Sep

28

Congress Passes New and Diluted Sudan Sanctions


Posted by at 2:24 pm on September 28, 2006
Category: OFAC

SudanOn Tuesday Congress finally passed the Darfur Peace and Accountability Act of 2006, which broadens somewhat the existing sanctions scheme in place against Sudan.

Under the existing scheme, U.S. companies and individuals may not engage in transactions with senior officials of the government of Sudan that have been named as Specially Designated Nationals and all the assets of such officials in the United States have been blocked. Under the new legislation, beginning 30 days after its enactment, the President may name as SDNs (in addition to senior government officials of Sudan) any individual who the President determines is responsible for acts of genocide, war crimes, or crimes against humanity in Sudan. As with designated senior government officials, no U.S. individual or company may engage in any transactions with the named individuals, and their assets in the United States will be blocked.

Additionally, the new legislation provides that these newly named individuals will be denied visas to enter the United States. Finally, the new legislation gives the President the power to deny access to U.S. ports to oil tankers or cargo ships involved in the Sudanese oil trade or involved in shipment of arms for the use of the Sudanese military.

These new sanctions are not likely to have much effect on the on-going crisis in Darfur. The provision denying visas to people guilty of genocide is, frankly, somewhat risible. It is hard to imagine that someone intent on committing crimes against humanity will reconsider that course of action if he realizes that it might prevent him from taking his family to Disneyland or Sea World.

A prior version of the legislation had a provision that would have permitted state pension funds to divest from companies doing business in Sudan. That provision was eliminated at the request of the National Foreign Trade Council that is involved in litigation with the state of Illinois over its divestment provision.

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Copyright © 2006 Clif Burns. All Rights Reserved.
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