MEDIA REACTION IRAN IRAQ VISIT OF A/S OF THE

UNCLAS BUENOS AIRES 000573

SIPDIS

STATE FOR INR/R/MR, I/GWHA, WHA, WHA/PDA, WHA/BSC,
WHA/EPSC
CDR USSOCOM FOR J-2 IAD/LAMA

SIPDIS

E.O. 12958: N/A
TAGS: KPAO OPRC KMDR PREL MEDIA REACTION
SUBJECT: MEDIA REACTION IRAN IRAQ VISIT OF A/S OF THE
TREASURY FOR TERRORIST FINANCING PATRICK O'BRIEN TO
BUENOS AIRES 03/10/06 FREE TRADE



1. SUMMARY STATEMENT

All major local newspapers cover the press conference
with Patrick O'Brien, US Assistant Secretary of
Treasury for Terrorist Financing, at the US Embassy in
Buenos Aires as well as his meetings with members of
the Argentine government. Papers highlight that, in
spite of the fact that A/S O'Brien acknowledged the
Argentine Government's real commitment in the fight
against terrorism, he urged Argentine officials to
work on updating legislation to bring the country into
greater compliance with international standards.
Business-financial, center-right "InfoBae" front-pages
"New alert on the Tri-border. US Treasury official
raised concerning issue."


2. OPINION PIECES AND KEY STORIES

- "The UN Security Council has a long road ahead"

Alberto Armendariz, New York-based correspondent for
daily-of-record "La Nacion," comments (03/10) "While
the US and Iran increased the tone of their rhetorical
clash on the controversial Iranian nuclear program,
the UN Security Council is still far from imposing
sanctions or other punishment on the Tehran regime.

"Argentine Ambassador to the UN Cesar Mayoral told 'La
Nacion' that 'There is still a road of negotiations
ahead'... 'There are different speeds to deal with
this subject and countries have different stances on
it.'

"... A European diplomat told 'La Nacion' 'It is too
soon to speak of sanctions. The range of options is
still broad.' 'We have to see this as a step-by-step
process. The Council should carefully analyze which is
the most effective way to make Iran honor the
International Atomic Energy Agency (IAEA)'s
requirements and abandon its enriched uranium program
once and for all.'"

- "The US criticizes the same monster it created in
Iraq"

Left-of-center "Pagina 12" reports (03/10) "Tell me
who teaches you and I will tell you who you are."
Three years after the US troops invaded Iraq to 'put
an end to human rights violations' committed by the
previous regime, the US State Department Report on
Human Rights practices sustains that Iraq is merged in
violence and ill treatment, ranging from murders to
arbitrary detentions and torture.

"The document points out that the worst human rights
violations in Iraq, a country occupied by 130,000 US
troops, are those committed by police officers and
some groups within the new Iraqi army. Ironically
enough, the new Iraqi army was trained by US troops,
who have been accused of using torture at the
Guantanamo navy base in Cuba.

"However, this is not all: Abu Ghraib prison, the most
renowned example of those crimes in Iraq, will be
closed and detainees will be transferred to other
institutions.

"The US State Department's Annual Human Rights Report
does nothing else but reveals the Bush
administration's defeat in Iraq and its failed attempt
of stabilization."

- "According to the US, there is still terrorist
financing at the Tri-Border"

Natasha Niebieskikwiat, columnist of leading "Clarin,"
comments (03/10) "Buenos Aires received a clear
message from Washington, in the person of US Assistant
Secretary of the Treasury for Terrorist Financing,

SIPDIS
Patrick O'Brien, who... said 'There are still
terrorist financing activities in the Tri-border
area.'

"... After acknowledging 'the major efforts and joint
actions undertaken' by Brazil, Argentina and Paraguay,
and that the Argentine Government showed 'real


commitment' in the fight against terrorism, he
confirmed that the action promoted in the area
initially targeted Hezbollah. During a press
conference at the US Embassy in Buenos Aires, O'Brien
added that 'Obviously, there are many global terrorist
organizations.'"

- "They ask for criminalization of terrorist finance"

Daily-of-record "La Nacion" (03/10) "The US has again
acknowledged Argentine cooperation in the anti-terror
fight, but a visiting US official warned that
Argentina should bring its legal framework into
greater compliance with international standards.

"Patrick O'Brien, Assistant Secretary of the Treasury
Department for Terrorist Financing, assured that
terrorism should be criminalized and that anti-money
laundering legislation should also be updated.

"O'Brien participated in the Regional Summit on
Prevention of Terrorist Financing, which was sponsored
by the Central Bank. After this, during a press
conference at the US Embassy, he added that 'progress
and momentum in this regard should be advanced to
update anti-money laundering legislation and meet
international commitments.'"

- "US official: 'Terrorist Funds at Triple Border'

Liberal, English-language "Buenos Aires Herald"
reports (03/10) "Patrick O'Brien, Assistant Secretary
of the Treasury for Terrorist Financing, said
yesterday that 'there are still terrorist funding
activities in the Triple Frontier region' between
Argentina, Brazil and Paraguay. During a press
conference, he added that 'vulnerabilities' that had
been found in 2004 still existed, but stressed there
had been advances in the fight against terrorism. He
praised Argentina, Paraguay and Brazil for their
efforts to curb terrorism funding, adding that those
efforts 'were bearing fruit.'"

- "Tri-border, in the US spotlight"

Mara Laudonia, columnist of business-financial, center-
right "InfoBae," writes (03/10) "The USG revealed that
terrorist financing activities continue at the Tri-
border two years after it detected irregularities in
this regard.

"During a press conference at the US Embassy in
Argentina, US Assistant Secretary of the Treasury for
Terrorist Financing Patrick O'Brien sustained that
'Clearly, vulnerabilities that existed at that time
(year 2004) are still present, and we believe that
there is still terrorist financing activity' in the
Tri-border."

- "According to the US, Argentina is still vulnerable
on anti-money laundering procedures"

Clara Agustoni, columnist of business-financial "El
Cronista," writes (03/10) "A senior US Treasury
official in charge of the fight on Terrorist Financing
at the US Treasury Department, Patrick O'Brien,
assured yesterday that Argentina is still vulnerable
to financial crimes, and that some changes should be
made in legislation to bring the country into greater
compliance with international standards.

"'The US Treasury Department has publicly expressed
its concern on terrorist financing activities in the
Tri-border area in June 2004. The vulnerabilities that
existed at that time are still present and we believe
that there is still terrorist financing activity."

- "Terrorism - complaints over a law that could impair
banks"

Pablo Wende, columnist of business-financial "Ambito
Financiero," comments (03/10) "Yesterday, Martin
Redrado warned that a US law aimed at preventing
terrorist financing is harming Argentine banks. The
Central Bank head assured that 'We face a risk of
discrimination that should be avoided.'



"Redrado talked about the questioning unleashed in the
local financial system by the enforcement of the US
Patriot Act, which was passed by the US Congress in
November 2001, two months after the September 11
attacks. He said this in public, but also in private
during a meeting with A/S of the Treasury for
Terrorist Financing Patrick O'Brien.

"Redrado explained that, as a consequence of the
strong monitoring the USG requests from banking
institutions, 200 out of 700 total correspondent
accounts for Argentine banks at US institutions had to
be closed between December 2001 and September 2005. As
for exchange houses, the result was even worse - 60%
of the accounts they had at US banks were closed over
this period."

- "Washington asks to update anti-terror legislation"

Conservative "La Prensa" (03/10) "According to the
White House's official in charge of financial crimes
related to terrorist financing, the USG believes
Argentina still has to update its anti-terrorist
financing legislation, and it concludes that the Tri-

border region is a vulnerable point in this regard.

"Patrick O'Brien, Assistant Secretary of the Treasury
for Terrorist financing, pointed out 'The fact that
international treaties against terrorism were ratified
reveals a real commitment on behalf of authorities,
but there is much that needs to be done to enforce
those treaties.'

"O'Brien arrived in Argentina on Wednesday and
attended a regional terrorist finance conference
sponsored by the Central Bank of Argentina.

"During a press conference at the US Embassy, O'Brien
highlighted that other measures should still be
adopted, such as criminalizing terrorist financing and
updating anti-money laundering laws."

- "According to the US, a US-Uruguayan FTA is not a US
priority"

Business-financial "Ambito Financiero" reports (03/10)
"According to US Assistant Secretary for Western
Hemisphere Affairs Thomas Shannon, the negotiation of
an FTA between the US and Uruguay is not included in
the USG immediate agenda.

"A/S Shannon told weekly Busqueda that the possible
signature of an FTA between the US and Uruguay largely
depends on the smoothness with which the USG reaches
similar deals with other Latin American countries.

"... Shannon said that the Bush administration
believes that an FTAA and free trade deals with the
Mercosur countries are an important part of the US
future and that of the hemisphere."

To see more Buenos Aires reporting, visit our
classified website at:
http://www.state.sqov.gov/p/wha/buenosaires

The Media Reaction Report reflects articles and
opinions by the cited news media and do not
necessarily reflect U.S. Embassy policy or views. The
Public Affairs Section does not independently verify
information. The report is intended for internal U.S.
Government use only.

GUTIERREZ