[House Document 107-209]
[From the U.S. Government Publishing Office]



                                     

107th Congress, 2d Session - - - - - - - - - - - - House Document 107-209


 
    PERIODIC REPORT ON THE NATIONAL EMERGENCY WITH RESPECT TO SUDAN

                               __________

                                MESSAGE

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

 A SIX 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)




May 7, 2002.--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 am 
providing herewith a 6-month periodic report prepared by my 
Administration on the national emergency with respect to Sudan 
that was declared in Executive Order 13067 of November 3, 1997.

                                                    George W. Bush.
    The White House, May 7, 2002.
    Periodic Report on the National Emergency With Respect to Sudan

    This report to the Congress covers 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).
    1. 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. Nineteen 
licenses were issued authorizing commercial sales and 
exportation to Sudan of bulk agricultural commodities, food and 
agriculture products, medicine, and medical equipment. One 
additional license was issued authorizing the provision of very 
limited banking services, and one license was issued permitting 
the liquidation of tangible assets belonging to the Government 
of Sudan that are currently in the possession of a U.S. 
company, with the proceeds to be deposited into a blocked 
account. Twenty-five license applications were denied, 
including 18 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.
    2. As of March 11, 2002, 25 transactions totaling more than 
$443,000 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, 142 such transactions were entered into 
OFAC's database as being rejected by U.S. banks indicating a 
disruption of at least $3.4 million in business for Sudan. In 
addition, as of March 11, 2002, OFAC has authorized nine non-
governmental organizations to conduct humanitarian relief 
operations in Sudan, bringing the total number of such 
authorizations to 84.
    3. Since the last report, OFAC has collected 11 civil 
monetary penalities totaling nearly $53,000 for violations of 
IEEPA and the Sudanese Sanctions Regulations, 31 C.F.R. Part 
538 (the ``Regulations''), from nine U.S. financial 
institutions and one carrier. Three defaulted penalties 
totaling more than $19,000 have been referred for debt 
collection. An additional 35 cases are undergoing penalty 
action for violation of the Regulations and IEEPA.
    4. On February 26, 2002, OFAC issued a Notice of Blocking 
to a U.S. company in possession of a commercial shipment 
consigned to the Greater Nile Petroleum Operating Company 
(``GNPOC''), a Specially Designated National of Sudan.
    5. The expenses incurred by the Federal Government in the 
6-month period from November 3, 2001, through May 2, 2002, 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 $295,000, 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 of Enforcement, and the Office of 
the General Counsel), the Department of State, and the 
Department of Commerce.
    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.