M/V MONCHEGORSK: CYPRUS INSISTS ON UN COVER

C O N F I D E N T I A L NICOSIA 000098 SIPDIS NOFORN DEPARTMENT FOR EUR, NEA, IO, ISN E.O. 12958: DECL: 02/02/2019 TAGS: PARM MNUC PREL PGOR SY IR CY SUBJECT: M/V MONCHEGORSK: CYPRUS INSISTS ON UN COVER REF: NICOSIA 96 AND OTHERS Classified By: Ambassador Frank C. Urbancic, Reasons 1.4 (b),(d) ¶1. (U) Status of Ship: No changes since last report. ¶2. (C) Diplomatic Activity: Ambassador on February 2 spoke with RoC Diplomatic Coordinator Leonidas Pantelides regarding latest developments on Monchegorsk. Contradicting recent messages from the Foreign Ministry regarding the applicability of UNSCR 1747, Pantelides claimed there was no doubt the Monchegorsk was carrying proscribed materiel. That said, Cyprus needed "a blue flag (United Nations) solution," or otherwise would prefer to send the cargo back to source country Iran. He dismissed any option that entailed transferring the shipment to a third party without UN cover, such as the German offer reported on February 2 (Reftel). Giving the cargo to Germany would be acceptable, he clarified, but only with authorization from the UN. Pantelides expected the RoC to report its inspection findings to the UNSC Iran Sanctions Committee (ISC) before week's end, perhaps as early as February 4. The message would include not only the results of the government's inspection, but also questions posed to the ISC regarding disposition of the Monchegorsk cargo. Pantelides noted the RoC had consulted with the Russians and Chinese in New York and had been assured that there would be no difficulties. Ambassador emphasized that the U.S. believed Cyprus should report a violation to the Council without open-ended questions; returning the cargo to Iran was a bad option, he added. ¶3. (C) Ambassador also discussed next steps with resident UK High Commissioner Peter Millett. Millett hours earlier had engaged RoC Foreign Minister Markos Kyprianou to urge the Cypriots to report only their inspection findings to the ISC and specifically not seek guidance for proceeding. However, in the face of what appeared to be a near-imminent Cypriot decision not to report and perhaps let the boat leave, Millett's message apparently softened, focusing instead on the necessity of referring the matter to New York regardless of wording. Kyprianou claimed that "these people" -- pointing at President Demetris Christofias and fellow AKEL party glitterati -- had allowed the Monchegorsk to become an ideological, David versus Goliath affair, with "little Cyprus" naturally cozying up to Syria's David. Such an interpretation did not bode well for a solution acceptable to the U.S., Britain, and others, the Minister concluded. ¶4. (C) As to immediate next steps, Millett raised the idea of coordinated telephone calls from P-3-plus-one capitals to Christofias, at the PolDir level. Urbancic