UN SEEKS AGREEMENT FROM U.S. TO DEPOSIT BALANCES

UNCLAS USUN NEW YORK 001073 SIPDIS E.O. 12958: N/A TAGS: UN AORC AFIN SUBJECT: UN SEEKS AGREEMENT FROM U.S. TO DEPOSIT BALANCES FROM TWO TRUST FUNDS TO BE CLOSED TO UNMIL ¶1. This is an action request. See para. 4. ¶2. USUN has faxed to the Department (IO/MPR-Lisa Spratt) a letter and attachments from Assistant Secretary General/Controller for Management Mr. Jun Yamazaki addressed to Ambassador Khalilzad, dated 10 November 2008 notifying USUN that balances from two trust funds totalling $3,100,514 remains due to the U.S. Government. As referenced in the attachments, repeated attempts to refund these amounts to the United States have been unsuccessful, and the Board of Auditors has once again requested that action be taken to close all inactive trust funds. Mr. Yamazki suggests that the U.S. Government agree to having the total amount of $3,100,514 transferred to offset balances due from the U.S. in respect to the United Nations Mission in Liberia (UNMIL). If a response is not received by 5 December 2008, Mr. Yamazaki has stated that he will assume that there is no objection to his proposal. Text of note follows in para. 3. ¶3. Begin Text: 10 November 2008 Dear Mr. Ambassador, Reference is made to communications from my office with the Permanent Representative of the United States to the United Nations dated 16 December 2002, 6 March 2003, 4 June 2004 and 8 April 2005 (copies attached for ease of reference) relating to the closure of the trust funds listed below in 2003 and 2005 respectively, and the disposition of amounts due to the Government of the United States as follows: Fund Amount -------------- -------------- Trust Fund for the Implementation of $2,979,210 the Cotonou Accord on Liberia (LIA) Trust Fund for Activities of the $ 121,304 International Support & Verification Commission (VCA) -------------- $3,100,514 You will note that we have made repeated attempts to refund these residual amounts. However, to date we have not been able to do so. Further, the Board of Auditors has requested once again that action is taken to close all inactive trust funds. Since over 95 percent of the residual funds for the trust funds referred to above relate to the implementation of the Cotonou Accord on Liberia, we suggest that the above balances, total $3,100,514, be transferred to offset balances due from the United States in respect of the United Nations Mission in Liberia (UNMIL). Your response is requested by 05 December, 2008 confirming your agreement with the above proposal, or directing the United Nations to take alternative actions. If we do not hear from your office by this date, we will conclude that the Government of the United States has no objection to the above proposal, and will proceed to take action accordingly. I wish to express on behalf o the Secretary General, his appreciation for the generous support provided by the Government of the United States to the United Nations for voluntary funded peacekeeping and related activities. I remain, Dear Mr. Ambassador Yours Sincerely, /s/ Jun Yamazaki Assistant Secretary-General, Controller End Text. ¶4. Action Requested: Mission requests instructions be provided regarding proposal as noted in text of note in para. 3 above. Khalilzad