IRAN,S BANK MARKAZI OPENS NEW ACCOUNTS IN EUROPE

S E C R E T STATE 132904

SIPDIS

SIPDIS

E.O. 12958: DECL: 09/20/2017
TAGS: KNNP MNUC IR BO FR IT UK
SUBJECT: IRAN,S BANK MARKAZI OPENS NEW ACCOUNTS IN EUROPE


Classified By: EUR/PRA Dir. Anita Friedt for reasons 1.4 (b) and (d).


1. (U) This is an action request. Please see paragraph 3.

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SUMMARY
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2. (S) Washington wants to alert authorities in Belarus,
France, Italy, and the United Kingdom that Iran's Central
Bank, Bank Markazi, has opened new accounts in Europe.
Washington requests posts urge appropriate host government
officials in Italy, Belarus, France and the UK to maintain
vigilance with regard to Iranian financial transactions in
their jurisdictions. Governments should be on the lookout
for any Iranian efforts to further their
proliferation-related activities and circumvent UNSCR
sanctions.

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OBJECTIVES/ACTION REQUEST
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3. (S) Washington requests posts deliver the talking points
and non-paper in paragraph 4 to appropriate host government
officials in the foreign affairs and financial ministries.
Post should pursue the following objectives:

-- (S) Alert host government officials to information we
have about Iranian financial activities that are occurring at
banks in their country, and urge appropriate authorities to
investigate such transactions, and to take steps to freeze
any accounts or transactions held or conducted in support of
proliferation-related activities.

-- (S) Urge host governments to maintain increased
vigilance over financial or commercial transactions with
Iranian entities and banks in its jurisdiction.

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BACKGROUND AND NONPAPER
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4. BEGIN SECRET/REL ITALY, FRANCE, BELARUS, UNITED KINGDOM
NON-PAPER:

-- In the spirit of our shared interest in combating the
proliferation of weapons of mass destruction and their means
of delivery, we would like to alert you to ongoing Iranian
financial activity.

-- The U.S. has information that the Central Bank of Iran
(Bank Markazi) opened new accounts as of early August 2007
with banks in (Embassy insert country name).

FOR ITALY ONLY
-- Bank Markazi opened the account at UBAE Arab Italian Bank
SpA, Rome; Currency: British Pound Sterling.

FOR BELARUS ONLY
-- Bank Markazi opened the account at National Bank of the
Republic of Belarus, Minsk; Currency: U.S. dollar, Euro, and
probably a gold deposit account.

FOR FRANCE ONLY
-- Bank Markazi opened the account at Natixis SA, Paris;
Currency: Euro.

FOR UK ONLY
-- Bank Markazi opened the account at Bank Saderat, PLC,
London; Currency: Japanese Yen and Euro.

-- As you know, the UN Security Council unanimously adopted
under Chapter VII UNSCRs 1737 and 1747, which require UN
Member States to apply targeted sanctions to entities and
individuals designated in the resolutions for their
involvement with Iran's proliferation-sensitive nuclear
activities or ballistic missile program. Member States are
required to prevent the provision of financial assets or
economic resources to designated individuals/entities, and to
freeze their assets as well as those of entities "owned or
controlled" by them or persons/entities acting on their
behalf (operative paragraph 12 of UNSCR 1737). In addition,
UN Member States are required to prevent the provision of any
financial services related to the transfer or use of the
proliferation sensitive items prohibited in UNSCR 1737
(paragraph 6 of UNSCR 1737).

-- Bank Markazi is not designated under UNSCRs 1737 or 1747,
but it is nevertheless critical that Member States take steps
to ensure that financial services provided to Bank Markazi
are not used for proliferation purposes or by designated
entities/individuals to circumvent the restrictions
unanimously adopted by the UN in UNSCRs 1737 and 1747.

-- The United States urges your government to carefully
monitor Bank Markazi's activities and prevent the use of
these new accounts by Bank Markazi or individuals associated
with Bank Markazi to circumvent UNSCRs 1737 and 1747.

-- Washington urges you to maintain increased vigilance over
all financial or commercial transactions with Iranian
entities and banks in your jurisdiction.

-- We look forward to working with you on this and other
related Iran counter-proliferation matters.

END SECRET/REL ITALY, FRANCE, BELARUS, UNITED KINGDOM
NON-PAPER.

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REPORTING DEADLINE
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5. (U) Post should report results within seven (7) business
days of receipt of this cable. Please slug replies for ISN,
T, TREASURY, EUR and NEA. Please include SIPDIS in all
replies.

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POINT OF CONTACT
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6. (U) Washington point of contact for follow-up
information is Kevin McGeehan, ISN/CPI, (202) 647-5408,
McGeehanKJ@state.sgov.gov.


7. (U) Department thanks Post for its assistance.
RICE