U.S. TREASURY BANS P.A. CONTACTS

Treasury bans P.A. contacts
The U.S. Treasury extended its ban on dealings with Hamas to dealings with the Palestinian Authority. In a statement last week, the Treasury’s Office of Foreign Assets Control said it “has determined that Hamas, a terrorist entity whose property and interests in property are blocked under three separate OFAC-administered economic sanctions programs, has a property interest in the transactions of the Palestinian Authority.” Accordingly, “persons are prohibited from engaging in transactions with the Palestinian Authority unless authorized, and may not transfer, pay, withdraw, export or otherwise deal in any assets in which the Palestinian Authority has an interest unless authorized.”

OFAC said there would be “limited” exceptions “consistent with current foreign policy.” The Bush administration has shut down contacts with the Palestinian Authority since Hamas assumed governance last month, but is seeking to maintain ties with P.A. President Mahmoud Abbas, a relative moderate and leader of the rival Fatah Party.