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Here is a copy of the Letter. It looks like they are using the Economic Act to level sanctions: THE WHITE HOUSE Office of the Press Secretary For Immediate Release February 25, 2011 TEXT OF A LETTER FROM THE PRESIDENT TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES AND THE PRESIDENT OF THE SENATE February 25, 2011 Dear Mr. Speaker: (Dear Mr. President:) Pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) (IEEPA), I hereby report that I have issued an Executive Order (the "order") that takes steps with respect to the situation in Libya. I have determined that the actions of Colonel Muammar Qadhafi,his government, and close associates, including extreme measures against the people of Libya, constitute an unusual and extraordinary threat to the national security and foreign policy of the United States. The order declares a national emergency to deal with this threat. The order blocks the property and interests in property of persons listed in the Annex to the order, who I have determined meet the first or second of the six criteria set forth below. The order also provides criteria for designations of persons determined by the Secretary of the Treasury, in consultation with the Secretary of State:  to be a senior official of the Government of Libya;  to be a child of Colonel Muammar Qadhafi;  to be responsible for or complicit in, or responsible for ordering, controlling, or otherwise directing, or to have participated in, the commission of human rights abuses related to political repression in Libya;  to have materially assisted, sponsored, or provided financial, material, logistical, or technical support for, or goods or services in support of the activities described above or any person whose property and interests in property are blocked pursuant to the order;  to be owned or controlled by, or to have acted or purported to act for or on behalf of, any person whose property and interests in property are blocked pursuant to the order; or  to be a spouse or dependent child of any person whose property and interests in property are blocked pursuant to the order. In addition, the order blocks the property and interests in property of the Government of Libya. 2 I have delegated to the Secretary of the Treasury the authority, in consultation with the Secretary of State, to take such actions, including the promulgation of rules and regulations, and to employ all powers granted to the President by IEEPA, as may be necessary to carry out the purposes of the order. All executive agencies of the United States Government are directed to take all appropriate measures within their authority to carry out the provisions of the order. Additionally, the Secretary of State is suspending all existing licenses and other approvals for the export of defense articles and services to Libya. The order, a copy of which is enclosed, became effective at 8:00 p.m. eastern standard time on February 25, 2011. Sincerely, BARACK OBAMA # # #