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The Democratic Peoples Republic of Korea (Sanctions) (EU Exit) Regulations 2019 ensure sanctions relating to DPRK are implemented effectively after the UK leaves the EU.
Context
This sanctions regime gives effect to the UKs obligations under United Nations Security Council Resolution 1718 (2006) and further resolutions that extended its scope.
It aims to restrict the ability of the DPRK to carry on banned programmes, promoting the abandonment by the DPRK of banned programmes and the decommissioning of the DPRKs banned weapons. It also aims to promote peace, security and stability on the Korean peninsula.
The regulations impose asset freezes as well as sectoral financial sanctions measures.
Some sanctions targets listed under the DPRK regime are known to use shell or front companies to disguise the ultimate destination of goods, funds and services.
You need to ensure youre not working with those subject to sanctions through these companies.
Restrictions
DPRK targets are on OFSIs financial sanctions?consolidated list?and are subject to an asset freeze. You can find information about asset freezes in OFSIs?general guidance.
This regime also includes sectoral financial sanctions, which contain both restrictions and requirements. These include those placed on:
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the sale or purchase of bonds
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DPRK credit and financial institutions including branches, subsidiaries and representative offices)
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UK credit and financial institutions from dealing with DPRK credit and financial institutions (including branches, subsidiaries and representative offices)
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representative offices belonging to designated persons
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business arrangements with designated persons
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financial support for trade
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investment and commercial activities
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bank accounts for DPRK diplomats and diplomatic missions
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leasing or, otherwise making available, real property.
OFSI can authorise some transactions under legal grounds which are set out in the relevant regulations for this regime. Please review these before contacting OFSI.
Given the complexities and risks involved in operating in this country, OFSI recommends you discuss any proposed activities in DPRK with any relevant financial and other institution(s) beforehand. OFSI also recommends that you seek independent legal advice for such activities.
UN regulations
The UN adopted?Resolution 1718 (2006), condemning DPRKs nuclear test on 9 October 2006 and requiring all UN member states to apply restrictive measures against the DPRK.
Further resolutions have been imposed on the DPRK to extend these restrictive measures. These are available online.
UK regulations
- The Democratic Peoples Republic of Korea (Sanctions) (EU Exit) Regulations 2019
- The Sanctions (EU Exit) (Miscellaneous Amendments) Regulations 2019
- The Sanctions (EU Exit) (Miscellaneous Amendments) Regulations 2020
- The Sanctions (EU Exit) (Miscellaneous Amendments) (No.3) Regulations 2020
- The Democratic Peoples Republic of Korea (European Union Financial Sanctions) (Amendment) (No. 5) Regulations 20172017 No. 999 (applicable prior to 11:00pm, 31 December 2020)