Cable Viewer

Currently released so far... 6969 / 251,287

### Browse latest releases

2010/11 2010/12 2011/01 2011/02 2011/03 2011/04
2010/11/28 2010/11/29 2010/11/30
2010/12/01 2010/12/02 2010/12/03 2010/12/04 2010/12/05 2010/12/06 2010/12/07 2010/12/08 2010/12/09 2010/12/10 2010/12/11 2010/12/12 2010/12/13 2010/12/14 2010/12/15 2010/12/16 2010/12/17 2010/12/18 2010/12/19 2010/12/20 2010/12/21 2010/12/22 2010/12/23 2010/12/24 2010/12/25 2010/12/26 2010/12/27 2010/12/28 2010/12/29 2010/12/30
2011/01/01 2011/01/02 2011/01/04 2011/01/05 2011/01/07 2011/01/09 2011/01/10 2011/01/11 2011/01/12 2011/01/13 2011/01/14 2011/01/15 2011/01/16 2011/01/17 2011/01/18 2011/01/19 2011/01/20 2011/01/21 2011/01/22 2011/01/23 2011/01/24 2011/01/25 2011/01/26 2011/01/27 2011/01/28 2011/01/29 2011/01/30 2011/01/31
2011/02/01 2011/02/02 2011/02/03 2011/02/04 2011/02/05 2011/02/06 2011/02/07 2011/02/08 2011/02/09 2011/02/10 2011/02/11 2011/02/12 2011/02/13 2011/02/14 2011/02/15 2011/02/16 2011/02/17 2011/02/18 2011/02/19 2011/02/20 2011/02/21 2011/02/22 2011/02/23 2011/02/24 2011/02/25 2011/02/26 2011/02/27 2011/02/28
2011/03/01 2011/03/02 2011/03/03 2011/03/04 2011/03/05 2011/03/06 2011/03/07 2011/03/08 2011/03/09 2011/03/10 2011/03/11 2011/03/13 2011/03/14 2011/03/15 2011/03/16 2011/03/17 2011/03/18 2011/03/19 2011/03/20 2011/03/21 2011/03/22 2011/03/23 2011/03/24 2011/03/25 2011/03/26 2011/03/27 2011/03/28 2011/03/29 2011/03/30 2011/03/31
2011/04/01 2011/04/02 2011/04/03 2011/04/04 2011/04/05 2011/04/06 2011/04/07 2011/04/08 2011/04/09 2011/04/10 2011/04/11 2011/04/12 2011/04/13 2011/04/14 2011/04/15 2011/04/16

### Browse by creation date

66 72 73 75 79 85 86 87 88 89 90 91 96 97 00 01 02 03 04 05 06 07 08 09 10
1966/12
1972/02 1972/08
1973/04
1975/03
1979/08
1985/03
1986/05
1987/06
1988/01
1989/12
1990/01 1990/07 1990/08 1990/10
1991/05
1996/11
1997/12
2000/06 2000/09 2000/11
2001/02 2001/03 2001/07 2001/10 2001/11
2002/02 2002/03 2002/04 2002/07 2002/11 2002/12
2003/02 2003/03 2003/04 2003/05 2003/06 2003/07 2003/08 2003/09 2003/10 2003/11 2003/12
2004/01 2004/02 2004/03 2004/04 2004/05 2004/06 2004/07 2004/08 2004/09 2004/10 2004/11 2004/12
2005/01 2005/02 2005/03 2005/04 2005/05 2005/06 2005/07 2005/08 2005/09 2005/10 2005/11 2005/12
2006/01 2006/02 2006/03 2006/04 2006/05 2006/06 2006/07 2006/08 2006/09 2006/10 2006/11 2006/12
2007/01 2007/02 2007/03 2007/04 2007/05 2007/06 2007/07 2007/08 2007/09 2007/10 2007/11 2007/12
2008/01 2008/02 2008/03 2008/04 2008/05 2008/06 2008/07 2008/08 2008/09 2008/10 2008/11 2008/12
2009/01 2009/02 2009/03 2009/04 2009/05 2009/06 2009/07 2009/08 2009/09 2009/10 2009/11 2009/12
2010/01 2010/02

### Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z
Embassy Athens Embassy Asuncion Embassy Astana Embassy Asmara Embassy Ashgabat Embassy Ankara Embassy Amman Embassy Algiers Embassy Addis Ababa Embassy Accra Embassy Abuja Embassy Abu Dhabi Embassy Abidjan Consulate Amsterdam Consulate Adana American Institute Taiwan, Taipei
Embassy Bujumbura Embassy Buenos Aires Embassy Budapest Embassy Bucharest Embassy Brussels Embassy Bridgetown Embassy Bratislava Embassy Brasilia Embassy Bogota Embassy Bishkek Embassy Bern Embassy Berlin Embassy Belgrade Embassy Beirut Embassy Beijing Embassy Banjul Embassy Bangkok Embassy Bandar Seri Begawan Embassy Bamako Embassy Baku Embassy Baghdad Consulate Barcelona
Embassy Copenhagen Embassy Conakry Embassy Colombo Embassy Chisinau Embassy Caracas Embassy Canberra Embassy Cairo Consulate Curacao Consulate Ciudad Juarez Consulate Chennai Consulate Casablanca Consulate Cape Town
Embassy Dushanbe Embassy Dublin Embassy Doha Embassy Djibouti Embassy Dhaka Embassy Dar Es Salaam Embassy Damascus Embassy Dakar Consulate Dubai
Embassy Freetown
Embassy Guatemala Embassy Gaborone Consulate Guadalajara
Embassy Helsinki Embassy Harare Embassy Hanoi Consulate Hermosillo Consulate Hamburg
Iran RPO Dubai Embassy Islamabad Consulate Istanbul
Embassy Jakarta Consulate Jerusalem Consulate Jeddah
Embassy Kyiv Embassy Kuwait Embassy Kuala Lumpur Embassy Kinshasa Embassy Kigali Embassy Khartoum Embassy Kathmandu Embassy Kampala Embassy Kabul Consulate Kolkata
Embassy Luxembourg Embassy Luanda Embassy London Embassy Ljubljana Embassy Lisbon Embassy Lima Embassy Lilongwe Embassy La Paz Consulate Lahore Consulate Lagos
Mission USNATO Embassy Muscat Embassy Moscow Embassy Montevideo Embassy Monrovia Embassy Minsk Embassy Mexico Embassy Mbabane Embassy Maputo Embassy Manama Embassy Managua Embassy Malabo Embassy Madrid Consulate Munich Consulate Mumbai Consulate Montreal Consulate Monterrey Consulate Milan Consulate Melbourne
Embassy New Delhi Embassy Nassau Embassy Nairobi Consulate Naples
Embassy Ouagadougou Embassy Ottawa Embassy Oslo
Embassy Pristina Embassy Pretoria Embassy Prague Embassy Port Of Spain Embassy Port Louis Embassy Port Au Prince Embassy Phnom Penh Embassy Paris Embassy Paramaribo Embassy Panama Consulate Peshawar
Embassy Quito
REO Basrah Embassy Rome Embassy Riyadh Embassy Riga Embassy Reykjavik Embassy Rangoon Embassy Rabat Consulate Rio De Janeiro Consulate Recife
Secretary of State Embassy Stockholm Embassy Sofia Embassy Skopje Embassy Singapore Embassy Seoul Embassy Sarajevo Embassy Santo Domingo Embassy Santiago Embassy Sanaa Embassy San Salvador Embassy San Jose Consulate Strasbourg Consulate Shenyang Consulate Shanghai Consulate Sao Paulo
Embassy Tunis Embassy Tripoli Embassy Tokyo Embassy The Hague Embassy Tel Aviv Embassy Tehran Embassy Tegucigalpa Embassy Tbilisi Embassy Tashkent Embassy Tallinn Consulate Tijuana
USUN New York USEU Brussels US Mission Geneva US Interests Section Havana US Delegation, Secretary UNVIE Embassy Ulaanbaatar
Embassy Vilnius Embassy Vienna Embassy Vatican Embassy Valletta Consulate Vladivostok
Embassy Windhoek Embassy Wellington Embassy Warsaw
Embassy Yerevan Embassy Yaounde
Embassy Zagreb

### Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
AFIN AMGT ASEC AF AU AE ABLD AG ASIG AORC AEMR APER AR AMBASSADOR ASEAN AM AJ AA AL ASUP AS ABUD AMED AX APECO AID AUC ASECKFRDCVISKIRFPHUMSMIGEG ADANA AFFAIRS AND AO ADCO ACOA ATFN AROC AFGHANISTAN AFU AER ALOW AODE ATRN AC AZ AVERY APCS AGMT
BR BL BA BM BEXP BH BTIO BIDEN BO BRUSSELS BT BC BU BY BX BG BK BF BBSR BMGT BTIU BE BB BILAT
CR CO CH CU CVIS CPAS CMGT CS CI CJUS CASC CA CY CDG CE CG CBW COUNTER CN CKGR COUNTERTERRORISM CODEL CWC CJAN CONDOLEEZZA CIA CD CLINTON CT CARSON CONS CB CM CW CACM CDB CAN COE COUNTRY CLEARANCE CACS CF CL CIS CTM COM CV
DR DA DOMESTIC DHS DAO DCM DEPT DTRA DPRK DISENGAGEMENT DOD DJ DEAX DOE DK DEA DS
ECON EPET ES ETRD EFIN EUN ENRG ETTC EINV EAGR ECPS ELAB EWWT EG ELTN EC EAID ER EI EU EZ EN ET EAIR EK EIND ECIN EINVECONSENVCSJA ECONOMICS EXTERNAL ELN ELECTIONS EMIN EINN EFINECONCS ETRDEINVECINPGOVCS ENIV ECUN EFIS EINT ENGR ENNP EUR EAP EEPET ETRDEINVTINTCS ENVI EFTA ETRO ESENV ECINECONCS ENVR ECONOMY EINVEFIN ECIP EINDETRD EUC EREL ECA ENERG ENGY ECONCS EINVETC ECONEFIN ESA ETC ETRDECONWTOCS EUNCH
FR FREEDOM FTAA FARC FI FAO FJ FMLN FBI FOR FTA FOREIGN FINANCE FINR
GT GM GG GV GH GOI GA GTIP GR GZ GE GCC GY GOV GANGS GAZA GTMO
HO HA HUMAN HU HR HILLARY HSTC HK HURI HYMPSK
IR IZ IC IS IT IZPREL IRAQI IO IN IAEA ID ITPHUM ITPGOV ITALIAN IPR INRB IMO ITALY ICRC ICAO INTERPOL IQ IWC IV ICTY INTELSAT IEFIN IA INR IRC IACI ITRA IL ICJ INTERNAL ISRAELI IIP ILC INRA INRO IRAJ IF ILO IBRD IMF
JO JOSEPH JA JP JOHNNIE JM JUS JAMES
KZ KNNP KJUS KDEM KICC KSCA KTIA KISL KPAO KMDR KHLS KU KTFN KIRF KIPR KCRM KOLY KFRD KCOR KE KWMN KV KSUM KPAL KSEP KTIP KSTC KGIC KPKO KOMC KFLO KAWC KUNR KS KNPP KIDE KNEI KVPR KBIO KPRP KN KWBG KR KMCA KMPI KCIP KTEX KGIT KNSD KCFE KLIG KFLU KBCT KOMS KGHG KG KBTS KACT KCRS KGCC KDRG KWMM KAWK KHIV KSPR KRVC KRAD KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KOCI KSTH KTDB KPAI KHSA KTLA KO KFSC KVIR KX KFTFN KHDP KPWR KWAC KMIG KSEC KIFR KDEMAF KFIN KNUC KPIN KPLS KIRC KPRV KBTR KERG KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KNUP KTER KDDG KMRS KPAK KNAR KREL KCOM KNNPMNUC KPOA KRFD KHUM KDEV KCFC KREC KWWMN KTBT KWMNCS KSAF
LE LY LU LTTE LI LO LH LG LAB LOG LT
MARR MASS MCAP MIL MOPS MU MX MEPI MO MR MNUC MDC MPOS MEETINGS MD MTCRE MK MUCN MY MASC MRCRE ML MA MEPP MAR MAPP MP MT MAS MTS MLS MI MERCOSUR MC MV MEDIA MILI MEPN MZ MOPPS MAPS MCC MASSMNUC MQADHAFI MTCR MTRE MG
NL NATO NIPP NP NS NPT NU NO NZ NI NATIONAL NPG NGO NG NK NA NSSP NRR NSG NAR NE NASA NT NSF
OAS OREP OTRA OSCE OPRC OIIP OVIP OSAC ODIP OFDP OEXC OPDC OIE OECD OPCW OVP OPIC OPAD OFDA OIC OSCI OTR OFFICIALS
PGOV PINR PREL PREF PTER POL PHUM PINS PK PARM PSOE PAK PHSA PAO PM PBTS PF PNAT PE POLITICS PARMS PBIO PSI POLINT POLITICAL PARTIES PL PA PROP PO PGOVLO PORG PGOVE PLN PINF PRELP PAS PPA PRGOV PUNE PG PALESTINIAN POLICY PROG PEPR PINT PU PECON POGOV PINL PKFK PMIL PY PFOR PHALANAGE PARTY PRAM PMAR PHUMPREL PHUS PRL PGOC PNR PGGV PROV PTERE PGOF PHUMBA PEL POV
QA
RS RU RIGHTS RO RW RICE RSP RP REACTION REPORT RF ROBERT RFE REGION
SNAR SOCI SENV SCUL SA SP SY SMIG SU SF SAN SZ SW SR SO SHUM SYR SAARC SL SI SNARCS STEINBERG SN SG SIPRS SH SOFA SANC SK ST SC SEVN
TX TU TS TRGY TO TH TBIO TIP TP TW TC TPHY TSPL TERRORISM TI TURKEY TSPA TD TZ TFIN TNGD TINT TK TR TT TRSY
US UN UNSC UP UNHCR UK UNGA UNMIK USUN UZ UNESCO USEU USTR UNHRC UY UNO UG UNDC UAE UNAUS UNDESCO UNEP UNCHC UV UNDP UNCHS UNVIE UE USAID
VT VE VTPREL VZ VN VM
WTRO WITH WHO WTRQ WBG WI WTO WB WWARD WHA WA WMO WEU WZ
XM XF XR XA XK XH XL XS XG XW XY XE XT XD XZ XV XC
YI YM YMCS YE
ZI ZANU ZU ZO ZP ZR ZB ZF ZA ZOELLICK ZK ZJ

### Browse by classification

CONFIDENTIAL CONFIDENTIAL//NOFORN SECRET SECRET//NOFORN UNCLASSIFIED UNCLASSIFIED//FOR OFFICIAL USE ONLY

### Community resources

Follow us on Twitter Check our Reddit Twitter this Digg this page Contact us on IRC

courage is contagious

### Viewing cable 08MADRID836, IRAN FOCUS OF TREASURY UNDER SECRETARY LEVEY TRIP

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:

- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.

To understand the justification used for the classification of each cable, please use this WikiSource article as reference.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #08MADRID836.

Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
08MADRID836 | 2008-07-28 16:04 | 2010-12-12 12:12 | CONFIDENTIAL | Embassy Madrid

`

    VZCZCXRO7860
    RR RUEHAG RUEHROV
    DE RUEHMD #0836/01 2101629
    ZNY CCCCC ZZH
    R 281629Z JUL 08
    FM AMEMBASSY MADRID
    TO RUEATRS/DEPT OF TREASURY WASHDC
    INFO RUCNMEM/EU MEMBER STATES COLLECTIVE
    RUEHC/SECSTATE WASHDC 5174

` `

    C O N F I D E N T I A L SECTION 01 OF 03 MADRID 000836

    SIPDIS

    TREASURY FOR CCLARK AND DFERNADEZ

    E.O. 12958: DECL: 07/17/2018
    TAGS: ECON EFIN EINV ETRD KTFN PREL PARM PTER IR SP
    SUBJECT: IRAN FOCUS OF TREASURY UNDER SECRETARY LEVEY TRIP
    TO MADRID

    Classified By: Deputy Chief of Mission, Hugo Llorens, reasons: 1.5 (b)
    and (d)

    ¶1. (C) Summary: Treasury Under Secretary Stuart A. Levey,
    accompanied by Chief of Staff Christy Clark and Policy
    Advisor DeAnna Fernandez, traveled to Madrid, Spain July
    15-17, 2008 to press for Spanish support for implementation
    of UNSCR 1803 per the EU-3 1 proposal and to provide
    information on the Iranian shipping line IRISL and on threats
    to the insurance industry. Spanish officials said they had
    no "substantive" objections with the EU-3 1 proposal,
    although they did not unequivocally commit to support
    implementation of the proposal prior to the August holidays.
    Spanish officials received the information U/S Levey provided
    on IRISL and insurance with great interest. The Under
    Secretary, together with Ambassador Aguirre, thanked a Repsol
    representative for the company decision not to pursue the
    South Pars Block 13 gas deal. U/S Levey also participated in
    an AmCham hosted lunch and engaged in press outreach. End
    Summary

    --------------------------------------------- -----
    UNDER SECRETARY LEVEY'S MESSAGE WITH GOS OFFICIALS

    --------------------------------------------- -----

    ¶2. (C) The Under Secretary stressed in all of his meetings
    the USG's commitment to a diplomatic solution to the Iranian
    nuclear issue, underscored by the decision to send Under
    Secretary Burns to participate in the Geneva meeting with
    Iran as one more indication of the USG's firm commitment to
    reach a diplomatic solution. In order to facilitate that
    solution, it was necessary to present Iran with a "stark"
    choice, either conform to UNSCR resolutions or face isolation
    and stronger economic sanctions. Levey emphasized that the
    EU's decision in June to designate Bank Melli was a strong
    action that sent an important signal that the EU was prepared
    to be firmer with Iran. This was why it was so necessary for
    Spain to support implementation of UNSCR 1803 per the EU-3 1
    proposal prior to the August vacation. The Under Secretary
    also provided information on the Iranian shipping line,
    IRISL. He said that in 2007, IRISL ships had been
    interdicted, and that in several instances, the ships had
    been carrying prohibited items to Iran. IRISL had also
    engaged in deceptive practices involving, among other things,
    the falsification of shipping documents and operating through
    a company called Seibow Limited. Additionally, Levey noted
    that UNSCR 1737 requires measures to prevent the provision of
    financial services related to the transfer of prohibited
    items to Iran. There had been a great deal of success in
    convincing the banking sector to be extremely vigilant in
    dealing with Iran. The U.S. now wants to expand vigilance to
    the insurance industry as well. The Under Secretary also
    raised questions regarding the possible collaboration between
    Iran and a Libyan-owned bank.

    -----------------------------------
    MINISTRY OF FOREIGN AFFAIRS MEETING
    -----------------------------------

    ¶3. (C) The Under Secretary met with International Economic
    Relations and Energy Affairs Director General Rafael Conde de
    Saro and two staff members. The MFA officials said that
    Spain has no "substantive" problems with the EU-3 1 UNSCR
    1803 implementation proposal, but it was not clear whether
    Spain would support implementation of the proposal prior to
    the August holidays. The MFA officials added that perhaps
    other EU members might have problems with the substance
    and/or timing. Levey indicated that there was a very clear
    reduction of Iranian activity in Spain deriving from various
    sanctions adopted at different levels. Spain had been
    scrupulous in its application of sanctions. De Saro and his
    staff received the Under Secretary's information on IRISL and
    insurance with interest. Conde indicated that he was not
    aware of any Spanish operations with IRISL or of Spanish
    insurance for IRISL, but that the appropriate Spanish
    authorities would be informed.

    ---------------------------------
    MINISTRY OF INDUSTRY, TOURISM AND
    TRADE MEETING
    ---------------------------------

    ¶4. (C) U/S Levey met with Ministry of Industry, Tourism and
    Trade Secretary General for Foreign Trade Alfredo Bonet and
    staff. Bonet expressed support for vigilance and caution
    with respect to transactions with Iran. He said that Repsol
    had made a "tough decision" not to pursue the South Pars

    MADRID 00000836 002 OF 003

    deal. With respect to export credits, a staff member said
    that Spain was "freezing" export credit levels to Iran.
    Responding to U/S Levey' questions regarding what a "freeze"
    means, the official said that it meant capping export credit
    levels to Iran. New deals can be approved, although the
    staff member said that export credit transactions with Iran
    were decreasing because it was difficult to find a bank
    willing to finance the deal. Bonet received the information
    U/S Levey provided with respect to IRISL and insurance with a
    great deal of interest. He said that recently, the ministry
    had imposed new information requirements for companies
    seeking to export possible dual use items. Now, the firms
    have to specify the means of transportation (including the
    identity of the shipping company) and for information on
    transit countries. For shipments to Iran, it was common
    practice to have the Centro Nacional de Inteligencia (CNI -
    Spain's main intelligence organization) check the end user
    and middlemen links for some operations, often delaying them
    for up to a month. If there is a potential risk or doubt
    about the information Iran provides, the Ministry requests
    further information or denies the operation. Ministry staff
    also noted that Spanish banks have closed representative
    offices in Iran.

    -------------------
    MEETING WITH REPSOL
    -------------------

    ¶5. (C) Ambassador Aguirre and Under Secretary Levey thanked
    Repsol YPF General Counselor and Secretary to the Board Luis
    Suarez de Lezo for Repsol's decision not to go ahead with the
    South Pars Block 13 deal. Suarez said that Repsol's decision
    had been a "cruel" one. However, Spain was "sensitive" to
    the problem of terrorism. Suarez said that the company had
    delayed making a decision for as long as possible, and that
    it still has hopes for business in Iran once the nuclear
    issue is dealt with. Suarez said that, so far, Repsol had
    not been lucky in developing business in Iraq, mostly because
    the competition from bigger rivals was too tough. However,
    Repsol had been very successful in making new discoveries in
    Brazil and Libya.

    ------------------------------------
    MEETING WITH THE MINISTRY OF ECONOMY
    ------------------------------------

    ¶6. (C) U/S Levey and DCM met with Economy Ministry Secretary
    of State David Vegara and staff. The U/S stressed the
    importance of Spain supporting the EU-3 1 UNSCR
    implementation proposal. One Vegara staff member suggested
    that Spain was already largely implementing the proposal
    through increased banking vigilance, but Levey pointed out
    that the EU-3 1 proposal contained other important elements
    as well. The staff member said that Spain was working with
    the U.S. within the Financial Action Task Force (FATF) to
    develop guidance on how to implement UNSCR 1803 (including on
    "counter-measures"), and U/S Levey thanked him for that
    support. Vegara said that Spain was on the right side of
    this issue, and on the matter of containing export credit
    operations, Spain had reduced export credits by 30 percent.
    The Secretary of State expressed a great deal of interest in
    the IRISL and insurance information provided by U/S Levey.
    Vegara noted, however, that while Spain has large banks, it
    does not have large insurance companies, so he doubted that
    they were involved in insuring cargo destined for Iran, but
    the government would look into it. Secretary of State Vegara
    underscored that Spain was committed to the Iran financial
    sanctions issue, but that Spain had to coordinate with other
    EU members. He expressed a great deal of interest in Under
    Secretary Burns' meeting with Iranian officials. DCM
    emphasized in this context the need for the international
    community to continue to make clear the "stark" choice that
    Iran faces precisely in order to give diplomacy a better
    chance to work. There was also a discussion of the risk
    posed by possible collusion between Libyan-owned banks and
    Iran. Vegara and his staff indicated that there was only one
    such bank in Spain and they would look into the matter.

    -----------------------------
    MEETING WITH THE CENTRAL BANK
    -----------------------------

    ¶7. (C) U/S Levey and DCM met with Deputy Governor Jose Vinals
    and staff. He too demonstrated great interest in the
    material the U/S provided. Vinals agreed with Levey that
    Spanish banks were increasingly unwilling to take any risks
    with respect to Iran. He said that Banks Santander and
    Sabadell had ceased Iran-related operations, and that, as far
    as he knew, Spanish banks had closed their representation

    MADRID 00000836 003 OF 003

    offices in Iran. When Levey raised concerns about the risk
    posed by possible collusion between Libyan-owned banks and
    Iran, Vinals and his staff also indicated that there was only
    one Libyan-owned bank in Spain, Aresbank. They noted that
    while Aresbank was Libyan-owned, it was managed by Spanish
    officials. They indicated that the majority of Aresbank's
    business was financing equipment and transport to Libya,
    which was necessary since roughly 30 percent of Spain's oil
    imports come from Libya. Vinals, nonetheless , noted that
    any Libyan-owned bank merited extra scruitiny.

    -------
    COMMENT
    -------

    ¶8. (C) Under Secretary Levey's trip was very timely given the
    upcoming EU decision on the EU-3 1 UNSCR 1803 implementation
    proposal. We do not know whether Spain will support
    implementation prior to the summer holidays. However,
    although the Spaniards, especially the Ministry of Foreign
    Affairs, played the perennial Brussels-Member State dance,
    i.e. suggesting that others might be to blame for an outcome
    not desired by the USG, we think the GOS understands that we
    are monitoring Spain's stance on this issue very carefully.

    ¶9. (U) Under Secretary Levey has cleared this message.

    Aguirre

`