Advisory Warning No. 3 of 2017 - The Democratic People's Republic of Korea (Sanctions) (Overseas Territories) (Amendment) (No. 2) Order 2016 (2017-04-05)

Summary

This is an advisory notice from the BVI Financial Services Commission informing the public and industry that a further UK sanctions order affecting North Korea has been extended to the British Virgin Islands. It does not itself create new licensing or reporting duties for the FSC, but flags binding sanctions measures that regulated entities and the public must observe.

• Order extended: The Democratic People's Republic of Korea (Sanctions) (Overseas Territories) (Amendment) (No. 2) Order 2016 (UKSI 2016 No. 769) was ratified and extended to the BVI on 10 August 2016, amending the 2012 Principal Order (S.I. 2012/3066).
• Purpose: It gives effect in the Territory to additional EU sanctions measures (Council Decision (CFSP) 2016/849 and Council Regulation (EU) 2016/841) and reflects minor implementation changes tied to UN Security Council Resolution 2270 (2016).
• New measures: Additional financial sanctions cover investment in commercial activity or joint ventures with certain North Korean persons, financing and provision of investment services to them, restrictions on transactions with North Korean persons, and controls on transfers of funds to and from North Korea.
• Sectoral prohibition: A new sectoral prohibition is introduced relating to obtaining petroleum products connected with North Korea.

The notice is purely informational in nature, directing readers to the underlying EU and UK legal instruments for full detail; it does not specify any filing or reporting deadline for licensees.

Key obligations

• Regulated entities and the public must not invest in commercial activity or joint ventures with, or provide financing or investment services to, designated North Korean persons.
• Regulated entities and the public must not engage in the prohibited transactions with North Korean persons or transfer funds to or from North Korea as restricted by the Order.
• Regulated entities and the public must comply with the new sectoral prohibition on obtaining petroleum products connected with North Korea.

Applies to

general public, financial services businesses operating in or from within the BVI