Fair and Clear Procedures in Targeted Sanctions to Combat Terrorist Financing

 

The European Union and its Member States and the United States have been working closely together to improve the application and effectiveness of targeted economic sanctions to combat terrorist financing, in accordance with United Nations Security Council Resolutions (UNSCRs) 1267 et al., 1452, and 1373, and Special Recommendation III of the Financial Action Task Force (FATF SR III). As an essential part of this effort, we recognize that effective targeted economic sanctions regimes must include fair and clear procedures for the listing and delisting of individuals or entities that become the target of sanctions. The U.S., the EU and its Member States agree that the following are core principles for developing and implementing such fair and clear procedures:

1.   Listing Procedures:  Countries and, where appropriate, international and regional bodies should ensure that there are clear criteria and procedures for listing, or "designating", individuals and entities. Proposed designations should be appropriately reviewed for sufficiency under an established process and include adequate identifying information and a basis for listing that is consistent with the criteria identified in the relevant UNSCRs.

2.   Delisting Procedures:  Clear procedures for considering delisting requests should be adopted and made publicly available. Generally, delisting is appropriate if individuals or entities no longer meet the criteria for listing. For example, delisting could be appropriate in cases of mistaken identity or in cases of a change of circumstances or relevant facts, such as a verifiable and credible disassociation by the person from terrorist activity or from assisting terrorists, terrorist groups, or their supporters.

3.   Exemptions:  It is necessary to have in place publicly available procedures for considering requests for licenses or exemptions from the sanctions, where appropriate, for humanitarian or other reasons.

4.   Notice:  Countries and, where appropriate, regional bodies should take steps to notify listed individuals or entities located in their territory or who are their nationals about their designation and where possible include with this notification an appropriate statement of case or reasons, procedures for considering delisting requests, and procedures for considering licensing or exemption requests. The notification could be delivered by a variety of means, including inter alia, directly, via publication on a dedicated website, and/or through governments.

We welcome the improvements in this area ushered in by the adoption of United Nations Security Council Resolutions 1730 and 1735. We agree to work together to fully implement these obligations and to pursue our common efforts to improve the efficiency as well as fairness and clarity of the procedures. We will continue to cooperate with a view to further strengthen targeted sanctions in accordance with relevant international law.