[House Document 107-141]
[From the U.S. Government Publishing Office]
107th Congress, 1st Session - - - - - - - - - - House Document 107-141
PERIODIC REPORT ON THE NATIONAL
EMERGENCY WITH RESPECT TO SUDAN
__________
MESSAGE
FROM
THE PRESIDENT OF THE UNITED STATES
transmitting
A 6-MONTH PERIODIC REPORT ON THE NATIONAL EMERGENCY WITH RESPECT TO
SUDAN THAT WAS DECLARED IN EXECUTIVE ORDER 13067 OF NOVEMBER 3, 1997,
PURSUANT TO 50 U.S.C. 1641(c) AND 50 U.S.C. 1703(c)
November 5, 2001.--Message and accompanying papers referred to the
Committee on International Relations and ordered to be printed
To the Congress of the United States:
As required by section 401(c) of the National Emergencies
Act, 50 U.S.C. 1641(c), and section 204(c) of the International
Emergency Economic Powers Act (IEEPA), 50 U.S.C. 1703(c), I
transmit herewith a 6-month periodic report on the national
emergency with respect to Sudan that was declared in Executive
Order 13067 of November 3, 1997, based upon information made
available to me.
George W. Bush.
The White House, October 31, 2001.
President's Periodic Report on the National Emergency With Respect to
Sudan
I hereby report to the Congress on developments over the
course of the past 6 months concerning the national emergency
with respect to Sudan that was declared in Executive Order
13067 of November 3, 1997. This report is submitted pursuant to
section 204(c) of the International Emergency Economic Powers
Act, 50 U.S.C. 1703(c) (``IEEPA''), and section 401(c) of the
National Emergencies Act, 50 U.S.C. 1641(c) and based upon
information duly provided.
1. In light of the recent passage of the Trade Sanctions
Reform and Export Enhancement Act of 2000, Title IX of Public
Law 106-387 (October 28, 2000) (the ``TSRA''), conforming
amendments were promulgated to the Sudanese Sanctions
Regulations, 31 CFR Part 538 (the ``Regulations'') (66 FR
36683, July 12, 2001). The TSRA requires the President to
terminate unilateral sanctions on the exportation of most
agricultural commodities, medicine, and medical devices and
imposes the requirement, with certain exceptions, that exports
of such products to the governments of countries, such as
Sudan, designated by the Secretary of State to have repeatedly
provided support for acts of international terrorism, and any
other entity within such countries, only be made available
pursuant to 1-year licenses. The TSRA requires that procedures
be put in place to deny licenses for exports to any entity in
such country promoting international terrorism. A copy of the
conforming amendments is attached to this report.
2. The Department of the Treasury's Office of Foreign
Assets Control (``OFAC'') has issued 44 licenses during the
current reporting period. The majority of licenses were issued
releasing blocked funds after it was determined that there was
no Sudanese Government property interest in the funds.
Thirteen licenses were issued authorizing commercial sales
and exportation to Sudan of bulk agricultural commodities, food
and agricultural products, medicine, and medical equipment.
Three licenses were issued authorizing various payments or
services, including the settlement payment of a life insurance
policy to the designated Sudanese individual beneficiary, the
payment of dues to an international organization and
transactions associated with the shipment of human remains from
the United States to Sudan. Another license was issued
authorizing legal representation and payment of legal fees.
Forty-five license applications were denied, including 28
applications involving blocked funds that, after review, were
determined to involve a Sudanese Government property interest.
The remainder of the denials involved commercial goods or
services.
3. Since the inception of the program, 126 entities have
been designated by OFAC as being owned or controlled by the
Government of Sudan, including 12 financial institutions. As of
September 10, 2001, 38 transactions totaling more than $437,000
had been blocked during this reporting period. Under the
Regulations, transactions in violation of the sanctions where
there is no blockable interest of the Government of Sudan must
be returned to remitters (``rejected''). During the reporting
period, 235 such transactions were rejected by U.S. banks
causing a disruption of more than $20 million in business for
Sudan.
4. Since my last report, OFAC has collected seven civil
monetary penalties totaling nearly $19,500 for violations of
IEEPA and the Regulations from four U.S. financial
institutions, two carriers and one company. An additional 42
cases are undergoing penalty action for violation of the
Regulations and IEEPA. OFAC, in cooperation with the U.S.
Customs Service, is closely monitoring potential violations of
the prohibitions of the Regulations by businesses and
individuals. Various reports of violations are being
aggressively pursued.
5. The expenses incurred by the Federal Government in the
6-month period from May 3, 2001, through November 2, 2001, that
are directly attributable to the exercise of powers and
authorities conferred by the declaration of a national
emergency with respect to Sudan are reported to be
approximately $260,000, most of which represent wage and salary
costs for Federal personnel. Personnel costs were largely
centered in the Department of the Treasury (particularly in the
Office of Foreign Assets Control, the U.S. Customs Service, the
Office of the Under Secretary for Enforcement, and the Office
of the General Counsel), the Department of State (particularly
the Bureaus of Economic and Business Affairs, African Affairs,
Near Eastern Affairs, Consular Affairs, and the Office of the
Legal Adviser), and the Department of Commerce (the Bureau of
Export Administration and the General Counsel's Office).
6. The situation in Sudan continues to present an
extraordinary and unusual threat to the national security and
foreign policy of the United States. The declaration of the
national emergency with respect to Sudan contained in Executive
Order 13067 underscores the United States Government's
opposition to the actions and policies of the Government of
Sudan, particularly its support of international terrorism and
its failure to respect basic human rights, including its
restrictions on religious freedom. The prohibitions contained
in Executive Order 13067 advance important objectives in
promoting the anti-terrorism and human rights policies of the
United States. I shall exercise the powers at my disposal to
deal with these problems and will continue to report
periodically to the Congress on significant developments.