CONGRESSMAN CROWLEY MEETS WITH MFA MORSHED KHAN

UNCLAS SECTION 01 OF 02 DHAKA 001107 SIPDIS SIPDIS SENSITIVE E.O. 12958: N/A TAGS: PREL KDEM ETRD PTER IR BG SUBJECT: CONGRESSMAN CROWLEY MEETS WITH MFA MORSHED KHAN REF: STATE 199225 ¶1. (SBU) Summary: Congressman Crowley met with Morshed Khan and discussed terrorism, elections, protection of minorities, the BDG economy and corruption, and possible reductions in US AID funding. Khan reviewed the BDG's positive actions on counterterrorism, expressed optimism about the elections, said the BDG told Iran its reservations about Iran's remarks towards Israel, and expressed disappointment that the BDG does not get credit from the international community for its efforts in fighting corruption. End Summary. ¶2. (SBU) On February 22, Congressman Joseph Crowley met with Minister of Foreign Affairs Morshed Khan. MFA Director General Md. Shahidul Islam, Committee on International Relations professional staff member Robin Roizman, Charge d'Affaires, control officer, and poloff (note taker) were also present for the 45 minute meeting. ¶3. (SBU) Crowley told Khan that the State Department sponsored his visit and wanted to raise concerns regarding terrorism, elections, protection of minorities, the economy and corruption, the Millennium Challenge Account (MCA),and possible reduction in USAID funding. ¶4. (SBU) In regards to terrorism, Khan said it is important that the Congressional caucus know that: --Prime Minister Zia is in charge and the crackdown against the terrorists is going well --Police have captured most of JMB's foot solders --Despite the porous borders with India and Burma that enable criminals to operate freely, police have discovered arms caches --Every Friday, the BDG has ensured that worshippers are told that suicide bombers are non-Muslims and that violence goes against the tenets of Islam Khan assured Crowley that the BDG wants to do even more; however, "we have limited resources." ¶5. (SBU) On elections, Khan said that the BDG "has an excellent track record" with its caretaker system, which has been agreed upon by all parties. He defended the creation of new voter lists saying that in the rural areas voter fraud is difficult to commit as everyone knows who is a voter. He accepted Crowley's statement that police protection of Ahmadiyyas from demonstrators was "good," but acknowledged reports of minority persecution, particularly land-grabbing directed against minorities, and said that he asked the Land Ministry for a full report. Khan decried the hartals, saying that economic growth would be double without them, lamented the lack of investment in the power generation sector, but noted that while the Prime Minister has implemented her economic programs well, "foreign encouragement is far short of expectations." ¶6. (SBU) Turning to international relations, Khan expressed his surprise at Iranian statements that "some countries should be taken off the map" and "we have privately expressed our (negative) feeling about Iran's statement." Khan continued, saying that the BDG has sent people to India to attempt to improve relations, but "India is too busy with its western and northern borders" to focus on Bangladesh. He said he wanted to improve Bangladesh's trade deficit with "overly protected" India, saying that there is $1.6 billion in legal imports from India, but $3 billion in illegal imports. Both figures dwarf Bangladesh's $160 million exports to India. ¶7. (SBU) Crowley raised corruption, giving an example of Motorola's recent bid on a BDG tender for police radios. He said despite Motorola's apparently successful bid, the tender may be reissued. Crowley said actions like these added to USA companies' perceptions that "business here is difficult." Khan dodged the issue, saying that the real problem is the free press, whose reports on corruption only increase the perception that there is corruption. ¶8. (SBU) Crowley warned about possible reductions in USAID funding. Funding from the Millennium Challenge Account (MCA) could help offset these reductions; however, the BDG's failure to take concrete action to address corruption DHAKA 00001107 002 OF 002 prevents Bangladesh from qualifying for MCA funds, effectively imposing a double-hit loss of US development funding. Khan said that the BDG has done many good things, but fails to get sufficient encouragement from the international community. He said, "we always feel we are neglected." ¶9. (U) Congressman Crowley has cleared this message. CHAMMAS