January 9, 1986
Dear Mr. Speaker: (Dear Mr. President:)
Pursuant to section 204(b) of the International Emergency Economic Powers Act, 50 U.S.C. 1703, and section 301 of the National Emergencies Act, 50 U.S.C. 1631, I hereby report that on January 8, 1986, I signed Executive Order No. 12544 blocking all property and property interests of the Government of Libya and the Central Bank of Libya that are in or come within either the United States or the possession or control of United States persons, including overseas branches of United States juridical persons. In this Order, I have authorized the Secretary of the Treasury, in consultation with the Secretary of State, to employ powers granted to me by the International Emergency Economic Powers Act to carry out this direction.
A copy of this Executive Order is enclosed. The Order took effect upon signature.
This Order does not apply to the property of Libyan citizens or entities not controlled by the Government of Libya. Moreover, the Order does not confiscate property of the Government of Libya. Such property will continue to belong to the Libyan Government, and financial assets held in U.S. banks and their branches overseas will continue to earn a commercial rate of interest as appropriate.
I have taken these further steps pursuant to the national emergency I declared in Executive Order No. 12543 on January 7, 1986. My reasons for taking these actions are set forth in my letter to you of January 7, 1986, reporting the measures taken in that Order. Based on a continuing assessment of the situation, the steps taken became necessary to carry out the purposes of that Order. They are not intended to deprive the Government of Libya of property but rather are to help assure the orderly management of the dissolution of the United States economic ties with Libya and to protect against the possibility of unlawful Libyan actions which adversely affect American interests.
Note: Identical letters were sent to Thomas P. O'Neill, Jr., Speaker of the House of Representatives, and George Bush, President of the Senate.