EU: The European Union can freeze assets of suspected terrorists, the EU's second highest court has ruled, dismissing complaints from alleged al-Qaeda associates whose bank accounts were blocked by the EU.
The Court of First Instance said yesterday that the EU had such powers under its treaties and - because it was merely enforcing decisions taken by the UN Security Council - it was not possible to appeal an EU order to freeze assets.
The EU has a list of people whose assets the UN recommended should be frozen for alleged links to Osama bin Laden, his al-Qaeda network and the Taliban regime, which was believed to have sheltered bin Laden in Afghanistan.
Two men and one organisation on that list - Yassin Abdullah Kadi, Ahmed Ali Yusuf and the Al Barakaat International Foundation - complained before the Court of First Instance in Luxembourg that the EU had no power to freeze their assets.
However, the court ruled against them. The ruling is the first of its kind and will strengthen the EU's position in similar cases that are pending.
The decision can be appealed to the EU's highest court, the European Court of Justice, within two months.
"The European Community is competent to order the freezing of individuals' funds in connection with the fight against terrorism," the court said. "As they are required by the Security Council . . . these measures fall for the most part outside the scope of judicial review. They do not infringe the universally recognised fundamental human rights."
According to a court official, Yusuf is a Swedish resident and Kadi lives in Saudi Arabia. - (Reuters)