(S) UAEG FINDS NO EVIDENCE TO SUPPORT

S E C R E T ABU DHABI 002452 SIPDIS STATE FOR EB (ANNA BORG AND TROY PEDERSON),NEA/ARP (PATRICK HEFFERNAN),NEA/RA (PAUL SUTPHIN) AND L/LEI (LINDA JACOBSON) TREASURY FOR JEFF ROSS JUSTICE FOR DOJ/CRIM/OIA - MOLLY WARLOW E.O. 12958: DECL: 05/25/13 TAGS: EFIN ECON PREL PGOV IZ TC SUBJECT: (S) UAEG FINDS NO EVIDENCE TO SUPPORT ALLEGATION RE IRAQI ASSETS IN THE UAE REF: STATE 135203 ¶1. (U) CLASSIFIED BY CHARGE RICHARD ALBRIGHT FOR REASONS 1.5 (B,D). ¶2. (S) A/DCM conveyed reftel concerns May 21 to UAE Central Bank Financial Intelligence Unit Chief Abdul-Rahim Sinkais Al-Awadhi. A/DCM noted that we had a single, uncorroborated report that as much as one billion USD in cash had moved into accounts here belonging to the Al-Wasl and Babel Trading Company. Al-Awadhi promised to check with the Central Bank Governor and get back to us. ¶3. (S) On May 25, Al-Awadhi told A/DCM that, after consultations with the Governor, he was authorized to state that the UAEG has no information to support the allegation. Large movements of cash of the nature described would immediately come to the attention of the Central Bank, and would in any case be reported by the relevant banks here to the authorities, since large cash deposits would automatically trigger reporting requirements. Al-Awadhi suggested that the source of the information was likely not familiar with the relatively small size of the UAE financial sector, nor the oversight of that sector exercised by government authorities. While hundreds of millions of dollars might be overlooked in New York or London, such substantial deposits into the UAE banking system would have instant visibility. A/DCM expressed appreciation for this information. Albright