TERRORIST FINANCE: VIEW ON POTENTIAL DESIGNATIONS

S E C R E T ISLAMABAD 003117 SIPDIS NOFORN SIPDIS DEPT FOR EB/ESC/TFS; S/CT; TREASURY FOR A/S JANICE GARDNER, ROBERT WARNER, PATRICK HEFFERNAN; NSC FOR TODD HINNEN E.O. 12958: DECL: 02/21/2020 TAGS: EFIN CVIS ETTC KTFN PREL PTER PK SUBJECT: TERRORIST FINANCE: VIEW ON POTENTIAL DESIGNATIONS OF PROMINENT INCITERS REF: STATE 24367 Classified By: Derived from DSCG 05-01, b and d ¶1. (S/NF) Post welcomes intiative described reftel to target prominent inciters of terrorist acts. Should these test cases prove successful, we believe that a number of individuals from terrorist and militant organizations in Pakistan would make appropriate targets for future consideration. Post looks forward to consultation with Department on derivation of other possible designees under this provision. ¶2. (S/NF) While Muhammad Adil Khan is not/not one of the senior Harakatul Mujahidden or Harakat-ul-Jihad-i-Islami leaders, we believe that he continues to play a critical role for these (and possibly other terrorist/militant organizations) as a fundraiser and recruiter. Sufficiently strong ties (reftel) clearly exist for his designation as a prominent inciter of terrorism. Post does not believe that the GOP would have any strong objections to Adil Khan's designation per se. Both HUM and HUJI are banned by the GOP and operatives from each were detained as part of Musharraf's crackdown on extremist organizations. The GOP may, however, object to the overall notion of designating prominent inciters. It has historically pressed for relatively narrow parameters for designation (likely hoping to keep some prominent Kashmiri groups and individuals from the lists). We have no reason to believe that designation would unduly raise Adil Khan's prominence. His publicized deportation from the United States has already made him a well-known figure in extremist circles, and we do not believe designation would increase his following. ¶3. (S/NF) It is unclear what specific impact the solitary designation of Adil Khan would have on either HUJI or HUM operations. Adil Khan's activities on behalf of these organizations are already theoretically banned under Pakistani law. Most fundraising operations are conducted in cash and would not be easily traceable by law enforcement for seizure. In addition, we are uncertain that the GOP would aggressively pursue Adil Khan's personal assets, and we have no evidence that he has significant seizable assets in other countries. For this reason, we would strongly urge that this designation go forward only as the first in a series of sanctions against HUM and HUJI officials designed to maintain pressure on these organizations. CROCKER