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Targeted Financial Sanctions Statutory Regulation

Targeted Financial Sanctions Statutory Regulation

Introducing Guidelines for DNFBPs on Targeted Financial Sanctions (TFS) under United Nations Security Council Resolutions

1. TFS obligations are provided under the following legal instruments:

  • United Nations (Security Council) Act, 1948 (UNSC Act)
  • United Nations Security Council (Freezing and Seizure) Order, 2019
  • Statutory Regulatory Orders (SROs) issued under UNSC Act
  • Anti-Terrorism Act, 1997 (ATA)
  • Notifications issued under ATA
  • AML Act, 2010

UNSC and Domestic Sanctions Regimes

2. The Government of Pakistan under the UNSC Act gives effect to the decisions of United Nations Security Council (UNSC) whenever the Consolidated List is updated maintained by the relevant Sanctions Committee. The details of sanctions imposed by the UNSC along with the Consolidated Lists are available on the UNSC Sanctions Committees’ websites at the following links:

(a) https://www.un.org/securitycouncil/content/un-sc-consolidated-list

(b) https://scsanctions.un.org/search/

(c) https://www.un.org/securitycouncil/sanctions/1267

(d) https://www.un.org/securitycouncil/sanctions/1988

(e) https://www.un.org/securitycouncil/sanctions/1718

(f) https://www.un.org/securitycouncil/content/2231/background

3. Ministry of Foreign Affairs (MOFA) issues SROs to provide legal cover for implementing sanction measures under UNSC resolutions. These SROs in respect of designated individuals/ entities require assets freeze, travel ban and arms embargo in addition to other measures in accordance with the UNSC resolutions, and are available publicly at the following links:

(a) http://mofa.gov.pk/unsc-sanctions/

(b) http://www.secdiv.gov.pk/page/sro-unscr-sanctions

4. Similarly, for implementing sanction measures under UNSC Resolution 1373 (2001), the Ministry of Interior and respective Home Departments/ Chief Commissioner ICT issues Notifications of proscribed entities and individuals respectively, pursuant to the ATA. The consolidated lists of proscribed individuals and entities are available publicly at the following links:

(a) https://nacta.gov.pk/proscribed-organizations-3/

(b) https://nacta.gov.pk/pp/

(c) https://nfs.punjab.gov.pk/

Dissemination of Changes

5. To ensure prompt transmission of SROs issued by MOFA to relevant stakeholders, including real estate agents, jewelers and dealers in gems and precious metals and accountants not covered by ICMAP and ICAP, MOFA has put in place an email subscription service. Real estate agents, jewelers and dealers in gems and precious metals and accountants not covered by ICMAP and ICAP are required to sign up for this service through MOFA’s website –

http://202.83.172.66/app/signup/

6. In addition to above, Federal Board of Revenue (FBR) also circulates the subject SROs/ Notifications to the real estate agents, jewelers and dealers in gems and precious metals and accountants not covered by ICMAP and ICAP as an additional measure.

Guidelines by MOFA and NACTA

7. To provide further guidance on implementation of TFS obligations, MOFA and National Counter Terrorism Authority (NACTA) has issued detailed Guidelines as follows:

TFS on Terrorism and Terrorism Financing

· MOFA’s Guidelines on the Implementation of UNSC Resolutions concerning Targeted Financial Sanctions, Travel Ban, and Arms Embargo

http://mofa.gov.pk/wp-content/uploads/2020/04/Guidelines-for­ Implementation-of-UNSC-1267-Sanctions.pdf

· NACTA’s Guidelines on Actions to be taken by Competent Authorities for

Implementation of United Nation Security Council Resolution No. 1373

https://nacta.gov.pk/united-nations-security-council-resolution-1373/

TFS on Proliferation

· MOFA’s Guidelines on the Implementation of UNSC Resolutions concerning Targeted Financial Sanctions on Proliferation Financing http://secdiv.gov.pk/uploads/CRMC_Guidelines_on_TFS_for_PF-38da.pdf

8. Real estate agents, jewelers and dealers in gems and precious metals and accountants not
covered by ICMAP and ICAP may seek further guidance from Government of Pakistan through Federal Board of Revenue (FBR) regarding any queries on the subject.

Guidance to affected persons by real estate agents, jewelers and dealers in gems and precious metals and accountants not covered by ICMAP and ICAP

9. Real estate agents, jewelers and dealers in gems and precious metals and accountants not covered by ICMAP and ICAP shall educate their customers that in case of any wrongful or inadvertent freezing, they may apply in writing for de-listing to Government of Pakistan through relevant Ministry or to the UN’s Ombudsperson, as the case may be.

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