27 May 2003 USA PATRIOT Act Monitor News Release: Iraqi
Sanctions Modified
The Office of Foreign Assets Control (OFAC) is amending the Iraqi Sanctions
Regulations by interim final rule (68 FR 28753, 5/27/2003), to include four
general licenses issued May 7, 2003. These licenses generally authorize (1)
non-commercial funds transfers (including family remittances) and related
transactions, (2) activities by the U.S. Government and its contractors or
grantees, (3) privately financed humanitarian transactions, and (4) certain
exports and reexports to Iraq. The changes are made to 31 CFR Part 575, the
Iraqi sanctions regulations. Under the changes to 31 CFR 575.529, "U.S.
financial institutions are authorized to engage in all transactions ordinarily
incident to the transfer of funds" for noncommercial humanitarian purposes
"including the opening of new correspondent accounts for funds transfers
with Iraqi financial institutions." The revised rule states that "U.S.
financial institutions may relay on originators of funds transfers with regard
to compliance with this part."