The Al-Qaida (Asset-Freezing) Regulations 2011

Explanatory Note

(This note is not part of the Regulations)

These Regulations make provision relating to the enforcement of Council Regulation (EC) No. 881/2002 of 27 May 2002 (OJ No. L 139, 29.05.2002, p.9) imposing certain specific restrictive measures directed against certain persons and entities associated with the Al-Qaida network (“the Council Regulation”).

The measures include the freezing of funds and economic resources of designated persons and ensuring that funds and economic resources are not made available to them or for their benefit.

Regulation 2 defines designated persons as any person listed in Annex I to the Council Regulation (as amended from time to time).

Regulations 3 to 7 provide prohibitions against dealing with the funds or economic resources of a designated person or making funds available, directly or indirectly, to or for the benefit of a designated person.

Regulation 8 provides an exception to the prohibitions in regulations 4 and 5 in the circumstances set out in the Council Regulation, where a frozen account is credited for a permitted reason.

Regulation 9 provides a licensing procedure to enable funds and economic resources to be exempted from the prohibitions.

Regulation 10 creates offences where the prohibitions in regulations 3 to 7 are contravened. Regulations 13 to 16 contain provisions about penalties, proceedings and who, in relation to bodies corporate and other bodies, may be prosecuted for an offence under the Regulations.

Regulation 19 revokes the Al-Qaida and Taliban (Asset-Freezing) Regulations 2010, which are superseded by these Regulations and by the Afghanistan (Asset-Freezing) Regulations 2011 (S.I. 2011/1983). Regulation 20 provides that any licences which were issued under those revoked Regulations in respect of a designated person continue to have effect for the purposes of these Regulations.

Schedule 1 makes provision for information gathering and information disclosure.

Schedule 2 sets out amendments to primary and secondary legislation, including an amendment to the Counter-Terrorism Act 2008 (c. 28) so that an application to the High Court to set aside any decision of the Treasury under these Regulations is subject to the procedure set out in that Act and in Part 79 of the Civil Procedure Rules.

A list of designated persons is available on the Internet at: www.hm-treasury.gov.uk/fin_sanctions_index.htm.

An impact assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen. Further information is available from the Asset Freezing Unit, HM Treasury, 1 Horse Guards Road, London SW1A 2HQ and on the HM Treasury website (www.hm-treasury.gov.uk).