US embassy cable - 03AMMAN7830

S E C R E T AMMAN 007830 
 
SIPDIS 
 
TREASURY FOR DAS ZARATE 
TREASURY FOR OASIA -- MILLS, NUGENT, DEMOPULOS 
NSC FOR KIFAYAT 
CPA FOR WOLFE 
 
E.O. 12958: DECL: 12/02/2008 
TAGS: ETTC, EFIN, PREL, JO 
SUBJECT: JORDAN: FOLLOWUP WITH PM ON FROZEN ASSETS ISSUE 
 
REF: AMMAN 7691 
 
Classified By: David Hale, Charge d'affaires, a.i.  Reasons 1.5 b and d 
. 
 
1.  (S)  Charge and ECON/C called on Prime Minister Fayez 
December 2 to follow-up on the discussion of Iraq assets 
issues during A/S Burns visit (septel).  Adding a new 
element, the PM said that the GOJ "technical committee" 
evaluating Jordanian trade claims against Iraq now hoped to 
finish its work in "about one month."  At that time, Fayez 
said, the entire amount remaining not subject to (accepted) 
claims would be transferred to the Development Fund for Iraq. 
 In the meantime, Fayez said another $35 million would be 
transferred to the DFI within two weeks "as a sign of 
goodwill."  Asked about the prior commitment to transfer $150 
million quickly, the PM reiterated that the full amount not 
subject to accepted claims would be transferred in about a 
month.  Asked by the Charge if Iraqis could participate in 
the evaluation of the claims, the PM said that would not be a 
problem.  The Charge said he would pursue this with Finance 
Minister Abu Hammour. 
 
2  (S)  The Prime Minister said that it was very important 
that the issue of the $1.3 billion in Central Bank claims be 
addressed.  He looked forward to receiving a USG team 
empowered to discuss this issue.  He added that he would 
welcome Iraqi participation in this team. 
 
3.  (S)  The Charge asked for additional GOJ assistance to 
the Treasury team currently in Amman tracking Iraqi assets. 
In particular, the Charge transmitted the team's request for 
information on international wire transfers into and out of 
Iraqi accounts and provided a list of additional accounts on 
which the team would like transaction and wire transfer 
information.  The Prime Minister replied that he had thought 
that former Prime Minister Abul Ragheb had made it clear to 
U.S. officials in Washington in August that bank secrecy laws 
prevented any further Jordanian assistance on these "private" 
accounts, and that the matter was closed.  The Charge and 
ECON/C explained that we were only interested in accounts 
that had already been identified by the GOJ and on which the 
GOJ had already provided information.  Fayez said he would 
discuss the issue with Abul Ragheb and get back to us.  (We 
left an aide-memoire detailing the request.) 
 
4.  (S)  Comment:  The Prime Minister appeared confused on 
all the issues discussed, and muddied them.  We will try to 
make progress with Deputy Prime Minister Halaiqa and Finance 
Minister Abu Hammour.  It could also be useful if U.S. 
officials find an appropriate opportunity to raise these 
issues -- particularly the request for assistance in tracking 
assets -- with Jordanian ministers in Washington this week. 
We look forward to receiving a U.S. team to discuss the $1.3 
billion issue, and agree that Iraqi participation could be 
useful. 
HALE