OFAC Issues Final Rule on Blocking Property of Certain Persons in Connection with Darfur Conflict

(In EO 13400, the President expanded the scope of the national emergency declared in EO13067 with respect to the Government of Sudan's policies and actions. It also took the additional steps of blocking all property and interests in property of certain persons in connection with the conflict in Darfur.)

Final Rule Adds New 31 CFR Part 546

The final rule adds a new 31 CFR Part 546 entitled, "Darfur Sanctions Regulations" to conform OFAC's regulations to the purposes of EO 13400.

New 31 CFR 546.201 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including their overseas branches, of the following persons are blocked and may not be transferred, paid, exported, withdrawn, or otherwise dealt in: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 13400; and

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

i. to have constituted a threat to the peace process in Darfur;

ii. to have constituted a threat to stability in Darfur and the region;

iii. to be responsible for conduct related to the conflict in Darfur that violates international law;

iv. to be responsible for heinous conduct with respect to human life or limb related to the conflict in Darfur;

v. to have directly or indirectly supplied, sold, or transferred arms or any related materiel, or any assistance, advice, or training related to military activities to:

a) the Government of Sudan;

b) the Sudan Liberation Movement/Army;

c) the Justice and Equality Movement;

d) the Janjaweed; or

e) any person (other than those listed above in a - d) operating in the states of North Darfur, South Darfur, or West Darfur that is a belligerent, a nongovernmental entity, or an individual;

vi. to be responsible for offensive military overflights in and over the Darfur region;

vii. 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

viii. 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 05/08/06 news, 06050899 5, for BP summary announcing the President issued EO 13400.

See ITT's Online Archives or 05/31/07 news, 07053120, for BP summary of the U.S. expanding and tightening its economic sanctions against Sudan, etc.)

OFAC final rule (FR Pub 05/28/09) available at http://edocket.access.gpo.gov/2009/pdf/E9-11952.pdf