Identifier
Created
Classification
Origin
07BAGHDAD1293
2007-04-15 11:05:00
CONFIDENTIAL
Embassy Baghdad
Cable title:
PRESIDENTIAL MONEY TRANSFERS IN IRAQ
how-toVZCZCXRO6000 RR RUEHBC RUEHDE RUEHIHL RUEHKUK DE RUEHGB #1293 1051105 ZNY CCCCC ZZH R 151105Z APR 07 FM AMEMBASSY BAGHDAD TO RUEHC/SECSTATE WASHDC 0732 INFO RUCNRAQ/IRAQ COLLECTIVE RUEATRS/DEPT OF TREASURY WASHDC
C O N F I D E N T I A L BAGHDAD 001293
SIPDIS
SIPDIS
E.O. 12958: DECL: 04/14/2017
TAGS: ECON EFIN IZ
SUBJECT: PRESIDENTIAL MONEY TRANSFERS IN IRAQ
Classified By: Economic Minister-Counselor Daniel Weygandt for reasons
1.4 (b) and (d).
C O N F I D E N T I A L BAGHDAD 001293
SIPDIS
SIPDIS
E.O. 12958: DECL: 04/14/2017
TAGS: ECON EFIN IZ
SUBJECT: PRESIDENTIAL MONEY TRANSFERS IN IRAQ
Classified By: Economic Minister-Counselor Daniel Weygandt for reasons
1.4 (b) and (d).
1. (C) One of Iraqi President Jalal Talabani's staff members
described how the president transfers money in and out of
Iraq in a meeting with Emboffs on April 11. He said that
international money transfers of $500,000 dollars and up are
usually conducted via informal networks; should the President
need to buy plane tickets for a delegation, for instance, his
staff might call up a Kurdish businessmen in Dubai, discuss
how much is needed, and then 'swap' money, where the Kurdish
businessmen provides the money in Dubai and is paid it back
in Erbil. Sometimes, the staffer noted, he was unable to
find someone in Dubai who needed the amount in Erbil, and
then he resorted to using trusted operators of the 'hawala'
system, which requires the name and passport information of
the sender and receiver, and uses a code number to complete
the transaction. "There's a fee with the 'hawala' system,"
he said "so we prefer to work directly with businessmen we
know."
2. (C) Talabani's aide also wanted to set the record straight
about the large envelopes of foreign cash that Talabani
distributes to his staff when traveling abroad (referenced in
the New Yorker in February). He said they are not in fact
simply large gifts or allowances, but are for all expenses
during the trip including lodging and meals. This is
necessary, he said, because of the cash)based society in
Iraq and the fact that most of his staff do not have credit
cards or bank accounts.
CROCKER
SIPDIS
SIPDIS
E.O. 12958: DECL: 04/14/2017
TAGS: ECON EFIN IZ
SUBJECT: PRESIDENTIAL MONEY TRANSFERS IN IRAQ
Classified By: Economic Minister-Counselor Daniel Weygandt for reasons
1.4 (b) and (d).
1. (C) One of Iraqi President Jalal Talabani's staff members
described how the president transfers money in and out of
Iraq in a meeting with Emboffs on April 11. He said that
international money transfers of $500,000 dollars and up are
usually conducted via informal networks; should the President
need to buy plane tickets for a delegation, for instance, his
staff might call up a Kurdish businessmen in Dubai, discuss
how much is needed, and then 'swap' money, where the Kurdish
businessmen provides the money in Dubai and is paid it back
in Erbil. Sometimes, the staffer noted, he was unable to
find someone in Dubai who needed the amount in Erbil, and
then he resorted to using trusted operators of the 'hawala'
system, which requires the name and passport information of
the sender and receiver, and uses a code number to complete
the transaction. "There's a fee with the 'hawala' system,"
he said "so we prefer to work directly with businessmen we
know."
2. (C) Talabani's aide also wanted to set the record straight
about the large envelopes of foreign cash that Talabani
distributes to his staff when traveling abroad (referenced in
the New Yorker in February). He said they are not in fact
simply large gifts or allowances, but are for all expenses
during the trip including lodging and meals. This is
necessary, he said, because of the cash)based society in
Iraq and the fact that most of his staff do not have credit
cards or bank accounts.
CROCKER