US embassy cable - 05ABUDHABI1605

C O N F I D E N T I A L SECTION 01 OF 02 ABU DHABI 001605 
 
SIPDIS 
 
E.O. 12958: DECL: 04/10/2015 
TAGS: PREL, ECON, ETRD, JO, IZ, IR, TC 
SUBJECT: SHEIKH HAMDAN ON IRAQ, GAZA, MLAT 
 
REF: ABU DHABI 1604 
 
Classified By: Ambassador Michele J. Sison, reasons 1.4 (b) and (d). 
 
1. (C) Summary: Deputy Prime Minister and Minister of State 
for Foreign Affairs Sheikh Hamdan bin Zayed (HbZ) and 
Ambassador met April 10 to review regional developments and 
U.S.-UAE relations.  The UAE remains very worried about 
Iranian influence in Iraq.  HbZ urged the U.S. to stand 
behind Mahmoud Abbas on Gaza disengagement.  He said that 
progress on MLAT negotiations and exploratory discussions on 
an extradition treaty could restore stalled U.S-UAE judicial 
cooperation.  End Summary. 
 
2. (SBU) Ambassador called on Deputy Prime Minister and de 
facto Foreign Minister Sheikh Hamdan on April 10 for a review 
of regional and bilateral issues.  Attending were MFA U/S 
Abdullah Rashid Al Noaimi; HbZ's office manager Ambassador 
Sultan Al Romeithi; Abu Dhabi Crown Prince Sheikh Mohammed 
bin Zayed's special adviser Yousef Al Otaiba; and Pol Chief. 
 
Iraq 
---- 
 
3. (C) HbZ, commenting on the formation of the Iraqi 
transitional government, said that the UAE continues to have 
"deep concerns" about Iranian intervention in Iraq's internal 
affairs.  He expressed concern about the cabinet make-up.  He 
noted that Iraqi Sunnis with a "more liberal outlook" were 
likely to become targets of assassination or terrorist 
attacks sponsored by Iranian intelligence.  Sunnis would be 
even more at risk if the sensitive post of Interior Minister 
went to someone close to Iranian intelligence, he warned. 
HbZ said the period leading up to the year-end elections 
would be critical, and that it was "imperative" for the U.S., 
the UAE, and other allies to develop a strategy for limiting 
Iran's influence in Iraq.  Iran has a strategy and it was not 
just about Iran's policy toward Iraq.  It was a clear program 
toward building up its nuclear program.  The Ambassador noted 
that the U.S. welcomed the formation of the Iraqi 
transitional government as an important step on the road to 
democracy, as well as efforts to promote inclusiveness in the 
Iraqi political system.  She also noted that the U.S. and UAE 
had shared concerns on Iraq's nuclear program.  HbZ said he 
welcomed the opportunity to discuss developments in Iraq and 
to offer frank advice about the situation in Iraq to the USG 
with Ambassador Dick Jones later in the week. 
 
Palestinians 
------------ 
 
4. (C) HbZ then raised the Israeli-Palestinian issue, noting 
that Prime Minister Sharon's visit to the U.S. was an 
opportunity for the U.S. to support Palestinian President 
Mahmoud Abbas on Gaza disengagement.  The Ambassador 
commented that the U.S. welcomed engagement by both the 
Palestinians and the Israelis in preparing for Gaza 
disengagement.  She noted the recent discussions between 
Deputy Secretary Zoellick and Shimon Peres to discuss the 
Israeli disengagement from Gaza, and in particular economic 
issues relating to Gaza disengagement.  She thanked HbZ for 
the UAE's positive efforts to help in that region and 
generous humanitarian assistance.  We try to help strengthen 
the Palestinian Authority in any way we can, HbZ asserted. 
 
Jordan Oil 
---------- 
 
5. (C) The Ambassador inquired about additional UAE financial 
assistance to Jordan to compensate for Jordan's higher oil 
prices.  HbZ said he would follow up on this issue with Crown 
Prince Sheikh Mohammed, as Abu Dhabi Emirate rather than the 
Ministry of Finance would be examining this issue.  He added 
that the UAE would be signing an agreement within days to 
loan $8 million to Jordan )- on top of an earlier $42 
million loan. 
 
Free Trade Agreement 
-------------------- 
 
6. (C) After discussing the camel jockey issue (covered in 
reftel), HbZ addressed Ambassador's concerns that we not lose 
our momentum on U.S.-UAE FTA negotiations.  HbZ said he 
remains in constant contact with MinState Finance Kharbash, 
who heads the UAE's FTA delegation, and that the UAE side was 
very satisfied with the progress and pace.  HbZ emphasized 
that he wants to move rapidly on concluding the FTA.  He 
indicated that there remained some private sector debate on 
the negotiations, but that the UAEG was determined to place 
national interests above any private interests.  Noting the 
Saudi Trade Minister's travel to the U.S., HbZ smiled and 
said confidently that the UAE would get an FTA before the 
Saudis. 
 
High-level Visits to the U.S. 
----------------------------- 
7. (C) At present, HbZ said he had no plans to visit the 
United States.  HbZ added that he had relinquished 
responsibility for the U.S.-UAE Strategic Partnership to his 
brother, Information Minister Sheikh Abdullah, who had led 
the UAE delegation at the last bilateral dialogue in Abu 
Dhabi in February 2004.  After the meeting, Yousef Al Otaiba, 
the special advisor to the Crown Prince, told Ambassador that 
Sheikh Mohammed would not be traveling to the United States 
until after the fall, as President Khalifa will travel to 
Western Europe this summer for both vacation and official 
duties and Sheikh Mohammed bin Zayed would need to remain 
behind for Abu Dhabi continuity. 
 
Mutual Legal Assistance Treaty 
------------------------------ 
 
8. (C) Turning to U.S.-UAE judicial cooperation, the 
Ambassador reviewed progress on MLAT negotiations that took 
place in Washington in February, noting the USG's clear 
preference for separating the MLAT and extradition treaties 
and moving to the second round of MLAT negotiations before 
the end of June.  The Ambassador also said she appreciated 
UAEG concerns about reciprocity and said the USG intended to 
address the issue in a diplomatic note in the very near 
future.  The Ambassador also indicated that the U.S. wants to 
get the relationship back on track as we approach the second 
round of treaty negotiations.  HbZ agreed with MFA U/S 
Abdullah Rashid that while the MLAT discussion had been good, 
the UAE side had come away "disappointed" from the talks in 
Washington because the U.S. side "had not been authorized" to 
negotiate an extradition treaty.  "We want some movement on 
the U.S. part.  Our track (extradition) has not moved," 
Abdullah Rashid said.  Both sides agreed on the importance of 
restoring effective judicial cooperation, however. 
 
9. (U) Baghdad minimize considered. 
SISON