UPDATE ON POTENTIAL SALES TO IRAN AND SYRIA

S E C R E T ATHENS 000804 SIPDIS E.O. 12958: DECL: 06/03/2018 TAGS: ETTC PARM PREL GR IR SY PGOV SUBJECT: UPDATE ON POTENTIAL SALES TO IRAN AND SYRIA REF: ATHENS 63 Classified By: A/POL COUNSELOR JEFF HOVENIER. REASONS 1.4 (B) AND (D). ¶1. (S) On 2 June poloff met with Loukas Tsokos, First Secretary at the MFA D1 Directorate of UN and International Organizations at the latter's request to discuss GOG findings on potential sales to Iran and Syria by Greek firm, XXXXXXXXXXXX. Tsokas said XXXXXXXXXXXX's main product was fishing nets and according to Greek Customs, this nets had nver been declared dual or military use. Tsokos added that XXXXXXXXXXXX had never submitted an application to export to countries of high risk such as Iran and Syria. From 2004 and 2008, XXXXXXXXXXXX had exported to "FYROM" (Republic of Macedonia),Serbia, Pakistan, and Cyprus. In all cases, XXXXXXXXXXXX declared to Greek Customs that it was exporting fishing nets. Tsokos said the GOG suspected, however, that the receiving companies from these countries are then selling XXXXXXXXXXXX's products to other countries. In particular, Tsokos said, the report mentioned the Serbian company Mile Dragic Production which was linked to a 2005 military equipment procurement scandal worth 300 million Euro. The report also said Mile Dragic Production had been associated with an organied crime team based in Serbia -"Zemun". ¶2. (S) Despite our earlier suggestion (ref),Tsokos said no GOG officials had spoken with XXXXXXXXXXXX about these issues. He added the GOG was keeping a "close eye" and is following all its activities. He reiterated earlier assurances that should XXXXXXXXXXXX seek permission to export to a high risk country, the GOG would deny such requests. SPECKHARD