IRAN: EU AGREES TO EXPAND ASSET FREEZE AND TRAVEL

C O N F I D E N T I A L BRUSSELS 000214 SIPDIS NOFORN SIPDIS STATE PASS TREASURY FOR U/S LEVEY E.O. 12958: DECL: 01/25/2018 TAGS: PREL ETTC KNNP PHUM IR EUN SUBJECT: IRAN: EU AGREES TO EXPAND ASSET FREEZE AND TRAVEL BAN LIST AFTER THIRD UNSCR REF: LONDON 00305 Classified By: Alice Tidball, Deputy Political Counselor, for reasons 1 .4(b) and (d) ¶1. (C/NF) At a February 6 meeting in Brussels, an EU working party prepared a list of 19 entities and 15 individuals to be subject to travel bans and asset freezes under the EU's Common Policy on Restrictive Measures Against Iran (2007/140/CFSP). According to a Council Secretariat contact, EU capital-based regional and non-proliferation experts (COMEM and CONOP, respectively) finalized the list reported Ref A, with the addition of two entities and one individual: Bank Melli, Safety Equipment and Procurement Inc, and IRGC Brigadier-General Ali Hoseynitash. The Council Secretariat has circulated the new list to EU member states for approval under a silence procedure set to expire at close of business Tuesday, February 12. Given Austrian resistance to the designation of Bank Melli, France and the UK are expected to lobby Vienna directly in the next day or so to ensure its acquiescence. EU and Israeli sources here also confirmed that during her visit to Israel a few days ago, Plassnik received a tough message from Israeli leaders on the need to increase economic and financial sanctions on Iran. ¶2. (C) Under a political agreement reached by member states, EU-27 Ministers will delay taking a formal decision on the new list until the UN Security Council adopts a third sanctions resolution on Iran. According to our Council Secretariat contact, EU Member States widely expect the SIPDIS UNSCR, currently under consideration in New York, to be completed by the end of February. If the Security Council fails to act by mid-March, the EU may review its sequencing plans and move forward on its autonomous listings. According to various EU sources, Member States' experts did not/not debate new sanctions at the February 6 meeting, but were expected to take up the issue in earnest upon passage of a third UNSCR. ¶3. Each entry in the draft EU autonomous designation list had been vetted by the same EU experts on November 28, 2007. Designation of the three abovementioned names failed to obtain sufficient support during the November round, but were reconsidered and approved in the February 6 meeting. France and the UK failed to obtain the support of Cyprus and Greece for the listing of Iran Cargo. Germany and several other unidentified member states reportedly opposed the listing of Bank Sadarat. Largely for political reasons, most EU Member States also balked at the designation of Iranian elected officials, including members of the Majilis. MURRAY .