 C.F.R. Part 580. First, as previously reported, on
June 4, 1993, FAC issued General Notice No. 1 (Haiti), entitled
``Notification of Specially Designated Nationals of the de facto Regime
in Haiti.'' This Notice listed persons identified as (1) having seized
power illegally from the democratically elected government of President
Aristide on September 30, 1991; (2) being substantially owned or
controlled by the de facto regime in Haiti; or (3) having, since 12:23
p.m. e.d.t., October 4, 1991, acted or purported to act directly or
indirectly on behalf of the de facto regime in Haiti on under the
asserted authority thereof. The effect of the Notice was (1) to block
within the United States or within the possession or control of U.S.
persons all property and interests in property of the blocked
individuals and entities and (2) to prohibit transfers or payments to
them by U.S. persons. The Regulations were amended on July 27, 1993, to
incorporate as Appendix A the list of persons and entities identified in
General Notice No. 1 (58 Fed. Reg. 40043). A copy of the amendment is
attached to this report.
Second, consistent with United Nations Security Council Resolution
No. 861 of August 27, 1993, and the August 27, 1993, announcement of the
Secretary General of the OAS, the Regulations were amended on August 31,
1993, (58 Fed. Reg. 46540) to suspend sanctions against Haiti. A copy of
the amendment is attached to this report. The amendment, new section
580.518, prospectively suspended trade restrictions against Haiti and
authorized new financial and other transactions with the Government of
Haiti. The effect of this amendment was to authorize transactions
involving property interests of the Government of Haiti that came within
the United States or within the possession or control of U.S. persons
after 9:35 a.m. e.d.t., August 31, 1993, or in which the interest of the
Government of Haiti arose thereafter. Newly authorized transactions
included, but were not limited to, otherwise lawful exportations and
importations from Haiti, brokering transactions, and transfers of funds
to the Government of Haiti for obligations due and payable after 9:35
a.m. e.d.t., August 31, 1993.
The amendment did not unblock property of the Government of Haiti
that was blocked as of 9:35 a.m. e.d.t., August 31, 1993, nor did it
affect enforcement actions involving prior violations of the
Regulations, which would continue to be vigorously prosecuted. Blocked
property of the Government of Haiti was to be unblocked by specific
license on a case-by-case basis in consultations with that government.
However, the amendment unblocked all blocked property of the Banque de
l'Union Haitienne and of all individuals previously listed in Section I
of Appendix A to the Regulations.
Third, as noted previously, consistent with United Nations Security
Council Resolution No. 873 of October 13, 1993, and Executive Order No.
12872 (58 Fed. Reg. 54029, October 20, 1993), the Regulations were
amended effective 11:59 p.m. e.d.t., October 18, 1993 (58 Fed. Reg.
54024), to reimpose sanctions against Haiti. A copy of the Executive
order and of the amendment are attached to this report. The amendment
removes section 580.518, discussed above.
11. In implementing the Haitian sanctions program, FAC has made
extensive use of its authority to specifically license transactions with
respect to Haiti in an effort to mitigate the effects of the sanctions
on the legitimate Government of Haiti and on the livelihood of Haitian
workers employed by Haiti's export assembly sector, and to ensure the
availability of necessary medicines and medical supplies and the
undisrupted flow of humanitarian donations to Haiti's poor. For example,
specific licenses were issued (1) permitting expenditures from blocked
assets for the operations of the legitimate Government of Haiti; (2)
permitting U.S. firms with pre-embargo relationships with product
assembly operations in Haiti to resume those relationships in order to
continue employment for their workers or, if they choose to withdraw
from Haiti, to return to the United States assembly equipment,
machinery, and parts and materials previously exported to Haiti; (3)
permitting U.S.

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companies operating in Haiti to establish, under specified
circumstances, interest-bearing blocked reserve accounts in commercial
or investment banking institutions in the United States for deposit of
amounts owed the de facto regime; (4) permitting the continued material
support of U.S. and international religious, charitable, public health,
and other humanitarian organizations and projects operating in Haiti;
(5) authorizing commercial sales of agricultural inputs such as
fertilizer and foodcrop seeds; and (6) in order to combat deforestation,
permitting the importation of agricultural products grown on trees.
12. During this reporting period, U.S.-led OAS initiatives resulted
in even greater intensification and coordination of enforcement
activities. The U.S. Coast Guard, whose cutters had been patrolling just
beyond Haiti's territorial waters, significantly increased vessel
boardings, identification of suspected embargo violators, and referrals
for investigation. Continued close coordination with the U.S. Customs
Service in Miami sharply reduced the number of attempted exports of
unmanifested, unauthorized merchandise.
Since the last report, 16 penalties, totaling approximately $65,000,
have been collected from U.S. businesses and individuals for violations
of the Regulations. Seven violations involved unlicensed import- and
export-related activity. As of September 21, 1993, payments of penalties
assessed against the masters of vessels for unauthorized trade
transactions or violations of entry restrictions totalled approximately
$45,000. Total collections for the fiscal year have exceeded $210,000.
13. The expenses incurred by the Federal Government in the 6-month
period from April 4, 1993, through October 3, 1993, that are directly
attributable to the authorities conferred by the declaration of a
national emergency with respect to Haiti are estimated at approximately
$3.1 million, most of which represent wage and salary costs for Federal
personnel. Personnel costs were largely centered in the Department of
the Treasury (particularly in FAC, the U.S. Customs Service, and the
Office of the General Counsel), the Department of State, the U.S. Coast
Guard, and the Department of Commerce.
I am committed to the restoration of democracy in Haiti and
determined to see that Haiti and the Haitian people resume their
rightful place in our hemispheric community of democracies. Active U.S.
support for U.N./OAS efforts to resolve the Haitian crisis has led to
the reimposition of sweeping economic sanctions. I call on all of
Haiti's leaders to recall the solemn undertakings in the Governors
Island Agreement and to adhere to those pledges, so that the sanctions
can be lifted and the process of rebuilding their beleaguered country
can begin. The United States will continue to play a leadership role in
the international community's program of support and assistance for
democracy in Haiti.
I will continue to report periodically to the Congress on
significant developments pursuant to 50 U.S.C. 1703(c).
Sincerely,

William J. Clinton

Note: Identical letters were sent to Thomas S. Foley, Speaker of the
House of Representatives, and Albert Gore, Jr., President of the Senate.
This letter was released by the Office of the Press Secretary on
November 15.