UNITED NATIONS Citation, commencement, interpretation and extent 1 This Order may be cited as the Iraq (United Nations Sanctions)(Amendment) Order 2004 and comes into force on 13th July 2004. 2 In this Order, “the 2000 Order ” means the Iraq (United Nations Sanctions) Order 2000. 3 This Order extends to the United Kingdom. Revocation 4 The following provisions of Schedule 1 to the Iraq (United Nations Sanctions) Order 2003 are revoked— a the definitions of “designated funds” and “designated person” in paragraph 1(1)(b); b paragraph 1(1)(c); c paragraph 1(1)(d); d paragraph 3; and e paragraph 7(2). Amendment of the Iraq (United Nations Sanctions) Order 2000 5 1 The Iraq (United Nations Sanctions) Order 2000 is amended as follows. 2 After article 1(3), insert— 4 This Order extends to the United Kingdom. . 3 In article 2— a in paragraph (1)— i after the definition of “the 2003 resolution” , insert— “the 2004 Order ” means the Iraq (United Nations Sanctions)(Amendment) Order 2004; ; ii omit the definition of “designated funds” ; iii for the definition of “designated person” , substitute— “designated person” means a person who is not a listed person but is a designated 23a person or a designated 23b person; “designated 23a person” means any person whose funds (including any funds held for him or on his behalf) are subject to a direction given by the Treasury under article 4A(1); “designated 23b person” means any person whose funds (including any funds held for him or on his behalf) are subject to a direction given by the Treasury under article 4A(2); ; iv for the definition of “immediate family member” , substitute— “immediate family member” includes a parent, son (whether or not adopted), daughter (whether or not adopted), spouse, or sibling of the whole or half blood;”; “listed person” means a listed 23a person or a listed 23b person; “listed 23a person” means any person identified by the Sanctions Committee pursuant to paragraph 19 of the 2003 resolution as being an entity referred to in paragraph 23(a) of that resolution; “listed 23b person” means any person identified by the Sanctions Committee pursuant to paragraph 19 of the 2003 resolution as being an individual or entity referred to in paragraph 23(b) of that resolution; ; v for the definition of “Sanctions Committee” , substitute— “Sanctions Committee” means such committee as is established by the Security Council of the United Nations with responsibility from time to time for identifying pursuant to paragraph 19 of the 2003 resolution individuals and entities referred to in paragraph 23 of that resolution; ; vi for the definition of “senior official” , substitute— “senior official” includes any individual who, immediately before 20th March 2003 was— a cabinet official of the former government of the Republic of Iraq; a member of the former Iraqi Parliament; a head or senior member of the Iraqi military or security forces, intelligence services, military police or paramilitary police who was of a rank at least equivalent to a listed 23b person; a head or senior member of an enterprise that was owned or controlled by the former government of the Republic of Iraq who was of a rank at least equivalent to a listed 23b person; a senior member of the Iraqi Ba'ath Party who was of a rank at least equivalent to a listed 23b person; or an official of a lower rank who performed crucial functions at least equivalent to those performed by a listed 23b person. ; and b in paragraph (3) — i for “a body (“B”) is controlled by a person or government (“P”) if”, substitute “the circumstances in which a body (“B”) is to be treated as being controlled by a person or government (“P”) include, but are not limited to, where”; ii in sub-paragraph (a) delete “or” in the last place it appears; and iii after sub-paragraph (b), insert— c P, by virtue of his or its voting power in B or otherwise, is entitled to make use of any or all of B’s assets; d P manages itself and B, or B and other bodies, together whilst publishing consolidated accounts; e P shares, jointly and severally, the financial liabilities of B; or f P provides any form of guarantee for the financial liabilities of B. 4 For the side-heading before article 3 substitute, “Making funds available to designated 23b persons and listed 23b persons”. 5 In article 3(1) for “to a designated person”, substitute “directly or indirectly to a designated 23b person or a listed 23b person”. 6 After article 3, insert— Freezing funds of listed persons 3A 1 Any person who, except under the authority of a licence granted by the Treasury under article 5, makes available to any person— i any funds that he held on 22nd May 2003 for or on behalf of a listed 23a person; or ii any funds that he holds for or on behalf of a listed 23b person, is guilty of an offence. 2 In proceedings for an offence under this article, it is a defence for the accused to show that he took all reasonable precautions and exercised all due diligence to avoid committing the offence. . 7 Article 4 is revoked. 8 Before article 5 , insert— Freezing of funds on suspicion 4A 1 Where the Treasury have reasonable grounds for suspecting that the person by, for or on behalf of whom any funds are held is or may be — a a listed 23a person; or b an entity (wherever incorporated or constituted) that immediately before 20th March 2003 was owned or controlled by the government of the Republic of Iraq, the Treasury may by notice direct that such of those funds as were held by, for or on behalf of that person on 22nd May 2003 are not to be made available to any person except under the authority of a licence granted by the Treasury under article 5. 2 Where the Treasury have reasonable grounds for suspecting that the person by, for or on behalf of whom any funds are held is or may be— a a listed 23b person; b a senior official; c an immediate family member of a person referred to in sub-paragraph (a) or (b); d an entity (wherever incorporated or constituted) owned or controlled by a person referred to in sub-paragraph (a), (b) or (c); or e a person acting on behalf, or at the direction, of a person referred to in sub-paragraph (a), (b) or (c), the Treasury may by notice direct that those funds are not to be made available to any person except under the authority of a licence granted by the Treasury under article 5. 3 A notice given under paragraph (1) or (2) must specify either— a the period for which the direction is to have effect; or b that the direction is to have effect until it is revoked by notice under paragraph (5). 4 The Treasury must publish a notice given under paragraph (1) or (2) in the way appearing to them to be best calculated to bring it to the attention of the public. 5 The Treasury may by notice revoke a direction given under paragraph (1) or (2) at any time. 6 The Treasury must publish a notice given under paragraph (5) in the same manner as the original notice given under paragraph (1) or (2) was published. 7 The expiry or revocation of a direction given under paragraph (1) or (2) does not affect the application of article 3 or 3A in respect of the funds in question. 8 Where a direction has been given under paragraph (1) or (2), any person by, for or on behalf of whom those funds are held may apply to the High Court or, in Scotland, to the Court of Session, for the direction to be set aside; and on such application the court may set aside the direction. 9 A person who makes an application under paragraph (8) must give a copy of the application and any witness statement or affidavit in support to the Treasury (and to any person by, for or on behalf of whom those funds are held) not later than seven days before the date fixed for the hearing of the application. 10 Any person who contravenes a direction under paragraph (1) or (2) is guilty of an offence. . 9 In article 5(4), for “article 3(1) or 4(1)” substitute “article 3(1), 3A(1), 4A(1) or 4A(2)”. 10 In article 5A — a in paragraph (1)— i for “article 4(1)” , substitute “ article 4A(1) or 4A(2)”; and ii in sub-paragraph (b)(i)— aa before “notify” insert “must”; and bb for “on whose behalf he held the funds” substitute “on behalf of whom the funds were held”; b in paragraph (2)— i for “article 4(1)”, substitute “ article 4A(1) or 4A(2)”; and ii in sub-paragraph (b)(i), for “by, for, on whose behalf he held the funds;”, substitute “by, for or on behalf of whom the funds were held”; c after paragraph (2), insert— 2A Within 28 days of the publication by the Treasury of notification that the Sanctions Committee has published a list of listed 23a persons, any person included in that list or holding funds for or on behalf of any person included in that list must— a cause the transfer of such funds as were held by, for or on behalf of that person on 22nd May 2003 to the account of the Development Fund for Iraq held at the Federal Reserve Bank of New York; and b notify the Treasury in writing of— i the identity of the person by, for or on behalf of whom the funds were held; ii the amount transferred; and iii the date the transfer took place. 2B Within 28 days of the publication by the Treasury of notification that the Sanctions Committee has published a list of listed 23b persons, any person included in that list or holding funds for or on behalf of a person included in that list must— a cause the transfer of any funds held by, for or on behalf of that person to the account of the Development Fund for Iraq held at the Federal Reserve Bank of New York; and b notify the Treasury in writing of— i the identity of the person by, for or on behalf of whom the funds were held; ii the amount transferred; and iii the date the transfer took place. 2C Any person who holds funds that are required to be transferred to the account of the Development Fund for Iraq by paragraph (2A) or (2B) after the expiry of the period referred to in the appropriate paragraph must, as soon as possible after he becomes aware that he holds such funds— a cause the transfer of those funds to the account of the Development Fund for Iraq held at the Federal Reserve Bank of New York; and b notify the Treasury in writing of— i the identity of the person by, for on behalf of whom the funds were held; ii the amount transferred; and iii the date the transfer took place. 2D The Treasury must publish notification of any list referred to in paragraph (2A) or (2B) in the way appearing to them to be best calculated to bring it to the attention of the public. ; d in paragraph (3)— i for “Neither paragraph (1) nor (2) applies” substitute “Paragraphs (1) to (2C) do not apply”; ii in sub-paragraph (a) for “that paragraph”, substitute “the appropriate paragraph”; iii in sub-paragraph (c) for “that paragraph”, substitute “the appropriate paragraph”; e in paragraph (4) for “(1) or (2)” substitute “(1), (2), (2A), (2B) or (2C)”; f in paragraph (5) for “(1) or (2)” substitute “(1), (2), (2A), (2B) or (2C)”; g in paragraph (6) for “(1) or (2)” substitute “(1), (2), (2A), (2B) or (2C)”; and h in paragraph (7) for “(1) or (2)” substitute “(1), (2), (2A), (2B) or (2C)”; 11 In article 6 after “article 3” insert “, 3A or 4A(10) or article 6(3) of the 2004 Order”; 12 In article 8— a in paragraph (1)(a) — i after “a designated person”, insert “or a listed person”; ii after “article 3,” insert “3A, 4A(10),”; iii after “article 5A” insert “or article 6(3) of the 2004 Order”; and b for paragraph (2)(a) substitute— a its knowledge or suspicion that a person is a listed person or a designated person or has committed an offence under article 3, 3A, 4A(10), 5(4) or 5A or article 6(3) of the 2004 Order, or; 13 In article 11(1) after “article 3,” insert “3A, 4A(10),”. Transitional provisions 6 1 Notwithstanding the revocation of article 4 of the 2000 Order by this Order, any direction which was given by the Treasury under that article and was still in effect immediately before this Order came into force remains in effect until it is revoked by a notice given under this article. 2 Where a notice was published under article 4 of the 2000 Order immediately before the revocation of that article by this Order, article 5(4) and article 5A shall continue to apply in relation to funds to which that notice applied notwithstanding the revocation of article 4, and the amendments made to article 5(4) and 5A, by this Order. 3 Any person who contravenes a direction given under article 4 of the 2000 Order is guilty of an offence and shall be liable— a on conviction on indictment to imprisonment for a term not exceeding seven years, or a fine, or both; b on summary conviction to imprisonment for a term not exceeding six months, or a fine not exceeding the statutory maximum, or both. 4 Articles 9, 10 and 11(4) to (9) of the 2000 Order, and article 12 of the 2000 Order so far as it concerns those provisions, apply in relation to paragraph (3) of this article (and the provisions of the 2000 Order that refer to it) as they apply in relation to the 2000 Order. A.K.Galloway Clerk of the Privy Council 10th June 2004