Identifier
Created
Classification
Origin
08RIYADH1849
2008-12-23 15:13:00
CONFIDENTIAL
Embassy Riyadh
Cable title:
SAUDI RESPONSE TO FATF STATEMENT ON IRAN DEMARCHE
how-toVZCZCXRO3652 PP RUEHBC RUEHDE RUEHDIR RUEHKUK DE RUEHRH #1849 3581513 ZNY CCCCC ZZH P 231513Z DEC 08 FM AMEMBASSY RIYADH TO RUEATRS/DEPT OF TREASURY WASHDC PRIORITY RUEHC/SECSTATE WASHDC PRIORITY 9683 INFO RUCNIRA/IRAN COLLECTIVE RUEHJI/AMCONSUL JEDDAH 9919 RHEHNSC/NSC WASHDC
C O N F I D E N T I A L RIYADH 001849
SENSITIVE
SIPDIS
DEPT FOR ISN, T, INR, EEB, S/CT, INL, AND NEA/ARP
E.O. 12958: DECL: 12/23/2018
TAGS: PARM PREL EFIN ETTC KNNP SA IR
SUBJECT: SAUDI RESPONSE TO FATF STATEMENT ON IRAN DEMARCHE
REF: SECSTATE 115523
Classified By: Acting Deputy Chief of Mission Sandra Muench for reasons
1.4 (b) and (d)
C O N F I D E N T I A L RIYADH 001849
SENSITIVE
SIPDIS
DEPT FOR ISN, T, INR, EEB, S/CT, INL, AND NEA/ARP
E.O. 12958: DECL: 12/23/2018
TAGS: PARM PREL EFIN ETTC KNNP SA IR
SUBJECT: SAUDI RESPONSE TO FATF STATEMENT ON IRAN DEMARCHE
REF: SECSTATE 115523
Classified By: Acting Deputy Chief of Mission Sandra Muench for reasons
1.4 (b) and (d)
1. (SBU) Econ Counselor delivered the points contained in
reftel on leveraging the FATF statement on Iran to Dr.
Abdulrahman Al-Hamidy, Deputy Governor of the Saudi Arabian
Monetary Authority (SAMA),on December 23. Dr. Hamidy
responded by highlighting Saudi Arabia's active participation
in FATF and emphasized that Saudi banks are "fully aware" of
FATF's actions, including the recent statement on Iran and
the guidance related to UNSCR 1803. He said the Kingdom was
alert to the potential risk posed by correspondent bank
relationships. He described Iran's commercial relationship
with Saudi Arabia as extremely limited and mostly related to
the Hajj. Also, he outlined the strict procedures used to
ensure that Hajj-related transactions involving Iran are not
allowed to be used for other purposes.
2. (C) Dr. Hamidy interjected a personal comment into the
discussion, saying it was unlikely Saudi businesses would
enter into significant commercial relationships with Iranian
entities as the "political relationship" was not conducive to
this. He said that to prevent the use of front companies for
illicit purposes, the Saudi government tracked corporate
ownership to four degrees.
3. (U) Note: Saudi Arabia does not allowed branches of
foreign banks in its territory. There are a number of
commercial banks that are partially owned by foreign banks,
including Citibank, HSBC, and Deutsche Bank, but none by an
Iranian bank.
RUNDELL
SENSITIVE
SIPDIS
DEPT FOR ISN, T, INR, EEB, S/CT, INL, AND NEA/ARP
E.O. 12958: DECL: 12/23/2018
TAGS: PARM PREL EFIN ETTC KNNP SA IR
SUBJECT: SAUDI RESPONSE TO FATF STATEMENT ON IRAN DEMARCHE
REF: SECSTATE 115523
Classified By: Acting Deputy Chief of Mission Sandra Muench for reasons
1.4 (b) and (d)
1. (SBU) Econ Counselor delivered the points contained in
reftel on leveraging the FATF statement on Iran to Dr.
Abdulrahman Al-Hamidy, Deputy Governor of the Saudi Arabian
Monetary Authority (SAMA),on December 23. Dr. Hamidy
responded by highlighting Saudi Arabia's active participation
in FATF and emphasized that Saudi banks are "fully aware" of
FATF's actions, including the recent statement on Iran and
the guidance related to UNSCR 1803. He said the Kingdom was
alert to the potential risk posed by correspondent bank
relationships. He described Iran's commercial relationship
with Saudi Arabia as extremely limited and mostly related to
the Hajj. Also, he outlined the strict procedures used to
ensure that Hajj-related transactions involving Iran are not
allowed to be used for other purposes.
2. (C) Dr. Hamidy interjected a personal comment into the
discussion, saying it was unlikely Saudi businesses would
enter into significant commercial relationships with Iranian
entities as the "political relationship" was not conducive to
this. He said that to prevent the use of front companies for
illicit purposes, the Saudi government tracked corporate
ownership to four degrees.
3. (U) Note: Saudi Arabia does not allowed branches of
foreign banks in its territory. There are a number of
commercial banks that are partially owned by foreign banks,
including Citibank, HSBC, and Deutsche Bank, but none by an
Iranian bank.
RUNDELL