The Syria (Restrictive Measures) (Overseas Territories) Order 2012

Restrictions on financial services

Sale or purchase of Syrian bonds

36.—(1) A person (“P”) commits an offence if P sells or purchases (directly or indirectly) Syrian public or public-guaranteed bonds issued after the date on which this Order comes into force to or from a person, entity or body falling within paragraph (4) if P knows or has reasonable cause to suspect that the sale or purchase is to or from such a person, entity or body.

(2) A person (“P”) commits an offence if P provides brokering services with respect to Syrian public or public-guaranteed bonds issued after the date on which this Order comes into force to a person, entity or body falling within paragraph (4) if P knows or has reasonable cause to suspect that the services are being provided to such a person, entity or body.

(3) A person (“P”) commits an offence if P assists a person, entity or body falling within paragraph (4) to issue Syrian public or public-guaranteed bonds, by providing—

(a)brokering services,

(b)advertising, or

(c)any other service with respect to such bonds,

if P knows or has reasonable cause to suspect that P is assisting such a person, entity or body.

(4) The following persons, entities and bodies fall within this paragraph—

(a)the State of Syria or its Government, and its public bodies, corporations and agencies;

(b)a credit or financial institution domiciled in Syria, including the Central Bank of Syria;

(c)a branch or subsidiary, wherever located, of a credit or financial institution domiciled in Syria;

(d)a credit or financial institution that is not domiciled in Syria, but is controlled by a person or entity domiciled in Syria;

(e)a person, entity or body acting on behalf of or at the direction of a legal person, entity or body falling within sub-paragraph (a), (b), (c) or (d);

(f)a legal person, entity or body owned or controlled by a person, entity or body falling within sub-paragraph (a), (b), (c), (d) or (e).

Credit and financial institutions: accounts and correspondent banking relationships

37.—(1) A credit or financial institution (“P”) commits an offence if P—

(a)opens a new bank account,

(b)establishes a new correspondent banking relationship, or

(c)establishes a new joint venture,

with a person, entity or body falling within article 36(4) if P knows or has reasonable cause to suspect that the account, relationship or venture is with such a person, entity or body.

(2) P commits an offence if P—

(a)opens a new representative office in Syria, or

(b)establishes a new branch or subsidiary in Syria.

Agreements

38.  A person (“P”) commits an offence if P concludes an agreement for, or on behalf of, a person, entity or body falling within article 36(4) which relates to the opening of a representative office or the establishment of a branch or subsidiary in the Territory if P knows or has reasonable cause to suspect that the agreement is for, or on behalf of, such a person.

Acquisition or extension of ownership interest

39.  A credit or financial institution (“P”) commits an offence if P allows a person, entity or body falling within article 36(4) to acquire or extend a participation, or acquire any other ownership interest in P.

Insurance and reinsurance

40.—(1) A person (“P”) commits an offence if P provides insurance or reinsurance, or brokers the provision of insurance or reinsurance, to —

(a)the State of Syria or its Government, or its public bodies, corporations or agencies, or

(b)a person, entity or body acting on behalf of or at the direction of a person, entity or body referred to in sub-paragraph (a),

if P knows or has reasonable cause to suspect that the insurance or reinsurance is being provided to such a person, entity or body.

(2) Paragraph (1) applies to the extension or renewal of an insurance or reinsurance agreement concluded before the date on which this Order comes into force (except where there is a prior contractual obligation on the part of the insurer or reinsurer to accept an extension or renewal of a policy), but, subject to articles 26 to 29, does not apply to compliance with an insurance or reinsurance agreement concluded before that date.

(3) Paragraph (1) does not apply to the provision of compulsory or third party liability insurance or reinsurance to Syrian persons, entities or bodies based in the Territory, or to the provision of insurance for Syrian diplomatic or consular missions in the Territory.

(4) Paragraph (1)(b) does not apply to the provision of—

(a)insurance, including health and travel insurance, to individuals acting in their private capacity, or

(b)reinsurance relating to insurance falling within sub-paragraph (a).

(5) Paragraph (1)(b) does not prevent the provision of insurance or reinsurance or brokering of insurance to the owner of a vessel, aircraft or vehicle which is chartered by a person, entity or body referred to in paragraph (1)(a), provided that the person, entity or body to which it is chartered is not a designated person.

(6) For the purposes of paragraph (1)(b), a person, entity or body does not act at the direction of a person, entity or body referred to in paragraph (1)(a) where the direction is for the purposes of docking, loading, unloading or safe transit of a vessel or aircraft temporarily in Syrian waters or airspace.