US embassy cable - 03THEHAGUE2674

UNCLAS THE HAGUE 002674 
 
SIPDIS 
 
SENSITIVE 
 
STATE FOR EB/ESC/TSP, IO/PHO, L/EB 
 
TREASURY FOR ZARATE AND WALLWORTH 
 
E.O. 12958 N/A 
TAGS: ETTC, EFIN, PREL, NL, IZ 
SUBJECT: IRAQ ASSETS: DUTCH KEEPING REFERENCED ACCOUNTS 
FROZEN 
 
REF: A) STATE 291321 B) The Hague 1900 
 
1. (SBU) The Dutch Ministry of Finance has confirmed that 
the Netherlands-located accounts cited in ref a are located 
here and been frozen by the GONL.  The accounts total about 
22,000 EURO. The GONL is unable (ref b) to immediately 
transfer these funds to the Development Fund for Iraq as it 
currently lacks the domestic legal authority to confiscate 
them.  MinFin has confirmed that it is seeking new 
legislation that would enable the confiscation of frozen 
Iraqi funds and that it will transfer these frozen funds to 
the DFI once the legislation is in place.  We note that 
passage of legislation in the Netherlands is a lengthy 
process and is likely to take several months. 
 
2. (SBU) The Ministry of Foreign Affairs, however, has noted 
to us reports that the Rafidain Bank is being revived by the 
CPA under new management.  If this is so, MFA asserts, the 
funds might be transferred to the DFI upon written request 
written request from Rafidain management to do so. 
 
Sobel