COUNCIL REGULATION (EC) No 926/98 of 27 April 1998 concerning the reduction of certain economic relations with the Federal Republic of Yugoslavia
THE COUNCIL OF THE EUROPEAN UNION
,
Having regard to the Treaty establishing the European Community, and in particular Articles 73g and 228a thereof,
Having regard to Common Position 98/240/CFSP of 19 March 1998 defined by the Council on the basis of Article J.2 of the Treaty on European Union on restrictive measures against the Federal Republic of Yugoslavia (1),
Having regard to the proposal from the Commission,
Whereas the said Common Position 98/240/CFSP provides for restrictive measures against the Federal Republic of Yugoslavia, including action by the Community to reduce certain economic relations;
Whereas certain of these measures fall within the scope of the Treaty establishing the European Community;
Whereas, therefore, and notably with a view to avoiding distortion of competition, Community legislation is necessary for the implementation of these measures, as far as the territory of the Community is concerned; whereas such territory is deemed to encompass, for the purposes of this Regulation, all the territories of the Member States to which the Treaty establishing the European Community is applicable, under the conditions laid down in that Treaty;
Whereas a procedure should be provided to amend, if necessary, the list of equipment which might be used for internal repression or terrorism;
Whereas there is a need for the Commission and the Member States to inform each other of the measures taken under this Regulation and of other relevant information at their disposal in connection with this Regulation, without prejudice to existing obligations with regard to certain items concerned,
The supply or sale, directly or indirectly, to the Federal Republic of Yugoslavia of equipment which might be used for internal repression or terrorism such as that set out in the Annex hereto shall be prohibited, except under the conditions laid down therein. The Annex shall not include items specially designed or modified for military use already subject to the arms embargo established on the basis of Common Positions 96/184/CFSP (2) and 98/240/CFSP.
As laid down in Article 3 of Common Position 98/240/CFSP, the following shall be prohibited:
(a) the provision and/or use of government and/or other official financial support, insurance and/or guarantees in respect of new export credit for trade with or investment in the Republic of Serbia or in relation to the renewal or extension of existing export credit, if the execution of the contract or transaction for which the export credit has been provided has not yet been started;
(b) the provision or use of government and/or other official financing for privatisations in the Republic of Serbia in respect of which no legally binding commitments have been entered into so far.
The participation, knowingly and intentionally, in related activities the object or effect of which is, directly or indirectly, to promote the transactions or activities referred to in Articles 1 and 2 shall also be prohibited.
The Council shall adopt by qualified majority amendments to the list set out in the Annex on the basis of a proposal from the Commission in conformity with Article 1.
Each Member State shall determine the sanctions to be imposed where the provisions of this Regulation are infringed.
The Commission and the Member States shall, insofar as they are not otherwise obliged to do so, inform each other of the measures taken under this Regulation and supply each other with other relevant information at their disposal in connection with this Regulation, such as breaches and enforcement problems, judgments handed down by national courts or decisions of relevant international fora.
This Regulation shall apply:
- within the territory of the Community including its airspace,
- on board any aircraft or any vessel under the jurisdiction of a Member State,
- to any person elsewhere who is a national of a Member State,
- to any body which is incorporated or constituted under the law of a Member State.
This Regulation shall enter into force on the day of its publication in the Official Journal of the European Communities.
This Regulation shall be binding in its entirety and directly applicable in all Member States.