ITALY TO SUPPORT PROPOSED NORTH KOREAN ENTITIES

C O N F I D E N T I A L ROME 001271 SENSITIVE SIPDIS ISN/CPI: FOR JCHALMERS PLEASE PASS TO APPROPRIATE CONTACTS AT: T, TREASURY, EAP E.O. 12958: DECL: 11/17/2019 TAGS: EFIN ETTC KNNP EUN KN PARM UNSC IT SUBJECT: ITALY TO SUPPORT PROPOSED NORTH KOREAN ENTITIES AND INDIVIDUALS FOR EU DESIGNATION REF: STATE 115240 ¶1. (U) SUMMARY. Post conveyed subject list of designated North Korean entities and individuals (reftel) to officials in the Ministry of Foreign Affairs (MFA) and the Ministry of Economics and Finance (MEF). Both responded favorably and stated that the GOI would support EU designation of the entities and individuals on the list. END SUMMARY. ¶2. (C) On 12 November, ECONOFF conveyed to a MFA official the list of North Korean entities and individuals designated under Executive Order 13382 and urged the GOI to support this action at an upcoming EU technical committee meeting, and to encourage the EU Council to designate these entities and individuals. The official, responsible for arms control and non-proliferation issues, stated that the GOI will review the list and advise the EU to designate all "clearly targeted" entities and individuals. He cautioned, however, that the GOI would not support the listing of "broadly targeted" entities such as "the leadership of North Korea". ¶3. (U) On 13 November, ECONOFF conveyed the list to a MEF official whose responsibilities include financial sanctions, terrorist financing and anti-money laundering. The official stated that Italy has no individual designation mechanism but will implement any designations agreed upon at the EU level. She stated that she would review the list and "issue a warning (notice) to our intermediaries (Italian financial institutions) informing them of the U.S. designations." ¶4. (SBU) Both officials stated that the GOI considers North Korea to be a proliferator of nuclear weapons and can justifiably be designated under United Nations Security Council Resolution 1718. Each mentioned that the GOI has already prevented the export of two luxury yachts to North Korea in response to previous sanctions. THORNE