Identifier
Created
Classification
Origin
07ROME2143
2007-10-05 16:56:00
SECRET
Embassy Rome
Cable title:
TERRORIST FINANCE: ITALIANS STILL NOT ON BOARD
how-toVZCZCXYZ0000 RR RUEHWEB DE RUEHRO #2143 2781656 ZNY SSSSS ZZH R 051656Z OCT 07 FM AMEMBASSY ROME TO RUEHC/SECSTATE WASHDC 9205 INFO RUEHRL/AMEMBASSY BERLIN 1792 RUEHLO/AMEMBASSY LONDON 1416 RUEHOT/AMEMBASSY OTTAWA 1768 RUEHFR/AMEMBASSY PARIS 2339 RUEHKO/AMEMBASSY TOKYO 1905 RUEATRS/DEPT OF TREASURY WASHDC RUCNDT/USMISSION USUN NEW YORK 0807
S E C R E T ROME 002143
SIPDIS
SIPDIS
E.O. 12958: DECL: 10/02/2017
TAGS: KTFN EFIN ETTC PREL PTER IT IR
SUBJECT: TERRORIST FINANCE: ITALIANS STILL NOT ON BOARD
WITH FATF UNSCR 1737 GUIDANCE AND CLOSE TO MOVING TO DELIST
NASREDDIN
REF: A. ROME 2032
B. LAMBERT-HUTCHINGS(NOTAL) EMAIL
C. SECSTATE 136475
Classified By: ECONCOUNS William R. Meara
for reasons 1.4 (b. and d.)
S E C R E T ROME 002143
SIPDIS
SIPDIS
E.O. 12958: DECL: 10/02/2017
TAGS: KTFN EFIN ETTC PREL PTER IT IR
SUBJECT: TERRORIST FINANCE: ITALIANS STILL NOT ON BOARD
WITH FATF UNSCR 1737 GUIDANCE AND CLOSE TO MOVING TO DELIST
NASREDDIN
REF: A. ROME 2032
B. LAMBERT-HUTCHINGS(NOTAL) EMAIL
C. SECSTATE 136475
Classified By: ECONCOUNS William R. Meara
for reasons 1.4 (b. and d.)
1. (S) Summary: An Italian Ministry of Finance official
predicted lengthy discussions on UNSCR 1737 (Iran)
implementation at the October 12 Financial Action Task Force
(FATF) plenary in Paris. Italian officials are also close to
announcing a decision to approve delisting Italian national
Nasreddin from the 1267 Sanctions List, but as of October 5
the GOI is still deliberating. Ministry of Finance officials
had hoped to announce their position on delisting in New York
next week, but are still reviewing information and ensuring
necessary internal procedures are completed. The Italian
government is investigating the five Saudi nationals (Ref C),
but said they had no information at this time. End Summary.
2. (S) On October 2, Roberto Ciciani, head of the Financial
Crimes Prevention Unit at the Ministry of Finance and lead
Italian negotiator on FATF- Working Group on Terrorist
Financing and Money Laundering (WGTM) told Econoff that there
were still differences among FATF countries over the guidance
FATF would issue on implementing the financial sanctions
against Iran as mandated in UNSCR 1737. Ciciani predicted
protracted negotiations over the paragraphs involving core
controls, letters of credit, and loan agreements. His office
is also waiting to hear the results of FATF's consultations
with the private sector concerning the procedures proposed in
the draft paper. Comment: Ciciani's anxiety over how to
enforce existing financial sanctions on Iran could signal
deeper Italian uneasiness about additional Security Council
or FATF actions, such as Recommendation 21 (Ref A) against
Iran. End Comment.
3. (S) Ciciani had told Econoff that Italy would likely take
a decision to de-list Italian National Nasreddin from
the 1267 Sanctions List on October 2 (Ref A). Noting that
they had referred the case to a judicial magistrate
in Milan, Ciciani said the magistrate had ruled last week
that there was not enough evidence against
Nasreddin to warrant his remaining on the sanctions list. As
a result of this ruling, he believed the GOI
committee charged with making the delisting decision would
formally agree to support delisting on October 3.
Ciciani asked to be kept updated on the USG position, because
it will influence the GOI's decision.
4. (S) After receiving Ref B email, Econoff informed the
Ministry of Finance and Ministry of Foreign Affairs that the
USG had "tentatively decided" to delist Nasreddin. Econoff
followed up with Maria Paola Suppa in Ciciani's office on
October 4 and 5, and was informed that the Italian committee
was still reviewing the case and had not yet made a decision.
Suppa said the delay was a result of internal GOI procedure
and hoped to have a decision next week. Suppa promised to
inform Econoff as soon as a decision was made and asked to be
kept updated on the USG position.
5. (S) Ciciani affirmed that the GOI will follow UNSCR
Sanctions policy should Nasreddin remain
on the sanctions list. He added that he personally believed
Nasreddin should be taken off the list in order
to preserve the integrity of the Focal Point process and the
1267 Sanctions List. The committee will
also likely recommend delisting all of Nasreddin's
associates. Commenting on the irony of the case, Ciciani
said that the mechanisms put in place to monitor Nasreddin
produced the evidence the magistrate used to rule
for de-listing. However, Ciciani also pointed out that
anti-money laundering regulations will be better
enforced as a result of lessons learned from this case.
6. (S) On October 2, Econoff delivered Ref C demarche
concerning the five Saudi nationals. Ciciani had no
substantive comment on the names, but said he would follow-up
as appropriate and pass any information they found. Suppa
told Econoff on October 5 that she had disseminated the names
through her internal working group and to date no information
had been found.
BORG
SIPDIS
SIPDIS
E.O. 12958: DECL: 10/02/2017
TAGS: KTFN EFIN ETTC PREL PTER IT IR
SUBJECT: TERRORIST FINANCE: ITALIANS STILL NOT ON BOARD
WITH FATF UNSCR 1737 GUIDANCE AND CLOSE TO MOVING TO DELIST
NASREDDIN
REF: A. ROME 2032
B. LAMBERT-HUTCHINGS(NOTAL) EMAIL
C. SECSTATE 136475
Classified By: ECONCOUNS William R. Meara
for reasons 1.4 (b. and d.)
1. (S) Summary: An Italian Ministry of Finance official
predicted lengthy discussions on UNSCR 1737 (Iran)
implementation at the October 12 Financial Action Task Force
(FATF) plenary in Paris. Italian officials are also close to
announcing a decision to approve delisting Italian national
Nasreddin from the 1267 Sanctions List, but as of October 5
the GOI is still deliberating. Ministry of Finance officials
had hoped to announce their position on delisting in New York
next week, but are still reviewing information and ensuring
necessary internal procedures are completed. The Italian
government is investigating the five Saudi nationals (Ref C),
but said they had no information at this time. End Summary.
2. (S) On October 2, Roberto Ciciani, head of the Financial
Crimes Prevention Unit at the Ministry of Finance and lead
Italian negotiator on FATF- Working Group on Terrorist
Financing and Money Laundering (WGTM) told Econoff that there
were still differences among FATF countries over the guidance
FATF would issue on implementing the financial sanctions
against Iran as mandated in UNSCR 1737. Ciciani predicted
protracted negotiations over the paragraphs involving core
controls, letters of credit, and loan agreements. His office
is also waiting to hear the results of FATF's consultations
with the private sector concerning the procedures proposed in
the draft paper. Comment: Ciciani's anxiety over how to
enforce existing financial sanctions on Iran could signal
deeper Italian uneasiness about additional Security Council
or FATF actions, such as Recommendation 21 (Ref A) against
Iran. End Comment.
3. (S) Ciciani had told Econoff that Italy would likely take
a decision to de-list Italian National Nasreddin from
the 1267 Sanctions List on October 2 (Ref A). Noting that
they had referred the case to a judicial magistrate
in Milan, Ciciani said the magistrate had ruled last week
that there was not enough evidence against
Nasreddin to warrant his remaining on the sanctions list. As
a result of this ruling, he believed the GOI
committee charged with making the delisting decision would
formally agree to support delisting on October 3.
Ciciani asked to be kept updated on the USG position, because
it will influence the GOI's decision.
4. (S) After receiving Ref B email, Econoff informed the
Ministry of Finance and Ministry of Foreign Affairs that the
USG had "tentatively decided" to delist Nasreddin. Econoff
followed up with Maria Paola Suppa in Ciciani's office on
October 4 and 5, and was informed that the Italian committee
was still reviewing the case and had not yet made a decision.
Suppa said the delay was a result of internal GOI procedure
and hoped to have a decision next week. Suppa promised to
inform Econoff as soon as a decision was made and asked to be
kept updated on the USG position.
5. (S) Ciciani affirmed that the GOI will follow UNSCR
Sanctions policy should Nasreddin remain
on the sanctions list. He added that he personally believed
Nasreddin should be taken off the list in order
to preserve the integrity of the Focal Point process and the
1267 Sanctions List. The committee will
also likely recommend delisting all of Nasreddin's
associates. Commenting on the irony of the case, Ciciani
said that the mechanisms put in place to monitor Nasreddin
produced the evidence the magistrate used to rule
for de-listing. However, Ciciani also pointed out that
anti-money laundering regulations will be better
enforced as a result of lessons learned from this case.
6. (S) On October 2, Econoff delivered Ref C demarche
concerning the five Saudi nationals. Ciciani had no
substantive comment on the names, but said he would follow-up
as appropriate and pass any information they found. Suppa
told Econoff on October 5 that she had disseminated the names
through her internal working group and to date no information
had been found.
BORG