TERRORIST FINANCE: DUTCH PERSPECTIVES ON ADDING

C O N F I D E N T I A L THE HAGUE 002457

SIPDIS

NOFORN

STATE FOR EB/ESC/ESP, S/CT, EUR/ERA, INR/EC
TREASURY FOR ZARATE (EXO),NEWCOMB (OFAC)
FBI FOR LORMEL
BRUSSELS ALSO FOR LEGATT

E.O. 12958: DECL: 09/29/2013
TAGS: ETTC PTER IR IZ
SUBJECT: TERRORIST FINANCE: DUTCH PERSPECTIVES ON ADDING
NCR/NCRI AS AN AKA FOR MEK

REF: A. STATE 240844

B. 02 THE HAGUE 2642

Classified By: DCM Daniel R. Russel Reason 1.5(b) and (d)


1. (C/NF) Summary: Given the EU's 2002 decision not to
designate NCR/NCRI, the Dutch believe the USG will have to
present more evidence of NCR/NCRI ties with MEK before Europe
is ready to reconsider this decision. Meanwhile, the Dutch
have noted indications of MEK fundraising in the Netherlands
via a front group, Solidariteit met Iraanse Mensen (SIM).
However, they state they have insufficient proof to move
forward with a SIM designation. End Summary.


2. (SBU) The Dutch reacted to our demarche (ref a) by
suggesting that to gain agreement in the EU to designate
NCR/NCRI, the USG would need to provide more detailed
information indicating these organizations are aliases for
Mujahedin-e Khalq. According to the Dutch MFA, an EU
clearinghouse meeting has not yet been scheduled but
expectations are the Italian presidency will soon call one to
consider KADEK.


3. (C) Post notes that the EU considered MEK, NCRI, and NCR
in September 2002 (ref b) and after some consideration
decided deliberately to list only MEK.


4. (U) The annual report of the Dutch security service
(AIVD) indicates that "In the Netherlands, umbrella
organizations of the MKO (Dutch acronynm for MEK) have been
active in fundraising, political lobbying, and recruiting new
sympathizers for, among other things, the struggle with Iran.
In (the Netherlands),the foundation Solidariteit met
Iraanse Mensen (SIM -- Solidarity with the Iranian People)
collects money for the MKO. From the AIVD's investigations,
it became apparent that the allocation of the funds
maintaining and arming the MKO is in conflict with the
objectives stated by the SIM. In the guise of providing
support to orphaned children in Iran or children who are
otherwise suffering or have suffered under the iranian
regime, the SIM attempts to move (convince) people to give
generously. Whereas SIM previously limited itself to
fundraising in public areas (collecting in shopping malls),a
shift can now be seen toward a direct personal approach of
potential contributors."


5. (C/NF) MFA officials told Econoff that although the AIVD
report is definitive in its conclusions, it is backed up with
insufficient factual evidence to justify a Dutch designation
of SIM. MFA told us the AIVD had hoped that a strong public
statement in itself would cause SIM to scaleback its
activities here. There is little indication this has taken
place.
SOBEL