(a) Except as provided in paragraph (b) of this section, U.S. persons are authorized to continue the normal operations of an investment fund that is organized, located, managed, or administered in the United States in which any person whose property and interests in property are blocked pursuant to § 570.201(a)(1), (2), or (3) has both a non-controlling and a minority interest, provided that the investment fund is not blocked pursuant to any other paragraph of § 570.201.

(b) The authorization in paragraph (a) of this section is subject to the following conditions:

(1) Any payment or transfer of funds, securities, or other assets in the possession or control of a U.S. person to any person whose property and interests in property are blocked pursuant to § 570.201 may only be directed or made into a blocked account at a financial institution in the United States in the name of the blocked person.

(2) Transfers of funds, securities, or other assets by a U.S. person between blocked accounts created or funded pursuant to paragraph (b)(1) of this section in its branches or offices are authorized provided that:

(i) No transfer is made from an account within the United States to an account held outside the United States; and

(ii) A transfer from a blocked account may only be made to another blocked account held in the same name.

(3) No immediate financial or economic benefit is accessible or made available to any person whose property and interests in property are blocked pursuant to § 570.201.

(4) U.S. persons shall not:

(i) Make any loans to, or on behalf of, any person whose property and interests in property are blocked pursuant to § 570.201; or

(ii) Debit a blocked account for repayment of a loan or as setoff for a debt owed by any person whose property and interests in property are blocked pursuant to § 570.201.

Note 1 to § 570.513:

Normal operations include: investment management functions; the purchase and disposition of portfolio investments; the custody of portfolio investments; the making of payments owed by the investment fund to its managers, other service providers, directors, government regulators, tax authorities, or investors whose property and interests in property are not blocked; or the receipt of funds, securities, or other assets.