US embassy cable - 04ANKARA1521

C O N F I D E N T I A L ANKARA 001521 
 
SIPDIS 
 
 
STATE FOR E, EUR/SE, AND EB/IFD 
TREASURY FOR OASIA - JLEICHTER AND MMILLS 
NSC FOR MBRYZA AND TMCKIBBEN 
 
 
E.O. 12958: DECL: 03/14/2009 
TAGS: EAID, EFIN, PGOV, PREL, TU 
SUBJECT: GOT PROPOSES LANGUAGE ON FINANCIAL AGREEMENT 
AMENDMENT 
 
 
REF: ANKARA 218 
 
 
Classified by Ambassador Eric Edelman for reasons 1.4 (b) and 
(d). 
 
 
1. This is an action request. See paragraph 6. 
 
 
2. (C) Summary: MFA U/S Ziyal passed Ambassador Edelman a GOT 
proposal for revised language on the Financial Agreement 
Amendment, changing "conditions" to "stipulations" and 
stating "the determination of which, for the U.S. side is a 
biding requirement for disbursement."  Ziyal specified that 
this language had been cleared by the Prime Minister, and was 
as far as the PM was willing to go.  End Summary. 
 
 
3. (C) In a meeting on other topics (reported septel) with 
the Ambassador, MFA Undersecretary Ugur Ziyal passed on 
another GOT proposal to massage the proposed amendment to the 
Financial Agreement (FA) in such a way as to ease the GOT's 
domestic political problem with the perception of the 
conditionality. 
 
 
4. (C) The text Ziyal provided  proposed changing paras (2) 
and (3) to read: 
 
 
Begin text: 
 
 
(2) to delete the existing language in Paragraph 5(a)(ii) in 
its entirety and replace it with "Turkey is satisfying all 
relevant stipulations in Public Law 108-11, 117 Stat. 559, 
575 (2003), the determination of which, for the US side, is a 
binding US statutory requirement for disbursement." 
 
 
(3) in the first line of Paragraph 5(e), to delete the 
language beginning "cooperating" through and including 
"Iraq," in the fourth line of such paragraph, and replace it 
with "satisfying all relevant stipulations in Public Law 
108-11, 117 Stat. 559, 575 (2003),". 
 
 
End text. 
 
 
5. (C)   Ziyal specified that the above language had been 
cleared by the Prime Minister, and that this was as far as 
the PM was willing to go.  Ziyal also made clear that there 
is no urgency about a U.S. response until after the March 28 
municipal elections. 
 
 
6. (C)  Comment and action request: Post requests Washington 
agency consideration of the new GOT proposal, followed by 
guidance to post on a response.  Post believes the new 
language represents a GOT attempt to recognize that the 
stipulations/conditions are in U.S. law and that, if the GOT 
does not abide by them, the U.S. is legally required to stop 
disbursing.  At the same time, the GOT is seeking a 
formulation that would allow the government to tell 
parliament that the language--unlike a treaty 
obligation--does not institute new requirements on the 
Turkish authorities that are legally binding under Turkish 
domestic law.  Put another way, the Turks want the language 
to convey that they know we are required to stop disbursing 
if they don't comply with the conditionality, but they are 
only committing to comply with the conditionality to the 
extent they want to avail themselves of the disbursements. 
 
 
7. (C) Comment continued:  Post cannot judge the legal 
merits, but from a political perspective post believes that 
the GOT approach--if not its precise wording--seems to be in 
keeping with the spirit of the agreement and U.S. law. 
Unless this undermines us from a legal point of view, Post 
would urge acceptance of the GOT language.  If Washington 
agencies cannot accept it, Post requests Washington suggest 
alternative language. 
 
 
 
 
 
 
 
 
EDELMAN 
 
 
EDELMAN