83 FR 30335 - Iranian Transactions and Sanctions Regulations
DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control Federal Register Volume 83, Issue 125 (June 28, 2018)
Office of Foreign Assets Control
Federal Register Volume 83, Issue 125 (June 28, 2018)
| Page Range | 30335-30338 | |
| FR Document | 2018-13939 |
[Federal Register Volume 83, Number 125 (Thursday, June 28, 2018)] [Rules and Regulations] [Pages 30335-30338] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-13939] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF THE TREASURY Office of Foreign Assets Control 31 CFR Part 560 Iranian Transactions and Sanctions Regulations AGENCY: Office of Foreign Assets Control, Treasury. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: The Department of the Treasury's Office of Foreign Assets Control (OFAC) is amending the Iranian Transactions and Sanctions Regulations (ITSR) to implement the President's May 8, 2018 decision to end the United States' participation in the Joint Comprehensive Plan of Action (JCPOA) on Iran's nuclear program, as outlined in National Security Presidential Memorandum-11 of May 8, 2018 (NSPM-11). Specifically, OFAC is amending the ITSR to: Amend the general licenses authorizing the importation into the United States of, and dealings in, Iranian-origin carpets and foodstuffs, as well as related letters of credit and brokering services, to narrow the scope of such general licenses to the wind down of such activities through August 6, 2018; add a new general license to authorize the wind down, through August 6, 2018, of transactions related to the negotiation of contingent contracts for activities eligible for authorization under the Statement of Licensing Policy for Activities Related to the Export or Re-export to Iran of Commercial Passenger Aircraft and Related Parts and Services, which was rescinded following the issuance of NSPM-11; and add a new general license to authorize the wind down, through November 4, 2018, of certain transactions relating to foreign entities owned or controlled by a United States person. DATES: Effective Date: June 27, 2018. FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for Licensing, tel.: 202-622-2480; Assistant Director for Regulatory Affairs, tel.: 202-622-4855; Assistant Director for Sanctions Compliance & Evaluation, tel.: 202-622-2490; or the Department of the Treasury's Office of the Chief Counsel (Foreign Assets Control), Office of the General Counsel, tel.: 202-622-2410. SUPPLEMENTARY INFORMATION: Electronic Availability This document and additional information concerning OFAC are available on OFAC's website (www.treasury.gov/ofac). Background On May 8, 2018, the President issued NSPM-11, which set forth his decision to end the United States' participation in the JCPOA. In NSPM- 11, the [[Page 30336]] President directed the Secretary of State and the Secretary of the Treasury to immediately begin taking steps to re-impose all United States sanctions lifted or waived in connection with the JCPOA as expeditiously as possible, and in no case later than 180 days from the date of NSPM-11. Today, OFAC is amending the ITSR, 31 CFR part 560, to issue wind-down authorizations for activities involving Iran that were previously authorized by OFAC in connection with the U.S. sanctions relief provided for under the JCPOA. In conjunction with this action, OFAC has revoked General License H and General License I, two authorizations for activities involving Iran that were previously issued by OFAC in connection with the U.S. sanctions relief provided for under the JCPOA. On January 16, 2016, OFAC issued General License H to license certain transactions relating to foreign entities owned or controlled by a United States person. At the time of its issuance, General License H was posted on OFAC's website (www.treasury.gov/ofac). Also on January 16, 2016, OFAC issued a Statement of Licensing Policy for Activities Related to the Export or Re-export to Iran of Commercial Passenger Aircraft and Related Parts and Services (JCPOA SLP). At the time of its issuance, the JCPOA SLP was posted on OFAC's website (www.treasury.gov/ofac). Following the issuance of NSPM-11, OFAC rescinded the JCPOA SLP and posted an archived version of the JCPOA SLP on its website for reference purposes. On January 21, 2016, OFAC amended the ITSR to license the importation into the United States of certain Iranian-origin carpets and foodstuffs, including pistachios and caviar (81 FR 3330). Specifically, OFAC added Sec. 560.534 to the ITSR to authorize by general license the importation into the United States of, and dealings in, certain Iranian-origin foodstuffs and carpets from Iran or a third country. OFAC also added Sec. 560.535 to the ITSR to authorize by general license certain letters of credit and brokering services relating to certain Iranian-origin foodstuffs and carpets. On March 24, 2016, OFAC issued General License I to authorize certain transactions related to the negotiation of, and entry into, contingent contracts for activities eligible for authorization under the JCPOA SLP. At the time of its issuance, General License I was posted on OFAC's website (www.treasury.gov/ofac). Today, OFAC is amending the ITSR to implement the wind-down authorizations for the above-referenced activities involving Iran that were previously authorized by OFAC pursuant to the ITSR in connection with the U.S. sanctions relief provided for under the JCPOA. First, OFAC is amending Sec. 560.534 to narrow the scope of that general license to authorize, through 11:59 p.m. eastern daylight time on August 6, 2018, only the wind down of transactions related to the importation into the United States of, and dealings in, certain Iranian-origin foodstuffs and carpets. U.S. persons will be authorized to engage in all transactions and activities that are ordinarily incident and necessary to the wind down of transactions that were previously authorized under Sec. 560.534. After 11:59 p.m. eastern daylight time on August 6, 2018, no further transactions are authorized under amended Sec. 560.534. OFAC is also amending Sec. 560.535 to narrow the scope of that general license to authorize, through 11:59 p.m. eastern daylight time on August 6, 2018, only the wind down of transactions related to letters of credit and brokering services relating to certain Iranian- origin foodstuffs and carpets. U.S. persons will be authorized to engage in all transactions and activities that are ordinarily incident and necessary to the wind down of transactions that were previously authorized under Sec. 560.535. After 11:59 p.m. eastern daylight time on August 6, 2018, no further transactions are authorized under amended Sec. 560.535. In addition, OFAC is adding Sec. 560.536 to authorize, through 11:59 p.m. eastern daylight time on August 6, 2018, all transactions and activities that are ordinarily incident and necessary to the wind down of transactions related to the negotiation of contingent contracts for activities that were, at the time of the negotiation, eligible for authorization under the JCPOA SLP. This wind-down authorization enables U.S. persons to wind down, through August 6, 2018, activities that were previously authorized pursuant to General License I. In conjunction with this action, OFAC has revoked General License I and has posted an archived version of General License I on its website (www.treasury.gov/ofac) for reference purposes. After 11:59 p.m. eastern daylight time on August 6, 2018, no further transactions are authorized under Sec. 560.536. Finally, OFAC is adding Sec. 560.537 to authorize, through 11:59 p.m. eastern standard time on November 4, 2018, all transactions and activities that are ordinarily incident and necessary to the wind down of transactions relating to foreign entities owned or controlled by a United States person that were previously authorized under General License H. In conjunction with this action, OFAC has revoked General License H and has posted an archived version of General License H on its website (www.treasury.gov/ofac) for reference purposes. After 11:59 p.m. eastern standard time on November 4, 2018, no further transactions are authorized under Sec. 560.537. Public Participation Because the amendment of the ITSR involves a foreign affairs function, the provisions of Executive Order 12866 and the Administrative Procedure Act (5 U.S.C. 553) requiring notice of proposed rulemaking, opportunity for public participation, and delay in effective date, as well as the provisions of Executive Order 13771, 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. Paperwork Reduction Act The collections of information related to the ITSR are contained in 31 CFR part 501 (the ``Reporting, Procedures and Penalties Regulations''). Pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3507), those collections of information have been approved by the Office of Management and Budget under control number 1505-0164. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid control number. List of Subjects in 31 CFR Part 560 Administrative practice and procedure, Aircraft, Banks, Banking, Carpet, Civil aviation, Foodstuffs, Iran, Letters of credit. For the reasons set forth in the preamble, the Department of the Treasury's Office of Foreign Assets Control amends 31 CFR chapter V as follows: PART 560--IRANIAN TRANSACTIONS AND SANCTIONS REGULATIONS 0 1. The authority citation for part 560 continues to read as follows: Authority: 3 U.S.C. 301; 18 U.S.C. 2339B, 2332d; 22 U.S.C. 2349aa-9; 22 U.S.C. 7201-7211; 31 U.S.C. 321(b); 50 U.S.C. 1601- 1651, 1701-1706; Pub. L. 101-410, 104 Stat. 890 (28 U.S.C. 2461 note); Pub. L. 110-96, 121 Stat. 1011 (50 U.S.C. 1705 note); Pub. L. 111-195, 124 Stat. 1312 (22 U.S.C. 8501-8551); Pub. L. 112-81, 125 Stat. 1298 (22 U.S.C. 8513a); Pub. L. 112-158, 126 Stat. 1214 (22 U.S.C. 8701-8795); E.O. 12613, 52 FR 41940, [[Page 30337]] 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; E.O. 13059, 62 FR 44531, 3 CFR, 1997 Comp., p. 217; E.O. 13599, 77 FR 6659, 3 CFR, 2012 Comp., p. 215; E.O. 13628, 77 FR 62139, 3 CFR, 2012 Comp., p. 314. Subpart E--Licenses, Authorizations, and Statements of Licensing Policy 0 2. Revise Sec. 560.534 to read as follows: Sec. 560.534 Winding down of transactions related to the importation into the United States of, and dealings in, certain foodstuffs and carpets. (a) Except as provided in paragraphs (b) and (c) of this section, all transactions and activities that are ordinarily incident and necessary to the wind down of the following activities are authorized through 11:59 p.m. eastern daylight time on August 6, 2018: (1) The importation into the United States, from Iran or a third country, of the following goods of Iranian origin: (i) Foodstuffs intended for human consumption that are classified under chapters 2-23 of the Harmonized Tariff Schedule of the United States; and (ii) Carpets and other textile floor coverings and carpets used as wall hangings that are classified under chapter 57 or heading 9706.00.0060 of the Harmonized Tariff Schedule of the United States. (2) United States persons, wherever located, engaging in transactions or dealings in or related to the categories of Iranian- origin goods described in paragraph (a)(1) of this section, provided that the transaction or dealing does not involve or relate to goods, technology, or services for exportation, reexportation, sale, or supply, directly or indirectly, to Iran, the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211, other than services described in Sec. 560.405 (``Transactions ordinarily incident to a licensed transaction authorized'') and transfers of funds described in Sec. 560.516 (``Transfers of funds involving Iran''). (b) This general license does not authorize the importation into the United States of goods that were under seizure or detention by the Department of Homeland Security, as of January 21, 2016, pursuant to Customs regulations or other applicable provisions of law, until any applicable penalties, charges, duties, or other conditions are satisfied. This general license does not authorize the importation into the United States of goods for which forfeiture proceedings have commenced or of goods that have been forfeited to the U.S. Government, other than through U.S. Customs and Border Protection disposition, including by selling at auction. (c) Nothing in this section authorizes debits or credits to Iranian accounts, as defined in Sec. 560.320. 0 3. Revise Sec. 560.535 to read as follows: Sec. 560.535 Winding down of transactions related to letters of credit and brokering services relating to certain foodstuffs and carpets. (a) Wind down. Except as provided in paragraph (b) of this section, all transactions and activities that are ordinarily incident and necessary to the wind down of the following activities are authorized through 11:59 p.m. eastern daylight time on August 6, 2018: (1) Purchases from Iran or the Government of Iran or certain other blocked persons. United States depository institutions issuing letters of credit in favor of a beneficiary in Iran, the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211 to pay for purchases from Iran or the Government of Iran of the categories of Iranian-origin goods described in Sec. 560.534(a)(1), provided that such letters of credit are not advised, negotiated, paid, or confirmed by the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211. (2) Transactions or dealings in Iranian-origin goods located in third countries, other than purchases from the Government of Iran or certain other blocked persons. United States depository institutions issuing, advising, negotiating, or confirming letters of credit to pay for transactions in or related to Iranian-origin goods described in Sec. 560.534(a)(1) and located in a third-country, other than purchases from the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211, provided that such letters of credit are not issued, advised, negotiated, paid, or confirmed by the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211. (3) Brokering. United States persons, wherever located, acting as brokers for the purchase or sale of the categories of Iranian-origin goods described in Sec. 560.534(a)(1), provided that the goods are not for exportation, reexportation, sale, or supply, directly or indirectly, to Iran, the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211. (b) Iranian accounts. Nothing in this section authorizes debits or credits to Iranian accounts, as defined in Sec. 560.320. Note 1 to Sec. 560.535: See Sec. Sec. 560.304 and 560.313 for information relating to individuals and entities that are included within the definition of the term Government of Iran and Sec. 560.324 regarding entities included within the definition of the term Iranian financial institution. See Sec. 560.516 for information relating to authorized transfers to Iran by U.S. depository institutions relating to licensed transactions. 0 4. Add Sec. 560.536 to subpart E to read as follows: Sec. 560.536 Winding down of transactions related to the negotiation of contingent contracts for activities eligible for authorization under the Statement of Licensing Policy for Activities Related to the Export or Re-export to Iran of Commercial Passenger Aircraft and Related Parts and Services. (a) All transactions and activities that are ordinarily incident and necessary to the wind down of the following activities are authorized through 11:59 p.m. eastern daylight time on August 6, 2018: U.S. persons engaging in all transactions ordinarily incident to the negotiation of contingent contracts for activities that were, at the time of the negotiation, eligible for authorization under the now- rescinded Statement of Licensing Policy for Activities Related to the Export or Re-export to Iran of Commercial Passenger Aircraft and Related Parts and Services (JCPOA SLP). Note 1 to paragraph (a): OFAC has posted an archived copy of the JCPOA SLP on its website (www.treasury.gov/ofac) for reference purposes. (b) Nothing in paragraph (a) of this section authorizes the exportation, reexportation, sale, or supply, directly or indirectly, of any goods or technology to Iran, the Government of Iran, an Iranian financial institution, or any other person whose property and interests in property are blocked pursuant to Sec. 560.211. (c) For purposes of this section, the term ``contingent contract'' means a contract where the performance of the contract is made expressly contingent upon the issuance of a specific license by the Office of Foreign Assets Control authorizing the activities to be performed. For purposes of this section, the term ``contingent contract'' includes executory contracts, executory pro forma invoices, agreements in principle, [[Page 30338]] executory offers capable of acceptance such as bids or proposals in response to public tenders, binding memoranda of understanding, or any other similar agreement. 0 5. Add Sec. 560.537 to subpart E to read as follows: Sec. 560.537 Winding down of transactions relating to foreign entities owned or controlled by a U.S. person. (a) Except as provided in paragraph (c) of this section, all transactions and activities that are ordinarily incident and necessary to the wind down of the following activities are authorized through 11:59 p.m. eastern standard time on November 4, 2018: an entity owned or controlled by a United States person and established or maintained outside the United States (a ``U.S.-owned or -controlled foreign entity'') engaging in transactions, directly or indirectly, with the Government of Iran or any person subject to the jurisdiction of the Government of Iran that would otherwise be prohibited by Sec. 560.215. (b) All transactions and activities that are ordinarily incident and necessary to the wind down of the following activities are authorized through 11:59 p.m. eastern standard time on November 4, 2018: A United States person engaging in the following: (1) Activities related to the establishment or alteration of operating policies and procedures of a United States entity or a U.S.- owned or -controlled foreign entity, to the extent necessary to allow a U.S.-owned or -controlled foreign entity to engage in transactions authorized in paragraph (a) of this section; and (2) Activities to make available to those foreign entities that the U.S. person owns or controls any automated and globally integrated computer, accounting, email, telecommunications, or other business support system, platform, database, application, or server necessary to store, collect, transmit, generate, or otherwise process documents or information related to transactions authorized in paragraph (a) of this section. Note 1 to paragraph (b): See Sec. 560.208 for prohibitions on facilitation by United States persons, which remain in effect, with the exception of activities authorized in paragraph (b) of this section. (c) Paragraph (a) of this section does not authorize transactions involving: (1) The exportation, reexportation, sale, or supply, directly or indirectly, from the United States of any goods, technology, or services prohibited by Sec. 560.204 or the reexportation from a third country of any goods, technology, or services prohibited by Sec. 560.205; (2) Any transfer of funds to, from, or through a United States depository institution or a United States-registered broker or dealer in securities; (3) Any person on OFAC's list of Specially Designated Nationals and Blocked Persons (SDN List), or any activity that would be prohibited by any part of 31 CFR chapter V other than part 560 if engaged in by a United States person or in the United States; (4) Any person identified on the List of Foreign Sanctions Evaders pursuant to Executive Order 13608; (5) Any activity involving any item (including information) subject to the Export Administration Regulations, 15 CFR parts 730 through 774 (EAR), that is prohibited by, or otherwise requires a license under, part 744 of the EAR; or participation in any transaction involving a person whose export privileges have been denied pursuant to part 764 or 766 of the EAR, without authorization from the Department of Commerce; (6) Any military, paramilitary, intelligence, or law enforcement entity of the Government of Iran, or any official, agent, or affiliate thereof; (7) Any activity that is sanctionable under Executive Order 12938 or 13382 (relating to Iran's proliferation of weapons of mass destruction and their means of delivery, including ballistic missiles); Executive Order 13224 (relating to international terrorism); Executive Order 13572 or 13582 (relating to Syria); Executive Order 13611 (relating to Yemen); or Executive Order 13553 or 13606, or section 2 or 3 of Executive Order 13628 (relating to Iran's commission of human rights abuses against its citizens); or (8) Any nuclear activity involving Iran that is subject to the procurement channel established pursuant to paragraph 16 of the United Nations Security Council Resolution 2231 (2015) and Section 6 of Annex IV to the Joint Comprehensive Plan of Action of July 14, 2015 and that has not been approved through that procurement channel process. (d)(1) For purposes of paragraph (b)(2) of this section, the term ``automated'' refers to a computer, accounting, email, telecommunications, or other business support system, platform, database, application, or server that operates passively and without human intervention to facilitate the flow of data between and among the United States person and its owned or controlled foreign entities. (2) For purposes of paragraph (b)(2) of this section, the term ``globally integrated'' refers to a computer, accounting, email, telecommunications, or other business support system, platform, database, application, or server that is available to, and in general use by, the United States person's global organization, including the United States person and its owned or controlled foreign entities. (3) Paragraph (b)(2) of this section does not authorize the use of any automated computer, accounting, email, telecommunications, or other business support system, platform, database, application, or server in connection with any transfer of funds to, from, or through a United States depository institution or a United States-registered broker or dealer in securities. Dated: June 25, 2018. Andrea Gacki, Acting Director, Office of Foreign Assets Control. [FR Doc. 2018-13939 Filed 6-27-18; 8:45 am] BILLING CODE 4810-AL-P
![Federal Register / Vol. 83, No. 125 / Thursday, June 28, 2018 / Rules and Regulations 30335
Executive Order 12988 (Civil Justice that this action would affect a taking of Issued on: June 21, 2018.
Reform) private property or otherwise have Brandye L. Hendrickson,
This action meets applicable taking implications under Executive Acting Administrator, Federal Highway
standards in sections 3(a) and 3(b)(2) of Order 12630. Administration.
Executive Order 12988, Civil Justice National Environmental Policy Act In consideration of the foregoing, the
Reform, to minimize litigation, FHWA amends 23 CFR part 658, as set
eliminate ambiguity, and reduce The Agency has analyzed this action forth below:
burden. for the purpose of the National
Environmental Policy Act of 1969 (42 PART 658—TRUCK SIZE AND WEIGHT,
Executive Order 13045 (Protection of U.S.C. 4321–4347) and has determined ROUTE DESIGNATIONS—LENGTH,
Children) that this action would not have any WIDTH AND WEIGHT LIMITATIONS
The FHWA has analyzed this rule effect on the quality of the environment.
under Executive Order 13045, ■ 1. The authority citation for part 658
Regulation Identification Number continues to read as follows:
Protection of Children from
Environmental Health Risks and Safety A regulation identification number Authority: 23 U.S.C. 127 and 315; 49
Risks. The FHWA certifies that this (RIN) is assigned to each regulatory U.S.C. 31111, 31112, and 31114; sec. 347,
action would not cause any action listed in the Unified Agenda of Pub. L. 108–7, 117 Stat. 419; sec. 756, Pub
environmental risk to health or safety Federal Regulations. The Regulatory L. 109–59, 119 Stat. 1219; sec. 115, Pub. L.
that might disproportionately affect Information Service Center publishes 109–115, 119 Stat. 2408; 49 CFR 1.48(b)(19)
children. the Unified Agenda in April and and (c)(19).
October of each year. The RIN contained ■ 2. Amend Appendix A to Part 658 by
Executive Order 12630 (Taking of in the heading of this document can be adding an entry to the end of the New
Private Property) used to cross reference this action with York portion of the table to read as
The FHWA has analyzed this rule the Unified Agenda. follows:
under Executive Order 12630,
Governmental Actions and Interface List of Subjects in 23 CFR Part 658 Appendix A to Part 658—National
with Constitutionally Protected Property Grants program—transportation, Network—Federally-Designated Routes
Rights. The FHWA does not anticipate Highways and roads, Motor carriers. * * * * *
Route From To
* * * * * * *
New York
* * * * * * *
Sheridan Boulevard (NY 895) ................................................................ I–278 Bruckner Expressway .......... I–95 Cross Bronx Expressway.
* * * * * * *
[FR Doc. 2018–13903 Filed 6–27–18; 8:45 am] Memorandum-11 of May 8, 2018 entities owned or controlled by a United
BILLING CODE 4910–22–P (NSPM–11). Specifically, OFAC is States person.
amending the ITSR to: Amend the DATES: Effective Date: June 27, 2018.
general licenses authorizing the FOR FURTHER INFORMATION CONTACT:
DEPARTMENT OF THE TREASURY importation into the United States of, OFAC: Assistant Director for Licensing,
and dealings in, Iranian-origin carpets tel.: 202–622–2480; Assistant Director
Office of Foreign Assets Control and foodstuffs, as well as related letters for Regulatory Affairs, tel.: 202–622–
of credit and brokering services, to 4855; Assistant Director for Sanctions
31 CFR Part 560 narrow the scope of such general Compliance & Evaluation, tel.: 202–622–
licenses to the wind down of such 2490; or the Department of the
Iranian Transactions and Sanctions activities through August 6, 2018; add a Treasury’s Office of the Chief Counsel
Regulations new general license to authorize the (Foreign Assets Control), Office of the
AGENCY: Office of Foreign Assets wind down, through August 6, 2018, of General Counsel, tel.: 202–622–2410.
Control, Treasury. transactions related to the negotiation of SUPPLEMENTARY INFORMATION:
ACTION: Final rule. contingent contracts for activities
eligible for authorization under the Electronic Availability
SUMMARY: The Department of the Statement of Licensing Policy for This document and additional
Treasury’s Office of Foreign Assets Activities Related to the Export or Re- information concerning OFAC are
Control (OFAC) is amending the Iranian export to Iran of Commercial Passenger available on OFAC’s website
Transactions and Sanctions Regulations (www.treasury.gov/ofac).
amozie on DSK3GDR082PROD with RULES
Aircraft and Related Parts and Services,
(ITSR) to implement the President’s which was rescinded following the
May 8, 2018 decision to end the United Background
issuance of NSPM–11; and add a new
States’ participation in the Joint general license to authorize the wind On May 8, 2018, the President issued
Comprehensive Plan of Action (JCPOA) down, through November 4, 2018, of NSPM–11, which set forth his decision
on Iran’s nuclear program, as outlined certain transactions relating to foreign to end the United States’ participation
in National Security Presidential in the JCPOA. In NSPM–11, the
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executory offers capable of acceptance (2) Any transfer of funds to, from, or or other business support system,
such as bids or proposals in response to through a United States depository platform, database, application, or
public tenders, binding memoranda of institution or a United States-registered server that is available to, and in general
understanding, or any other similar broker or dealer in securities; use by, the United States person’s global
agreement. (3) Any person on OFAC’s list of organization, including the United
■ 5. Add § 560.537 to subpart E to read Specially Designated Nationals and States person and its owned or
as follows: Blocked Persons (SDN List), or any controlled foreign entities.
activity that would be prohibited by any (3) Paragraph (b)(2) of this section
§ 560.537 Winding down of transactions part of 31 CFR chapter V other than part does not authorize the use of any
relating to foreign entities owned or 560 if engaged in by a United States
controlled by a U.S. person.
automated computer, accounting, email,
person or in the United States; telecommunications, or other business
(a) Except as provided in paragraph (4) Any person identified on the List support system, platform, database,
(c) of this section, all transactions and of Foreign Sanctions Evaders pursuant application, or server in connection
activities that are ordinarily incident to Executive Order 13608; with any transfer of funds to, from, or
and necessary to the wind down of the (5) Any activity involving any item through a United States depository
following activities are authorized (including information) subject to the institution or a United States-registered
through 11:59 p.m. eastern standard Export Administration Regulations, 15 broker or dealer in securities.
time on November 4, 2018: an entity CFR parts 730 through 774 (EAR), that
owned or controlled by a United States is prohibited by, or otherwise requires a Dated: June 25, 2018.
person and established or maintained license under, part 744 of the EAR; or Andrea Gacki,
outside the United States (a ‘‘U.S.- participation in any transaction Acting Director, Office of Foreign Assets
owned or -controlled foreign entity’’) involving a person whose export Control.
engaging in transactions, directly or privileges have been denied pursuant to [FR Doc. 2018–13939 Filed 6–27–18; 8:45 am]
indirectly, with the Government of Iran part 764 or 766 of the EAR, without BILLING CODE 4810–AL–P
or any person subject to the jurisdiction authorization from the Department of
of the Government of Iran that would Commerce;
otherwise be prohibited by § 560.215. (6) Any military, paramilitary, DEPARTMENT OF HOMELAND
(b) All transactions and activities that intelligence, or law enforcement entity SECURITY
are ordinarily incident and necessary to of the Government of Iran, or any
the wind down of the following official, agent, or affiliate thereof; Coast Guard
activities are authorized through 11:59 (7) Any activity that is sanctionable
p.m. eastern standard time on November under Executive Order 12938 or 13382 33 CFR Part 100
4, 2018: A United States person (relating to Iran’s proliferation of
engaging in the following: weapons of mass destruction and their [Docket Number USCG–2018–0316]
(1) Activities related to the means of delivery, including ballistic
establishment or alteration of operating RIN 1625–AA08
missiles); Executive Order 13224
policies and procedures of a United (relating to international terrorism); Special Local Regulation; Gulf of
States entity or a U.S.-owned or Executive Order 13572 or 13582 Mexico; Sarasota, FL
-controlled foreign entity, to the extent (relating to Syria); Executive Order
necessary to allow a U.S.-owned or 13611 (relating to Yemen); or Executive AGENCY: Coast Guard, DHS.
-controlled foreign entity to engage in Order 13553 or 13606, or section 2 or 3 ACTION: Temporary final rule.
transactions authorized in paragraph (a) of Executive Order 13628 (relating to
of this section; and Iran’s commission of human rights SUMMARY: The Coast Guard is
(2) Activities to make available to abuses against its citizens); or establishing a special local regulation on
those foreign entities that the U.S. (8) Any nuclear activity involving Iran the waters of the Gulf of Mexico, in the
person owns or controls any automated that is subject to the procurement vicinity of Lido Beach, Florida, during
and globally integrated computer, channel established pursuant to the 34th Annual Sarasota Powerboat
accounting, email, telecommunications, paragraph 16 of the United Nations Grand Prix High Speed Boat Race.
or other business support system, Security Council Resolution 2231 (2015) Approximately 35 boats and jet skis,
platform, database, application, or and Section 6 of Annex IV to the Joint traveling at speeds in excess of 100
server necessary to store, collect, Comprehensive Plan of Action of July miles per hour are expected to
transmit, generate, or otherwise process 14, 2015 and that has not been approved participate. Additionally, it is
documents or information related to through that procurement channel anticipated that 300 spectator vessels
transactions authorized in paragraph (a) process. will be present along the race course.
of this section. (d)(1) For purposes of paragraph (b)(2) The special local regulation is necessary
Note 1 to paragraph (b): See § 560.208 for of this section, the term ‘‘automated’’ to protect the safety of race participants,
prohibitions on facilitation by United States refers to a computer, accounting, email, participant vessels, spectators, and the
persons, which remain in effect, with the telecommunications, or other business general public on navigable waters of
exception of activities authorized in support system, platform, database, the United States during the event. The
paragraph (b) of this section. application, or server that operates special local regulation will establish an
(c) Paragraph (a) of this section does passively and without human enforcement area where all persons and
not authorize transactions involving: intervention to facilitate the flow of data vessels, except those persons and
(1) The exportation, reexportation, between and among the United States vessels participating in the high speed
amozie on DSK3GDR082PROD with RULES
sale, or supply, directly or indirectly, person and its owned or controlled boat races, are prohibited from entering,
from the United States of any goods, foreign entities. transiting through, anchoring in, or
technology, or services prohibited by (2) For purposes of paragraph (b)(2) of remaining within without obtaining
§ 560.204 or the reexportation from a this section, the term ‘‘globally permission from the Captain of the Port
third country of any goods, technology, integrated’’ refers to a computer, St. Petersburg or a designated
or services prohibited by § 560.205; accounting, email, telecommunications, representative.
VerDate Sep<11>2014 16:02 Jun 27, 2018 Jkt 244001 PO 00000 Frm 00054 Fmt 4700 Sfmt 4700 E:\FR\FM\28JNR1.SGM 28JNR1](https://thefederalregister.org/doc/83_FR_30460/page/4.svg)
Document Created: 2018-11-06 09:54:59
Document Modified: 2018-11-06 09:54:59
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | Effective Date: June 27, 2018. | |
| Contact | OFAC: Assistant Director for Licensing, tel.: 202-622-2480; Assistant Director for Regulatory Affairs, tel.: 202-622-4855; Assistant Director for Sanctions Compliance & Evaluation, tel.: 202-622-2490; or the Department of the Treasury's Office of the Chief Counsel (Foreign Assets Control), Office of the General Counsel, tel.: 202-622-2410. | |
| FR Citation | 83 FR 30335 | |
| CFR Associated | Administrative Practice and Procedure; Aircraft; Banks; Banking; Carpet; Civil Aviation; Foodstuffs; Iran and Letters of Credit |
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