TERRORISM FINANCE: UK DOES NOT INTEND TO REQUEST

C O N F I D E N T I A L LONDON 005956

SIPDIS

SIPDIS

STATE FOR EB/ESC/TFS YORKS, EUR/PGI REASOR, EUR/UBI ROY,
S/CT KUSHNER,
TREASURY FOR MENDELSOHN
NSC FOR HINNEN

E.O. 12958: DECL: 08/13/2016
TAGS: ETTC KTFN PTER PREL EU UK
SUBJECT: TERRORISM FINANCE: UK DOES NOT INTEND TO REQUEST
UN DESIGNATION FOR TERROR PLOTTERS

REF: 8/11 LONDON DAILY REPORT

Classified By: Economic Counselor Sandra Clark for reasons 1.5 (b) and
(d)


1. (C) Summary: The UK does not intend to request a UN 1267
designation in the short term for the nineteen suspects
associated with the failed aircraft terror plot whose assets
were frozen by the Bank of England on August 11 (reftel).
According to HM Treasury officials, the decision not to
pursue a UN designation stems from a desire not to overburden
the UK security services and from indications that the
nineteen individuals do not have any assets overseas. End
Summary.


2. (C) According to Patrick Guthrie, Head of the Financial
Sanctions Unit at HM Treasury, the government has decided not
to pursue an immediate UN 1267 designation of the 19
individuals whose assets were frozen by the Bank of England
on August 11 (for a complete listing, see
http://www.bankofengland.co.uk/publications/
financialsanctions/sanctions060811.pdf). According to
Guthrie, the UK's Terrorism Finance Action Group decided not
to pursue a UN designation at present for two reasons.
First, it was decided that preparing the statements of case
for a UN designation would put too much strain on the
security services' limited resources. He added that their
energies were better directed at further investigating the
foiled plot in the hope of uncovering additional leads. In
this regard, Guthrie noted that the designation was based on
domestic legislation implementing UNSCR 1373 which allows the
Chancellor to order the freezing of assets based on
"reasonable grounds to suspect" links to terrorism. A UN
designation would require the security services to
demonstrate a link to al-Qaeda -- something that might not be
easy in the context of the rapidly evolving investigation.
Second, Guthrie said that, based on an initial review, HMG
was not aware of any of the designated individuals having any
assets overseas, meaning that a UN designation would have
limited operational value.


3. (C) Guthrie added that a decision not to pursue a UN
designation now did not mean that the UK would not seek one
in due course. He also said that he was quite pleased that
the "UK has in place a proactive regime that allowed it to
react so quickly and to make a real difference."

Visit London's Classified Website:
http://www.state.sgov.gov/p/eur/london/index. cfm
Tuttle