OFAC update

OFAC has issued a bulletin December 27, 2002 relating to blocked property and interests in property under the Federal Republic of Yugoslavia (Servia & Montenegro) Sanctions Regulations.

In its latest action, OFAC is authorizing the unblocking ofall remaining blocked property and interests in property under the FederalRepublic of Yugoslavia (Serbia & Montenegro) Sanctions Regulations.These general licenses authorizing the unblocking will be effective 60 days from the 12/27/02 publication in the Federal Register.

There are three exceptions, as follows:

1)property or interests in property of diplomatic and/or consularmissions of the former Socialist Federal Republic of Yugoslavia,

2)property or interests in property of those persons who are presentlysubject to sanctions under either the Milosevic Regulations set forth at 31CFR part 587 or the Western Balkans Transactions Regulations set forth at 31CFR part 588, or who are otherwise subject to sanctions under other parts of31 CFR chapter V, and

3)property or interests in property of the central bank of the formerSocialist Federal Republic of Yugoslavia, i.e., the National Bank ofYugoslavia, that have been blocked pursuant to 31 CFR part 585.(Propertyand interests in property of the National Bank of Yugoslavia blockedpursuant to 31 CFR part 586 will be unblocked in accordance with the generallicense issued at ?586.520.)

In addition, OFAC has also issued general licenses, effective upon the 12/27/02 publication inthe Federal Register, authorizing any person or government to seek judicialor other legal process with respect to property or interests in propertybeing unblocked.These general licenses are intended to help persons andgovernments to protect any rights they may have with respect tosuch property or interests in property.