UN Security Council says that Libyan assets held outside Libya are to remain frozen

The United Nations Security Council, putting an end to the controversy surrounding the Libyan frozen assets and their interests abroad, said in an Implementation Assistance Notice No.6 that assets owned or controlled, directly or indirectly, by the Libyan Investment Authority LIA and the Libyan Africa Investment Portfolio (LAIP), held outside Libya and frozen as of September 16, 2011, remain frozen.

“The specific exception provided for in the aforementioned paragraph allows the addition by Security Council Member States of interests or other earnings or payments to the LIA and LAIP frozen accounts, but such interests or other earnings or payments remain frozen.” The notice of the UN Security Council explained.

The Libya Observer reports that the UN Security Council said that interests, other earnings or payments on the LIA and LAIP frozen assets arising after September 16, 2011 are also frozen.

“Assets owned or controlled, directly or indirectly, by the LIA and LAIP, held in Libya or acquired after 16 September 2011, are not frozen.” It added.

The notice clarified that interests and other earnings or payments on such assets are not subject to the asset freeze.

The portal said that “Belgium was reported by media and the final report of the UN experts’ panel on Libya to have been using the interests and dividends of the Libyan frozen assets in its banks, especially Euroclear, in a violation of the UN Security Council resolution.

Media reports cited the public Belgian broadcaster RTBF as saying that up to 5 billion euros ($5.7 billion) could have been disbursed to people controlling Libyan accounts, including militia groups in the country accused of human rights abuses.”

Libyan assets are frozen since 2011 by the UN Security Council resolution 1973 of 2011.