FINANCE VICE MINISTER LETTER ON IRAN SANCTIONS

C O N F I D E N T I A L MADRID 000486

SIPDIS

SIPDIS

STATE FOR EUR/WE AND EEB/ESC
TREASURY FOR DO/W.LINDQUIST

E.O. 12958: DECL: 04/30/2013
TAGS: EFIN KTFN SP IR
SUBJECT: FINANCE VICE MINISTER LETTER ON IRAN SANCTIONS

REF: MADRID 285

Classified By: CHARGE D'AFFAIRES HUGO LLORENS, FOR REASONS 1.4(B) AND (
D)


1. (C) As a followup to visiting Deputy Treasury Secretary
Kimmitt's meeting with Spanish Secretary of State (vice
minister) for Economy David Vegara on March 6 (reftel),the
Ambassador wrote Vegara a letter about Spanish transactions
with Iranian banks. Vegara has responded with the following
letter:


2. (SBU) (begin text) Dear Mr. Aguirre: I want first to
express my satisfaction for the meeting with U.S. Deputy
Treasury Secretary Robert Kimmitt and the persons who
accompanied him, which took place in a relaxed atmosphere but
one that allowed the exchange of mutually interesting
information. During the meeting, several topics came up,
including international obligations with respect to Iran. In
that sense, the Directorate General of the Treasury and
Financial Policy is the competent authority in the matter of
unfreezing funds as established in the regulation (EC)
423/2007 of the Council of April 19, 2007, on the adoption of
restrictive measures against Iran, and for that reason that
Directorate General receives applications from Spanish
financial institutions for the unfreezing of funds from Bank
Sepah.

As for the information about Bank Saderat that you requested
in your letter, I can inform you that we have warned all the
financial institutions, through a communication to their
associations, of the need to adopt measures of vigilance
regarding all banks that are domiciled in Iran, and in
particular, with regard to Banks Melli and Saderat, as
established in Resolution 1803, approved by the Security
Council in its 5848th session, celebrated March 3, 2008, and
with respect to which Spain assumes its obligation for the
carrying out of its requirements and especially those
referring to the financial area. Attentively, David Vegara
Figueras (end text)


3. (SBU) Comment: Vegara and other Spanish authorities
emphasize to us that they are diligently carrying out all
UNSC sanctions against Iran. Post continues to stress to
government and private sector contacts the need to monitor
carefully any transactions with Iran, and we continue to
discourage such transactions. End Comment.
Llorens