US embassy cable - 05ABUDHABI2169

S E C R E T SECTION 01 OF 03 ABU DHABI 002169 
 
SIPDIS 
 
STATE FOR EB AWAYNE, S/CT FOR MMILLER AND NEA/ARPI FOR 
RSMYTH 
MANAMA FOR OFAC ATTACHE JBEAL 
NSC FOR PHEFFERNAN AND JHERRING 
 
E.O. 12958: DECL: 05/15/2015 
TAGS: PTER, KTFN, EAID, EFIN, IQ, TC, UAE Banking and Charities Regulation 
SUBJECT: UAE CHARITY - HUMAN APPEAL INTERNATIONAL 
 
REF: A. A) 2003 STATE 1392054 
     B. B) 2003 STATE 79970 
     C. C) 2003 ABU DHABI 2598 
     D. D) 2005 ABU DHABI 864 
     E. E) 2003 ABU DHABI 2598 
 
Classified By: Ambassador Michele J. Sison for reasons 1.4 (b) and (d). 
 
1. (S) Summary and Comment: Human Appeal International (HAI), 
headquartered in the Emirate of Ajman, is one of the most 
visible UAE international charities.  Aware of ongoing U.S. 
concerns about HAI's activities and terror finance 
connections, Econoff visited HAI on April 25 and met with the 
founder and Secretary General of HAI, Salem Ahmed Abdul 
Rahman Al Nuaimi, to discuss HAI's structure and charitable 
endeavors.  Al Nuaimi explained that HAI is a centralized 
organization, with the headquarters exercising oversight of 
the field and fundraising office activities, and it targets 
its efforts to health care, educational development, and 
emergency relief.  The following snapshot of HAI is intended 
to inform Washington consumers about HAI's structure and 
activities.  We note that it is based on comments from HAI 
officials directly to an Embassy officer.  We cannot confirm 
or refute whether HAI's headquarters is aware that some of 
its staff has contributed financial support to individuals 
and entities associated with al-Qaida and Hamas.  End summary 
and Comment. 
 
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Background 
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2. (S) Prior to 2003, the Embassy raised concerns with the 
UAEG regarding HAI support for Chechen extremists.  The UAEG 
quietly approached HAI, which took measures meant to ensure 
that its field branches ceased funding the Chechen groups of 
concern.  In 2003, there were indications that HAI was 
sending financial support to organizations associated with 
Hamas and that members of its field offices in Bosnia, 
Kosovo, and Chechnya had connections to al-Qa'ida associates 
(refs A and B).  The UAEG indicated its willingness to take 
action against HAI, but requested the USG provide them with a 
solid intel packet outlining the case against HAI (ref C). 
There was no further action on this track.  In light of this 
history, Econoff visited the HAI headquarters in Ajman, but 
did not raise the above noted concerns about terror finance 
links. 
 
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Broad Charitable Endeavors 
-------------------------- 
 
3. (U) HAI is the third largest charitable organization in 
the UAE, behind the Red Crescent and Mohammed Bin Rashid 
Humanitarian and Charity Foundation (MBR Foundation), and it 
is closely associated with (and operates under the patronage 
of) the ruling family of Ajman Emirate.   HAI's stated goal 
is to provide aid to needy families within the UAE and 
abroad.  Its activities fall into five broad categories: 
health care, social development, orphan and child care, 
education, and urgent relief.  According to Salem Ahmed Abdul 
Rahman Al Nuaimi, the founder and Secretary General of HAI, 
one of HAI's main international endeavors is orphan 
sponsorship.  HAI has sponsored 23,000 orphans -- who HAI 
defines as children whose fathers have died -- providing them 
with food, education, and medical care.  HAI has also built 
24 schools, 412 educational centers, and 23 hospitals and 
clinics.  HAI operates 30 mobile medical clinics, and it has 
dug over 600 wells.  In addition, HAI reports that it has 
provided more than 40,000 tons of food, supplies, and 
charitable assistance to people in need in over 50 countries. 
 In tsunami-stricken Sri Lanka, for example, HAI reports it 
has distributed over $200,000 in food, medical equipment, and 
supplies. 
 
4. (U) HAI, which holds Category II consultative status in 
the United Nations Social and Economic Council, has carried 
out joint ventures with UNICEF, the United Nations 
Development Program, the United Nations Relief and Works 
Agency for the Palestinian Refugees (UNRWA), and the United 
Nations High Commission for Refugees.  In order to work more 
effectively, HAI sometimes partners with the MBR Foundation, 
the UAE Red Crescent, or local NGOs in recipient countries. 
In the Palestinian territories, for example, Al Nuaimi said 
that HAI works only with NGOs licensed by the Palestinian 
Authority. 
 
---------------------- 
HAI Activities in Iraq 
---------------------- 
 
5. (SBU) HAI reports it has extensive operations in Iraq -- 
ranging from distributing foodstuff, medicine, and school 
supplies, to building, supplying, and financing hospitals, 
schools, and refugee camps.  In total, HAI reports it 
provided $2.5 million in aid to Iraqi in 2003 and 2004. 
 
6. (SBU) According to Al Nuaimi, HAI provides critical 
developmental and relief aid to the Iraqi people that other 
NGOs are unable to provide.  As an example, the Iraqi 
Government approached HAI in January and asked for their 
assistance in aiding Iraqi Displaced Persons (IDPs) in 
Fallujah.  After obtaining permission from the U.S. Marine 
Corps Civil-Military Operations Center (USMC/CMOC) in 
Fallujah, HAI established seven primary, intermediate, and 
secondary tent schools that serve 3200 students in the city. 
Al Nuaimi provided Econoff with copies of documents from the 
USMC/CMOC, and with the registration certificate from Iraq's 
Ministry of Planning and Development Cooperation, authorizing 
HAI to operate in Iraq. 
 
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Organizational Structure, Oversight 
----------------------------------- 
 
7. (SBU) Established in 1984, HAI is licensed by the Ajman 
municipality, not through the UAE Ministry of Labor and 
Social Affairs (the federal ministry that licenses charitable 
organizations in the UAE).   (Note: The Ministry of Labor and 
Social Affairs is aware of at least some of HAI's activities 
abroad.  In an early April meeting, Undersecretary for Social 
Affairs Mariam Al Roumi told Econoff that HAI had sought the 
ministry's permission to set up operations in Iraq.  In 
previous meetings Al Roumi stated that charities sending 
money abroad were required to go through one of the 
government-approved charities -- the UAE Red Crescent, the 
Sheikh Zayed Charitable Foundation, or the MBR Foundation 
(ref D).  According to HAI's Al Nuaimi, this regulation does 
not apply to charities licensed by individual emirates.  A 
thorough examination of the UAE's charity regulation and 
oversight regime -- and its vulnerabilities -- will be 
reported septel.  End note.) 
 
8. (U) HAI has three international fundraising offices -- in 
Britain, Denmark, and Australia -- and nine international 
field offices -- in Chechnya, Bosnia, Kosovo, Kyrgyzstan, 
Jordan, Lebanon, Yemen, Senegal, and Sudan.  (Note: In 2003, 
the Mauritanian government closed the HAI office in 
Nouakchott because of its activities in support of terrorism 
-- ref E.  End note.)  In addition to its headquarters in 
Ajman, HAI has offices in the Emirates of Dubai, Umm Al 
Quwain, and Ras al Khaimah; HAI does not have an office in 
Abu Dhabi.  Before initiating programs in any given country, 
HAI reports that it coordinates with the UAE Embassy in each 
country to identify areas where assistance is needed. 
 
9. (U) Al Nuaimi said that HAI hires locals in each country 
to staff the field offices, and most of them come to the UAE 
for orientation and training at the HAI office in Ajman.  He 
said the headquarters exercises oversight of the field 
offices' activities, noting that all money disbursed from a 
field office for a project must be authorized by the HAI 
headquarters, and all checks require two signatures.  Al 
Nuaimi showed Econoff the records the organization keeps of 
its financial disbursements.  In some cases, the recipient of 
the aid (for example, the mother of a child sponsored through 
their orphan program) is required to provide a fingerprint 
and signature to acknowledge receipt of the money.  Al Nuaimi 
said that occasionally, fundraising offices send money 
directly to the field offices, but usually HAI requires that 
the money be routed through the Ajman headquarters first, and 
then the headquarters disburses the funds for specific 
projects.  He was insistent that field offices are not 
authorized to take donations or raise money themselves. 
 
10. (U) Al Nuaimi repeated several times his concern that the 
increasing number of regulations on charities and reporting 
requirements for charitable contributions are causing people 
to cease donating through established NGOs.  Rather, they are 
finding informal ways of sending money, and "this unregulated 
flow of cash is difficult to monitor and track to be sure 
that it goes to the appropriate destination." 
 
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COMMENT 
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11. (S) During the meeting and visit to HAI, Al Nuaimi made a 
few comments to Econoff that merit further consideration: 
 
-- Al Nuaimi took great pride in discussing HAI with a USG 
official.  He spent much of the time explaining how the 
organization's oversight ensures that money is disbursed to 
legitimate projects.  However, we note there is virtually no 
way to guarantee that field and fundraising officers are not 
taking cash donations under the table and diverting the money 
to individuals or groups with extremist connections. 
 
-- HAI defines "orphans" as children whose fathers have died. 
 Thus, the lauded "orphans" program could be going, at least 
in part, to families of killed -- or "martyred" -- extremists. 
 
-- Al Nuaimi stated that HAI has 30 bank accounts in the UAE. 
 He said this is to avoid incurring fees when money is 
transferred from one bank to another.  Of interest, the HAI 
consultant sitting in on the meeting tried to explain that 
when Al Nuaimi said "30 accounts" he meant that HAI had one 
account that it could access at "30 different branches."  Al 
Nuaimi was insistent, however, that he meant 30 different 
accounts.  (Note: Under UAE law, a charity is only allowed to 
have one bank account.  End note.) 
 
-- Al Nuaimi told Econoff that Arab Bank PLC contacted HAI 
last month and asked the organization to close its account 
with the bank.  Al Nuaimi said the bank told him that they 
were closing the accounts of all of their charities because 
the bank did not want to assume the risk associated with 
having accounts with charities. 
 
12. (S) HAI is a large and influential charity in the UAE, 
with close ties to the ruling family in Ajman Emirate, and 
its charitable activities have a strong impact in needy areas 
of the world.  The UAE Government is not likely to take any 
action against HAI without concrete information indicating 
the headquarters is complicit in terror financing activities; 
however, the UAEG has expressed staunch commitment to 
ensuring that its charities do not funnel money to terrorist 
associated individuals or entities.  If the USG has a solid 
intelligence case against HAI to pass the UAEG, we believe 
the UAEG will take action in order to either shut down or 
rehabilitate the charity.  Without recent, specific, 
credible, and releasable reporting, the UAE Government is not 
likely to act. 
 
SISON