Technical Amendments to North Korea Sanctions Regulations, 30868-30870 [2019-13652]
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30868
Federal Register / Vol. 84, No. 125 / Friday, June 28, 2019 / Rules and Regulations
(2) After the effective date of this AD, do
not install an MLG assembly with a P/N and
S/N listed in Figure 1 to paragraphs (a) and
(e)(2) of this AD on any helicopter unless the
screw has been replaced and the MLG
assembly re-identified as described in
paragraph (e)(1) of this this AD.
(f) Special Flight Permits
(1) The Manager, Safety Management
Section, Rotorcraft Standards Branch, FAA,
may approve AMOCs for this AD. Send your
proposal to: David Hatfield, Aviation Safety
Engineer, Safety Management Section,
Rotorcraft Standards Branch, FAA, 10101
Hillwood Pkwy., Fort Worth, TX 76177;
telephone (817) 222–5110; email 9-ASWFTW-AMOC-Requests@faa.gov.
(2) For operations conducted under a 14
CFR part 119 operating certificate or under
14 CFR part 91, subpart K, we suggest that
you notify your principal inspector, or
lacking a principal inspector, the manager of
the local flight standards district office or
certificate holding district office before
operating any aircraft complying with this
AD through an AMOC.
(h) Additional Information
(1) Finmeccanica Bollettino Tecnico No.
139–397, dated April 7, 2016, which is not
incorporated by reference, contains
additional information about the subject of
this AD. For service information identified in
this AD, contact Leonardo S.p.A. Helicopters,
Matteo Ragazzi, Head of Airworthiness, Viale
G.Agusta 520, 21017 C.Costa di Samarate
(Va) Italy; telephone +39–0331–711756; fax
+39–0331–229046; or at https://www.leonardo
company.com/-/bulletins. You may review
the referenced service information at the
FAA, Office of the Regional Counsel,
Southwest Region, 10101 Hillwood Pkwy.,
Room 6N–321, Fort Worth, TX 76177.
(2) The subject of this AD is addressed in
European Aviation Safety Agency (EASA) AD
No. 2016–0077, dated April 19, 2016. You
may view the EASA AD on the internet at
https://www.regulations.gov in Docket No.
FAA–2018–0648.
(i) Subject
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Joint Aircraft Service Component (JASC)
Code: 3200, Landing Gear System.
BILLING CODE 4910–13–P
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31 CFR Part 510
Technical Amendments to North Korea
Sanctions Regulations
Office of Foreign Assets
Control, Treasury.
ACTION: Final rule.
(g) Alternative Methods of Compliance
(AMOCs)
[FR Doc. 2019–13605 Filed 6–27–19; 8:45 am]
Office of Foreign Assets Control
AGENCY:
Special flight permits are prohibited.
Issued in Fort Worth, Texas, on June 19,
2019.
James A. Grigg,
Acting Deputy Director for Regulatory
Operations, Compliance & Airworthiness
Division, Aircraft Certification Service.
DEPARTMENT OF THE TREASURY
The Department of the
Treasury’s Office of Foreign Assets
Control (OFAC) is amending the North
Korea Sanctions Regulations to update
references to descriptive text that
appears in certain entries on OFAC’s
Specially Designated Nationals and
Blocked Persons List (SDN List) and the
List of Foreign Financial Institutions
Subject to Correspondent Account or
Payable-Through Account Sanctions
(CAPTA List).
DATES: Effective: June 28, 2019.
FOR FURTHER INFORMATION CONTACT:
OFAC: Assistant Director for Licensing,
tel.: 202–622–2480; Assistant Director
for Regulatory Affairs, tel.: 202–622–
4855; or Assistant Director for Sanctions
Compliance & Evaluation, tel.: 202–622–
2490.
SUPPLEMENTARY INFORMATION:
SUMMARY:
Electronic Availability
This document and additional
information concerning OFAC are
available from OFAC’s website
(www.treasury.gov/ofac).
Background
On March 5, 2018, OFAC amended
and reissued in their entirety the North
Korea Sanctions Regulations, 31 CFR
part 510 (the ‘‘Regulations’’) (83 FR
9182, March 5, 2018). Since that time,
for clarity, OFAC has made two
technical changes to certain text that
appears on OFAC’s website and that is
referenced in the Regulations. This rule
conforms the corresponding references
in the Regulations to accurately reflect
the amended website text.
First, this rule updates references to
descriptive text that appears in certain
entries on OFAC’s Specially Designated
Nationals and Blocked Persons List
(SDN List). This descriptive text
provides additional information
concerning secondary sanctions related
to Executive Order 13810 of September
20, 2017 (‘‘Imposing Additional
Sanctions With Respect to North
Korea’’) (82 FR 44705, September 25,
2017) (E.O. 13810). Section 4 of E.O.
13810 authorizes the Secretary of the
Treasury, in consultation with the
Secretary of State, to impose certain
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sanctions (often referred to as secondary
sanctions) on any foreign financial
institution determined by the Secretary
of the Treasury, in consultation with the
Secretary of State, to meet certain
specified criteria. With respect to a
foreign financial institution determined
to meet any of the relevant criteria, the
Secretary of the Treasury, in
consultation with the Secretary of State,
may: (i) Prohibit the opening and
prohibit or impose strict conditions on
the maintenance of correspondent
accounts or payable-through accounts in
the United States with respect to such
foreign financial institution; or (ii) block
all property and interests in property
that are in the United States, that come
within the United States, or that are or
come within the possession or control of
any U.S. person of such foreign
financial institution. These prohibitions
are implemented in §§ 510.210 and
510.201(a)(3)(vi) of the Regulations,
respectively.
Sections 510.201(a)(3)(vi)(A)(1) and
510.210(b)(1) provide that the Secretary
of the Treasury, in consultation with the
Secretary of State, may impose such
sanctions on any foreign financial
institution determined by the Secretary
of the Treasury, in consultation with the
Secretary of State, to have, on or after
September 21, 2017, knowingly
conducted or facilitated any significant
transaction on behalf of (1) any person
whose property and interests in
property are blocked pursuant to
Executive Order 13551 (‘‘Blocking
Property of Certain Persons With
Respect to North Korea’’) (75 FR 53837,
September 1, 2010) (E.O. 13551),
Executive Order 13687 (‘‘Imposing
Additional Sanctions With Respect to
North Korea’’) (80 FR 819, January 6,
2015) (E.O. 13687), Executive Order
13722 (‘‘Blocking Property of the
Government of North Korea and the
Workers’ Party of Korea, and Prohibiting
Certain Transactions With Respect to
North Korea’’) (81 FR 14943, March 18,
2016) (E.O. 13722), or E.O. 13810, or (2)
any person whose property and interests
in property are blocked pursuant to
Executive Order 13382 (‘‘Blocking
Property of Weapons of Mass
Destruction Proliferators and Their
Supporters’’) (70 FR 38567, July 1, 2005)
(E.O. 13382) in connection with North
Korea-related activities. Note 3 to
paragraph (a) of § 510.201 and Note 1 to
paragraph (b) of § 510.210 explain that
the names of persons listed in or
designated or identified pursuant to
E.O. 13382 in connection with North
Korea-related activities are published in
the Federal Register and incorporated
into OFAC’s SDN List with the
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Federal Register / Vol. 84, No. 125 / Friday, June 28, 2019 / Rules and Regulations
identifier ‘‘[NPWMD]’’ and descriptive
text ‘‘Executive Order 13810
Information: Subject to blocking in
connection with North Korea-related
activities.’’
Since the publication of the
Regulations, however, OFAC has
revised this descriptive text and
included it in each SDN List entry that
meets the criteria contained in sections
510.201(a)(3)(vi)(A)(1) and 510.210(b)(1)
in order to more clearly alert foreign
financial institutions to attendant
secondary sanctions risks. The revised
descriptive text is ‘‘Secondary sanctions
risk: North Korea Sanctions Regulations,
§§ 510.201 and 510.210.’’ On October 4,
2018, by separate action, OFAC
incorporated this new descriptive text
in the relevant entries on the SDN List
of 371 persons whose property and
interests in property are blocked
pursuant to E.O.s 13551, 13687, 13722,
or 13810 and 91 persons whose property
and interests in property are blocked
pursuant to E.O. 13382.
This rule amends the Regulations to
conform corresponding references in the
two specified notes to the new
descriptive text language. This rule also
corrects an incorrect regulatory citation
in Note 3 to paragraph (a) of § 510.201.
Second, this rule updates references
to the name of one of OFAC’s sanctions
lists. As noted above, § 510.210 of the
Regulations provides for the imposition
of strict conditions or prohibitions on
the opening or maintaining of
correspondent accounts or payablethrough accounts in the United States
for a foreign financial institution that
the Secretary of the Treasury, in
consultation with the Secretary of State,
determines knowingly engaged in
specified activities. When the
Regulations were reissued on March 5,
2018, Note 2 to § 510.210 explained that
the names of foreign financial
institutions for which the opening or
maintaining of a correspondent account
or a payable-through account in the
United States is prohibited or for which
the maintenance of a correspondent
account or payable-through account is
subject to one or more strict conditions
will be, among other things, added to
the ‘‘Correspondent Account or PayableThrough Account Sanctions (CAPTA)
List’’ on OFAC’s website
(www.treasury.gov/ofac). Section
510.519, which authorizes U.S. financial
institutions to engage in certain limited
transactions related to closing
correspondent accounts for foreign
financial institutions on the CAPTA
List, also contains a full reference to the
‘‘Correspondent Account or PayableThrough Account Sanctions (CAPTA)
List.’’
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Since March 5, 2018, however, for
additional consistency and clarity,
OFAC has revised the name of the
Correspondent Account or PayableThrough Account Sanctions (CAPTA)
List as follows: ‘‘List of Foreign
Financial Institutions Subject to
Correspondent Account or PayableThrough Account Sanctions (CAPTA
List).’’ This rule amends the Regulations
to update the two specified references to
the CAPTA List to correspond to the
revised name.
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b);
50 U.S.C. 1601–1651, 1701–1706; 22 U.S.C.
287c; 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. 114–122,
130 Stat. 93 (22 U.S.C. 9201–9255); Pub. L.
115–44, 131 Stat 886 (22 U.S.C. 9201 note);
E.O. 13466, 73 FR 36787, June 27, 2008, 3
CFR, 2008 Comp., p. 195; E.O. 13551, 75 FR
53837, September 1, 2010; E.O. 13570, 76 FR
22291, April 20, 2011; E.O. 13687, 80 FR 819,
January 6, 2015; E.O. 13722, 81 FR 14943,
March 18, 2016; E.O. 13810, 82 FR 44705,
September 25, 2017.
Public Participation
Subpart B—Prohibitions
Because the amendment of the
Regulations 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 Regulations 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 510
Administrative practice and
procedure, Aircraft, Banking, Blocking
of assets, CAPTA List, Diplomatic
missions, Foreign financial institutions,
Foreign trade, Imports, Medical
services, Nongovernmental
organizations, North Korea, Patents,
Secondary sanctions, Services,
Telecommunications, United Nations,
Vessels, Workers’ Party of Korea.
For the reasons set forth in the
preamble, the Department of the
Treasury’s Office of Foreign Assets
Control amends 31 CFR part 510
follows:
PART 510—NORTH KOREA
SANCTIONS REGULATIONS
1. The authority citation for part 510
continues to read as follows:
■
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2. In § 510.201, revise Note 3 to
paragraph (a) to read as follows:
■
§ 510.201 Prohibited transactions
involving blocked property.
*
*
*
*
*
Note 3 to paragraph (a): The names of
persons listed in or designated or identified
pursuant to Executive Order 13551,
Executive Order 13687, Executive Order
13722, or Executive Order 13810 and whose
property and interests in property are
blocked pursuant to those orders and who are
referenced in paragraph (a) of this section are
published in the Federal Register and
incorporated into OFAC’s Specially
Designated Nationals and Blocked Persons
List (SDN List) with the identifier ‘‘DPRK.’’
Those persons are referenced in paragraph
(a)(3)(vi)(A)(1) of this section, which related
to secondary sanctions, and therefore their
entries on the SDN List will also include the
descriptive text ‘‘Secondary sanctions risk:
North Korea Sanctions Regulations sections
510.201 and 510.210.’’ Paragraph
(a)(3)(vi)(A)(1) of this section also references
persons listed in or designated or identified
pursuant to Executive Order 13382 whose
property and interests in property are
blocked pursuant to Executive Order 13382
in connection with North Korea-related
activities. Accordingly, the names of such
persons, which are published in the Federal
Register and incorporated into OFAC’s SDN
List with the identifier ‘‘[NPWMD],’’ also will
include the descriptive text ‘‘Secondary
sanctions risk: North Korea Sanctions
Regulations sections 510.201 and 510.210.’’
The SDN List is accessible through the
following page on OFAC’s website:
www.treasury.gov/sdn. Additional
information pertaining to the SDN List can be
found in appendix A to this chapter. See
§ 510.411 concerning entities that may not be
listed on the SDN List but whose property
and interests in property are nevertheless
blocked pursuant to paragraph (a) of this
section. The property and interests in
property of persons who meet the definition
of the term Government of North Korea, as
defined in § 510.311, are blocked pursuant to
paragraph (a) of this section regardless of
whether the names of such persons are
published in the Federal Register or
incorporated into the SDN List.
*
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Federal Register / Vol. 84, No. 125 / Friday, June 28, 2019 / Rules and Regulations
3. In § 510.210, revise Note 1 to
paragraph (b) and Note 2 to § 510.210 to
read as follows:
■
§ 510.210 Prohibitions or strict conditions
with respect to correspondent or payablethrough accounts or blocking of certain
foreign financial institutions identified by
the Secretary of the Treasury.
*
*
*
*
*
Note 1 to paragraph (b): The names of
persons listed in or designated or identified
pursuant to Executive Order 13551,
Executive Order 13687, Executive Order
13722, or Executive Order 13810 and whose
property and interests in property are
blocked pursuant to those orders and
paragraph (a) of this section are published in
the Federal Register and incorporated into
OFAC’s Specially Designated Nationals and
Blocked Persons List (SDN List) with the
identifier ‘‘DPRK.’’ Those persons are
referenced in paragraph (b)(1) of this section,
which relates to secondary sanctions, and
therefore their entries on the SDN List will
include the descriptive text ‘‘Secondary
sanctions risk: North Korea Sanctions
Regulations, sections 510.201 and 510.210.’’
Paragraph (b)(1) of this section also
references persons listed in or designated or
identified pursuant to Executive Order 13382
whose property and interests in property are
blocked pursuant to Executive Order 13382
in connection with North Korea-related
activities. Accordingly, the names of such
persons, which are published in the Federal
Register and incorporated into OFAC’s SDN
List with the identifier ‘‘[NPWMD],’’ also will
include the descriptive text ‘‘Secondary
sanctions risk: North Korea Sanctions
Regulations, sections 510.201 and 510.210.’’
The SDN List is accessible through the
following page on OFAC’s website:
www.treasury.gov/sdn. Additional
information pertaining to the SDN List can be
found in appendix A to this chapter. See
§ 510.411 concerning entities that may not be
listed on the SDN List but whose property
and interests in property are nevertheless
blocked pursuant to paragraph (a) of this
section. The property and interests in
property of persons who meet the definition
of the term Government of North Korea, as
defined in § 510.311, are blocked pursuant to
paragraph (a) of this section regardless of
whether the names of such persons are
published in the Federal Register or
incorporated into the SDN List.
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*
*
*
*
16:17 Jun 27, 2019
§ 510.519
[Amended]
4. In § 510.519(a), remove
‘‘Correspondent Account or PayableThrough Account Sanctions (CAPTA)
List’’ and add in its place ‘‘List of
Foreign Financial Institutions Subject to
Correspondent Account or PayableThrough Account Sanctions (CAPTA
List)’’.
■
Dated: June 21, 2019.
Andrea Gacki,
Director, Office of Foreign Assets Control.
[FR Doc. 2019–13652 Filed 6–26–19; 8:45 am]
BILLING CODE 4810–AL–P
DEPARTMENT OF HOMELAND
SECURITY
Coast Guard
33 CFR Parts 1, 26, 80, 81, 83, 89, 100,
117, 151, 154, 155, 156, 161, and 164
46 CFR Parts 2, 10, 11, 12, 15, 16, 26,
28, and 162
[Docket No. USCG–2018–0874]
Navigation and Navigable Waters, and
Shipping; Technical, Organizational,
and Conforming Amendments
Coast Guard, DHS.
Final rule.
AGENCY:
ACTION:
This final rule makes nonsubstantive technical, organizational,
and conforming amendments to existing
Coast Guard regulations. This rule will
have no substantive effect on the
regulated public.
DATES: This final rule is effective June
28, 2019.
ADDRESSES: Documents mentioned in
this preamble as being available in the
docket are part of docket USCG–2018–
0874, which is available at https://
www.regulations.gov.
SUMMARY:
For
information about this document call or
email Kate Sergent, Coast Guard;
telephone 202–372–3860, email
kate.e.sergent@uscg.mil.
SUPPLEMENTARY INFORMATION:
FOR FURTHER INFORMATION CONTACT:
*
Note 2 to § 510.210: The names of foreign
financial institutions for which the opening
or maintaining of a correspondent account or
a payable-through account in the United
States is prohibited or for which the
maintenance of a correspondent account or
payable-through account is subject to one or
more strict conditions pursuant to this
section will be added to the List of Foreign
Financial Institutions Subject to
Correspondent Account or Payable-Through
Account Sanctions (CAPTA List) on OFAC’s
website (www.treasury.gov/ofac), and
published in the Federal Register along with
the applicable prohibition or strict
condition(s).
VerDate Sep<11>2014
Subpart E—Licenses, Authorizations,
and Statements of Licensing Policy
Jkt 247001
Table of Contents for Preamble
I. Abbreviations
II. Regulatory History
III. Basis and Purpose
IV. Discussion of the Rule
V. Regulatory Analyses
A. Regulatory Planning and Review
B. Small Entities
C. Assistance for Small Entities
D. Collection of Information
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E. Federalism
F. Unfunded Mandates Reform Act
G. Taking of Private Property
H. Civil Justice Reform
I. Protection of Children
J. Indian Tribal Governments
K. Energy Effects
L. Technical Standards
M. Environment
I. Abbreviations
CFR Code of Federal Regulations
COLREGS International Regulations for
Preventing Collisions at Sea, 1972
DHS Department of Homeland Security
FCC Federal Communications Commission
FR Federal Register
GT Gross tonnage
IMO International Maritime Organization
MMC Merchant mariner credential
OMB Office of Management and Budget
§ Section
STEP Shipboard Technology Evaluation
Program
SLRs Special local regulations
STCW Seafarers’ Training, Certification and
Watchkeeping
U.S.C. United States Code
II. Regulatory History
We did not publish a notice of
proposed rulemaking for this rule.
Under Title 5 of the United States Code
(U.S.C.), Section 553(b)(A), the Coast
Guard finds that this final rule is
exempt from notice and public
comment rulemaking requirements
because these changes involve rules of
agency organization, procedure, or
practice. In addition, the Coast Guard
finds that notice and comment
procedures are unnecessary for this final
rule under 5 U.S.C. 553(b)(B), as this
rule consists of only technical and
editorial corrections and these changes
will have no substantive effect on the
public. Under 5 U.S.C. 553(d)(3), the
Coast Guard finds that, for the same
reasons, good cause exists for making
this final rule effective upon publication
in the Federal Register.
III. Basis and Purpose
This final rule, which becomes
effective on June 28, 2019, makes
technical and editorial corrections
throughout titles 33 and 46 of the Code
of Federal Regulations (CFR). These
changes are necessary to correct errors,
change addresses, and make other nonsubstantive amendments that improve
the clarity of the CFR. This rule does not
create or change any substantive
requirements.
This final rule is issued under the
authority of 5 U.S.C. 552(a) and 553; 14
U.S.C. 102 and 503; 33 U.S.C. 151, 499,
521, 2071, and 2735; 46 U.S.C. 2103,
3306, 3703, 5104, 6101, 7701, 70001,
70034, 70041(a), and 70114; and
Department of Homeland Security
Delegation No. 0170.1.
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[Federal Register Volume 84, Number 125 (Friday, June 28, 2019)]
[Rules and Regulations]
[Pages 30868-30870]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-13652]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Office of Foreign Assets Control
31 CFR Part 510
Technical Amendments to North Korea 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 North Korea Sanctions Regulations to
update references to descriptive text that appears in certain entries
on OFAC's Specially Designated Nationals and Blocked Persons List (SDN
List) and the List of Foreign Financial Institutions Subject to
Correspondent Account or Payable-Through Account Sanctions (CAPTA
List).
DATES: Effective: June 28, 2019.
FOR FURTHER INFORMATION CONTACT: OFAC: Assistant Director for
Licensing, tel.: 202-622-2480; Assistant Director for Regulatory
Affairs, tel.: 202-622-4855; or Assistant Director for Sanctions
Compliance & Evaluation, tel.: 202-622-2490.
SUPPLEMENTARY INFORMATION:
Electronic Availability
This document and additional information concerning OFAC are
available from OFAC's website (www.treasury.gov/ofac).
Background
On March 5, 2018, OFAC amended and reissued in their entirety the
North Korea Sanctions Regulations, 31 CFR part 510 (the
``Regulations'') (83 FR 9182, March 5, 2018). Since that time, for
clarity, OFAC has made two technical changes to certain text that
appears on OFAC's website and that is referenced in the Regulations.
This rule conforms the corresponding references in the Regulations to
accurately reflect the amended website text.
First, this rule updates references to descriptive text that
appears in certain entries on OFAC's Specially Designated Nationals and
Blocked Persons List (SDN List). This descriptive text provides
additional information concerning secondary sanctions related to
Executive Order 13810 of September 20, 2017 (``Imposing Additional
Sanctions With Respect to North Korea'') (82 FR 44705, September 25,
2017) (E.O. 13810). Section 4 of E.O. 13810 authorizes the Secretary of
the Treasury, in consultation with the Secretary of State, to impose
certain sanctions (often referred to as secondary sanctions) on any
foreign financial institution determined by the Secretary of the
Treasury, in consultation with the Secretary of State, to meet certain
specified criteria. With respect to a foreign financial institution
determined to meet any of the relevant criteria, the Secretary of the
Treasury, in consultation with the Secretary of State, may: (i)
Prohibit the opening and prohibit or impose strict conditions on the
maintenance of correspondent accounts or payable-through accounts in
the United States with respect to such foreign financial institution;
or (ii) block all property and interests in property that are in the
United States, that come within the United States, or that are or come
within the possession or control of any U.S. person of such foreign
financial institution. These prohibitions are implemented in Sec. Sec.
510.210 and 510.201(a)(3)(vi) of the Regulations, respectively.
Sections 510.201(a)(3)(vi)(A)(1) and 510.210(b)(1) provide that the
Secretary of the Treasury, in consultation with the Secretary of State,
may impose such sanctions on any foreign financial institution
determined by the Secretary of the Treasury, in consultation with the
Secretary of State, to have, on or after September 21, 2017, knowingly
conducted or facilitated any significant transaction on behalf of (1)
any person whose property and interests in property are blocked
pursuant to Executive Order 13551 (``Blocking Property of Certain
Persons With Respect to North Korea'') (75 FR 53837, September 1, 2010)
(E.O. 13551), Executive Order 13687 (``Imposing Additional Sanctions
With Respect to North Korea'') (80 FR 819, January 6, 2015) (E.O.
13687), Executive Order 13722 (``Blocking Property of the Government of
North Korea and the Workers' Party of Korea, and Prohibiting Certain
Transactions With Respect to North Korea'') (81 FR 14943, March 18,
2016) (E.O. 13722), or E.O. 13810, or (2) any person whose property and
interests in property are blocked pursuant to Executive Order 13382
(``Blocking Property of Weapons of Mass Destruction Proliferators and
Their Supporters'') (70 FR 38567, July 1, 2005) (E.O. 13382) in
connection with North Korea-related activities. Note 3 to paragraph (a)
of Sec. 510.201 and Note 1 to paragraph (b) of Sec. 510.210 explain
that the names of persons listed in or designated or identified
pursuant to E.O. 13382 in connection with North Korea-related
activities are published in the Federal Register and incorporated into
OFAC's SDN List with the
[[Page 30869]]
identifier ``[NPWMD]'' and descriptive text ``Executive Order 13810
Information: Subject to blocking in connection with North Korea-related
activities.''
Since the publication of the Regulations, however, OFAC has revised
this descriptive text and included it in each SDN List entry that meets
the criteria contained in sections 510.201(a)(3)(vi)(A)(1) and
510.210(b)(1) in order to more clearly alert foreign financial
institutions to attendant secondary sanctions risks. The revised
descriptive text is ``Secondary sanctions risk: North Korea Sanctions
Regulations, Sec. Sec. 510.201 and 510.210.'' On October 4, 2018, by
separate action, OFAC incorporated this new descriptive text in the
relevant entries on the SDN List of 371 persons whose property and
interests in property are blocked pursuant to E.O.s 13551, 13687,
13722, or 13810 and 91 persons whose property and interests in property
are blocked pursuant to E.O. 13382.
This rule amends the Regulations to conform corresponding
references in the two specified notes to the new descriptive text
language. This rule also corrects an incorrect regulatory citation in
Note 3 to paragraph (a) of Sec. 510.201.
Second, this rule updates references to the name of one of OFAC's
sanctions lists. As noted above, Sec. 510.210 of the Regulations
provides for the imposition of strict conditions or prohibitions on the
opening or maintaining of correspondent accounts or payable-through
accounts in the United States for a foreign financial institution that
the Secretary of the Treasury, in consultation with the Secretary of
State, determines knowingly engaged in specified activities. When the
Regulations were reissued on March 5, 2018, Note 2 to Sec. 510.210
explained that the names of foreign financial institutions for which
the opening or maintaining of a correspondent account or a payable-
through account in the United States is prohibited or for which the
maintenance of a correspondent account or payable-through account is
subject to one or more strict conditions will be, among other things,
added to the ``Correspondent Account or Payable-Through Account
Sanctions (CAPTA) List'' on OFAC's website (www.treasury.gov/ofac).
Section 510.519, which authorizes U.S. financial institutions to engage
in certain limited transactions related to closing correspondent
accounts for foreign financial institutions on the CAPTA List, also
contains a full reference to the ``Correspondent Account or Payable-
Through Account Sanctions (CAPTA) List.''
Since March 5, 2018, however, for additional consistency and
clarity, OFAC has revised the name of the Correspondent Account or
Payable-Through Account Sanctions (CAPTA) List as follows: ``List of
Foreign Financial Institutions Subject to Correspondent Account or
Payable-Through Account Sanctions (CAPTA List).'' This rule amends the
Regulations to update the two specified references to the CAPTA List to
correspond to the revised name.
Public Participation
Because the amendment of the Regulations 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 Regulations 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 510
Administrative practice and procedure, Aircraft, Banking, Blocking
of assets, CAPTA List, Diplomatic missions, Foreign financial
institutions, Foreign trade, Imports, Medical services, Nongovernmental
organizations, North Korea, Patents, Secondary sanctions, Services,
Telecommunications, United Nations, Vessels, Workers' Party of Korea.
For the reasons set forth in the preamble, the Department of the
Treasury's Office of Foreign Assets Control amends 31 CFR part 510
follows:
PART 510--NORTH KOREA SANCTIONS REGULATIONS
0
1. The authority citation for part 510 continues to read as follows:
Authority: 3 U.S.C. 301; 31 U.S.C. 321(b); 50 U.S.C. 1601-1651,
1701-1706; 22 U.S.C. 287c; 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. 114-122, 130 Stat. 93 (22 U.S.C. 9201-9255); Pub. L. 115-44,
131 Stat 886 (22 U.S.C. 9201 note); E.O. 13466, 73 FR 36787, June
27, 2008, 3 CFR, 2008 Comp., p. 195; E.O. 13551, 75 FR 53837,
September 1, 2010; E.O. 13570, 76 FR 22291, April 20, 2011; E.O.
13687, 80 FR 819, January 6, 2015; E.O. 13722, 81 FR 14943, March
18, 2016; E.O. 13810, 82 FR 44705, September 25, 2017.
Subpart B--Prohibitions
0
2. In Sec. 510.201, revise Note 3 to paragraph (a) to read as follows:
Sec. 510.201 Prohibited transactions involving blocked property.
* * * * *
Note 3 to paragraph (a): The names of persons listed in or
designated or identified pursuant to Executive Order 13551,
Executive Order 13687, Executive Order 13722, or Executive Order
13810 and whose property and interests in property are blocked
pursuant to those orders and who are referenced in paragraph (a) of
this section are published in the Federal Register and incorporated
into OFAC's Specially Designated Nationals and Blocked Persons List
(SDN List) with the identifier ``DPRK.'' Those persons are
referenced in paragraph (a)(3)(vi)(A)(1) of this section, which
related to secondary sanctions, and therefore their entries on the
SDN List will also include the descriptive text ``Secondary
sanctions risk: North Korea Sanctions Regulations sections 510.201
and 510.210.'' Paragraph (a)(3)(vi)(A)(1) of this section also
references persons listed in or designated or identified pursuant to
Executive Order 13382 whose property and interests in property are
blocked pursuant to Executive Order 13382 in connection with North
Korea-related activities. Accordingly, the names of such persons,
which are published in the Federal Register and incorporated into
OFAC's SDN List with the identifier ``[NPWMD],'' also will include
the descriptive text ``Secondary sanctions risk: North Korea
Sanctions Regulations sections 510.201 and 510.210.'' The SDN List
is accessible through the following page on OFAC's website:
www.treasury.gov/sdn. Additional information pertaining to the SDN
List can be found in appendix A to this chapter. See Sec. 510.411
concerning entities that may not be listed on the SDN List but whose
property and interests in property are nevertheless blocked pursuant
to paragraph (a) of this section. The property and interests in
property of persons who meet the definition of the term Government
of North Korea, as defined in Sec. 510.311, are blocked pursuant to
paragraph (a) of this section regardless of whether the names of
such persons are published in the Federal Register or incorporated
into the SDN List.
* * * * *
[[Page 30870]]
0
3. In Sec. 510.210, revise Note 1 to paragraph (b) and Note 2 to Sec.
510.210 to read as follows:
Sec. 510.210 Prohibitions or strict conditions with respect to
correspondent or payable-through accounts or blocking of certain
foreign financial institutions identified by the Secretary of the
Treasury.
* * * * *
Note 1 to paragraph (b): The names of persons listed in or
designated or identified pursuant to Executive Order 13551,
Executive Order 13687, Executive Order 13722, or Executive Order
13810 and whose property and interests in property are blocked
pursuant to those orders and paragraph (a) of this section are
published in the Federal Register and incorporated into OFAC's
Specially Designated Nationals and Blocked Persons List (SDN List)
with the identifier ``DPRK.'' Those persons are referenced in
paragraph (b)(1) of this section, which relates to secondary
sanctions, and therefore their entries on the SDN List will include
the descriptive text ``Secondary sanctions risk: North Korea
Sanctions Regulations, sections 510.201 and 510.210.'' Paragraph
(b)(1) of this section also references persons listed in or
designated or identified pursuant to Executive Order 13382 whose
property and interests in property are blocked pursuant to Executive
Order 13382 in connection with North Korea-related activities.
Accordingly, the names of such persons, which are published in the
Federal Register and incorporated into OFAC's SDN List with the
identifier ``[NPWMD],'' also will include the descriptive text
``Secondary sanctions risk: North Korea Sanctions Regulations,
sections 510.201 and 510.210.'' The SDN List is accessible through
the following page on OFAC's website: www.treasury.gov/sdn.
Additional information pertaining to the SDN List can be found in
appendix A to this chapter. See Sec. 510.411 concerning entities
that may not be listed on the SDN List but whose property and
interests in property are nevertheless blocked pursuant to paragraph
(a) of this section. The property and interests in property of
persons who meet the definition of the term Government of North
Korea, as defined in Sec. 510.311, are blocked pursuant to
paragraph (a) of this section regardless of whether the names of
such persons are published in the Federal Register or incorporated
into the SDN List.
* * * * *
Note 2 to Sec. 510.210: The names of foreign financial
institutions for which the opening or maintaining of a correspondent
account or a payable-through account in the United States is
prohibited or for which the maintenance of a correspondent account
or payable-through account is subject to one or more strict
conditions pursuant to this section will be added to the List of
Foreign Financial Institutions Subject to Correspondent Account or
Payable-Through Account Sanctions (CAPTA List) on OFAC's website
(www.treasury.gov/ofac), and published in the Federal Register along
with the applicable prohibition or strict condition(s).
Subpart E--Licenses, Authorizations, and Statements of Licensing
Policy
Sec. 510.519 [Amended]
0
4. In Sec. 510.519(a), remove ``Correspondent Account or Payable-
Through Account Sanctions (CAPTA) List'' and add in its place ``List of
Foreign Financial Institutions Subject to Correspondent Account or
Payable-Through Account Sanctions (CAPTA List)''.
Dated: June 21, 2019.
Andrea Gacki,
Director, Office of Foreign Assets Control.
[FR Doc. 2019-13652 Filed 6-26-19; 8:45 am]
BILLING CODE 4810-AL-P
