OPERATION BALKAN VICE IV: EU RESPONSE

C O N F I D E N T I A L BRUSSELS 002828 SIPDIS DEPT FOR EUR/SCE, S/WCI TREASURY OFAC E.O. 12958: DECL: 07/01/2014 TAGS: PREL MOPS EFIN ETTC EUN KWAC USEU BRUSSELS SUBJECT: OPERATION BALKAN VICE IV: EU RESPONSE REF: A. SECSTATE 142628 ¶B. USEU BRUSSELS 903 Classified By: Political Officer Maren Smith for reasons 1.5 (b) and (d ). ¶1. (C) We met on June 30 with Council and Commission representatives to discuss ref A demarche. Council Secretariat Director for the Western Balkans, Eastern Europe, SIPDIS and Central Asia Stefan Lehne and desk officer Helene Holm-Pedersen had no comment on the four entities mentioned in our demarche, but did note that the EU had recently added new people -- all of whom were directly linked to Karadzic -- to its visa ban list. They said that asset freezes were unlikely due to EU and member-state legal constraints, but Holm-Pedersen suggested that the incoming Dutch Presidency would take a particularly strong interest in this issue. She added that there is an EU measure in the works relating to the assets of actual indictees (not just supporters or people linked to suspects) (ref B). As it requires formal consultation with the European Parliament, the 13 June elections and consequent changes in the EP have slowed the process. After the EP has been consulted, the measure will return to the Council, where Holm-Pedersen foresaw no problems with its final approval. ¶2. (C) Patrick Rock, External Relations Commissioner Chris Patten's cabinet adviser on Balkans issues, pointed to the 30 June EU statement offering full support for Ashdown's actions in Bosnia earlier in the day and stressing the need for full cooperation with the Tribunal. Regarding visa bans, Rock thought that it was possible that the EU would follow the U.S. and add additional names recommended by Ashdown. He was firm, however, in saying that the EU was not able to freeze assets of ICTY indictee support networks, which he attributed to legal issues in some member states. Although the presidency country could not change member-state law, Rock did feel that the Dutch might be able to take a more active approach and encouraged our raising the issue with them. Rock said that the EU's Western Balkans Working Group (COWEB) would almost certainly consider the demarche at its next meeting and remarked that the UK "could often be helpful." SCHNABEL