Assets Freeze

I. Relevant Security Council resolutions and Committee Guidelines

The exemptions from the assets freeze are provided for by the following:

  • Security Council Resolution 1596 (2005): paragraph 16
  • Committee Guidelines: Paragraph 10

II. Who is entitled to submit the request for exemptions to the assets freeze?

Member States who intend to authorize, where appropriate, access to frozen funds or other financial assets or economic resources.

III. What type of exemptions to assets freeze can be requested?

There are two types of exemptions to assets freeze:

  • For basic expenses
  • For extraordinary expenses

1. The basic expenses exemption

Pursuant to paragraph 16 (a) and (c) of resolution 1596 (2005) as well as paragraph 10 (a) of the Committee’s Guidelines, notifications for the basic expense are to be submitted for Committee’s consideration and must, as appropriate, include the following information:

  1. Recipient (name and address)
  2. Recipient’s bank information (name and address of bank, account number)
  3. Purpose of payment and justification of the determination of the expenses falling under the basic expenses exemption:
  • Basic expenses, including payment for foodstuffs, rent or mortgage, medicines and medical treatment, taxes, insurance premiums, and public utility charges;
  • Payment of reasonable professional fees and reimbursement of incurred expenses associated with the provisions of legal services;
  • Fees or service charges for routine holding or maintenance of frozen funds or other financial assets or economic resources.

2. The extraordinary expenses exemption

Pursuant to paragraph 16 (b) of resolution 1596 (2005) as well as Section 10 (b) of Committee’s Guidelines, requests for the extraordinary expenses are to be submitted for Committee’s consideration and must, as appropriate, include the following information:

  1. Recipient (name and address)
  2. Recipient’s bank information (name and address of bank, account number)
  3. Purpose of payment and justification of the determination of the expenses falling under the extraordinary expenses
  4. Amount of instalment
  5. Number of instalments
  6. Payment starting date
  7. Bank transfer or direct debit
  8. Interests
  9. Specific funds being unfrozen
  10. Other information.

Please Note that Member States are encouraged, when submitting requests for the extraordinary expenses exemption, to report in a timely way on the use of such funds, with a view to preventing such funds from being used to conduct any of the acts described in paragraph 8 of resolution 1596 (2005) (the Listing Criteria).

IV. How to make the request for exemptions to the assets freeze?

Please send the requests for exemptions to the assets freeze to:

  • The Chair of the Committee, His Excellency Mr. Mansour Ayyad Sh. A. Alotaibi (Kuwait) through the Permanent Mission of the State of Kuwait to the United Nations

With copies to:

V. Decision Making of the Committee

The Committee, through the Secretariat, will immediately acknowledge receipt of the basic expense notification. Should no negative decision be taken by the Committee within the requisite 4 working day period, the Committee, through its Chair, will inform the notifying Member State thereof. The Committee will also inform the notifying Member State thereof. The Committee will also inform the notifying Member State if a negative decision has been taken regarding the notification.