The Democratic People’s Republic of Korea (Sanctions) (Overseas Territories) (Amendment) (No. 3) Order 2017

• Citation: S.I. 2017/1108
• Sections: 9

Section 1 Citation, commencement, interpretation and extent

(1) This Order may be cited as the Democratic People’s Republic of Korea (Sanctions) (Overseas Territories) (Amendment) (No. 3) Order 2017 and comes into force on 13th December 2017.

(2) In this Order, “the principal Order” means the Democratic People’s Republic of Korea (Sanctions) (Overseas Territories) Order 2012 .

(3) This Order extends to the territories listed in Schedule 1 to the principal Order.

Section 2 Amendment of the principal Order

The principal Order is amended in accordance with articles 3 to 9.

Section 3 Amendment of the principal Order

(1) In article 3(1)—

(a) for the definition of “the Council Regulation”, substitute—

“the Council Regulation” means Council Regulation ( EU ) No 2017/1509 adopted by the Council of the European Union on 30th August 2017 concerning restrictive measures against the Democratic People’s Republic of Korea and repealing Regulation (EC) No 329/2007 ;

(b) in the definition of “restricted goods” in subparagraph (c), replace “Annexes I, Ia, Ib and Ig” with “ Parts I, II , III , V, VI and VII of Annex II”; and

(c) in the appropriate places, insert—

“financial institutions” includes companies performing financial services commensurate with those provided by banks;

lead and lead ore” means items listed in Annex XIb of the Council Regulation;

“seafood” includes all seafood including fish, crustaceans, molluscs, and other aquatic invertebrates in all forms, as listed in Annex XIa of the Council Regulation;

Section 4 Amendment of the principal Order

(1) In paragraph (3) of article 7—

(a) at the end of subparagraph (c) delete “or”;

(b) at the end of subparagraph (d) delete “,” and insert “;”;

(c) at the end of subparagraph (e) delete “or”;

(d) at the end of subparagraph (f) delete “.” and insert “;”; and

(e) after subparagraph (f) insert—

(g) seafood; or

(h) lead and lead ore.

Section 5 Amendment of the principal Order

(1) In article 10K—

(a) for paragraph (1) substitute—

(1) A person “P” commits an offence if P leases or charters a vessel or aircraft, or provides crew services, with knowledge or reasonable cause to suspect that the lease, charter or provision of crew services is to—

(a) North Korea;

(b) a person listed in Annex XIII , XV , XVI or XVII to the Council Regulation;

(c) a North Korean entity;

(d) a person who has assisted in violating the provisions of United Nations Security Council resolutions referred to in Article 43(a) of the Council Regulation; or

(e) a person acting on behalf of or at the direction of—

(i) a person referred to in subparagraph (a), (b), (c) or (d); or

(ii) an entity owned or controlled by a person referred to in subparagraph (a), (b), (c) or (d).

(b) in paragraph (2), after “leases,”, insert “charters,”; and

(c) for paragraphs (3), (4) and (5), substitute—

(3) A person (“P”) commits an offence if P registers or maintains on a register a vessel which P knows or has reasonable cause to suspect is owned, controlled or operated by North Korea or North Korean nationals.

(4) A person (“P”) commits an offence if P registers or maintains on a register a vessel which P knows or has reasonable grounds to suspect has been de-registered by another State pursuant to paragraph 24 of United Nations Security Council resolution 2321 of 30th November 2016.

(5) A person (“P”) commits an offence if P provides insurance or re-insurance services to a vessel that P knows, or has reasonable cause to suspect, is owned, controlled, or operated by North Korea.

(6) Paragraphs (1), (2), (3) and (5) are subject to articles 11 and 12.

Section 6 Amendment of the principal Order

(1) In article 10M—

(a) for subparagraph 1(a), substitute—

(a) establishes a joint venture or cooperative entity with; or

(b) at the end of subparagraph 1(b), for “a person referred to in paragraph (2), knowing or having reasonable cause to suspect that the joint venture or ownership interest is with or in such a person”, substitute—

a person referred to in article 10L(1)(a), (b) or (c), knowing or having reasonable cause to suspect that the joint venture or ownership interest is with or in such a person

(c) for paragraph (2), substitute—

(2) This article is subject to articles 11 and 12.

Section 7 Amendment of the principal Order

In paragraph (1) of article 10P, after “transfers funds”, insert “, including clearing of funds,”.

Section 8 Amendment of the principal Order

(1) In article 11—

(a) in paragraph (1), replace “article 4, 7, 7A, 8, 9, 10J, 10K(1) and (4), 10P, 10Q, 10R, 10T or 10U” with “article 4, 7, 7A, 8, 9, 10J, 10K(1), (2), (3) and (5), 10M, 10P, 10Q, 10R, 10T or 10U”;

(b) in paragraph (2), replace “article 4, 7, 7A, 8, 9, 10J, 10K(1) and (4), 10P, 10Q, 10R, 10T or 10U” with “article 4, 7, 7A, 8, 9, 10J, 10K(1), (2), (3) and (5), 10M, 10P, 10Q, 10R, 10T or 10U”;

(c) for subparagraph (3)(g) substitute—

(g) the purchase, import or transfer of coal provided that the Governor has determined on the basis of credible information that—

(i) the shipment originated outside of North Korea and was transported through North Korea solely for export from the Port of Rajin (Rason), and

(ii) the transactions are unrelated to generating revenue for North Korea’s nuclear or ballistic missile programmes or other activities prohibited by this Order.

(d) for subparagraph 3(m) substitute—

(m) the owning, leasing, operating, chartering or provision of vessel classification services or associated services to any North Korea flagged vessel;

(e) after subparagraph 3(m) insert—

(f) “(ma) the registration, or maintenance on the register, of a vessel that is owned, controlled, or operated by North Korea or North Korean nationals;”

(g) for subparagraph 3(o) substitute—

(o) access to ports for humanitarian or other purposes consistent with the objectives of the United Nations Security Council resolutions referred to in paragraph 6 of United Nations Security Council resolution 2371 of 5 August 2017;

(h) at the end of subparagraph (y) delete “or”;

(i) at the end of subparagraph (z), for “.”, substitute “; or”; and

(j) after subparagraph (z) insert—

(z1) the establishment of a joint venture or co-operative entity with, or taking or extending an ownership interest in, any person falling referred to in article 10M(2).

Section 9 Amendment of the principal Order

In article 12, for “article 4, 7, 8, 7A, 9, 10J, 10K(1)and (4), 10P, 10Q, 10R, 10T or 10U”, substitute “article 4, 7, 7A, 8, 9, 10J, 10K(1), (2), (3) and (5), 10M, 10P, 10Q, 10R, 10T or 10U”.