Financial Crime World

Financial Sanctions Enforcement Agencies Ease Humanitarian Aid Flow to Palestinians

In a move aimed at alleviating the humanitarian crisis in the occupied Palestinian territories, financial sanctions enforcement agencies have issued a general licence allowing specific activities to proceed despite Israeli restrictions.

Background

The Office of Financial Sanctions Implementation (OFSI) has granted a licence under the Counter-Terrorism (International Sanctions) (EU Exit) Regulations 2019, permitting certain humanitarian organisations and entities to conduct activities in the occupied Palestinian territories without breaching financial sanctions.

Licence Details

  • The licence exempts any person or entity designated as a terrorist organisation by Israel from prohibitions on conducting specific acts.
  • It allows for the provision of funds, goods, and services necessary to provide humanitarian assistance to Palestinians in the occupied territories.
  • The licence applies to:
    • United Nations agencies
    • Humanitarian agencies
    • Non-governmental organisations (NGOs)
    • Bilaterally or multilaterally funded groups participating in UN appeals
    • UK-funded individuals and entities acting as humanitarian workers or implementing partners

Requirements for Licence Use

  • Relevant Persons must believe that the activities are necessary to provide humanitarian assistance and support basic human needs, and there is no reasonable cause for them to suspect otherwise.
  • Funds used to effect these permissions cannot be owned, held, or controlled by a designated terrorist organisation.

Reporting and Compliance

  • The licence requires reporting on certain activities and transactions to OFSI within specific timeframes.
  • It notes that the permissions granted do not authorise any act that would result in a breach of financial sanctions regulations, except as permitted under a licence granted under those regulations.

Effective Dates and Duration

  • The general licence takes effect from November 14, 2023.
  • It expires on May 15, 2025, unless revoked or suspended earlier.
  • HM Treasury may vary, revoke, or suspend the licence at any time.

Implications for Humanitarian Organisations

  • Humanitarian organisations and entities operating in the occupied Palestinian territories will be closely monitoring developments to ensure compliance with financial sanctions regulations while continuing to provide vital aid to those in need.