2019-01-01

Cabinet Decision No. 2910 of 2019

The Egyptian Prime Minister issued Cabinet Decision No. 2910 of 2019 to amend Articles 50 through 54 of the Executive Regulations of the Anti-Money Laundering Law. The decision mandates the Financial Intelligence Unit to implement Egypt's international counter-terrorism and counter-proliferation financing obligations, establishes strict seven-day procedures for the Public Prosecutor and Cairo Court of Appeal to list or remove entities and persons from terrorist lists, and outlines immediate asset freezing requirements for regulatory bodies and financial institutions. Furthermore, it defines "without delay" for freezing actions, permits limited exemptions for basic and exceptional expenses upon court approval, and requires prompt international notification of all listing and delisting decisions.

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Cabinet Decision

No. 2910 of 2019

Amending Certain Provisions of the Executive Regulations of the Anti-Money Laundering Law Issued by Law No. 80 of 2002, Issued by Cabinet Decision No. 951 of 2003

Prime Minister

Having reviewed the Constitution:

And the Law on Criminal Procedures issued by Law No. 150 of 1950 and its amendments:

And the Law on Cases and Procedures for Appeal before the Court of Cassation issued by Law No. 57 of 1959 and its amendments:

And the Anti-Money Laundering Law issued by Law No. 80 of 2002:

And Law No. 8 of 2015 concerning the regulation of lists of terrorist entities and terrorists:

And the Anti-Terrorism Law issued by Law No. 94 of 2015:

And the Executive Regulations of the Anti-Money Laundering Law issued by Cabinet Decision No. 951 of 2003 and its amendments:

And upon the presentation by the Chairman of the Board of Trustees of the Financial Intelligence Unit (Anti-Money Laundering and Counter-Terrorism Financing):

Decided:

(Article 1)

The provisions of Articles (50, 51, 52, 53, 54) of the Executive Regulations of the Anti-Money Laundering Law issued by Cabinet Decision No. 951 of 2003 and its amendments mentioned above are replaced with the following provisions:

Article (50)

The Unit shall implement the necessary procedures to fulfill Egypt's obligations in accordance with international conventions, treaties, and charters related to terrorism financing and proliferation financing, weapons of mass destruction, including implementing Security Council Resolution 1373 of 2001, and this decision shall be implemented in accordance with the provisions of Articles (51 to 56) of these regulations.

Article (51)

Listing on the lists of terrorist entities and terrorists shall be carried out according to the following procedures:

  1. The Public Prosecutor shall submit a request to list entities and persons on the lists of terrorist entities and terrorists to the competent criminal division of the Cairo Court of Appeal, encrypted with the investigations, documents, inquiries, or information supporting this request, and the division shall issue its decision on this matter within seven days from the date of submission of the request.

  2. A request for listing may be made for entities and persons whose names are not directed to the Arab Republic of Egypt, upon a request submitted to the Public Prosecutor by the Ministry of Foreign Affairs in coordination with the Ministry of Justice or law enforcement authorities, provided that the listing request is encrypted with the investigations, documents, inquiries, or information supporting it, on an urgent basis, and the competent criminal division shall issue its decision on listing requests within seven days from the date of submission.

  3. The Public Prosecution shall list entities and persons on either list of terrorist entities and terrorists upon the issuance of final criminal judgments removing the designation of "terrorist entity" or "terrorist" from those entities or persons, or upon the issuance of a reasoned listing decision by the competent division.

  4. The listing decision on either list of terrorist entities and terrorists, and the decision extending its duration, shall be published in the Egyptian Gazette.

  5. The Public Prosecution shall periodically resubmit to the competent criminal division of the Cairo Court of Appeal a request to extend the listing on either list of terrorist entities and terrorists, in the event that no final judgment has been issued removing the criminal designation stipulated in Article (1) of the Law on the Regulation of Lists of Terrorist Entities and Terrorists from the listed entity or person, with the resubmission to be made within a period not exceeding five years from the date of listing.

Article (52)

The provisions of the Law on the Regulation of Lists of Terrorist Entities and Terrorists shall apply upon the publication of the listing decision on either list, or the decision extending its duration, in the Egyptian Gazette, and the freezing of assets by the authorities responsible for freezing in accordance with the provisions of the aforementioned law. Financing or collecting funds or items for a terrorist or a terrorist entity, whether directly or indirectly, is prohibited prior to publication and without delay. Freezing procedures shall be as follows:

  1. The lists of terrorist entities and terrorists and any amendments thereto, including listing decisions, duration extension decisions, and decisions removing names from the lists, as well as the modification of the scope of frozen assets, shall be communicated to the following authorities to take the necessary freezing measures, either directly:

    (a) Regulatory authorities.

    (b) The Unit.

    (c) The Commercial Registration Authority.

    (d) The Companies Authority.

    (e) The General Authority for Investment and Free Zones.

    (f) The Real Estate and Documentation Registration Authority.

    (g) The Customs Authority.

    (h) The General Administration of Traffic at the Ministry of Interior.

    (i) Any other authorities to which the decision must be disseminated.

  2. Both the regulatory authorities and the Unit shall disseminate the two lists to financial institutions and non-financial businesses and professions subject to their supervision to take the necessary freezing measures.

Article (53)

Procedures for removing names from the lists of terrorist entities and terrorists, or appealing the listing decision, or modifying the scope of frozen assets shall be as follows:

  1. In the event that the Public Prosecution fails to resubmit to the competent division for consideration of the listing extension within the prescribed time, the name of the listed entity or person on either list shall be removed, effective from the date of expiration of the listing period.

  2. The Public Prosecutor may, during the listing period and based on available justifications, request the competent listing division to remove a listed entity or person from either list.

  3. Interested parties and the Public Prosecution may appeal the listing decision before the criminal division of the Court of Cassation designated annually by the General Assembly of the Court within sixty days from the publication of the decision.

  4. In accordance with standard appeal procedures, interested parties may include in their appeal before the criminal division of the Court of Cassation a request for permission to exempt, from the frozen assets, any of the following expenses:

    (a) Basic expenses: including payments related to food, rent, housing finance, medicines and medical treatment, taxes, insurance installments, utility fees, expenses related to paying reasonable professional fees and expenses related to providing insurance services, or fees related to services concerning the preservation or maintenance of frozen assets.

    (b) Exceptional expenses: any other expenses other than basic expenses.

  5. Interested parties may use the amounts for which a decision has been issued by the competent division to exempt them from freezing as basic or exceptional expenses.

  6. Upon receiving notification of an appeal regarding the listing decision, the Public Prosecution shall immediately study the grounds of the appeal and submit its observations to the court, expressing its opinion on supporting or rejecting the appeal, encrypted with the grounds, inquiries by law enforcement authorities, and supporting documents.

  7. The decision to remove a name from either list of terrorist entities and terrorists shall be published in the Egyptian Gazette.

Article (54)

The Public Prosecution, in coordination with the Ministry of Justice, shall notify the Ministry of Foreign Affairs of decisions to list entities and persons whose activities are directed to the Arab Republic of Egypt on either list of terrorist entities and terrorists, and decisions to remove the names of these entities and persons from either list immediately upon their publication, providing the maximum possible amount of information and data supporting the listing or removal to take the necessary action regarding their dissemination to relevant authorities in other countries to give effect to the aforementioned decisions.

Article 2

A new definition is added to the text of Article (1) of the Executive Regulations of the Anti-Money Laundering Law issued by Cabinet Decision No. 951 of 2003 and its amendments mentioned above:

Authorities responsible for freezing: Regulatory authorities, financial institutions, and owners of non-financial businesses and professions, including the Commercial Registration Authority, the Companies Authority, the General Authority for Investment and Free Zones, the Real Estate and Documentation Registration Authority, the Customs Authority, the General Administration of Traffic at the Ministry of Interior, and others who may hold funds or other assets or economic resources related to listed persons or entities.

Without delay: Immediately within hours of the issuance of the listing decision on the lists of terrorist entities and terrorists by the competent authority.

Article 3

This decision shall be published in the Official Gazette and shall take effect from the day following its publication date.

Issued by the Prime Minister, on 28 Rabi' al-Awwal 1441 AH

(Corresponding to 25 November 2019 AD)

Prime Minister

Dr. Mostafa Madbouly