03/16/16 – Blocking Property of the Government of NK and the Workers’ Party of Korea, and Prohibiting Certain Transactions with Respect to

White house

Message
March 16, 2016

TO THE CONGRESS OF THE UNITED STATES:

Pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) (IEEPA), I hereby report that I have issued an Executive Order (the “order”) with respect to North Korea. The order takes additional steps with respect to the national emergency declared in Executive Order 13466 of June 26, 2008, expanded in scope in Executive Order 13551 of August 30, 2010, relied upon for additional steps in Executive Order 13570 of April 18, 2011, and further expanded in scope in Executive Order 13687 of January 2, 2015. The order also facilitates implementation of certain provisions of the North Korea Sanctions and Policy Enhancement Act of 2016 (Public Law 114-122), which I signed on February 18, 2016, and ensures the implementation of certain provisions of United Nations Security Council Resolution (UNSCR) 2270 of March 2, 2016.

In 2008, upon terminating the exercise of certain authorities under the Trading With the Enemy Act (TWEA) with respect to North Korea, the President issued Executive Order 13466 and declared a national emergency pursuant to IEEPA to deal with the unusual and extraordinary threat to the national security and foreign policy of the United States posed by the existence and risk of the proliferation of weapons-usable fissile material on the Korean Peninsula. Executive Order 13466 continued certain restrictions on North Korea and North Korean nationals that had been in place under TWEA.

In 2010, I issued Executive Order 13551. In that order, I determined that the Government of North Korea’s continued provocative actions destabilized the Korean peninsula and imperiled U.S. Armed Forces, allies, and trading partners in the region and warranted the imposition of additional sanctions, and I expanded the national emergency declared in Executive Order 13466. In Executive Order 13551, I ordered blocked the property and interests in property of three North Korean entities and one individual listed in the Annex to that order and provided criteria under which the Secretary of the Treasury, in consultation with the Secretary of State, may designate additional persons whose property and interests in property shall be blocked.

In 2011, I issued Executive Order 13570 to further address the national emergency with respect to North Korea and to strengthen the implementation of UNSCRs 1718 and 1874. That Executive Order prohibited the direct or indirect importation of goods, services, and technology from North Korea.

In 2015, I issued Executive Order 13687, in which I determined that the provocative, destabilizing, and repressive actions and policies of the Government of North Korea constitute a continuing threat to the national security, foreign policy, and economy of the United States, and further expanded the national emergency declared in Executive Order 13466. In Executive Order 13687 I provided additional criteria under which the Secretary of the Treasury, in consultation with the Secretary of State, may designate additional persons whose property and interests in property shall be blocked.

I have now determined that the Government of North Korea’s continuing pursuit of its nuclear and missile programs, as evidenced most recently by its February 7, 2016, launch using ballistic missile technology and its January 6, 2016, nuclear test in violation of its obligations pursuant to numerous UNSCRs and in contravention of its commitments under the September 19, 2005, Joint Statement of the Six-Party Talks, increasingly imperils the United States and its allies. The order addresses those actions and takes additional steps with respect to the national emergency declared in Executive Order 13466 of June 26, 2008. The order also facilitates implementation of certain provisions of the North Korea Sanctions and Policy Enhancement Act of 2016 (Public Law 114-122), which I signed on February 18, 2016, and ensures the implementation of certain provisions of UNSCR 2270 of March 2, 2016.

The order is not targeted at the people of North Korea, but rather is aimed at the Government of North Korea and its activities that threaten the United States and others. It blocks the property and interests in property of the Government of North Korea and the Workers’ Party of Korea and provides additional criteria for blocking the property and interests in property of any person determined by the Secretary of the Treasury, in consultation with the Secretary of State:

• to operate in such industries in the North Korean economy as may be determined by the Secretary of the Treasury, in consultation with the Secretary of State, such as transportation, mining, energy, or financial services;

• to have sold, supplied, transferred, or purchased, directly or indirectly, to or from North Korea or any person acting for or on behalf of the Government of North Korea or the Workers’ Party of Korea, metal, graphite, coal, or software, where any revenue or goods received may benefit the Government of North Korea or the Workers’ Party of Korea, including North Korea’s nuclear or ballistic missile programs;

• to have engaged in, facilitated, or been responsible for an abuse or violation of human rights by the Government of North Korea or the Workers’ Party of Korea or any person acting for or on behalf of either such entity;

• to have engaged in, facilitated, or been responsible for the exportation of workers from North Korea, including exportation to generate revenue for the Government of North Korea or the Workers’ Party of Korea;

• to have engaged in significant activities undermining cybersecurity through the use of computer networks or systems against targets outside of North Korea on behalf of the Government of North Korea or the Workers’ Party of Korea;

• to have engaged in, facilitated, or been responsible for censorship by the Government of North Korea or the Workers’ Party of Korea;

• to have materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, any person whose property and interests in property are blocked pursuant to the order;

• to be owned or controlled by, or to have acted or purported to act for or on behalf of, directly or indirectly, any person whose property and interests in property are blocked pursuant to the order; or

• to have attempted to engage in any of the activities described above.

In addition, the order prohibits:

• the exportation of goods, services, and technology to North Korea;

• new investment in North Korea; and

• the approval, financing, facilitation, or guarantee of such exports and investments.

Finally, the order suspends entry into the United States of any alien determined to meet one or more of the above criteria.

I have delegated to the Secretary of the Treasury the authority, in consultation with the Secretary of State, to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to the President by IEEPA as may be necessary to carry out the purposes of the order. All executive agencies are directed to take all appropriate measures within their authority to carry out the provisions of the order.

I am enclosing a copy of the Executive Order I have issued.

BARACK OBAMA

THE WHITE HOUSE,

March 15, 2016.