The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) today identified the Shining Path (a.k.a. Sendero Luminoso) as a significant foreign narcotics trafficker appropriate for sanctions pursuant to the Foreign Narcotics Kingpin Designation Act (Kingpin Act). Also designated today for their material support to the narcotics trafficking of the Shining Path are Victor Quispe Palomino, Jorge Quispe Palomino, and Florindo Eleuterio Flores Hala. The Shining Path is based in Peru and has operated as a terrorist group since 1980. The group alleges that it is committed to Maoist ideals and is dedicated to the violent overthrow of the democratically elected Government of Peru. The U.S. Department of the State designated the Shining Path as a Foreign Terrorist Organization on October 8, 1997, and also as a Specially Designated Global Terrorist pursuant to Executive Order 13224 on October 31, 2011. The Shining Path funds its terrorist activities at least in part with proceeds from the cocaine trade. Following a Government of Peru crackdown in the 1990s, the Shining Path’s membership was significantly reduced and the group withdrew into Peru’s remote coca leaf-producing areas, where they shifted focus to cocaine trafficking. Over the past decade, the Shining Path has sought to engage in all aspects of the cocaine trade in south central Peru, which includes some of the world’s most fertile coca leaf-producing areas. According to U.S. Government estimates, Peru was the world’s top producer of cocaine and the second-largest cultivator of coca in 2013, which is the most recent year for which complete data is available. The Shining Path levies taxes on the cultivation, processing, and transit of cocaine within and through south central Peru. The Shining Path also provides transport and armed security to narcotics trafficking organizations moving large cocaine loads through and out of south central Peru. In order to protect its financial interests in the cocaine trade, the Shining Path has directed violent acts against Peruvian National Police and Peruvian Army installations and personnel. The three individuals also designated today — Victor Quispe Palomino, Jorge Quispe Palomino, and Florindo Eleuterio Flores Hala — are leaders of the Shining Path. They were named in a U.S. federal indictment filed on July 1, 2014 by the U.S. Attorney’s Office for the Southern District of New York on charges including conspiracy to provide material support to the Shining Path and conspiracy to commit narco-terrorism. This designation would not have been possible without the leadership and cooperation of the Government of Peru in the fight against illicit narcotics. The Government of Peru has demonstrated a firm commitment to countering narcotics production and trafficking in the country, dedicating substantial resources to implementing President Ollanta Humala’s comprehensive and aggressive counter-narcotics strategy and targeting high-ranking members of the Shining Path.

https://home.treasury.gov/news/press-releases/jl10066

1997-10-08

US

Global Terrorism Sanctions Regulations, 31 C.F.R. part 594

OFAC-horizontal

Terrorism

Blocking Property

• https://ofac.treasury.gov/faqs/topic/2396

On June 6, 2003, OFAC issued the Global Terrorism Sanctions Regulations, 31 CFR part 594 (68 FR 34196, June 6, 2003 (“the Regulations”), to implement Executive Order (E.O.) 13224 of September 23, 2001, “Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten To Commit, or Support Terrorism” (66 FR 49079, September 25, 2001). OFAC has amended the Regulations on several occasions. On September 9, 2019, the President, invoking the authority of, inter alia, the International Emergency Economic Powers Act (50 U.S.C. 1701–1706) (IEEPA) and the United Nations Participation Act (22 U.S.C. 287c) (UNPA), issued E.O. 13886, “Modernizing Sanctions To Combat Terrorism” (84 FR 48041, September 12, 2019), effective September 10, 2019. In E.O. 13886, the President, finding it necessary to consolidate and enhance sanctions to combat acts of terrorism and threats of terrorism by foreign terrorists, terminated the national emergency declared in E.O. 12947 of January 23, 1995, “Prohibiting Transactions With Terrorists Who Threaten To Disrupt the Middle East Peace Process” (60 FR 5079, January 25, 1995), and revoked E.O. 12947, as amended by E.O. 13099 of August 20, 1998, “Prohibiting Transactions With Terrorists Who Threaten To Disrupt the Middle East Peace Process” (63 FR 45167, August 25, 1998). In addition, the President amended E.O. 13224, in order to build upon initial steps taken in E.O. 12947, to further strengthen and consolidate sanctions to combat the continuing threat posed by international terrorism, and in order to take additional steps to deal with the national emergency declared in E.O. 13224, with respect to the continuing and immediate threat of grave acts of terrorism and threats of terrorism committed by foreign terrorists, which include acts of terrorism that threaten the Middle East peace process. Section 1 of E.O. 13886 replaces in its entirety section 1 of E.O. 13224, which had been amended by a number of prior Executive orders (E.O. 13224, as amended by all such authorities, is referred to herein as “amended E.O. 13224”), but does not amend the Annex to E.O. 13224, which was previously amended by E.O. 13268 of July 2, 2002, “Termination of Emergency With Respect to the Taliban and Amendment of Executive Order 13224 of September 23, 2001” (67 FR 44751, July 3, 2002) (“amended Annex to E.O. 13224”).

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