US Targets New Sanctions at Milosevic but Does Not Lift Embargo on Serbia
January 2001
In one of his last acts in office, President Clinton issued Executive Order 13192 “lifting and modifying” the US embargo on Serbia. As a practical matter, however, the US embargo on export and reexports to Serbia remains in place, despite Clinton’s executive order, which was published in the January 23, 2001 Federal Register. Until the US Department of Commerce revises the Export Administration Regulations (”EAR”), all items subject to the EAR continue to require a US license when destined for Serbia. Commerce has stated that it hopes that within a couple of weeks it will publish a revision to the EAR that will return Serbia to its pre-embargo status.
The primary immediate impact of the executive order is that it creates a new prohibited parties list consisting of former President Slobodan Milosevic and certain of his family, friends, supporters and business partners. See Annex 1 at the end of this newsletter for the new list of FYRM (Federal Republic of Yugoslavia-Milosevic) entities. The Treasury Department did not include the FYRM list in the Federal Register notice, but it did publish the list on its web page at http://www.treas.gov/ofac/.
What is the restriction on doing business with FYRMs? No “US person” may participate in or facilitate, directly or indirectly, any transaction involving any listed FYRM or any other entity owned or controlled by, or acting on behalf of, Milosevic or a listed entity. For the purpose of this restriction, “US Person” includes:
- Any person in the United States;
- Any US corporation and its foreign branches, but not its foreign subsidiaries; and
- Any US citizen or permanent resident.
