[Weekly Compilation of Presidential Documents Volume 33, Number 34 (Monday, August 25, 1997)]
[Pages 1259-1262]
[Online from the Government Publishing Office, www.gpo.gov]
<R04>
Executive Order 13059--Prohibiting Certain Transactions With Respect to
Iran
August 19, 1997
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 (50 U.S.C. 1701 et seq.) (``IEEPA''), the
National Emergencies Act (50 U.S.C. 1601 et seq.), section 505 of the
International Security and Development Cooperation Act of 1985 (22
U.S.C. 2349aa-9) (``ISDCA''), and section 301 of title 3, United States
Code,
I, William J. Clinton, President of the United States of America, in
order to clarify the steps taken in Executive Orders 12957 of March 15,
1995, and 12959 of May 6, 1995, to deal with the unusual and
extraordinary threat to the national security, foreign policy, and
economy of the United States declared in Executive Order 12957 in
response to the actions and policies of the Government of Iran, hereby
order:
Section 1. Except to the extent provided in section 3 of this order
or in regulations, orders, directives, or licenses issued pursuant to
this order, and notwithstanding any contract entered into or any license
or permit granted prior to the effective date of this order, the
importation into the United States of any goods or services of Iranian
origin or owned or controlled by the Government of Iran, other than
information or informational materials within the meaning of section
[[Page 1260]]
203(b)(3) of IEEPA (50 U.S.C. 1702(b)(3)), is hereby prohibited.
Sec. 2. Except to the extent provided in section 3 of this order, in
section 203(b) of IEEPA (50 U.S.C. 1702(b)), or in regulations, orders,
directives, or licenses issued pursuant to this order, and
notwithstanding any contract entered into or any license or permit
granted prior to the effective date of this order, the following are
prohibited:
(a) the exportation, reexportation, sale, or supply, directly or
indirectly, from the United States, or by a United States person,
wherever located, of any goods, technology, or services to Iran or the
Government of Iran, including the exportation, reexportation, sale, or
supply of any goods, technology, or services to a person in a third
country undertaken with knowledge or reason to know that:
(i) such goods, technology, or services are intended specifically
for supply, transshipment, or reexportation, directly or indirectly, to
Iran or the Government of Iran; or
(ii) such goods, technology, or services are intended specifically
for use in the production of, for commingling with, or for incorporation
into goods, technology, or services to be directly or indirectly
supplied, transshipped, or reexported exclusively or predominantly to
Iran or the Government of Iran;
(b) the reexportation from a third country, directly or indirectly,
by a person other than a United States person of any goods, technology,
or services that have been exported from the United States, if:
(i) undertaken with knowledge or reason to know that the
reexportation is intended specifically for Iran or the Government of
Iran, and
(ii) the exportation of such goods, technology, or services to Iran
from the United States was subject to export license application
requirements under any United States regulations in effect on May 6,
1995, or thereafter is made subject to such requirements imposed
independently of the actions taken pursuant to the national emergency
declared in Executive Order 12957; provided, however, that this
prohibition shall not apply to those goods or that technology subject to
export license application requirements if such goods or technology have
been:
(A) substantially transformed into a foreign-made product outside
the United States; or
(B) incorporated into a foreign-made product outside the United
States if the aggregate value of such controlled United States goods and
technology constitutes less than 10 percent of the total value of the
foreign-made product to be exported from a third country;
(c) any new investment by a United States person in Iran or in
property, including entities, owned or controlled by the Government of
Iran;
(d) any transaction or dealing by a United States person, wherever
located, including purchasing, selling, transporting, swapping,
brokering, approving, financing, facilitating, or guaranteeing, in or
related to:
(i) goods or services of Iranian origin or owned or controlled by
the Government of Iran; or
(ii) goods, technology, or services for exportation, reexportation,
sale, or supply, directly or indirectly, to Iran or the Government of
Iran;
(e) any approval, financing, facilitation, or guarantee by a United
States person, wherever located, of a transaction by a foreign person
where the transaction by that foreign person would be prohibited by this
order if performed by a United States person or within the United
States; and
(f) any transaction by a United States person or within the United
States 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.
Sec. 3. Specific licenses issued pursuant to Executive Orders 12613
(of October 29, 1987), 12957, or 12959 continue in effect in accordance
with their terms except to the extent revoked, amended, or modified by
the Secretary of the Treasury. General licenses, regulations, orders,
and directives issued pursuant to those orders continue in effect in
accordance with their terms except to the extent inconsistent with this
order or to the extent revoked, amended, or modified by the Secretary of
the Treasury.
Sec. 4. For the purposes of this order:
[[Page 1261]]
(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 ``United States person'' means any United States
citizen, permanent resident alien, entity organized under the laws of
the United States (including foreign branches), or any person in the
United States;
(d) the term ``Iran'' means the territory of Iran and any other
territory or marine area, including the exclusive economic zone and
continental shelf, over which the Government of Iran claims sovereignty,
sovereign rights, or jurisdiction, provided that the Government of Iran
exercises partial or total de facto control over the area or derives a
benefit from economic activity in the area pursuant to international
arrangements;
(e) the term ``Government of Iran'' includes the Government of Iran,
any political subdivision, agency, or instrumentality thereof, and any
person owned or controlled by, or acting for or on behalf of, the
Government of Iran;
(f) the term ``new investment'' means:
(i) a commitment or contribution of funds or other assets; or
(ii) a loan or other extension of credit,
made after the effective date of Executive Order 12957 as to
transactions prohibited by that order, or otherwise made after the
effective date of Executive Order 12959.
Sec. 5. The Secretary of the Treasury, in consultation with the
Secretary of State and, as appropriate, other agencies, is hereby
authorized to take such actions, including the promulgation of rules and
regulations, the requirement of reports, including reports by United
States persons on oil and related transactions engaged in by their
foreign affiliates with Iran or the Government of Iran, and to employ
all powers granted to me by IEEPA and the ISDCA 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 the United States Government
are hereby directed to take all appropriate measures within their
authority to carry out the provisions of this order.
Sec. 6. (a) The Secretary of the Treasury may authorize the
exportation or reexportation to Iran or the Government of Iran of any
goods, technology, or services also subject to export license
application requirements of another agency of the United States
Government only if authorization by that agency of the exportation or
reexportation to Iran would be permitted by law.
(b) Nothing contained in this order shall be construed to supersede
the requirements established under any other provision of law or to
relieve a person from any requirement to obtain a license or other
authorization from another department or agency of the United States
Government in compliance with applicable laws and regulations subject to
the jurisdiction of that department or agency.
Sec. 7. The provisions of this order consolidate the provisions of
Executive Orders 12613, 12957, and 12959. Executive Order 12613 and
subsections (a), (b), (c), (d), and (f) of section 1 of Executive Order
12959 are hereby revoked with respect to transactions occurring after
the effective date of this order. The revocation of those provisions
shall not alter their applicability to any transaction or violation
occurring before the effective date of this order, nor shall it affect
the applicability of any rule, regulation, order, license, or other form
of administrative action previously taken pursuant to Executive Orders
12613 or 12959.
Sec. 8. Nothing contained in this order shall create any right or
benefit, substantive or procedural, enforceable by any party against the
United States, its agencies or instrumentalities, its officers or
employees, or any other person.
Sec. 9. The measures taken pursuant to this order are in response to
actions of the Government of Iran occurring after the conclusion of the
1981 Algiers Accords, and are intended solely as a response to those
later actions.
Sec. 10. (a) This order is effective at 12:01 a.m. eastern daylight
time on August 20, 1997.
[[Page 1262]]
(b) This order shall be transmitted to the Congress and published in
the Federal Register.
William J. Clinton
The White House,
August 19, 1997.
[Filed with the Office of the Federal Register, 11:16 a.m., August 20,
1997]
Note: This Executive order was published in the Federal Register on
August 21.