DEMARCHE TO SPAIN ON DESIGNATIONS OF IRANIAN

C O N F I D E N T I A L MADRID 002040

SIPDIS

SIPDIS

FOR S, ISN, T, EUR, EAP AND NEA

E.O. 12958: DECL: 10/26/2012
TAGS: PREL KNNP IR PARM EFIN SP
SUBJECT: DEMARCHE TO SPAIN ON DESIGNATIONS OF IRANIAN
ENTITIES AND INDIVIDUALS-CORRECTED COPY

REF: REF: STATE 148605

Classified By: Deputy Chief of Mission, Hugo Llorens, Reason: 1.5 (b) a
nd (d)


1. (C) On 10/26/07, DCM spoke with Ministry of Foreign
Affairs Secretary of State Bernadino Leon about the new Iran
sanctions. Leon was quite aware of Secretary Rice's and
Secretary Paulson's 10/25/07 press conference from media

SIPDIS
reports. He said that Spain supported U.S. leadership in
dealing with Iran's possible acquisition of nuclear weapons
and understood and supported the additional sanctions adopted
by the U.S. Leon emphasized that Spain was in full
compliance with UNSCRs 1737 and 1747. He added that the
Spanish government had successfully discouraged several
promising commercial deals with Iran that arguably were not
covered by the resolutions so that Spain was implementing the
spirit, as well as the letter, of the resolutions. Leon said
that he would study the non-paper and fact sheet carefully.
He noted that in the coming days and weeks, Spain would be
conferring with EU partners on additional sanctions against
Iran, and that the EU consultations would include the U.S.
and other UN members. Leon said that he would be pleased to
talk to the Ambassador and DCM about this matter in the
coming weeks. DCM also raised this issue with Alvaro San
Martin, Chief of Staff to Ministry of Finance Secretary of
State David Vergara. San Martin appreciated the critical
importance of the U.S. action, and that it would be raised to
the ministerial level. On 10/25/07, Second Vice President
and Finance Minister Pedro Solbes was in parliament defending
the budget. Reftel non-paper and fact sheet were delivered
to the Ministry of Foreign Affairs and the Ministry of
Finance on 10/25/07. We also provided the documents to
Ministry of Industry, Tourism and Trade Secretary of State
Pedro Mejia on 10/26/07. Mejia has the lead within the GOS
for coordinating Iran financial sanctions.


2. (C) In the coming weeks, Ambassador/DCM will seek
additional information on GOS views on this matter with
Foreign Minister Moratinos, Second Vice President and Finance
Minister Pedro Solbes, and Secretary of State Pedro Mejia.
Mejia's role in this will be critical because, as a practical
matter, he has the lead in terms of developing the details of
Spain's position on Iran financial sanctions, as well as the
application of the sanctions.


AGUIRRE