THE WHITE HOUSE
Office of the Press Secretary
EXECUTIVE ORDER
BLOCKING PROPERTY OF THE GOVERNMENTS OF
THE FEDERAL REPUBLIC OF YUGOSLAVIA (SERBIA AND MONTENEGRO),
THE REPUBLIC OF SERBIA, AND THE REPUBLIC OF MONTENEGRO,
AND PROHIBITING NEW INVESTMENT IN THE REPUBLIC OF SERBIA
IN RESPONSE TO THE SITUATION IN KOSOVO
By the authority vested in me as President by the Constitution and the laws of the United States of America, including the International Emergency Economic Powers Act (IEEPA) (50 U.S.C. 1701 et seq.), the National Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of title 3, United States Code,
I, WILLIAM J. CLINTON, President of the United States of America, find that the actions and policies of the Governments of the Federal Republic of Yugoslavia (Serbia and Montenegro) and the Republic of Serbia with respect to Kosovo, by promoting ethnic conflict and human suffering, threaten to destabilize countries of the region and to disrupt progress in Bosnia and Herzegovina in implementing the Dayton peace agreement, and therefore constitute an unusual and extraordinary threat to the national security and foreign policy of the United States, and hereby declare a national emergency to deal with that threat.
I hereby order:
Section 1. (a) Except to the extent provided in section 2 of
this order, section 203(b) of IEEPA (50 U.S.C. 1702(b)), and in
regulations, orders, directives, or licenses that may hereafter be
issued pursuant to this order, all property and interests in
property of the Governments of the Federal Republic of Yugoslavia
(Serbia and Montenegro), the Republic of Serbia, and the Republic
of Montenegro that are in the United States, that hereafter come
within the United States, or that are or hereafter come within the
possession or control of United States persons, including their
overseas branches, are hereby blocked.
(b) The blocking of property and property interests in paragraph
(a)of this section includes the prohibition of financial
transactions with, including trade financing for, the Governments
of the Federal Republic of Yugoslavia (Serbia and Montenegro), the
Republic of Serbia, and the Republic of Montenegro by United
States persons.
Sec. 2. Nothing in section 1 of this order shall prohibit
financial transactions, including trade financing, by United
States persons within the territory of the Federal Republic of
Yugoslavia (Serbia and Montenegro) if (a) conducted exclusively
through the domestic banking system within the Federal Republic of
Yugoslavia (Serbia and Montenegro)in local currency (dinars), or
(b) conducted using bank notes or barter.
Sec. 3. Except as otherwise provided in regulations, orders,
directives, or licenses that may hereafter be issued pursuant to
this order, all new investment by United States persons in the
territory of the Republic of Serbia, and the approval or other
facilitation by United States persons of other persons' new
investment in the territory of the Republic of Serbia, are
prohibited.
Sec. 4. Any transaction by a United States person that evades or
avoids, or has the purpose of evading or avoiding, or attempts to
violate, any of the prohibitions set forth in this order is
prohibited.
Sec. 5. For the purposes of this order:
(a) The term "person" means an individual or entity;
(b) The term "entity" means a partnership, association, trust,
joint venture, corporation, or other organization;
(c) The term "new investment" means (i) the acquisition of debt
or equity interests in, (ii) a commitment or contribution of funds
or other assets to, or (iii) a loan or other extension of credit
to, a public or private undertaking, entity, or project, including
the Government of the Republic of Serbia, other than donations
of funds for purely humanitarian purposes to charitable
organizations;
(d) The term "United States person" means any United States
citizen, permanent resident alien, juridical person organized
under the laws of the United States (including foreign branches),
or any person in the United States;
(e) The term "Government of the Federal Republic of Yugoslavia
(Serbia and Montenegro)" means the government of the Federal
Republic of Yugoslavia (Serbia and Montenegro), its agencies,
instrumentalities, and controlled entities, including all
financial institutions and state-owned and socially owned entities
organized or located in the Federal Republic of Yugoslavia (Serbia
and Montenegro) as of June 9, 1998, any successors to such
entities, and their respective subsidiaries and branches, wherever
located, and any persons acting or purporting to act for or on
behalf of any of the foregoing;
(f) The term "Government of the Republic of Serbia" means the
government of the Republic of Serbia, including any subdivisions
thereof or local governments therein, its agencies,
instrumentalities, and controlled entities, including all
financial institutions and state-owned and socially owned entities
organized or located in the Republic of Serbia as of June 9, 1998,
any successors to such entities, and their respective subsidiaries
and branches, wherever located, and any persons acting or
purporting to act for or on behalf of any of the foregoing;
(g) The term "Government of the Republic of Montenegro" means the
government of the Republic of Montenegro, including any
subdivisions thereof or local governments therein, its agencies,
instrumentalities, and controlled entities, including all
financial institutions and state-owned and socially owned entities
organized or located in the Republic of Montenegro as of June 9,
1998, any successors to such entities, and their respective
subsidiaries and branches, wherever located, and any persons
acting or purporting to act for or on behalf of any of the
foregoing.
Sec. 6. The Secretary of the Treasury, in consultation with the
Secretary of State, is hereby authorized to take such actions,
including the promulgation of rules and regulations, and to employ
all powers granted to me by the International Emergency Economic
Powers Act, as may be necessary to carry out the purposes of this
order. The Secretary of the Treasury may redelegate any of these
functions to other officers and agencies of the United States
Government, all agencies of which are hereby directed to take all
appropriate measures within their authority to carry out the
provisions of this order, including suspension or termination of
licenses or other authorizations in effect as of the effective
date of this order.
Sec. 7. The Secretary of the Treasury, in consultation with the
Secretary of State, shall give special consideration to the
circumstances of the Government of the Republic of Montenegro and
persons located in and organized under the laws of the Republic of
Montenegro in the implementation of this order.
Sec. 8. Nothing contained in this order shall confer any
substantive or procedural right or privilege on any person or
organization, enforceable against the United States, its agencies
or its officers.
Sec. 9. (a) This order is effective at 12:01 a.m. eastern
daylight time on June 10, 1998.
(b) This order shall be transmitted to the Congress and published
in the Federal Register.
WILLIAM J. CLINTON
THE WHITE HOUSE,
June 9, 1998.
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