On December 3, 1999, the U.S. President signed into law the Kingpin Act (21 U.S.C. §§ 1901-1908 and 8 U.S.C § 1182), providing authority for the application of sanctions to significant foreign narcotics traffickers and their organizations operating worldwide. The Kingpin Act which was enacted into law as part of the Intelligence Authorization Act for Fiscal Year 2000. Modeled on the successful application of economic sanctions in 1995 against the Cali narcotics cartel in Colombia’ pursuant to IEEPA, the Kingpin Act provides for the imposition of economic sanctions on a world-wide basis against major international narcotics traffickers, their organizations, and the foreign individuals and entities that provide support for those traffickers and their organizations. Congress enacted the Kingpin Act because of its determination that “[tlhere is a national emergency resulting from the activities of international narcotics traffickers and their organizations that threatens the national security, foreign policy, and economy of the United States.” The Conference Report (See H.R. Conf. Rep. No. 106-457, 42-43 (1999)), along with floor debate in the House of Representatives and the Senate, constitutes the principal legislative history of the Act. Section 805(b) of the Kingpin Act blocks all property and interests in property within the United States, or within the possession or control of any U.S. person, which are owned or controlled by significant foreign narcotics traffickers, as identified by the President, or foreign persons designated by the Secretary of the Treasury, after consultation with the Attorney General, the Director of Central Intelligence, the Director of the Federal Bureau of Investigation, the Administrator of the Drug Enforcement Administration, the Secretary of Defense, the Secretary of Homeland Security, and the Secretary of State, as meeting the criteria as identified in the Kingpin Act. On July 5, 2000, OFAC issued the Foreign Narcotics Kingpin Sanctions Regulations, 31 C.F.R. Part 598, which implement the Kingpin Act and block all property and interests in property within the United States, or within the possession or control of any U.S. person, which are owned or controlled by specially designated narcotics traffickers, as identified by the President, or foreign persons designated by the Secretary of the Treasury, after consultation with the Attorney General, the Director of Central Intelligence, the Director of the Federal Bureau of Investigation, the Administrator of the Drug Enforcement Administration, the Secretary of Defense, the Secretary of Homeland Security and the Secretary of State, as meeting the following criteria: (1) Materially assists in, or provides financial or technological support for or to, or provides goods or services in support of, the international narcotics trafficking activities of a specially designated narcotics trafficker; (2) Owned, controlled, or directed by, or acts for or on behalf of, a specially designated narcotics trafficker; or (3) Plays a significant role in international narcotics trafficking. On July 18, 2014, OFAC issued guidance on the Narcotics Sanctions Program. See: https://www.treasury.gov/resource-center/sanctions/Programs/Documents/drugs.pdf

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