UN Security Council Resolutions relating to terrorism implemented in Brunei Darussalam

The following UN Security Council Resolutions relating to terrorism are implemented in Brunei Darussalam:-

• Resolution 1988 (2011) concerning the Taliban and associated individuals and entities who constitute a threat to the peace, stability and security of Afghanistan;
• Resolutions 1267 (1999), 1989 (2011) and 2253 (2015) concerning ISIL (Da'esh), Al-Qaida and associated individuals and entities; and
• Resolution 1373 (2001).

Resolutions 1988 (2011)

This sanctions regime was originally established by Resolution 1267 (1999) on 15 October 1999. On 17 June 2011, Resolution 1988 (2011) split the sanctions into two groups – an Al-Qaida regime and a country-specific Afghanistan regime. Since then, sanctions measures under Resolution 1988 (2011) apply to designated individuals and entities associated with the Taliban in constituting a threat to the peace, stability and security of Afghanistan. The names of the targeted individuals and entities are placed on the 1988 Sanctions List, which is publicly available on theUN Official Website.

Under Resolution 1988 (2011), Member States are required to freeze without delay the funds and other financial assets or economic resources of individuals and entities designated on the 1988 Sanctions List.

Resolutions 1267 (1999), 1989 (2011) and 2253 (2015)

This sanctions regime was first established by Resolution 1267 (1999) on 15 October 1999 and has been modified and strengthened by subsequent resolutions, including Resolution 1989 (2011) and Resolution 2253 (2015) so that the sanctions measures now apply to designated individuals and entities associated with the Al-Qaida and ISIL (Da'esh), wherever located. The names of the targeted individuals and entities are placed on the ISIL (Da'esh) & Al-Qaida Sanctions List, which is publicly available on theUN official website.

Under Resolutions 1267 (1999) and 1989 (2011), Member States are required to freeze without delay the funds and other financial assets or economic resources of individuals and entities designated on the ISIL (Da'esh) & Al-Qaida Sanctions List.

Resolution 1373 (2001)

On 28 September 2001, in response to the 11 September terrorist attacks in the United States, the UN Security Council adopted Resolution 1373 (2001), imposing a series of obligations on UN Member States to suppress terrorism.

Under Resolution 1373 (2001), designations are made at the national level by a country on its own motion, or at the request of another country, if the country receiving the request is satisfied, according to applicable legal principles, that a requested designation is supported by reasonable grounds, or a reasonable basis, to suspect or believe that the proposed designee meets the criteria for designation in paragraph 1(c) of Resolution 1373 (2001).

Paragraph 1(c) of Resolution 1373 (2001) requires Member States to:-

“Freeze without delay funds and other financial assets or economic resources of persons who commit, or attempt to commit, terrorist acts or participate in or facilitate the commission of terrorist acts; of entities owned or controlled directly or indirectly by such persons; and of persons and entities acting on behalf of, or at the direction of such persons and entities, including funds derived or generated from property owned or controlled directly or indirectly by such persons and associated persons and entities”

Legal Framework for implementation of UN Security Council Resolutions 1988 (2011), 1267 (1999), 1989 (2011), 2253 (2015) and 1373 (2001) in Brunei Darussalam

The above Resolutions are implemented through the Anti-Terrorism (Terrorist Financing) Regulations 2013, which was issued by the Minister of Energy at the Prime Minister’s Office, pursuant to his powers under section 70 of the Anti-Terrorism Order 2011, as the Minister responsible for internal security matters.

The Regulations take effect from 8 December 2012.

Obligations under the Anti-Terrorism (Terrorist Financing) Regulations 2013

The Regulations makes it a requirement for a person in Brunei Darussalam or a citizen of Brunei Darussalam outside of Brunei Darussalam to freeze without delay funds or other assets belonging to a “designated person”, defined as:-

• An individual or entity associated with ISIL (Da'esh) & Al-Qaida as designated by the ISIL (Da'esh) & Al-Qaida Sanctions Committee on the ISIL (Da'esh) & Al-Qaida Sanctions List;
• An individual or entity associated with the Taliban in constituting a threat to the peace, stability and security of Afghanistan as designated by the 1988 Sanctions Committee on the 1988 Sanctions List;
• An individual or entity designated by the Minister under regulations made under the Anti-Terrorism Order 2011 pursuant to Resolution 1373 and any subsequent or successor resolutions; or
• An individual or entity declared by the Minister as a terrorist or a terrorist group under section 65 of the Anti-Terrorism Order 2011.

Obligations under the Anti-Terrorism (Terrorist Financing) Regulations 2013

The obligations are contained in the following regulations:-

• Regulation 3 prohibits providing or collecting property for the use of designated persons;
• Regulation 4 prohibits dealing with any property, or associated transactions of such property, belonging to designated persons. In addition,the provision of financial services, whether in relation to property of designated persons, is also illegal.
• Regulation 5 prohibits the causing of, giving assistance or promoting of acts described in Regulations 3 and 4.

Additionally, where a person in Brunei Darussalam or a citizen of Brunei Darussalam outside of Brunei Darussalam has information which he knows or suspects to concern any transaction (or proposed transaction) relating to property belonging to any terrorist or any terrorist entity, section 59(1)(c) of the Anti-Terrorism Order 2011 requires that person to report it to the Commissioner of the Royal Brunei Police Force.

Obligations of reporting institutions (financial institutions and designated non-financial businesses and professions) under the Anti-Terrorism (Terrorist Financing) Regulations 2013

Under Regulation 20, financial institutions and designated non-financial businesses and professions are required to inform the Brunei Darussalam Central Bank as soon as practicable if:-

• it knows, or has reasonable cause to suspect, that a person –
1

is a designated person;

2

has dealt or is dealing with property owned, held or controlled by a designated person; or

3

has dealt or is dealing with property owned, held or controlled by a designated person; or

4

made or is making property or financial services available (directly or indirectly) to a designated person or for the benefit of a designated person;

• The information or other matter on which the knowledge or suspicion is based came to it in the course of carrying on its business.

The following information needs to be included in the report:-

• The property in question;
• The information or other matter on which the knowledge or suspicion is based;
• Any information it holds about the person by which the person can be identified;
• As much information about the property (including information about the owner and controller of the property) as is known;
• The nature and amount or quantity of any fund or property held by it for the customer at the time when it first had the knowledge or suspicion; and
• The reasons for the suspicion.

Financial institutions and designated non-financial businesses and professions should send the report in the form of a Suspicious Transaction Report (STR) immediately to the Financial Intelligence Unit, Brunei Darussalam Central Bank. The Compliance Officer should complete the STR form available through the Integrated Financial Intelligence System website.

The Consolidated List

Consistent with Regulation 16 the Anti-Terrorism (Terrorist Financing) Regulations 2013, Brunei Darussalam Central Bank maintains a Consolidated List of all individuals and entities to which the Anti-Terrorism (Terrorist Financing) Regulations 2013 currently applies.

To access the Consolidated List of designated persons, please click here.

Verifying the listing of a Designated Person

As it may not always be clear whether there is, in fact, a direct match, property holders may apply in writing to the Financial Intelligence Unit, Brunei Darussalam Central Bank to seek assistance to determine whether or not the property is in fact owned or controlled by a designated person.

The relevant contact information can be found above.