[Federal Register Volume 62, Number 149 (Monday, August 4, 1997)]
[Rules and Regulations]
[Pages 41851-41852]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-20447]
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DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Part 560
Iranian Transactions Regulations: Performance on Awards; Certain
Legal Services
AGENCY: Office of Foreign Assets Control, Treasury.
ACTION: Final rule; amendments.
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SUMMARY: The Office of Foreign Assets Control of the U.S. Department of
the Treasury is amending the Iranian Transactions Regulations to
authorize by general license the payment of awards against Iran issued
by the Iran-U.S. Claims Tribunal in The Hague, and implementation
(other than certain exports and reexports) and payment of awards and
settlements to which the United States Government is a party. This
final rule also authorizes by general license the provision of certain
legal services to the Government of Iran and persons in Iran.
EFFECTIVE DATE: July 30, 1997.
FOR FURTHER INFORMATION CONTACT: Regarding the issuance of licenses,
[[Page 41852]]
Steven I. Pinter, Chief, Licensing Division (tel.: 202/622-2480);
regarding legal questions, William B. Hoffman, Chief Counsel (tel.:
202/622-2410); Office of Foreign Assets Control, Department of the
Treasury, Washington, DC 20220.
SUPPLEMENTARY INFORMATION:
Electronic and Facsimile 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 202/515-1387 and type ``/GO FAC,'' or call 202/512-1530 for
disk or paper copies. The Internet address for the Bulletin Board is
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protocol. This file is available for downloading without charge in
WordPerfect 5.1, ASCII, and Adobe AcrobatTM readable (*.PDF)
formats. The document can also be downloaded in ASCII format without
charge from Treasury's Electronic Library (``TEL'') in the ``Business,
Trade and Labor Mall'' of the FedWorld bulletin board. By modem dial
703/321-3339, and select the appropriate self-expanding file in TEL.
For Internet access, use one of the following protocols: Telnet =
fedworld.gov (192.239.93.3); World Wide Web (Home Page) = http://
www.fedworld.gov; FTP = ftp.fedworld.gov (192.239.92.205). Additional
information concerning the programs of the Office of Foreign Assets
Control is available for downloading from the Office's Internet Home
Page: http://www.ustreas.gov/treasury/services/fac/fac.html, or in fax
form through the Office's 24-hour fax-on-demand service: call 202/622-
0077 using a fax machine, fax modem, or (within the United States) a
touch-tone telephone.
Background
In Executive Order 12957 of March 15, 1995 (60 FR 14615, March 17,
1995), President Clinton declared a national emergency with respect to
the actions and policies of the Government of Iran and imposed
sanctions against Iran supplementing those imposed in 1987, invoking
the authority, inter alia, of the International Emergency Economic
Powers Act, 50 U.S.C. 1701-06 (``IEEPA''). The President substantially
supplemented and amended those sanctions in Executive Order 12959 of
May 6, 1995 (60 FR 24757, May 9, 1995). The Office of Foreign Assets
Control (``OFAC'') amended the Iranian Transactions Regulations in
September 1995 (the ``Regulations'') (60 FR 47061, September 11, 1995),
to implement these orders.
In further implementation of Executive Orders 12957 and 12959, OFAC
is promulgating amendments to the Regulations in subpart E. Section
560.510(d)(1) and (d)(2) are revised to generally license all payments
of awards against Iran issued by the Iran-U.S. Claims Tribunal in The
Hague, irrespective of the source of funds for payment, and to
generally license implementation (except exports or reexports that are
subject to export license application requirements of Federal agencies
other than OFAC) as well as payment of awards or settlements in cases
to which the United States Government is a party.
Section 560.525(a)(3) is revised to generally license the provision
of legal services to initiate and conduct U.S. court and other domestic
legal proceedings on behalf of persons in Iran or the Government of
Iran notwithstanding the prohibition on exportation of services to
Iran.
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. The amendment in this final rule does not impose a paperwork
burden.
List of Subjects in 31 CFR Part 560
Administrative practice and procedure, Agricultural commodities,
Banks, banking, Exports, Foreign trade, Imports, Information,
Investments, Iran, Loans, Penalties, Reporting and recordkeeping
requirements, Services, Specially designated nationals, Terrorism,
Transportation.
For the reasons set forth in the preamble, 31 CFR part 560 is
revised as follows:
PART 560-IRANIAN TRANSACTIONS REGULATIONS
1. The authority citation is revised to read as follows:
Authority: 3 U.S.C. 301; 22 U.S.C. 2349aa-9; 50 U.S.C. 1601-
1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461
note); Pub. L. 104-132, 100 Stat. 1214, 1254 (18 U.S.C. 2332d); E.O.
12613, 52 FR 41940, 3 CFR, 1987 Comp., p. 256; E.O. 12957, 60 FR
14615, 3 CFR, 1995 Comp., p. 332; E.O. 12959, 60 FR 24757, 3 CFR,
1995 Comp., p. 356.
Subpart E--Licenses, Authorizations and Statements of Licensing
Policy
2. The introductory text of paragraph (d) and paragraphs (d)(1) and
(d)(2) of Sec. 560.510 are revised to read as follows:
Sec. 560.510 Transactions related to the resolution of disputes
between the United States or United States nationals and the Government
of Iran.
* * * * *
(d) The following are authorized:
(1) All transactions related to payment of awards of the Iran-
United States Claims Tribunal in The Hague against Iran.
(2) All transactions necessary to the payment and implementation of
awards (other than exports or reexports subject to export license
application requirements of other agencies of the United States
Government) in a legal proceeding to which the United States Government
is a party, or to payments pursuant to settlement agreements entered
into by the United States Government in such a legal proceeding.
3. Paragraphs (a)(3) and (a)(5)(i) of Sec. 560.525 are revised to
read as follows:
Sec. 560.525 Exportation of certain legal services.
(a) The provision of the following legal services to the Government
of Iran or to a person in Iran, and receipt of payment of professional
fees and reimbursement of incurred expenses, are authorized:
(1) * * *
(2) * * *
(3) Initiation and conduct of domestic United States legal,
arbitration, or administrative proceedings on behalf of the Government
of Iran or a person in Iran;
(4) * * *
(5) * * *
(i) To resolve disputes between the Government of Iran or an
Iranian national and the United States or a United States national;
* * * * *
Dated: July 23, 1997.
R. Richard Newcomb,
Director, Office of Foreign Assets Control.
Approved: July 25, 1997.
James E. Johnson,
Assistant Secretary (Enforcement).
[FR Doc. 97-20447 Filed 7-30-97; 11:07 am]
BILLING CODE 4810-25-F
