UN FINANCE: INSTRUCTIONS REQUESTED FOR

UNCLAS USUN NEW YORK 001013

SIPDIS

E.O. 12958: N/A
TAGS: UN AORC AFIN
SUBJECT: UN FINANCE: INSTRUCTIONS REQUESTED FOR
UNDISBURSED PORTION OF TRUST FUND TO BE CLOSED


1. This is an action request. See para 4.


2. USUN has received a note from USG for Political Affairs
Mr. B. Lynn Pasco, addressed to Ambassador Khalilzad dated 22
October 2008 notifying us that the Trust Fund for the
Settlement of the Question of East Timor (TYA) will be
closed. As of 30 September 2008, the balance in the Trust
Fund for the Settlement of the Question of East Timor (TYA),
including the interest income amounts to $14,019,446.38. The
prorated share of the U.S.G. in the balance amounts to
$3,246,402.97. Mr. Pasco suggests that this balance be
transferred to the "Trust Fund in Support of Special Missions
and Other Activities Related to Preventive Diplomacy and
Peacemaking (SZA)" and requests our comments within 30 days
from the date of the note or the UN will assume that the
U.S.G. agrees with UN's suggestion and the remaining balance
of $3,246,402.97 will be transferred to Fund SZA. Text of
note follows in para 3 below.


3. Begin Text:

Reference: EO/FIN/08/DM/779

22 October 2008

Subject: Trust Fund for the Settlement of the Question of
East Timor (TYA)

Excellency:

I refer to your Government's contribution of $9,000,000.00
received in 1999 earmarked for the above Trust Fund.

The purpose for which this sub-account was established has
been completed. In accordance with the provisions of Action
24 of the Secretary-General's Report A/57/387 "Strengthening
of the United Nations: an agenda for further change", this
sub-account will be closed. As of 30 September 2008, the
balance in the Trust Fund for the Settlement of the Question
of East Timor (TYA),including the interest income, amounts
to $14,019,446.38. The prorated share of your Government in
the balance amounts to $3,246,402.97.

We would like to suggest that the above balance be
transferred to the "Trust Fund in Support of Special Missions
and Other Activities Related to Preventive Diplomacy and
Peacemaking (SZA)". This Trust Fund was established to
support special missions and other activities relating to
preventive diplomacy and peacemaking carried out by the
United Nations at the initiative of the Secretary-General and
the organs of the United Nations.

I believe that the proposed transfer would be in line with
your Government's strong support of the activities of the
United Nations in the area of preventive diplomacy and
peacemaking. I would be grateful to receive your comments on
this proposal within 30 days from the date of this
communication. Should we not receive any objection until
then, we will take it that you agree to the transfer of the
remaining balance of $3,246,402.97 to Fund SZA.

Please accept, Excellency, the assurances of my highest
consideration.

/s/

B. Lynn Pascoe
Under-Secretary-General
for Political Affairs


4. Action Requested: Mission requests that instructions be
provided as to the disposition of remaining balance as noted
in text of note in para 3 above.

Khalilzad