OFAC Issues Final Rule on Blocking Property of Certain Persons Contributing to Congo Conflict

(In EO 13413, the President determined that the situation in or in relation to the Democratic Republic of the Congo (the DRC) constitutes an unusual and extraordinary threat to the national security and foreign policy of the U.S., and declared a national emergency to deal with that threat. Among other things, EO 13413 blocks the property and interests in property of persons contributing to the conflict in the DRC.)

Final Rule Adds New 31 CFR Part 547

The final rule adds a new 31 CFR Part 547 entitled, "Democratic Republic of the Congo Sanctions Regulations" to conform OFAC's regulations to the purposes of EO 13413.

New 31 CFR 547.201 states, among other things, that except as authorized by regulations, orders, directives, rulings, instructions, licenses or otherwise, and notwithstanding any contracts entered into or any license or permit granted prior to the effective date, all property and interests in property that are in the U.S., that hereafter come within the U.S., or that are or hereafter come within the possession or control of U.S. persons, including their overseas branches, of the following persons are blocked and may not be transferred, paid, exported, withdrawn, or otherwise dealt in:

(1) Any person listed in the Annex to EO 13413; and

(2) Any person determined by the Secretary of the Treasury, after consultation with the Secretary of State:

i. to be a political or military leader of a foreign armed group operating in the DRC that impedes the disarmament, repatriation, or resettlement of combatants;

ii. to be a political or military leader of a Congolese armed group that impedes the disarmament, demobilization, or reintegration of combatants;

iii. to be a political or military leader recruiting or using children in armed conflict in the DRC in violation of applicable international law;

iv. to have committed serious violations of international law involving the targeting of children in situations of armed conflict in the DRC, including killing and maiming, sexual violence, abduction, and forced displacement;

v. to have directly or indirectly supplied, sold, or transferred to the DRC, or been the recipient in the territory of the DRC of, arms and related materiel, including military aircraft and equipment, or advice, training, or assistance, including financing and financial assistance, related to military activities;

vi. to have materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services in support of, certain activities or any person whose property and interests in property are blocked; or

vii. to be owned or controlled by, or acting or purporting to act for or on behalf of, directly or indirectly, any person whose property and interests in property are blocked.

(See final rule for additional details, including prohibitions for the making or receipt by a U.S. person or within the U.S. of any contribution or provision of funds, goods, or services from, by, to, or for blocked persons, etc.)

(See ITT's Online Archives or 11/06/06 news, 06110699 5, for BP summary announcing the President issued EO 14313.)

OFAC final rule (FR Pub 05/28/09) available at http://edocket.access.gpo.gov/2009/pdf/E9-11953.pdf