TERRORIST FINANCE: SAG ON ABOUSOFIAN, YASSIN

C O N F I D E N T I A L RIYADH 007058

SIPDIS

SIPDIS

E.O. 12958: DECL: 09/06/2016
TAGS: EFIN KFTN PREL PTER ETTC SA ID RP
SUBJECT: TERRORIST FINANCE: SAG ON ABOUSOFIAN, YASSIN
AL-QADI AND IIRO INDONESIA

REF: A. STATE 134981

B. RIYADH 6666

C. ANKARA 5001

Classified By: DCM Michael Gfoeller for reasons 1.4 (B) and (D).


1. (U) This contains an action request at paragraph 6.


2. (C) Summary: MFA's counselor for counterterrorism,
Abdulrahman Al-Ahmed, told us August 29 that it will take
appropriate action on the 1267 Designation of Abousofian
Abdelrazik. He asked for updates on the closing of the IIRO
branch in Indonesia and on our evidence of Yassin Al'Qadi's
UNSC 1267 designation. He indicated that the SAG's High
Commission for Charities is still "under study". End
Summary.


3. (U) On August 29, EconOff met with the MFA's counselor
for counterterrorism, Abdulrahman A. Al-Ahmed, who had
recently returned from the U.S., after taking part in a
training program of counterterrorism issues at the National
Defense University. Approximately 15 other Gulf region
country representatives attended this course.


4. (C) EconOff and Al-Ahmed discussed the July 31 UN 1267
Committee's designation of Abousofian Abdelrazik (reftel A).
Al-Ahmed reiterated the SAG's policy that Saudi Arabia would
take all actions required of it as a UN member state under
the UNSC sanctions resolutions. He specifically mentioned
that SAG agencies would inform financial institutions of
these additions and changes. Furthermore, Al-Ahmed confirmed
the IIRO's Eastern Province Branch was shut down pending a
Ministry of Interior and Saudi Arabian Monetary Agency (SAMA)
investigation. Al-Ahmed inquired about the status of the
IIRO's Indonesia branch and why it was not shut down. He
stated that the SAG heard, "The IIRO Indonesia branch was not
shut down because the Chinese and Americans were negotiating
a deal."


5. (C) EconOff and Al-Ahmed discussed Turkey's highest
court's suspension on July 21 of a five-year old freeze on
the assets of Saudi businessman, Yassin Al'Qadi (reftel B and
C). Al-Ahmed asked for additional information from the U.S.
Government on evidence linking Al'Qadi to terrorist
organizations and financing of those organizations. Al-Ahmed
indicated that approximately one year ago, the Embassy in
Washington, D.C. requested such Saudi information from the
U.S. government through diplomatic channels; however, they
received inadequate information showing the linkage.
Al-Ahmed specifically asked for additional information that
supports Al'Qadi's 1267 designation. Additionally, Al-Ahmed
stressed the importance of this information to the SAG in
case it has to defend itself against a law suit by Al'Qadi.
He stated that the SAG does not have evidence of its own
indicating Al'Qadi is 1267 designation-worthy. Al-Ahmed did
state, that regardless of the evidence on Al'Qadi, the SAG
will abide by and support UNSCR 1267 and any designations
under it, including that of Al'Qadi.


6. (C) Action Request: Please provide Post with
unclassified or declassified information concerning Al'Qadi's

SIPDIS
activities that supported the 1267's committee's designation
of Al'Qadi. End Action Request.


7. (C) EconOff and Al-Ahmed discussed the status of the
SAG's Charity Commission regulations. Al-Ahmed stated that
the high commission has not been set up and is still in
review with SAG's legal advisors. Al-Ahmed referred to the
difficulty in combining Shar'ia law, Zakat, and Western legal
principles. The study has already taken approximately one
year.


8. (C) Comment: The SAG has repeatedly committed to us
that it will comply with UNSCR 1267 by freezing assets and
banning travel, and it does so. However, the SAG is looking
for our help in getting detailed information, beyond that
supplied to the UN 1267 Committee. EconOff's impression is
that the SAG will comply with the 1267 Designations, but they
are not wholly supportive and do not believe that some of the
designations are legitimate.
GFOELLER