KUWAIT SEEKING INDEPENDENT AUDITOR FOR CHARITABLE

UNCLAS KUWAIT 004056

SIPDIS

SENSITIVE

FOR NEA/ARPI

E.O. 12958: N/A
TAGS: PTER EFIN PREL PGOV ETTC KU TERROR FINANCE
SUBJECT: KUWAIT SEEKING INDEPENDENT AUDITOR FOR CHARITABLE
ORGANIZATIONS

REF: A. KUWAIT 3831

B. KUWAIT 3393

(U) Sensitive but unclassified. Protect accordingly.


1. (SBU) The Ambassador used a September 12 meeting on
other issues (septels) to inform Minister of Social Affairs
and Labor Faisal Al-Hajji of the September 20-23 visit of
Department of Treasury Director of Foreign Assets Control
(OFAC) Robert Werner. He told the Minister that among the
issues of interest to OFAC was oversight of charitable
organizations and how they spend collected funds. The
Ambassador also advised the Minister of a Central Bank
recommendation to hire an auditor for this function (ref A).
Al-Hajji reported that the GOK had issued a tender for
independent auditors for charities and shared U.S. concerns
about the need for effective monitoring of charitable
spending. He further assured the Ambassador that the GOK was
paying close attention to Kuwaiti charities, and reports of
misuse of funds could usually be attributed to improprieties
committed by representatives hired by the charities and not
the organizations themselves.


2. (U) The Ambassador asked the Minister to meet with OFAC
Director Werner. The Minister agreed readily.

*********************************************
Visit Embassy Kuwait's Classified Website:
http://www.state.sgov.gov/p/nea/kuwait/

You can also access this site through the
State Department's Classified SIPRNET website
*********************************************

LEBARON