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The Iran (Sanctions) Regulations 2023

Type Statutory-Instrument

Publication 2023-12-11

Last updated 2026-01-19

State In force

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Made: 11th December 2023

Laid before Parliament: 13th December 2023

Coming into force: 14th December 2023

The Secretary of State[^f00001], in exercise of the powers conferred by sections 1(1)(c) and (3)(b), 3(1)(a), (b)(ii), (d)(i) and (ii), 3A(1), 4, 5, 7(1) to (5) and (8), 9(2)(a), 10(2) to (4), 11, 12, 14, 15, 16, 17, 19, 20, 21(1), 45(1)(a), 54(1) and (2), 62(4) to (6) of, and paragraphs 2(b), 4(b) and (c), 5(a)(ii) and (b), 6(a)(ii) and (b), 11(a)(ii) and (iii), 13(b), (h), (k), (l), (m), (n) and (w), 14(a), (f) and (k), 17(a), 19(a), 20 to 23 and 27 of Schedule 1 to, the Sanctions and Anti-Money Laundering Act 2018[^f00002] makes the following Regulations:

PART 1 — General

Citation, commencement and extent

1

(1) These Regulations may be cited as the Iran (Sanctions) Regulations 2023.

(2) These Regulations come into force on 14th December 2023.

(3) These Regulations extend to England and Wales, Scotland and Northern Ireland.

Interpretation

2

In these Regulations—

“the Act” means the Sanctions and Anti-Money Laundering Act 2018;

“armed group backed by the Government of Iran” includes any armed group which— is being or has been armed, trained or funded by the Government of Iran, is taking or has taken direction from the Government of Iran, or is acting or has acted for the benefit of the Government of Iran;

“arrangement” includes any agreement, understanding, scheme, transaction or series of transactions, whether or not legally enforceable (but see paragraph 12 of Schedule 1 for the meaning of that term in that Schedule);

“CEMA” means the Customs and Excise Management Act 1979[^f00003];

“the Commissioners” means the Commissioners for His Majesty’s Revenue and Customs;

“conduct” includes acts and omissions;

“director disqualification licence” means a licence under regulation 61;

“document” includes information recorded in any form and, in relation to information recorded otherwise than in legible form, references to its production include producing a copy of the information in legible form;

“the Dual-Use Regulation” means Council Regulation (EC) No 428/2009 of 5 May 2009 setting up a Community regime for the control of exports, transfer, brokering and transit of dual-use items;

“the Government of Iran” includes its public bodies, corporations or agencies, its armed forces or any person acting on its behalf or at its direction;

“serious human rights violation or abuse” means a serious violation or abuse of any of the human rights specified in regulation 4;

“trade licence” means a licence under regulation 62;

“Treasury licence” means a licence under regulation 60(1);

“United Kingdom person” has the same meaning as in section 21 of the Act.

Application of prohibitions and requirements outside the United Kingdom

3

(1) A United Kingdom person may contravene a relevant prohibition by conduct wholly or partly outside the United Kingdom.

(2) Any person may contravene a relevant prohibition by conduct in the territorial sea.

(3) In this regulation a “relevant prohibition” means any prohibition imposed—

(a) by regulation 11(2) or 13(2) (confidential information),

(b) by Part 3 (Finance),

(d) by or under Part 7 (Ships), or

(e) by a condition of a Treasury licence or a trade licence.

(4) A United Kingdom person may comply, or fail to comply, with a relevant requirement by conduct wholly or partly outside the United Kingdom.

(5) Any person may comply, or fail to comply, with a relevant requirement by conduct in the territorial sea.

(6) In this regulation a “relevant requirement” means any requirement imposed—

(a) by or under Part 9 (Information and records), or by reason of a request made under a power conferred by that Part,

(b) by a condition of a Treasury licence or a trade licence, or

(7) Nothing in this regulation is to be taken to prevent a relevant prohibition or a relevant requirement from applying to conduct (by any person) in the United Kingdom.

Purposes

4

(1) The purposes of the regulations contained in this instrument that are made under section 1 of the Act are—

(a) to encourage the Government of Iran to comply with international human rights law and to respect human rights, including in particular, to—

(i) respect the right to life of persons in Iran, for example by refraining from the execution of juvenile offenders in all circumstances;

(ii) respect the right of persons not to be subjected to torture or cruel, inhuman or degrading treatment or punishment in Iran, including—

(aa) torture or other inhuman or degrading treatment with a view to extracting information from detained persons,

(bb) inhuman and degrading conditions in prisons, and

(cc) forms of punishment such as flogging and amputation;

(iii) respect the right to liberty and security, including refraining from the arbitrary arrest and detention of persons in Iran;

(iv) afford persons in Iran charged with criminal offences the right to a fair trial;

(v) afford journalists, human rights defenders and other persons in Iran the right to freedom of expression and peaceful assembly;

(vi) secure the human rights of persons in Iran without discrimination, including on the basis of a person’s sex, race, colour, language, religion, political or other opinion, national or social origin, association with a national minority, property, birth or other status;

(b) to deter the Government of Iran or an armed group backed by the Government of Iran from conducting hostile activity against the United Kingdom or any other country.

(2) For the purposes of paragraph (1)(b), “hostile activity” means activity falling within regulation 8(3).

PART 2 — Designation of persons

Power to designate persons

5

(1) The Secretary of State may designate persons by name for the purposes of any of the following—

(a) regulations 15 to 19 (asset-freeze etc.);

(b) regulation 21 (director disqualification sanctions);

(d) regulations 46 and 48 to 50 (ships: prohibition on port entry etc.).

(2) The Secretary of State may provide that persons of a description specified by the Secretary of State are designated persons for the purposes of any of the following—

(a) regulations 15 to 19 (asset-freeze etc.);

(b) regulation 22 (immigration);

(3) The Secretary of State may designate different persons for the purposes of different provisions mentioned in paragraph (1) or (2).

(4) For the purposes of these Regulations, persons “designated under regulation 5” for the purpose of a particular regulation means—

(a) persons who are designated by name under paragraph (1) for the purposes of that particular regulation, and

(b) where the Secretary of State makes provision under paragraph (2) that persons of a specified description are designated persons for the purposes of that particular regulation, persons of that description.

Conditions for the designation of persons by name

6

(1) This regulation applies to a person designated under regulation 5(1) (power to designate persons by name).

(2) The Secretary of State may choose whether to designate a person under—

(a) the standard procedure, or

(b) the urgent procedure.

(3) Paragraph (4) applies where the Secretary of State chooses to designate a person under the standard procedure.

(4) The Secretary of State may not designate a person except where condition A is met.

(5) Paragraphs (6) to (8) apply where the Secretary of State chooses to designate a person under the urgent procedure.

(6) The Secretary of State may designate a person where condition A is not met, but conditions B and C are met.

(7) A person ceases to be a designated person at the end of the period of 56 days beginning with the day following the day on which the person became a designated person unless, within that period, the Secretary of State certifies that—

(a) condition A is met, or

(b) conditions B and C continue to be met.

(8) Where the Secretary of State makes a certification under paragraph (7)(b), the designation ceases to have effect at the end of the period of 56 days beginning with the day immediately following the period mentioned in paragraph (7), unless within that period the Secretary of State certifies that condition A is met.

(9) Condition A is that the Secretary of State has reasonable grounds to suspect that that person is an involved person.

(10) Condition B is that relevant provision (whenever made) applies under the law of—

(a) the United States of America;

(b) the European Union;

(d) Canada.

(11) Condition C is that the Secretary of State considers that it is in the public interest to designate a person under the urgent procedure.

(12) For the purposes of Condition B, “relevant provision” is provision that the Secretary of State considers—

(a) corresponds, or is similar, to the type of sanction or sanctions in these Regulations, or

(b) is made for purposes corresponding, or similar, to any purpose of any type of sanction or sanctions in these Regulations.

(13) In this regulation “involved person” has the meaning given in regulation 8 (designation criteria: meaning of “involved person”).

Conditions for the designation of persons by description

7

(1) This regulation applies to persons designated under regulation 5(2) (power to designate persons by description).

(2) The Secretary of State may choose whether to designate persons under—

(a) the standard procedure, or

(b) the urgent procedure.

(3) Paragraph (4) applies where the Secretary of State chooses to designate persons under the standard procedure.

(4) The Secretary of State may not designate persons except where conditions A and C are met.

(5) Paragraphs (6) to (8) apply where the Secretary of State chooses to designate persons under the urgent procedure.

(6) The Secretary of State may designate persons where condition C is not met, but conditions A, D and E are met.

(7) The persons cease to be designated persons at the end of the period of 56 days beginning with the day following the day on which the persons became designated persons unless, within that period, the Secretary of State certifies that—

(a) conditions A and C are met, or

(b) conditions A, D and E continue to be met.

(8) Where the Secretary of State makes a certification under paragraph (7)(b), the designation ceases to have effect at the end of the period of 56 days beginning with the day immediately following the period mentioned in paragraph (7), unless within that period the Secretary of State certifies that conditions A and C are met.

(9) Condition A is that the description of persons specified is such that a reasonable person would know whether that person fell within it.

(10) Condition C is that the Secretary of State has reasonable grounds to suspect—

(a) in a case where the specified description is members of a particular organisation, that the organisation is an involved person, or

(b) in the case of any other specified description, that any person falling within that description would necessarily be an involved person.

(11) Condition D is that the description of persons specified is of persons (or some persons) to which, or in relation to which, relevant provision (whenever made) applies under the law of—

(a) the United States of America;

(b) the European Union;

(d) Canada.

(12) Condition E is that the Secretary of State considers that it is in the public interest to designate persons under the urgent procedure.

(13) For the purposes of condition D, “relevant provision” is provision that the Secretary of State considers—

(a) corresponds, or is similar, to the type of sanction or sanctions in these Regulations, or

(b) is made for purposes corresponding, or similar, to any purpose of any type of sanction or sanctions in these Regulations.

(14) In this regulation—

“involved person” has the meaning given in regulation 8 (designation criteria: meaning of “involved person”);

“organisation” includes any body, association or combination of persons.

Designation criteria: meaning of “involved person”

8

(1) For the purposes of regulations 6(9) (conditions for the designation of persons by name) and 7(10) (conditions for the designation of persons by description), an “involved person” means a person who—

(a) is or has been involved in—

(i) the commission of a serious human rights violation or abuse in Iran;

(ii) hostile activity by the Government of Iran;

(iii) hostile activity by an armed group backed by the Government of Iran,

(b) is owned or controlled directly or indirectly (within the meaning of regulation 9) by a person who is or has been so involved,

(d) is a member of, or associated with, a person who is or has been so involved.

(2) Any reference in this regulation to being involved in the commission of a serious human rights violation or abuse in Iran includes being so involved in whatever way and wherever any actions constituting the involvement take place, and in particular includes—

(a) being responsible for, engaging in, providing support for, or promoting, any serious human rights violation or abuse in Iran;

(b) providing financial services, or making available funds or economic resources, that could contribute to any serious human rights violation or abuse in Iran;

(c) being involved in the supply to Iran of restricted goods or restricted technology or of material related to such goods or technology, or in providing financial services relating to such supply;

(d) being involved in the supply to Iran of goods or technology which could contribute to any serious human rights violation or abuse in Iran, or in providing financial services relating to such supply;

(e) being involved in assisting the contravention or circumvention of any relevant provision.

(3) Any reference in this regulation to being involved in hostile activity by the Government of Iran or hostile activity by an armed group backed by the Government of Iran includes being so involved in whatever way and wherever any actions constituting the involvement take place, and in particular includes—

(a) threatening, planning or conducting attacks against persons and assets in the United Kingdom or any other country including—

(i) assassination, kidnap, threats to life, physical threat, assault, harassment, intimidation;

(ii) sabotage of assets;

(b) threatening, planning or conducting attacks against ships including the detention and sabotage of ships;

(c) threatening, planning or conducting activity which is intended to cause the destabilisation of the United Kingdom or any other country including—

(i) activity which undermines or is intended to undermine—

(aa) the integrity, prosperity or security of the United Kingdom or any other country;

(bb) the resolution of any armed conflict or the protection of civilians in conflict zones;

(ii) activity which aids or facilitates serious organised crime in the United Kingdom or any other country;

(d) planning or conducting espionage for the Government of Iran;

(e) carrying on business in the Iranian defence sector;

(f) a person, other than an individual, which falls within sub-paragraph (e);

(i) owning or controlling directly or indirectly (within the meaning of regulation 9), or

(ii) working as a director (whether executive or non-executive), trustee, or other manager or equivalent, of, or

(iii) holding the right, directly or indirectly, to nominate at least one director (whether executive or non-executive), trustee or equivalent of,

(g) any conduct which facilitates (or is intended to facilitate) or gives support or assistance to activity falling within sub-paragraphs (a) to (e);

(h) being involved in assisting the contravention or circumvention of any relevant provision.

(4) In paragraph (1)(d), being “associated with” a person includes—

(a) obtaining a financial benefit or other material benefit from that person;

(b) being an immediate family member of that person.

(5) In paragraphs (2), (3) and (4) (as the case may be)—

“asset” means an asset of any kind whether tangible or intangible and includes in particular real and personal property, electronic systems and information, and ships;

“carrying on business in the Iranian defence sector” includes— supplying and exporting controlled goods and controlled technology to Iran; developing and stockpiling controlled goods and controlled technology in Iran; importing controlled goods and controlled technology into Iran;

“espionage” includes, without authority— obtaining, copying, recording or retaining protected information or a trade secret, disclosing or providing access to protected information or a trade secret, entering a restricted place, materially assisting the Iranian intelligence services;

“immediate family member” means— a wife or husband; a civil partner; a parent or step-parent; a child or step-child; a sibling or step-sibling; a niece or nephew; an aunt or uncle; a grandparent; a grandchild;

“integrity”, in respect of a country, includes— the exercise of governmental functions of that country; the exercise of parliamentary functions in that country; the functioning of bodies, organisations or institutions involved in public elections or the voting process; the operation of the criminal or civil justice system in that country; the provision of essential services to the population, including banking, education, energy, healthcare, sewerage, transport or water; the operation of critical national infrastructure; the functioning of free and independent news media;

“prosperity”, in respect of a country, includes the effective functioning of the economy, or part of it, of that country;

“relevant provision” means— any provision of Part 3 (Finance), Part 6 (Trade) or Part 7 (Ships); any provision of the law of a country other than the United Kingdom made for purposes corresponding to a purpose of any provision of Part 3 (Finance), Part 6 (Trade) or Part 7 (Ships);

“restricted goods” and “restricted technology” have the meanings given by Part 6;

“sabotage” means conduct that results in (or is intended to result in) damage to any asset;

“ship” includes every description of vessel (including a hovercraft) used in navigation.

(6) In paragraph (5)—

“controlled goods” means the goods specified in Schedules 1, 2 and 3 to the Export Control Order 2008[^f00004];

“controlled technology” means any thing which is described in Schedules 2 and 3 to the Export Control Order 2008 as software or technology within the meaning of those Schedules;

“damage” includes any of the following (whether permanent or temporary)— destruction; alteration; contamination; interference; loss of or reduction in access or availability; loss of or reduction in function, utility or reliability;

“disclosing protected information or a trade secret” includes parting with possession;

“entering a restricted place” means— accessing, entering, inspecting, passing over or under, approaching or being in the vicinity of a restricted place, or causing an unmanned vehicle or device to enter, inspect, pass over or under, approach or be in the vicinity of a restricted place, whether that conduct is carried out in person, or by electronic or remote means;

“Iranian intelligence services” includes— the Ministry of Intelligence and Security; the Islamic Revolutionary Guard Corps Intelligence Organisation; the Islamic Revolutionary Guard Corps Quds Force;

“materially assisting the Iranian intelligence services” includes providing, or providing access to, information, goods, services or financial benefits (whether directly or indirectly);

“restricted place” means any vehicle, building or land in the United Kingdom or in any other country which is used, at the time of entry, for the defence or security of the United Kingdom or any other country;

“protected information” means any information, document or other article where, for the purpose of protecting the safety or interests of the United Kingdom or a country other than Iran— access to the information, document or other article is restricted in any way, or it is reasonable to expect that access to the information, document or other article would be restricted in any way;

“retaining protected information or a trade secret” means a person retains it in their possession or under their control;

“trade secret” means any information, document or other article which— is not generally known by, or available to, persons with knowledge of or expertise in the field to which it relates, has actual or potential industrial, economic or commercial value which would be, or could reasonably be expected to be, adversely affected if it became generally known by, or available to, such persons, and could reasonably be expected to be subject to measures to prevent it becoming generally known by, or available to, such persons (whether or not it is actually subject to such measures).

(7) In paragraph (6)—

“building” includes any part of a building;

“financial benefits” means money or money’s worth;

“vehicle” means any form of transport.

(8) Nothing in any sub-paragraph of paragraphs (2) or (3) is to be taken to limit the meaning of any of the other sub-paragraphs of those paragraphs.

Meaning of “owned or controlled directly or indirectly”

9

(1) A person who is not an individual (“C”) is “owned or controlled directly or indirectly” by another person (“P”) if either of the following two conditions is met (or both are met).

(2) The first condition is that P—

(a) holds directly or indirectly more than 50% of the shares in C,

(b) holds directly or indirectly more than 50% of the voting rights in C, or

(3) Schedule 1 contains provision applying for the purpose of interpreting paragraph (2).

(4) The second condition is that it is reasonable, having regard to all the circumstances, to expect that P would (if P chose to) be able, in most cases or in significant respects, by whatever means and whether directly or indirectly, to achieve the result that affairs of C are conducted in accordance with P’s wishes.

Notification and publicity where power to designate by name is used

10

(1) Paragraph (2) applies where the Secretary of State—

(a) has made a designation under regulation 5(1), or

(b) has by virtue of section 22 of the Act varied or revoked a designation made under that regulation.

(2) The Secretary of State—

(a) must without delay take such steps as are reasonably practicable to inform the designated person of the designation, variation or revocation, and

(b) must take steps to publicise the designation, variation or revocation.

(3) The information given under paragraph (2)(a)—

(a) where the Secretary of State designates a person under the standard procedure, must include a statement of reasons, or

(b) where the Secretary of State designates a person under the urgent procedure, must include a statement—

(i) that the provision is made under the urgent procedure,

(ii) identifying the relevant provision by reference to which the Secretary of State considers that condition B is met in relation to the person, and

(iii) setting out why the Secretary of State considers that condition C is met.

(4) Where the Secretary of State designates a person under the urgent procedure, the Secretary of State must, after the end of the period mentioned in paragraph (7) of regulation 6 (conditions for the designation of persons by name), or if the Secretary of State has made a certification under paragraph (7)(b) of that regulation, the period mentioned in paragraph (8) of that regulation, but otherwise without delay—

(a) in a case where the person ceases to be a designated person, take such steps as are reasonably practicable to inform the person that they have ceased to be a designated person, or

(b) in any other case, take such steps as are reasonably practicable to give the person a statement of reasons.

(5) In this regulation, a “statement of reasons” means a brief statement of the matters that the Secretary of State knows, or has reasonable cause to suspect, in relation to that person—

(a) in the case of a designation under the standard procedure, which have led the Secretary of State to make the designation, and

(b) in the case of a designation under the urgent procedure, as a result of which the person does not cease to be a designated person at the end of the period mentioned in regulation 6(7) or (8) (as the case may be).

(6) Matters that would otherwise be required by paragraph (5) to be included in a statement of reasons may be excluded from it where the Secretary of State considers that they should be excluded—

(a) in the interests of national security or international relations,

(b) for reasons connected with the prevention or detection of serious crime in the United Kingdom or elsewhere, or

(7) The steps taken under paragraph (2)(b) must—

(a) unless one or more of the restricted publicity conditions is met, be steps to publicise generally—

(i) the designation, variation or revocation, and

(ii) in the case of a designation, the statement of reasons relating to it;

(b) if one or more of those conditions is met, be steps to inform only such persons as the Secretary of State considers appropriate of the designation, variation or revocation and (in the case of a designation) the statement of reasons.

(8) The “restricted publicity conditions” are that the Secretary of State considers that disclosure of the designation, variation or revocation should be restricted—

(a) in the interests of national security or international relations,

(b) for reasons connected with the prevention or detection of serious crime in the United Kingdom or elsewhere, or

(9) Paragraph (10) applies if—

(a) when a designation is made one or more of the restricted publicity conditions is met, but

(b) at any time when the designation has effect, it becomes the case that none of the restricted publicity conditions is met.

(10) The Secretary of State must—

(a) take such steps as are reasonably practicable to inform the designated person that none of the restricted publicity conditions is now met, and

(b) take steps to publicise generally the designation and the statement of reasons relating to it.

Confidential information in certain cases where power to designate by name is used

11

(1) Where the Secretary of State, in accordance with regulation 10(7)(b), informs only certain persons of a designation, variation or revocation and, in the case of a designation, the content of the statement of reasons relating to it, the Secretary of State may specify that any of that information is to be treated as confidential.

(2) A person (“P”) who—

(a) is provided with information that is to be treated as confidential in accordance with paragraph (1), or

(b) otherwise obtains such information,

must not, subject to paragraph (3), disclose it if P knows, or has reasonable cause to suspect, that the information is to be treated as confidential.

(3) The prohibition in paragraph (2) does not apply to any disclosure made by P with lawful authority.

(4) For this purpose information is disclosed with lawful authority only if and to the extent that—

(a) the disclosure is by, or is authorised by, the Secretary of State,

(b) the disclosure is by or with the consent of the person who is or was the subject of the designation,

(c) the disclosure is necessary to give effect to a requirement imposed under or by virtue of these Regulations or any other enactment, or

(d) the disclosure is required, under rules of court, tribunal rules or a court or tribunal order, for the purposes of legal proceedings of any description.

(5) This regulation does not prevent the disclosure of information that is already, or has previously been, available to the public from other sources.

(6) A person who contravenes the prohibition in paragraph (2) commits an offence.

(7) The High Court (in Scotland, the Court of Session) may, on the application of—

(a) the person who is the subject of the information, or

(b) the Secretary of State,

grant an injunction (in Scotland, an interdict) to prevent a breach of the prohibition in paragraph (2).

(8) In paragraph (4)(c), “enactment” has the meaning given by section 54(6) of the Act.

Notification and publicity where power to designate by description is used

12

(1) Paragraph (2) applies where the Secretary of State—

(a) has provided that persons of a specified description are designated persons under regulation 5(2) (power to designate persons by description), or

(b) has by virtue of section 22 of the Act varied or revoked a designation made under that regulation.

(2) The Secretary of State—

(a) must without delay take such steps as are reasonably practicable to inform persons of the specified description of the designation, variation or revocation, and

(b) must take steps to publicise the designation, variation or revocation.

(3) The information given under paragraph (2)(a)—

(a) where the Secretary of State provides that persons of a specified description are designated persons under the standard procedure, must include a statement of reasons, or

(b) where the Secretary of State provides that persons of a specified description are designated persons under the urgent procedure, must include a statement—

(i) that the provision is made under the urgent procedure,

(ii) identifying the relevant provision by reference to which the Secretary of State considers that condition D is met in relation to persons of the specified description, and

(iii) setting out why the Secretary of State considers that condition E is met.

(4) Where the Secretary of State provides that persons of a specified description are designated persons under the urgent procedure, the Secretary of State must, after the end of the period mentioned in paragraph (7) of regulation 7 (conditions for the designation of persons by description), or if the Secretary of State has made a certification under paragraph (7)(b) of that regulation the period mentioned in paragraph (8) of that regulation, but otherwise without delay—

(a) in a case where the persons cease to be designated persons, take such steps as are reasonably practicable to inform persons of the specified description that they have ceased to be designated persons, or

(b) in any other case, take such steps as are reasonably practicable to give each person of the specified description a statement of reasons.

(5) In this regulation, a “statement of reasons”, in relation to a provision designating persons of a specified description, means a brief statement of the matters that the Secretary of State knows, or has reasonable cause to suspect, in relation to persons of the specified description—

(a) in the case of a designation under the standard procedure, which have led the Secretary of State to make the provision designating persons of that description, and

(b) in the case of a designation under the urgent procedure, as a result of which the persons do not cease to be designated persons at the end of the period mentioned in regulation 7(7) or (8) (as the case may be).

(6) Matters that would otherwise be required by paragraph (5) to be included in a statement of reasons may be excluded from it where the Secretary of State considers that they should be excluded—

(a) in the interests of national security or international relations,

(b) for reasons connected with the prevention or detection of serious crime in the United Kingdom or elsewhere, or

(7) The steps taken under paragraph (2)(b) must—

(a) unless one or more of the restricted publicity conditions is met, be steps to publicise generally—

(i) the designation, variation or revocation, and

(ii) in the case of in the case of a designation, the statement of reasons relating to it;

(b) if one or more of those conditions is met, be steps to inform only such persons as the Secretary of State considers appropriate of the designation, variation or revocation and (in the case of a designation) the statement of reasons.

(8) The “restricted publicity conditions” are that the Secretary of State considers that disclosure of the designation, variation or revocation should be restricted—

(a) in the interests of national security or international relations,

(b) for reasons connected with the prevention or detection of serious crime in the United Kingdom or elsewhere, or

(9) Paragraph (10) applies if—

(a) when a designation is made one or more of the restricted publicity conditions is met, but

(b) at any time when the designation has effect, it becomes the case that none of the restricted publicity conditions is met.

(10) The Secretary of State must—

(a) take such steps as are reasonably practicable to inform persons of the specified description that none of the restricted publicity conditions is now met, and

(b) take steps to publicise generally the designation and the statement of reasons relating to it.

Confidential information in certain cases where power to designate by description is used

13

(1) Where the Secretary of State, in accordance with regulation 12(7)(b), informs only certain persons of a designation, variation or revocation and, in the case of a designation, the content of the statement of reasons relating to it, the Secretary of State may specify that any of that information is to be treated as confidential.

(2) A person (“P”) who—

(a) is provided with information that is to be treated as confidential in accordance with paragraph (1), or

(b) otherwise obtains such information,

must not, subject to paragraph (3), disclose it if P knows, or has reasonable cause to suspect, that the information is to be treated as confidential.

(3) The prohibition in paragraph (2) does not apply to any disclosure made by P with lawful authority.

(4) For this purpose information is disclosed with lawful authority only if and to the extent that—

(a) the disclosure is by, or is authorised by, the Secretary of State,

(b) the disclosure is by or with the consent of the person who is or was the subject of the designation,

(c) the disclosure is necessary to give effect to a requirement imposed under or by virtue of these Regulations or any other enactment, or

(d) the disclosure is required under rules of court, tribunal rules or a court or tribunal order, for the purposes of legal proceedings of any description.

(5) This regulation does not prevent the disclosure of information that is already, or has previously been, available to the public from other sources.

(6) A person who contravenes the prohibition in paragraph (2) commits an offence.

(7) The High Court (in Scotland, the Court of Session) may, on the application of—

(a) the person who is the subject of the information, or

(b) the Secretary of State,

grant an injunction (in Scotland, an interdict) to prevent a breach of the prohibition in paragraph (2).

(8) In paragraph (4)(c), “enactment” has the meaning given by section 54(6) of the Act.

PART 3 — Finance

Meaning of “designated person” in Part 3

14

In this Part a “designated person” means a person who is designated under regulation 5 for the purposes of regulations 15 to 19.

Asset-freeze in relation to designated persons

15

(1) A person (“P”) must not deal with funds or economic resources owned, held or controlled by a designated person if P knows, or has reasonable cause to suspect, that P is dealing with such funds or economic resources.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence.

(4) For the purposes of paragraph (1), a person “deals with” funds if the person—

(a) uses, alters, moves, transfers or allows access to the funds,

(b) deals with the funds in any other way that would result in any change in volume, amount, location, ownership, possession, character or destination, or

(5) For the purposes of paragraph (1), a person “deals with” economic resources if the person—

(a) exchanges the economic resources for funds, goods or services, or

(b) uses the economic resources in exchange for funds, goods or services (whether by pledging them as security or otherwise).

(6) The reference in paragraph (1) to funds or economic resources that are “owned, held or controlled” by a person includes, in particular, a reference to—

(a) funds or economic resources in which the person has any legal or equitable interest, regardless of whether the interest is held jointly with any other person and regardless of whether any other person holds an interest in the funds or economic resources;

(b) any tangible property (other than real property), or bearer security, that is comprised in funds or economic resources and is in the possession of the person.

(7) For the purposes of paragraph (1), funds or economic resources are to be treated as owned, held or controlled by a designated person if they are owned, held or controlled by a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by the designated person.

(8) For the avoidance of doubt, the reference in paragraph (1) to a designated person includes P if P is a designated person.

Making funds available to designated persons

16

(1) A person (“P”) must not make funds available directly or indirectly to a designated person if P knows, or has reasonable cause to suspect, that P is making the funds so available.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence.

(4) The reference in paragraph (1) to making funds available indirectly to a designated person includes, in particular, a reference to making them available to a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by the designated person.

Making funds available for benefit of designated persons

17

(1) A person (“P”) must not make funds available to any person for the benefit of a designated person if P knows, or has reasonable cause to suspect, that P is making the funds so available.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence.

(3A) The reference in paragraph (1) to making funds available to any person for the benefit of a designated person includes making funds available for the benefit of a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by the designated person (and references to designated person in paragraph (4) are to be read accordingly).

(4) For the purposes of this regulation—

(a) funds are made available for the benefit of a designated person only if that person thereby obtains, or is able to obtain, a significant financial benefit, and

(b) “financial benefit” includes the discharge (or partial discharge) of a financial obligation for which the designated person is wholly or partly responsible.

Making economic resources available to designated persons

18

(1) A person (“P”) must not make economic resources available directly or indirectly to a designated person if P knows, or has reasonable cause to suspect—

(a) that P is making the economic resources so available, and

(b) that the designated person would be likely to exchange the economic resources for, or use them in exchange for, funds, goods or services.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence.

(4) The reference in paragraph (1) to making economic resources available indirectly to a designated person includes, in particular, a reference to making them available to a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by the designated person.

Making economic resources available for benefit of designated persons

19

(1) A person (“P”) must not make economic resources available to any person for the benefit of a designated person if P knows, or has reasonable cause to suspect, that P is making the economic resources so available.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence.

(3A) The reference in paragraph (1) to making economic resources available to any person for the benefit of a designated person includes making economic resources available for the benefit of a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by the designated person (and references to designated person in paragraph (4) are to be read accordingly).

(4) For the purposes of paragraph (1)—

(a) economic resources are made available for the benefit of a designated person only if that person thereby obtains, or is able to obtain, a significant financial benefit, and

(b) “financial benefit” includes the discharge (or partial discharge) of a financial obligation for which the designated person is wholly or partly responsible.

Circumventing etc. prohibitions

20

(1) A person must not intentionally participate in activities knowing that the object or effect of them is, whether directly or indirectly—

(a) to circumvent any of the prohibitions in regulations 15 to 19, or

(b) to enable or facilitate the contravention of any such prohibition.

(2) A person who contravenes the prohibition in paragraph (1) commits an offence.

PART 4 — Director disqualification sanctions

Director disqualification sanctions

21

A person who is designated under regulation 5 (power to designate persons) for the purposes of this regulation is subject to director disqualification sanctions for the purposes of—

(a) section 11A of the Company Directors Disqualification Act 1986[^f00005], and

(b) Article 15A of the Company Directors Disqualification (Northern Ireland) Order 2002[^f00006].

PART 5 — Immigration

Immigration

22

A person who is designated under regulation 5 for the purposes of this regulation is an excluded person for the purposes of section 8B of the Immigration Act 1971[^f00007].

PART 6 — Trade

CHAPTER 1 — Interpretation

Definition of “restricted goods” and “restricted technology”

23

In this Part—

“restricted goods” means— internal repression goods, and interception and monitoring goods;

“restricted technology” means— internal repression technology, and interception and monitoring technology.

Definition of “internal repression goods” and “internal repression technology”

24

For the purposes of regulation 23—

“internal repression goods” means— any thing specified in Schedule 2, other than— any thing which is internal repression technology, or any thing for the time being specified in— Schedule 2 to the Export Control Order 2008, or Annex Ⅰ of the Dual-Use Regulation, and any tangible storage medium on which internal repression technology is recorded or from which it can be derived;

“internal repression technology” means any thing which is described in Schedule 2 as software or technology, within the meaning of that Schedule.

Definition of “interception and monitoring goods” and “interception and monitoring technology”

25

(1) The following definitions apply for the purposes of regulation 23.

(2) “Interception and monitoring goods” means any item mentioned in sub-paragraph (a) or (b), provided that it may be used for interception and monitoring services—

(a) a relevant Schedule 3 item;

(b) any tangible storage medium on which interception and monitoring technology is recorded or from which it can be derived.

(3) “A relevant Schedule 3 item” means any thing described in Schedule 3, other than—

(a) any thing which is interception and monitoring technology, or

(b) any thing for the time being specified in—

(i) Schedule 2 to the Export Control Order 2008, or

(ii) Annex Ⅰ of the Dual-Use Regulation.

(4) “Interception and monitoring technology” means any thing—

(a) which is described as software in paragraph 2 of Schedule 3 provided that it may be used for interception and monitoring services, and

(b) which is described as software or other technology in paragraph 3 of Schedule 3,

(but see paragraph (5)).

(5) The definition of “interception and monitoring technology” does not apply to software which is—

(a) generally available to the public, or

(b) in the public domain.

(6) For the purpose of paragraph (5)—

(a) software is “generally available to the public” if—

(i) the software is sold from stock at retail selling points without restriction, by means of—

(aa) over the counter transactions,

(bb) mail order transactions,

(cc) electronic transactions, or

(dd) telephone order transactions, and

(ii) the software is designed for installation by the user without further substantial support by the supplier;

(b) software is “in the public domain” if the software has been made available without restrictions upon its further dissemination (and for this purpose copyright restrictions do not constitute a restriction upon its further dissemination).

Definition of “interception and monitoring services”

26

(1) For the purposes of this Part, “interception and monitoring services” means any service that has as its object or effect the interception of a communication in the course of its transmission by means of a telecommunication system.

(2) A person intercepts a communication in the course of its transmission by means of a telecommunication system if, and only if—

(a) the person does a relevant act in relation to the system, and

(b) the effect of the relevant act is to make any content of the communication available, at a relevant time, to a person who is not the sender or intended recipient of the communication.

(3) In paragraph (2), a “relevant act”, in relation to a telecommunication system, means—

(a) modifying, or interfering with, the system or its operation;

(b) monitoring transmissions made by means of the system;

(4) In paragraph (2), a “relevant time”, in relation to a communication transmitted by means of a telecommunication system, means—

(a) any time while the communication is being transmitted, and

(b) any time when the communication is stored in or by the system (whether before or after its transmission).

(5) For the purpose of paragraph (2), the cases in which any content of a communication is to be taken to be made available to a person at a relevant time include any case in which any of the communication is diverted or recorded at a relevant time so as to make the content of the communication available to a person after that time.

(6) In paragraph (3), references to modifying a telecommunication system include references to attaching any apparatus to, or otherwise modifying or interfering with—

(a) any part of the system, or

(b) any wireless telegraphy apparatus used for making transmissions to or from apparatus that is part of the system.

(7) For the purposes of this regulation, the following definitions also apply—

“apparatus” includes any equipment, machinery or device (whether physical or logical) and any wire or cable;

“communication”, for the purpose of a telecommunication system, includes— anything comprising speech, music, sounds, visual images or data of any description, and signals serving for the impartation of anything between persons, between a person and a thing or between things, for the actuation or control of any apparatus;

“content”, in relation to a communication and a telecommunication system, means any element of the communication, or any data attached to or logically associated with the communication, which reveals anything of what might reasonably be considered to be the meaning (if any) of the communication, but— any meaning arising from the fact of the communication or from any data relating to the transmission of the communication is to be disregarded, and anything which is systems data is not content;

“systems data” means any data that enables or facilitates, or identifies or describes anything connected with enabling or facilitating, the functioning of a telecommunication system (including any apparatus forming part of the system);

“a telecommunication system” means a system (including the apparatus comprised in it) that exists for the purpose of facilitating the transmission of communications by any means involving the use of electrical or electromagnetic energy;

“wireless telegraphy” and “wireless telegraphy apparatus” have the same meaning as in sections 116 and 117 of the Wireless Telegraphy Act 2006[^f00008].

Interpretation of other expressions used in this Part

27

(1) Paragraphs 32 and 36 of Schedule 1 to the Act (trade sanctions) apply for the purpose of interpreting expressions in this Part.

(2) In this Part, any reference to the United Kingdom includes a reference to the territorial sea.

(3) In this Part—

“brokering service” means any service to secure, or otherwise in relation to, an arrangement, including (but not limited to)— the selection or introduction of persons as parties or potential parties to the arrangement, the negotiation of the arrangement, the facilitation of anything that enables the arrangement to be entered into, and the provision of any assistance that in any way promotes or facilitates the arrangement;

“technical assistance”, in relation to goods or technology, means— technical support relating to the repair, development, production, assembly, testing, use or maintenance of the goods or technology, or any other technical service relating to the goods or technology;

“transfer” has the meaning given by paragraph 37 of Schedule 1 to the Act.

(4) For the purposes of this Part, a person is to be regarded as “connected with” Iran if the person is—

(a) an individual who is, or an association or combination of individuals who are, ordinarily resident in Iran,

(b) an individual who is, or an association or combination of individuals who are, located in Iran,

(d) a person, other than an individual, which is domiciled in Iran.

CHAPTER 2 — Restricted goods and restricted technology

Export of restricted goods

28

(1) The export of restricted goods to, or for use in, Iran is prohibited.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

Supply and delivery of restricted goods

29

(1) A person must not directly or indirectly supply or deliver restricted goods from a third country to a place in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence, but it is a defence for a person charged with that offence to show that the person did not know and had no reasonable cause to suspect that the goods were destined (or ultimately destined) for Iran.

(4) In this regulation, “third country” means a country that is not the United Kingdom, the Isle of Man or Iran.

Making restricted goods and restricted technology available

30

(1) A person must not—

(a) directly or indirectly make restricted goods or restricted technology available to a person connected with Iran;

(b) directly or indirectly make restricted goods or restricted technology available for use in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) to show that the person did not know and had no reasonable cause to suspect that the goods or technology were for use in Iran.

Transfer of restricted technology

31

(1) A person must not—

(a) transfer restricted technology to a place in Iran;

(b) transfer restricted technology to a person connected with Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) to show that the person did not know and had no reasonable cause to suspect that the transfer was to a place in Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran.

Technical assistance relating to restricted goods and restricted technology

32

(1) A person must not directly or indirectly provide technical assistance relating to restricted goods or restricted technology—

(a) to a person connected with Iran, or

(b) for use in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) to show that the person did not know and had no reasonable cause to suspect that the goods or technology were for use in Iran.

Financial services and funds relating to restricted goods and restricted technology

33

(1) A person must not directly or indirectly provide, to a person connected with Iran, financial services in pursuance of or in connection with an arrangement whose object or effect is—

(a) the export of restricted goods,

(b) the direct or indirect supply or delivery of restricted goods,

(d) the transfer of restricted technology, or

(e) the direct or indirect provision of technical assistance relating to restricted goods or restricted technology.

(2) A person must not directly or indirectly make funds available to a person connected with Iran in pursuance of or in connection with an arrangement mentioned in paragraph (1).

(3) A person must not directly or indirectly provide financial services or funds in pursuance of or in connection with an arrangement whose object or effect is—

(a) the export of restricted goods to, or for use in, Iran,

(b) the direct or indirect supply or delivery of restricted goods to a place in Iran,

(i) to a person connected with Iran, or

(ii) for use in Iran,

(d) the transfer of restricted technology—

(i) to a person connected with Iran, or

(ii) to a place in Iran, or

(e) the direct or indirect provision of technical assistance relating to restricted goods or restricted technology—

(i) to a person connected with Iran, or

(ii) for use in Iran.

(4) Paragraphs (1) to (3) are subject to Part 8 (Exceptions and licences).

(5) A person who contravenes a prohibition in any of paragraphs (1) to (3) commits an offence, but—

(a) it is a defence for a person charged with an offence of contravening paragraph (1) or (2) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with an offence of contravening a prohibition in paragraph (3) to show that the person did not know and had no reasonable cause to suspect that the financial services or funds (as the case may be) were provided in pursuance of or in connection with an arrangement mentioned in that paragraph.

Brokering services: non-UK activity relating to restricted goods and restricted technology

34

(1) A person must not directly or indirectly provide brokering services in relation to an arrangement (“arrangement A”) whose object or effect is—

(a) the direct or indirect supply or delivery of restricted goods from a third country to a place in Iran,

(b) directly or indirectly making restricted goods available in a third country for direct or indirect supply or delivery—

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(d) the transfer of restricted technology from a place in a third country—

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(e) the direct or indirect provision, in a non-UK country, of technical assistance relating to restricted goods or restricted technology—

(i) to a person connected with Iran, or

(ii) for use in Iran,

(f) the direct or indirect provision, in a non-UK country, of financial services—

(i) to a person connected with Iran, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 33(1), or

(ii) where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 33(3),

(g) directly or indirectly making funds available, in a non-UK country, to a person connected with Iran, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 33(1), or

(h) the direct or indirect provision of funds from a non-UK country, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 33(3).

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but it is a defence for a person charged with that offence to show that the person did not know and had no reasonable cause to suspect that the brokering services were provided in relation to an arrangement mentioned in that paragraph.

(4) In this regulation—

“non-UK country” means a country that is not the United Kingdom;

“third country” means— for the purposes of paragraph (1)(a) and (b), a country that is not the United Kingdom, the Isle of Man or Iran, and for the purposes of any other provision of paragraph (1), a country that is not the United Kingdom or Iran.

CHAPTER 3 — Interception and monitoring services

Provision of interception and monitoring services

35

(1) A person must not directly or indirectly provide interception and monitoring services to, or for the benefit of, the Government of Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence, but it is a defence for a person charged with that offence (“P”) to show that P did not know and had no reasonable cause to suspect that the services were provided to, or for the benefit of, the Government of Iran.

CHAPTER 4 — Goods and Technology of Strategic Concern

Interpretation

36

In this Chapter—

“goods of strategic concern” means any thing specified in Schedule 4, other than—any thing which is technology of strategic concern,any tangible storage medium on which technology of strategic concern is recorded or from which it can be derived,any thing for the time being specified in—Schedule 2 of the Export Control Order 2008, orAnnex I of the Dual-Use Regulation, orany thing for the time being falling within Chapter 1 of Part 5 of the Iran (Sanctions) (Nuclear) (EU Exit) Regulations 2019;

“technology of strategic concern” means any thing which is described in Schedule 4 as software or technology, within the meaning of that Schedule, other than—any thing for the time being specified in—Schedule 2 of the Export Control Order 2008, orAnnex I of the Dual-Use Regulation, orany thing for the time being falling within Chapter 1 of Part 5 of the Iran (Sanctions) (Nuclear) (EU Exit) Regulations 2019.

Export of unmanned aerial vehicle goods

37

(1) The export of goods of strategic concern to, or for use in, Iran is prohibited.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

Supply and delivery of unmanned aerial vehicle goods

38

(1) A person must not directly or indirectly supply or deliver goods of strategic concern from a third country to a place in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes the prohibition in paragraph (1) commits an offence, but it is a defence for a person charged with that offence to show that the person did not know and had no reasonable cause to suspect that the goods were destined (or ultimately destined) for Iran.

(4) In this regulation, “third country” means a country that is not the United Kingdom, the Isle of Man or Iran.

Making unmanned aerial vehicle goods and unmanned aerial vehicle technology available

39

(1) A person must not—

(a) directly or indirectly make goods of strategic concern or technology of strategic concern available to a person connected with Iran;

(b) directly or indirectly make goods of strategic concern or technology of strategic concern available for use in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) to show that the person did not know and had no reasonable cause to suspect that the goods or technology were for use in Iran.

Transfer of unmanned aerial vehicle technology

40

(1) A person must not—

(a) transfer technology of strategic concern to a place in Iran;

(b) transfer technology of strategic concern to a person connected with Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) to show that the person did not know and had no reasonable cause to suspect that the transfer was to a place in Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran.

Technical assistance relating to unmanned aerial vehicle goods and unmanned aerial vehicle technology

41

(1) A person must not directly or indirectly provide technical assistance relating to goods of strategic concern or technology of strategic concern—

(a) to a person connected with Iran, or

(b) for use in Iran.

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but—

(a) it is a defence for a person charged with the offence of contravening paragraph (1)(a) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with the offence of contravening paragraph (1)(b) to show that the person did not know and had no reasonable cause to suspect that the goods or technology were for use in Iran.

Financial services and funds relating to goods of strategic concern and technology of strategic concern

42

(1) A person must not directly or indirectly provide, to a person connected with Iran, financial services in pursuance of or in connection with an arrangement whose object or effect is—

(a) the export of goods of strategic concern,

(b) the direct or indirect supply or delivery ofgoods of strategic concern,

(d) the transfer of technology of strategic concern, or

(e) the direct or indirect provision of technical assistance relating to goods of strategic concern or technology of strategic concern.

(2) A person must not directly or indirectly make funds available to a person connected with Iran in pursuance of or in connection with an arrangement mentioned in paragraph (1).

(3) A person must not directly or indirectly provide financial services or funds in pursuance of or in connection with an arrangement whose object or effect is—

(a) the export of goods of strategic concern to, or for use in, Iran,

(b) the direct or indirect supply or delivery of goods of strategic concern to a place in Iran,

(i) to a person connected with Iran, or

(ii) for use in Iran,

(d) the transfer of technology of strategic concern—

(i) to a person connected with Iran, or

(ii) to a place in Iran, or

(e) the direct or indirect provision of technical assistance relating to goods of strategic concern or technology of strategic concern—

(i) to a person connected with Iran, or

(ii) for use in Iran.

(4) Paragraphs (1) to (3) are subject to Part 8 (Exceptions and licences).

(5) A person who contravenes a prohibition in any of paragraphs (1) to (3) commits an offence, but—

(a) it is a defence for a person charged with an offence of contravening paragraph (1) or (2) (“P”) to show that P did not know and had no reasonable cause to suspect that the person was connected with Iran;

(b) it is a defence for a person charged with an offence of contravening a prohibition in paragraph (3) to show that the person did not know and had no reasonable cause to suspect that the financial services or funds (as the case may be) were provided in pursuance of or in connection with an arrangement mentioned in that paragraph.

Brokering services: non-UK activity relating to goods of strategic concern and technology of strategic concern

43

(1) A person must not directly or indirectly provide brokering services in relation to an arrangement (“arrangement A”) whose object or effect is—

(a) the direct or indirect supply or delivery of goods of strategic concern from a third country to a place in Iran,

(b) directly or indirectly making goods of strategic concern available in a third country for direct or indirect supply or delivery—

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(d) the transfer of technology of strategic concern from a place in a third country—

(i) to a person connected with Iran, or

(ii) to a place in Iran,

(e) the direct or indirect provision, in a non-UK country, of technical assistance relating to goods of strategic concern or technology of strategic concern—

(i) to a person connected with Iran, or

(ii) for use in Iran,

(f) the direct or indirect provision, in a non-UK country, of financial services—

(i) to a person connected with Iran, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 42(1), or

(ii) where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 42(3),

(g) directly or indirectly making funds available, in a non-UK country, to a person connected with Iran, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 42(1), or

(h) the direct or indirect provision of funds from a non-UK country, where arrangement A, or any other arrangement in connection with which arrangement A is entered into, is an arrangement mentioned in regulation 42(3).

(2) Paragraph (1) is subject to Part 8 (Exceptions and licences).

(3) A person who contravenes a prohibition in paragraph (1) commits an offence, but it is a defence for a person charged with that offence to show that the person did not know and had no reasonable cause to suspect that the brokering services were provided in relation to an arrangement mentioned in that paragraph.

(4) In this regulation—

“non-UK country” means a country that is not the United Kingdom;

“third country” means—for the purposes of paragraph (1)(a) and (b), a country that is not the United Kingdom, the Isle of Man or Iran, andfor the purposes of any other provision of paragraph (1), a country that is not the United Kingdom or Iran.

CHAPTER 5 — Further provision

Circumventing etc. prohibitions

44

(1) A person must not intentionally participate in activities knowing that the object or effect of them is, whether directly or indirectly—

(a) to circumvent any of the prohibitions in Chapter 2, 3 or 4 of this Part, or

(b) to enable or facilitate the contravention of any such prohibition.

(2) A person who contravenes a prohibition in paragraph (1) commits an offence.

Defences

45

(1) Paragraph (2) applies where a person relies on a defence under Chapter 2, 3 or 4 of this Part.

(2) If evidence is adduced which is sufficient to raise an issue with respect to the defence, the court must assume that the defence is satisfied unless the prosecution proves beyond reasonable doubt that it is not.

PART 7 — Ships

Prohibition on port entry

46

(1) A person must not provide a ship to which this paragraph applies with access to a port in the United Kingdom, if the person knows, or has reasonable cause to suspect, that the ship is a ship to which this paragraph applies.

(2) The master or pilot of a ship to which this paragraph applies must not cause or permit the ship to enter a port in the United Kingdom if the master or pilot knows, or has reasonable cause to suspect, that the ship is a ship to which this paragraph applies.

(3) Paragraphs (1) and (2) are subject to Part 8 (Exceptions and licences) (see, in particular, regulation 57 (ships: exceptions from prohibitions on port entry)).

(4) A person who contravenes a prohibition in paragraph (1) or (2) commits an offence.

(5) Paragraphs (1) and (2) apply to—

(a) a ship owned, controlled, chartered or operated by a designated person, or

(b) a specified ship.

(6) In paragraph (5), a “designated person” means a person who is designated under regulation 5 for the purposes of the relevant regulations of this Part.

Directions prohibiting port entry

47

(1) A port barring direction may be given to the master or pilot of a specified ship.

(2) A port barring direction may be given by—

(a) the Secretary of State, or

(b) a harbour authority.

(3) The Secretary of State may direct a harbour authority to take such steps as are reasonably practicable to secure that a ship mentioned in a port barring direction does not enter a port or ports in the United Kingdom specified in the direction, or any port in the United Kingdom.

(4) It is an offence for a person to whom a direction is given under this regulation to fail to comply with the direction.

(5) The Secretary of State may notify a person that the existence of a port barring direction, any part of the content of the direction, or anything done under the direction, is to be treated as confidential.

(6) It is an offence for a person to disclose information if the Secretary of State has notified that person under paragraph (5) that the information is to be treated as confidential.

(7) In this regulation, a “port barring direction” means a direction prohibiting a ship from entering a port or ports in the United Kingdom specified in the direction, or any port in the United Kingdom.

Movement of ships

48

(1) A port entry direction or a movement direction may be given by the Secretary of State to the master or pilot of—

(a) a ship owned, controlled, chartered or operated by a designated person, or

(b) a specified ship.

(2) The Secretary of State may direct a harbour authority to take such steps as are reasonably practicable to secure that a ship mentioned in paragraph (1)—

(a) proceeds to or enters a port specified in the direction,

(b) leaves a port specified in the direction,

(d) remains where it is.

(3) It is an offence for a person to whom a direction is given under this regulation to fail to comply with the direction.

(4) The Secretary of State may notify a person that the existence of a port entry direction or a movement direction, any part of the content of the direction, or anything done under the direction, is to be treated as confidential.

(5) It is an offence for a person to disclose information if the Secretary of State has notified that person under paragraph (4) that the information is to be treated as confidential.

(6) In this regulation—

a “designated person” means a person who is designated under regulation 5 for the purposes of the relevant regulations of this Part;

a “movement direction” means a direction requiring a ship— to leave a port specified in the direction, to proceed to a place specified in the direction, or to remain where it is; a “port entry direction” means a direction requiring a ship to proceed to or enter a port specified in the direction.

Detention of ships

49

(1) A detention direction may be given to the master of a ship referred to in paragraph (3) by—

(a) the Secretary of State, or

(b) a harbour authority.

(2) A detention direction under paragraph (1)(b) may only be given by a harbour authority to the master of a specified ship if it has received a direction from the Secretary of State in accordance with paragraph (3)(b).

(3) The Secretary of State may direct a harbour authority to give a detention direction to the master of—

(a) a ship owned, controlled, chartered or operated by a designated person, or

(b) a specified ship.

(4) A “detention direction” means a direction requiring the detention of a ship at a port or anchorage in the United Kingdom.

(5) A detention direction given in relation to a ship—

(a) must be in writing,

(b) must be delivered to the master of the ship by the person who detains the ship,

(d) must state that—

(i) it is given under this regulation, and

(ii) any requirements imposed by the direction must be complied with.

(6) Paragraph (7) applies if—

(a) the ship is not a British ship, and

(b) there is in the United Kingdom a consular officer for the country to which the ship belongs.

(7) A copy of the detention direction must be sent as soon as practicable to the nearest consular officer for the country to which the ship belongs.

(8) Section 284(1), (2), (2A), (2B), (3) and (8) of the Merchant Shipping Act 1995[^f00009] (enforcing detention of ship) applies in the case of detention under a detention direction as it applies in the case of detention authorised or ordered by that Act, but as if—

(a) any reference in that section to a notice of detention were to the detention direction, and

(b) the reference in subsection (2A) of that section to a direction given under subsection (1A)(a)[^f00010] of that section were to any requirement imposed by the detention direction.

(9) In this regulation, “consular officer”, in relation to a foreign country, means the officer recognised by His Majesty as a consular officer of that foreign country.

(10) In this regulation a “designated person” means a person who is designated under regulation 5 for the purposes of the relevant regulations of this Part.

Registration of ships in the United Kingdom

50

(1) The Registrar must refuse to register a ship if, on the basis of the information given to the Registrar by the Secretary of State or accompanying the application for registration, the ship appears to the Registrar to be owned, controlled, chartered or operated by a designated person.

(2) The Secretary of State may direct the Registrar to terminate the registration of—

(a) a ship that is owned, controlled, chartered or operated by a designated persons or

(b) a specified ship.

(3) For the purposes of this regulation—

(a) any reference to registering a ship is to registering the ship in the register of British ships maintained by the Registrar; and

(b) a “designated person” means a person who is designated under regulation 5 for the purposes of the relevant regulations of this Part.

Specification of ships

51

(1) The Secretary of State may specify ships within the meaning of section 7 of the Act for the purposes of—

(a) regulation 46 (prohibition on port entry),

(b) regulation 47 (directions prohibiting port entry),

(d) regulation 49 (detention of ships), and

(e) regulation 50 (registration of ships in the United Kingdom).

(2) The Secretary of State must specify a ship by its International Maritime Organization number or, where it is not reasonably practicable to identify it by that number, by any other means that the Secretary of State considers appropriate.

(3) The Secretary of State may not specify a ship unless the Secretary of State has reasonable grounds to suspect that the ship is, has been, or is likely to be, involved in a relevant activity.

(4) For the purposes of this regulation a ship is “involved in a relevant activity” if the ship is used for any activity whose object or effect is to contravene or circumvent, or to enable or facilitate the contravention or circumvention of, any provision of these Regulations.

Notification and publicity where specification power used

52

(1) Paragraph (2) applies where the Secretary of State—

(a) has specified a ship under regulation 51(1)(specification of ships), or

(b) has by virtue of section 26 of the Act revoked a specification made under that regulation.

(2) The Secretary of State—

(a) must without delay take such steps as are reasonably practicable to inform such persons as the Secretary of State considers appropriate of the specification or revocation, and

(b) except where one or more of the restricted publicity conditions is met, must take steps to publicise the specification or revocation generally.

(3) The “restricted publicity conditions” are that the Secretary of State considers that disclosure of the specification or revocation should be restricted—

(a) in the interests of national security or international relations,

(b) for reasons connected with the prevention or detection of serious crime in the United Kingdom or elsewhere, or

(4) Paragraph (5) applies if—

(a) when a specification is made one or more of the restricted publicity conditions is met, but

(b) at any time when the specification has effect, it becomes the case that none of the restricted publicity conditions is met.

(5) The Secretary of State must take steps to publicise the specification generally.

Directions under this Part: general

53

(1) Paragraphs (2) to (4) apply in relation to a direction given under this Part.

(2) A person to whom a direction is given has a duty to comply with it.

(3) A direction may be of indefinite duration or a defined duration.

(4) A person who gives a direction may vary, revoke or suspend it at any time.

(5) A direction under regulation 48(2) (movement of ships) may be given to any harbour authority or to harbour authorities generally.

Interpretation of Part 7

54

(1) For the purposes of this Part, a ship is—

(a) “owned” by a person if—

(i) the legal title to the ship, or to any share in the ship, is vested in that person, or in a person who is owned or controlled directly or indirectly (within the meaning of regulation 9) by that person, or

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