For Immediate Release
Office of the Press Secretary
July 29, 2004

Text of a Letter from the President to the Speaker of the House of Representatives and the President of the Senate

Dear Mr. Speaker: (Dear Mr. President:)

Consistent with subsection 204(b) of the International Emergency Economic Powers Act, 50 U.S.C. 1703(b) (IEEPA), I hereby report that I have issued an Executive Order (this "order") in which I terminate the national emergency declared in Executive Order 12722 of August 2, 1990, amend Executive Order 13290 of March 20, 2003, and take additional steps regarding the national emergency I declared in Executive Order 13303 of May 22, 2003, and expanded in Executive Order 13315 of August 28, 2003. I have determined that the situations that gave rise to these national emergencies have been significantly altered by the removal of the regime of Saddam Hussein and other developments.

Executive Order 12722 of August 2, 1990, imposed sanctions on Iraq in response to its invasion of Kuwait and other actions. Those sanctions were modified in Executive Order 12724 of August 9, 1990, in light of United Nations Security Council Resolution (UNSCR) 661 of August 6, 1990, which also imposed sanctions on Iraq. I have determined that the removal of the regime of Saddam Hussein warrants the termination altogether of the national emergency declared in Executive Order 12722. This action is consistent with United Nations Security Council Resolutions 1483 and 1546, of May 22, 2003, and June 8, 2004, respectively, which substantially lifted the multilateral economic sanctions against Iraq.

Although I am terminating the national emergency declared in Executive Order 12722, pursuant to my authority under IEEPA, I am continuing for the near future certain prohibitions with respect to property previously blocked pursuant to Executive Orders 12722 and 12724. Such prohibitions are necessary on account of claims involving Iraq.

Consistent with section 203(a)(1)(C) of IEEPA, 50 U.S.C. 1702(a)(1)(C), in Executive Order 13290 of March 20, 2003, I ordered that certain blocked funds held in the United States in accounts in the name of the Government of Iraq, the Central Bank of Iraq, Rafidain Bank, Rasheed Bank, or the State Organization for Marketing Oil be confiscated and vested in the Department of the Treasury. I originally exercised these authorities in furtherance of Executive Order 12722. In light of the changed circumstances in Iraq, and my decision to terminate the national emergency declared in Executive Order 12722, I have now determined that the exercise of authorities in Executive Order 13290 should continue in order to address the national emergency I declared in Executive Order 13303 of May 22, 2003, and expanded in Executive Order 13315 of August 28, 2003, regarding the obstacles posed to the orderly reconstruction of Iraq. This order amends Executive Order 13290 to that effect.

In Executive Order 13303 of May 22, 2003, I declared a national emergency to address the unusual and extraordinary threat to the national security and foreign policy of the United States posed by obstacles to the orderly reconstruction of Iraq, the restoration and maintenance of peace and security in that country, and the development of political, administrative, and economic institutions in Iraq. I expanded that emergency in Executive Order 13315 of August 28, 2003, in light of UNSCR 1483 of May 22, 2003, in which the Security Council decided that states shall freeze the assets of the former Iraqi regime, Saddam Hussein, and other senior officials of the former Iraqi regime, and their immediate family members, among others, and cause the transfer of certain of those assets to the Development Fund for Iraq. Executive Order 13315 implements this provision of UNSCR 1483.

This order further modifies the actions taken to address the national emergency declared in Executive Order 13303, as expanded in Executive Order 13315, by amending the Annex to Executive Order 13315 to include certain persons determined to have been subject to economic sanctions pursuant to Executive Orders 12722 and 12724. Because of their association with the prior Iraqi regime, I have determined that these persons present an obstacle to the orderly reconstruction of Iraq, the restoration and maintenance of peace and security in that country, and the development of political, administrative, and economic institutions in Iraq and, therefore, I have determined that such persons should be subject to sanctions under Executive Order 13315.

Additionally, in UNSCR 1483, the Security Council decided that states shall take appropriate steps to facilitate the safe return to Iraqi institutions of Iraqi cultural property or other items of archeological, historical, cultural, rare scientific, and religious importance that were illegally removed from the Iraq National Museum, the National Library, and other locations in Iraq since August 6, 1990, including by establishing a prohibition on trade in or transfer of such items and items with respect to which reasonable suspicion exists that they have been illegally removed. This order, among other actions, implements this international legal obligation.

I have delegated to the Secretary of the Treasury, in consultation with the Secretary of State, the authority to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to me by IEEPA and the United Nations Participation Act of 1945, as amended, as may be necessary to carry out the purposes of this order. The Secretary of the Treasury may redelegate any of these functions to other officers and agencies of the United States Government consistent with applicable law. I have directed all agencies of the United States Government to take all appropriate measures within their authority to carry out the provisions of this order.

I have enclosed a copy of this order, which became effective at 12:01 a.m. eastern daylight time on July 30, 2004.

Sincerely,

GEORGE W. BUSH

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