US embassy cable - 04THEHAGUE1042

S E C R E T THE HAGUE 001042 
 
SIPDIS 
 
NOFORN 
 
STATE FOR EB/ESC/TFS (GLASS), S/CT(NAVRATIL), INR/EC 
(BROOKS) 
TREASURY FOR EOTF/ZARATE AND OFAC/NEWCOMB 
JUSTICE FOR OIA/FRIEDMAN 
FBI FOR TERRORIST FINANCING TASKFORCE 
NSC FOR PETERS 
BRUSSELS FOR USEU AND LEGATT 
 
E.O. 12958: DECL: 04/22/2011 
TAGS: ETTC, PTER, IZ, NL, EUN 
SUBJECT: (S/NF) TERRORIST FINANCE: DUTCH SUBMITTING MEK 
FRONT ORGANIZATION TO EU FOR DESIGNATION 
 
REF: A. THE HAGUE 83 
     B. 03 THE HAGUE 2457 
 
Classified By: Economic Counselor Richard Huff.  Reason 1.5(d) 
 
 (S/NF) Dutch officials told us 4/23 that the GONL has made a 
firm decision to submit Stichting SIM (Society for Solidarity 
with the Iranian People) to the EU for designation as an 
alias of Mujahedin-e Khalq.  The formal submission will be 
made within the next two weeks once the paperwork receives 
final clearance.  The Dutch are pursuing designation through 
the EU because they believe the EU regulation is more 
difficult to challenge in court than their domestic sanctions 
law. They indicate that SIM does not appear to have 
operations outside the Netherlands and that its financial 
ties to MEK are maintained by private individuals carrying 
cash.  Dutch law enforcement officials do not believe they 
have enough evidence to win a criminal case against SIM but 
do have enough information to support an EU designation. 
These officials pledged they would ensure the EU prenotified 
the USG before announcing any formal designation. 
SOBEL