ITALY "OPEN" TO ADDITIONAL EU DESIGNATIONS OF

C O N F I D E N T I A L ROME 002394 SIPDIS SIPDIS PLEASE PASS TO NEA, EUR, EEB, ISN AND P E.O. 12958: DECL: 11/29/2017 TAGS: KNNP MNUC PARM SUBJECT: ITALY "OPEN" TO ADDITIONAL EU DESIGNATIONS OF IRANIAN ENTITIES AND INDIVIDUALS REF: SECSTATE 160808 Classified By: Econ Counselor William R. Meara for Reasons 1.4 (b) an d (d). ¶1. (C) Taking advantage of Undersecretary of the Treasury Stuart Levey's 11/28 visit to Rome, Post asked U/S Levey to include reftel points with senior Ministry of Foreign Affairs and Ministry of Finance officials. (U/S Levey's visit will be reported septel.) ¶2. (C) MFA Political Guilio Terzi and Director General for Mediterranean and Middle East Affairs Cesare Ragaglini underscored Italy's preference that additional sanctions on Iran be contained in a new Security Council Resolution, but did not rule out additional EU measures. Terzi said "we are open to individual cases of sanctions," as long as they are based on evidence, and said they would consider supporting additional EU sanctions on Iran. U/S Levey passed the officials information on proliferation-related activities of Banks Melli and Mallat. Ragaglini cautioned that additional measures could serve to strengthen unity within the Iranian regime, turn Iranian public hostility toward the west and the International Community, and harm the existing democratic opposition. Terzi said that there was growing concern in the Italian government over Iranian actions (and said they would seriously consider the points handed over by U/S Levey). ¶3. (C) Ministry of Finance Director General of the Treasury Vittorio Grilli and Director General for Financial Crimes Guiseppe Maresca offered little reaction to U/S Levey's request for Italian support at the GAERC. ¶4. (U) Note: U/S Levey did not have an opportunity to clear on this cable. SPOGLI