Title: New Sanctions Announced Against Libyan Banks and Entities Amidst Ongoing Financial Scandals in Libyan Arab Jamahiriya

Announcement of New Sanctions

The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced new sanctions against the Government of Libya and Libyan Arab Jamahiriya. Concurrently, the department lifted restrictions against a former senior Libyan official (Shukri Mohammed Ghanem).

“The U.S. is closely monitoring entities connected to Libyan Arab Jamahiriya to prevent any attempts to evade sanctions and further the interests of the Qadhafi regime."– Adam Szubin, OFAC Director.

key Actions Against Three Libyan Banks

OFAC revealed that three foreign banks – Arab Turkish Bank, North Africa International Bank, and North Africa Commercial Bank – have been blocked from transaction authorizations, under General License No. 1B. These banks had processed transactions on behalf of the previously sanctioned Libyan Arab Foreign Bank, which is significantly owned by these institutions:

• Arab Turkish Bank: 62.37% owned by the Libyan Arab Foreign Bank.
• North Africa International Bank: 50% co-owned by the Libyan Arab Foreign Bank, the Government of Tunisia, and the Tunisian Social Security Fund Agency.
• North Africa Commercial Bank: 99.54% owned by the Libyan Arab Foreign Bank.

Revocation of Sanctions for Defected Official

Former Libyan Oil Minister and National Oil Corporation Chairman, Shukri Mohammed Ghanem, had sanctions removed after defecting from the Qadhafi regime in May 2011.

“The U.S. sanctions are designed to prevent harm and effect change. When individuals distance themselves from the regime, measures can be lifted."– Adam Szubin, OFAC Director.

Identified Libyan Entities

These entities were identified as being either owned or controlled by the Government of Libya:

1. General Company for Chemical Industries (ABU Kammash)
2. General National Maritime Transport Company (GNMTC)
3. Ghana Libya Arab Holding Company (GLAHCO)
   • Glahco Hotels and Tourism Development Company Limited (Golden Tulip Accra)
4. Libyan Norwegian Fertiliser Company (LIFECO)
5. Pak-Libya Holding Company

U.S. Persons Prohibited from Transactions

The U.S. persons are generally prohibited from participating in any transactions involving these entities unless granted authorization from OFAC.

Additional Information on the Identified Entities

[!note] The U.S. sanctions targeting Libyan entities under Executive Order 13566 aim to block all property and interests in property of the Government of Libya and its agencies, instrumentalities, and controlled entities within the U.S. jurisdiction.