The Afghanistan (United Nations Measures) (Overseas Territories) Order 2012

FUNDS AND ECONOMIC RESOURCES

Freezing funds and economic resources

14.—(1) A person must not deal with funds or economic resources belonging to, or owned, held or controlled by, a designated person if they know, or have reasonable cause to suspect, that they are dealing with such funds or economic resources.

(2) In paragraph (1) “deal with” means—

(a) in relation to funds—

(i) use, alter, move, allow access to or transfer;

(ii) deal with the funds in any other way that would result in any change in volume, amount, location, ownership, possession, character or destination; or

(iii) to make any other change that would enable use, including portfolio management; and

(b) in relation to economic resources, exchange or use in exchange, for funds, goods or services.

(3) Paragraph (1) is subject to article 20.

Making funds available to a designated person

15.—(1) A person must not make funds or economic resources available, directly or indirectly, to a designated person, if they know, or have reasonable cause to suspect, that they are making the funds so available.

(2) Paragraph (1) is subject to articles 19 and 20.

Making funds available for the benefit of a designated person

16.—(1) A person must not make funds available to any person for the benefit of a designated person if they know, or have reasonable cause to suspect, that they are making the funds or economic resources so available.

(2) For the purposes of this article—

(a) funds are made available for the benefit of a designated person only if that person thereby obtains, or is able to obtain, a significant financial benefit, and

(b) “financial benefit” includes the discharge of a financial obligation for which the designated person is wholly or partly responsible.

(3) Paragraph (1) is subject to articles 19 and 20.

Making economic resources available to a designated person

17.—(1) A person must not make economic resources available, directly or indirectly, to a designated person if they know, or have reasonable cause to suspect—

(a) that they are making the economic resources so available, and

(b) that the designated person would be likely to exchange the economic resources, or use them in exchange, for funds, goods or services.

(2) Paragraph (1) is subject to article 20.

Making economic resources available for the benefit of a designated person

18.—(1) A person must not make economic resources available to any person for the benefit of a designated person if they know, or have reasonable cause to suspect, that they are making the economic resources so available.

(2) For the purposes of this article—

(a) economic resources are made available for the benefit of a designated person only if that person thereby obtains, or is able to obtain, a significant financial benefit, and

(b) “financial benefit” includes the discharge of a financial obligation for which the designated person is wholly or partly responsible.

(3) Paragraph (1) is subject to article 20.

Credits to a frozen account

19.—(1) The prohibitions in articles 15 and 16 are not contravened by a person who credits a frozen account with—

(a) interest or other earnings due on the account; or

(b) payments due under contracts, agreements or obligations that were concluded or arose before the account became a frozen account.

(2) The prohibitions in articles 15 and 16 on making funds available do not prevent a relevant institution from crediting a frozen account where it receives funds transferred to the account.

Licences

20.—(1) The prohibitions in articles 14 to 18 do not apply to anything done under the authority of a licence granted by the Governor.

(2) The Governor may grant a licence for—

(a) necessary basic expenses of designated persons and their dependent family members, including payments for foodstuffs, rent or mortgage, medicines, medical treatment, taxes, insurance premiums and public utility charges after notification to the Sanctions Committee and no objection having been made with 3 working days of such notification;

(b) payment of reasonable professional fees and reimbursement of incurred expenses associated with the provision of legal services after notification to the Sanctions Committee and no objection having been made within 3 working days of such notification;

(c) payment of fees or service charges for the routine holding or maintenance of frozen funds and economic resources after notification to the Sanctions Committee and no objection having been made within 3 working days of such notification;

(d) payment of necessary extraordinary expenses as determined by the Governor and approved by the Sanctions Committee;

(3) A licence must specify the acts authorised by it and may be—

(a) general or granted to a category of persons or to a particular person;

(b) subject to conditions;

(c) of indefinite duration or subject to an expiry date.

(4) The Governor may vary or revoke a licence at any time.

(5) When granting, revoking or varying a licence, the Governor must—

(a) in the case of a licence granted to a particular person, give written notice of the licence, variation or revocation to that person, and

(b) in the case of a general licence, or a licence granted to a category of persons, take such steps as the Governor considers appropriate to publicise the licence, variation or revocation.

(6) A person who, for the purpose of obtaining a licence, knowingly or recklessly makes any statement or furnishes any document or information which is false in a material particular commits an offence.

(7) A licence granted in connection with the application for which the false statement was made or the false document or information furnished is void from the time it was granted.

(8) A person who, having acted under the authority of a licence, fails to comply with any conditions in the licence, commits an offence, unless—

(a) The licence was modified after the completion of the act authorised, and

(b) The alleged failure to comply would not have been a failure had the licence not been so modified.

Contravention and circumvention of prohibitions

21.—(1) A person who contravenes any of the prohibitions in articles 14 to 18 commits an offence.

(2) A person commits an offence who intentionally participates in activities knowing that the object or effect of them is (directly or indirectly)—

(a) to circumvent any of the prohibitions in articles 14 to 18, or

(b) to enable or facilitate the contravention of any such prohibition.