NO BULGARIAN INFORMATION ON ADDITIONAL

UNCLAS SOFIA 000307 SIPDIS SENSITIVE SIPDIS DEPT FOR ISN, T, EUR, EAP, NEA DEPT PASS TO TREASURY E.O. 12958: N/A TAGS: PREL KNNP KN PARM BU IR SUBJECT: NO BULGARIAN INFORMATION ON ADDITIONAL DESIGNATIONS OF IRANIAN ENTITIES, BUT VIGILANCE CONTINUES REF: A. A) SECSTATE 19366 ¶B. B) SECSTATE 19372 ¶C. C) SECSTATE 23001 ¶D. D) SECSTATE 24344 ¶1. (SBU) On 19 February, Post delivered ref A information on the additional designations of Iranian entities under E.O. 13382 to Dr. Vasil Kirov, Director of the Bulgarian Financial Agency (FIA). Dr. Kirov is Post's main point of contact for addressing the financial and banking aspects of money laundering, terrorist financing, WMD proliferation, and current UN sanctions programs. We followed up on March 6 to provide a comprehensive summary of U.S. and UN efforts on Iran (refs B-D). ¶2. (SBU) Kirov told us that although no ties to ref A entities have yet been uncovered in the Bulgarian banking sector, the FIA had taken several new steps to address its increased monitoring and reporting obligations, especially in regard to UN resolutions on North Korea and Iran. Since early February 2007, the FIA has been meeting with small groups of banking compliance officers to provide updated guidance and to address concerns and questions of the thirty-five Bulgarian banks. Dr. Kirov stated that because correspondence between the FIA and banks were usually in written form, he viewed the meetings as a perfect opportunity to build closer relationships and cooperation with each bank's compliance office, thereby allowing for closer scrutiny of U.S. or UN designated entities and organizations. In addition, Dr. Kirov continues to promote the U.S. Department of Treasury's Office of Foreign Assets Control (OFAC) website to the compliance officers and has requested that they utilize all sanctions program lists, especially regarding Iran, to report suspicious transactions to the FIA. Post views this as a very positive sign for USG-GOB cooperation on Iran and will continue to build our close working relationship with the FIA. BEYRLE