US embassy cable - 05PARIS8207

S E C R E T PARIS 008207 
 
SIPDIS 
 
STATE FOR EUR/WE, EB/ESC/TFS (CLARK), S/CT (KUSHNER), 
INL/C/CP (PETERSON) AND IO/PSC (FITZGERALD) 
TREASURY/OFAC FOR PAUL LURIE 
 
E.O. 12958: DECL: 12/02/2020 
TAGS: KTFN, PTER, LE, SY, FR 
SUBJECT: (C) FRENCH REACTION TO FINCEN 314(A) NOTICE ON 
SYRIA AND THE MEHLIS REPORT 
 
REF: STATE 214622 
 
Classified By: Econ Counselor Kenneth Merten for reasons 1.4 (b) and (d 
). 
 
1. (S) We shared and discussed reftel points with the 
Asset-Freezing Directorate in the Ministry of Economy. 
Vincent Guitton, Head of the Services, Investment and IPR 
Division, noted that absent a designation on terrorism 
grounds, France normally lacks legal authority to block 
assets of individuals, but it has acted in exceptional cases 
before, surviving legal challenge, and he views this as such 
an exceptional case.  He promised to coordinate with TRACFIN, 
the French financial investigative unit, after checking with 
the MFA.  He noted that as often is the case, getting more 
precise biographical information (e.g., PDOB), would help in 
tracking any possible asset transfers. 
 
2.  (S) Poloff reviewed reftel points December 2 with MFA 
Syria/Lebanon desk officer Remy Bouallegue, who said the GoF 
was still reflecting on the question of advising French 
financial institutions to monitor accounts of specific 
individuals in advance of the Mehlis report release. 
Bouallegue stressed GoF agreement on the need to be vigilant 
and for financial institutions to be ready act quickly to 
freeze funds of individuals designated by UNIIIC and the 
UNSCR 1636 sanctions committee.  At the same time, he 
stressed that the individuals named in the October Mehlis 
report had not yet been designated as suspects.  He 
emphasized GoF caution over moving "too fast" or giving the 
impression of preempting UNIIIC and the sanctions committee, 
which could feed Syrian accusations that it is being unfairly 
targeted. Bouallegue said the MFA would coordinate further 
with the Finance Ministry to formulate the final GoF 
response.  Poloff stressed that we were asking the Gof to 
advise financial institutions to exercise enhan 
ced vigilance, not take preemptive action to freeze accounts. 
 Bouallegue took the point, but concluded that the GoF would 
likely seek to maintain a discreet approach, and avoid giving 
any signs of prejudging the findings of the next Mehlis 
report. 
 
Visit Paris's Classified Website: 
http://www.state.sgov.gov/p/eur/paris/index.c fm 
 
STAPLETON# 
Please visit Paris' Classified Website at: 
http://www.state.sgov.gov/p/eur/paris/index.c fm 
 
Stapleton