[Federal Register Volume 59, Number 91 (Thursday, May 12, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-11577]
[[Page Unknown]]
[Federal Register: May 12, 1994]
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DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Part 565
Panamanian Transactions Regulations; Resolution of Claims from
Blocked Government of Panama Assets
AGENCY: Office of Foreign Assets Control, Treasury.
ACTION: Final rule; amendment.
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SUMMARY: The Office of Foreign Assets Control is amending the
Panamanian Transactions Regulations to include a statement of licensing
policy indicating that specific licenses may be issued authorizing the
release of blocked Government of Panama funds at the request of that
government to satisfy settlements, final judgments and arbitral awards
with respect to claims of U.S. persons arising prior to April 5, 1990.
The Office of Foreign Assets Control will also accept license
applications with respect to such claims from U.S. persons seeking
judicial orders of attachment against blocked Government of Panama
assets in satisfaction of final judgments entered against the
Government of Panama provided such applications are submitted no later
than June 15, 1994.
EFFECTIVE DATE: May 9, 1994.
FOR FURTHER INFORMATION CONTACT: Steven I. Pinter, Chief of Licensing
(tel.: 202/622-2480), or William B. Hoffman, Chief Counsel (tel.: 202/
622-2410), Office of Foreign Assets Control, Department of the
Treasury, Washington, DC 20220.
SUPPLEMENTARY INFORMATION:
Electronic Availability
This document is available as an electronic file on The Federal
Bulletin Board the day of publication in the Federal Register. By modem
dial 202/512-1387 or call 202/512-1530 for disks or paper copies. This
file is available in Postscript, WordPerfect 5.1 and ASCII.
Background
Executive Order 12710 of April 5, 1990, 3 CFR, 1990 Comp., p. 282,
terminated the national emergency declared on April 8, 1988, with
respect to Panama, and lifted sanctions imposed against the Noriega
regime. Pursuant to section 207(a)(2) of the International Emergency
Economic Powers Act, 50 U.S.C. 1706(a)(2), however, the order continued
the blocking of certain Government of Panama assets in the United
States, with the understanding of the Government of Panama, to
facilitate resolution of claims of U.S. persons.
To foster the resolution of U.S. persons' claims against the
Government of Panama arising prior to the April 5, 1990 lifting date,
the Office of Foreign Assets Control, Department of the Treasury
(``FAC''), is amending the Panamanian Transactions Regulations, 31 CFR
part 565 (the ``Regulations'') to include a statement of licensing
policy announcing that the release of blocked Government of Panama
assets may be licensed at the request of that government to satisfy
settlements, final judgments and arbitral awards in favor of U.S.
persons, where the claims arose prior to April 5, 1990. In addition,
FAC will accept license applications from U.S. persons seeking judicial
orders of attachment against blocked Government of Panama assets in
satisfaction of final judgments entered in favor of the applicants with
respect to such claims against the Government of Panama, provided such
applications are submitted no later that June 15, 1994. The term
``Government of Panama'' for these purposes is defined in Sec. 565.303
of the Regulations, including appendix A to part 565.
Note: Procedures for specific license applications are set forth in
Sec. 565.801 of the Regulations. Unlicensed transfers of blocked
Government of Panama assets, including transfers pursuant to judicial
order, are prohibited and are null and void as provided in
Secs. 565.201 and 565.204. Violations of this part are punishable by
criminal and civil penalties as provided in Secs. 565.701 through
565.705.
Because the Regulations involve a foreign affairs function,
Executive Order 12866 and the provisions of 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.
List of Subjects in 31 CFR Part 565
Panama, Blocking of assets, Foreign claims, Penalties, Reporting
and recordkeeping requirements, Transfer of assets.
For the reasons set forth in the preamble, 31 CFR part 565 is
amended as follows:
PART 565--PANAMANIAN TRANSACTIONS REGULATIONS
1. The authority citation for part 565 is revised to read as
follows:
Authority: 50 U.S.C. 1701-1706, E.O. 12635, 3 CFR, 1988 Comp.,
p. 563; E.O. 12710, 3 CFR, 1990 Comp., p. 282.
Subpart E----Licenses, Authorizations and Statements of Licensing
Policy
2. Section 565.512 is added to subpart E to read as follows:
Sec. 565.512 Licensing policy with respect to blocked Government of
Panama Assets.
(a) Licenses may be issued on a case-by-case basis authorizing the
release of blocked Government of Panama assets at the request of that
government to satisfy settlements, final judgments and arbitral awards
with respect to claims of U.S. persons arising prior to April 5, 1990.
(b) Licenses may be issued on a case-by-case basis authorizing U.S.
persons to seek judicial orders of attachment against blocked
Government of Panama assets in satisfaction of final judgments entered
in favor of the applicants with respect to claims arising prior to
April 5, 1990 against the Government of Panama. The term ``Government
of Panama'' for these purposes is defined in Sec. 565.303, including
appendix A to this part.
(1) Applications pursuant to paragraph (b) of this section must be
submitted to the Licensing Division of the Office of Foreign Assets
Control not later than June 15, 1994, and must include a certified copy
of the final judgment and evidence that the claim on which the judgment
was entered arose against the Government of Panama prior to April 5,
1990.
(2) If the licensed proceedings result in a final judicial order of
attachment against the blocked assets, a certified copy of that order
must be submitted to the Licensing Division of the Office of Foreign
Assets Control. Specific licenses may be issued on the basis of such
orders authorizing release of blocked Government of Panama funds deemed
in the attachment order to be subject to attachment to satisfy the
applicant's final judgment.
Dated: April 22, 1994.
R. Richard Newcomb,
Director, Office of Foreign Assets Control.
Approved: April 28, 1994.
John P. Simpson,
Deputy Assistant Secretary (Regulatory, Tariff and Trade Enforcement).
[FR Doc. 94-11577 Filed 5-9-94; 3:55 pm]
BILLING CODE 4810-25-F
