S.I. No. 360/1998 - Financial Transfers (Governments of the Federal Republic of Yugoslavia and The Republic of Serbia) Order, 1998

S.I. No. 360 of 1998.

FINANCIAL TRANSFERS (GOVERNMENTS OF THE FEDERAL REPUBLIC OF YUGOSLAVIA AND THE REPUBLIC OF SERBIA) ORDER, 1998

I, Charlie McCreevy, Minister for Finance, in exercise of the powers conferred on me by section 4 of the Financial Transfers Act, 1992 (No. 27 of 1992), hereby order as follows:

1. This Order may be cited as the Financial Transfers (Governments of the Federal Republic of Yugoslavia and the Republic of Serbia) Order, 1998.

2. In this Order—

"government of the Federal Republic of Yugoslavia" means the government of the Federal Republic of Yugoslavia, including the public administrations and agencies at the federal level;

"government of the Republic of Serbia" means the government of the Republic of Serbia, including the public administrations and agencies at the central government level in the Republic of Serbia;

"frozen" means that any change in volume, amount, location, ownership, possession, character, destination or other change that would enable the use of the funds concerned has been prohibited;

"funds" means funds of any kind, including interest, dividends or other value accruing to or from any such funds.

3. This Order applies to financial transfers in respect of—

(a) funds held outside the territory of the Federal Republic of Yugoslavia and belonging to the government of the Federal Republic of Yugoslavia or to the government of the Republic of Serbia or to both, and which have been frozen in accordance with Council Regulation (EC) No. 1295/98 of 22 June 1998¹, and

¹O.J. No. L178, 23.6.98, p.33

(b) such funds to or for the benefit of, either or both, those governments, either directly or indirectly.

4. Subject to Article 5 of this Order, a person shall not make a financial transfer to which this Order applies between the State and another country.

5. A person may make a financial transfer to which this Order applies in respect of funds to be used exclusively for the purpose of—

(a) payment for current expenses, including salaries of local staff, embassies, consular posts or diplomatic missions of the government of the Federal Republic of Yugoslavia or the government of the Republic of Serbia or both within the European Community,

(b) transfer from the European Community to natural persons resident in the Federal Republic of Yugoslavia of social security or pension payments as well as the transfer of other payments to protect entitlements in the area of social insurance,

(c) payments for democratisation projects or humanitarian activities carried out by the European Community or the Member States or both, including the implementation of the Education Agreement of September 1996, signed by President Milosevic and the leader of the ethnic Albanian community Dr Ibrahim Rugova,

(d) payments of debts incurred with the Federal Republic of Yugoslavia and Serbian governments before the making of this Order, on the condition that these payments are made into accounts held by those governments with banks or financial institutions within the European Community, or

(e) payments for essential transit services provided by the Federal Republic of Yugoslavia and Serbian governments, on the condition that the supply of such services takes place at the usual rates.

6. The Central Bank of Ireland may give such directions or issue such instructions to a person as it sees fit for the administration and enforcement of this Order.

7. A person to whom a direction has been given or an instruction issued under Article 6 of this Order shall comply with the direction or instruction.

8. A person shall not do anything to promote a financial transfer to which this Order applies which is prohibited by this Order.

GIVEN under my Official Seal, this 29th day of September, 1998.

Charlie McCreevy

Minister for Finance.

EXPLANATORY NOTE

This Order prohibits financial transfers between the State and another country in respect of funds held outside the Federal Republic of Yugoslavia and belonging to the government of the Federal Republic of Yugoslavia and/or the government of the Republic of Serbia, and which have been frozen in accordance with Council Regulation (EC) No. 1295/98 of 22 June 1998.

The prohibition does not apply in the cases specified in Article 5 of the Order, including payments for democratisation projects, humanitarian activities and for essential transit services provided by either of the two governments at usual rates.