t4 b1 team 4 workplan fdr- 10-21-03 terrorist financing monograph outline 122

8/14/2019 T4 B1 Team 4 Workplan Fdr- 10-21-03 Terrorist Financing Monograph Outline 122

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Terrorist Financing Monograph OutlineCommission SensitiveLaw Enforcement Sensitive10/21/03

I. How did AI-Qaeda as an institution (a s opposed to the hijackers) raise andmove funds to support i tself? What were Al-Qaeda's expenditures?II . Prior to 9/11, what did the U.S. do to identify and stop th e raising andmovement of money in support of terrorist groups?

A. What did the USG do to gather and analyze intel l igence on the raising andmovement of money in support of terrorist groups?1. Description and assessment of the gove rnme n t 's ab i l i ty to gather and analyzein te l l igence dom est ical ly on a l -Qaeda related fundraisers and moneytransmit tersa. FBIb . Treasury(a) General descript ion and analysis of the level of coordinat ionbetween F inCEN and other USG inte l l igence e f for t s(i ) Dom est ic agenc ies

(ii) I 9/11 Closed by Statute I

2. Descr ipt ion and assessment of the governm ent ' s a bi l i ty to gather and analyzein te l l igence on al -Qaeda re la ted fund rai sers and money t ran smi t te rs overseasa. C IA

i. De sc r i p t i on and assessment of the CIA s t ruc ture involved interrorism general ly and terrorist f inancing spec i f ical ly(a ) Non-CTC effor t s(0( i i ) 9/11 Closed by Statuteb. Gen eral descrip t ion and assessment of the State De partm ent 's role ingather ing and a n a l y z i n g f inanc ial intel l igence related to terrorist groupsi. St ruc t ure of State fo r ga t he r i ng and ana l yz i ng i n t e l li ge nc egeneral ly(a ) Anal ys i s by IN K

Pre-9/11 seems that l imited analys i s ontop ofdis t r ibuted i n t e l l | 9 /n closed by s t a t u t e | receives anddisseminates intel l ask: how prepare br ie f ings , summaries(b ) Other e f for t s(i ) Foreign trips/meetings seem fairly high- leve l ; n o t sure much in tel l gained(ij) | 9/11 Closed byStatute | appears that posts w d visi t locat ions ; more to veri fy H Q info than to ga t he r? but lots of errors f rom HQ so perhaps both func t ions

( i i i ) Mult i la te ral / regional effortsCommission Sensitive Law Enforcement Sensitive

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is there an inte l l function here?( iv) V olu ntary provision of information or is it more l i ke ly to be confirmationi i . Description and analysis of the level of inform ation collection andanalysis conducted by State w ith regard to terrorist finan cing

B. What did the USG do to disrupt the raising and movement of money insupport of terrorist groups?1.

9/11 Closed by Statute

2. A description and assessment of efforts to freeze terrorist assets or otherwisef inancial ly isolate them throu gh designa tionsa. Legal au thori ty for and scope of designations

i. President ' s au thori ty und er War Powers Act and IEEPA, delegatedto OFAC(a) History and na tu re of President's au thori ty(b) Description of how designations work wi th in OFAC ( includ ingchain of command, information f lows, f u nd ing )(c) Level of fol low throug hii . Secretary of State 's au thor i ty to designate Foreign TerroristOrganizations and individua ls /ent i t ies u n d e r EO 13224(a) Na ture and history of Secretary 's au thor i ty author i ty stems from Anti-terrorism and Effective Death Penal ty Act of 1996

actions must be t a ken in conjunction w/ UST and DOJ; a ll designation orders/adminrecords? signed by Sec, of State must be countersigned by other tw o secretaries9/11 Closed by Statute

State objected to draft EO, treasury secretary w / broad discretion, rdos-7439, rdos-7436(b) Description of how designa tions occur ( in clu ding chain ofcommand, information flows, f und ing)(i) | 9/11 Closed byStatute |

pre-9 /11 , who took lead at HQ? w h a t w as role of posts? Sugg est nam es, vet, pre-notify , etc.(c) Level of follow through cables toembassiesi i i . Level of interagency coordination among agencies involved in theIEEPA and FTO process how were eq u ities balanced pre-9/11, pre-PCC? signs of progress on UB L strategy, 9/12/99, rdos-6345

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in context of new UBL strategy, vis i t to U A E/ S A , 5/14/99, rdos-6341 general USposition, 7/10/99, rdos-6674 Taliban strategy, no new sanctions now, 12/8/99, rdos-7436 concern re: US $ to NGO s suppo rt ing terrorism, 10/12/99, rdos-7433 differences in opinion in State re: UBL strategy, 5/5/99, rdos-7424, 7423 DOJ proposed to target fundraising, to learn if wd. hav e resu l ts , UK doubted approval ,4/13/99, rdos-5735

C. What did the USG do to generate international cooperation on identifying/disrupting terrorist f inancing?1. W hat were US efforts to garner inter nation al support fo r efforts to block andfreeze assetsa. Description of the general internatio nal at t itu de regarding counter-terrorist

financingi. Support of mult i la tera l ins t i tu t ions fo r blocking and freezing(a) UN actions against Taliban U NS CR 1267 Oct. 99

unan imous ly adopted, Malaysia reversed initial 'no' vote, 10/15/99, rdos-5730, rdos-6665 loopholes in UNSCR 1333, 4.12.01, rdos-5721 US requested countries to comply w/ sanctions before take effect , 10/26/99, rdos-6659(b) Other examples of support early E gyp t efforts, rdos-4332 O SA stripped UBL o f ci t izenship, froze assets, 4/8/94 UK proposed G -8 project based ini t ia t ive dealing w/ Saudi-based NGOs, 2/24/00(RDOS 03005171) UAEoffered to assist, 9/14/98 (RDOS -6364) G-8 mtg . considerable disci issinn of TF, 3/8/99, Fr draft convent ion, rdos-5156,| 9/11 closed bys t a t u t e |Qerm jeg js> 3/2Q/98, rdos-5746 arab CTconvent ion, 4/22/98, rdos-6541 draft OAUconven t ion , 3/26/99, rdos-6705 summary of EU CTFefforts, 6/7/99, rdos-6681 UN adopted US/R resolu t ion im posing new sanctions on Tal iban, Ch/Malaysiaabstaine d, France approved of tim e lim its , 12/20/00, rdos-5263(c) USG response to independent foreign efforts(i) Did they overlap USG efforts(ii) Were the y seen as effective(i i i ) Interaction with private sectors US-UK. 2/10/98, rdos-6222


ii. Foreign entit ies ' views of the terrorism problem and the ut i l i ty ofblocking and freez ing3

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Com mission Sensitive ~ Law Enforcement Sensitive10/21/03(a ) Defini t ions of terrorism(b) Charities(c ) "Legitimate struggles"(d ) Emphasis on sources of terrorism(e) Human rights issues(f ) Link between terrorism an d other issues (drugs/guns/etc.)(g) Interface between UNSC CTC and Sanct ions Com mittee(h) State terrorism

9/11 Classified Information

' int l coop no t easy to obta in pre-9/11, 12/10/02, JI report9/11 Classified Information 19/11 Classified Information JSA arrested Murab i/Nass for provid ing $ to UB L, 4/28/00, JI, td-314/137776-00

UA H looked other way w h i l e funds flowed, 1/20/02 (LATimes)9/11 Classified Information

Sudan seized UBL assets, 9/12/99, rdos-6345Germ request fo r more info, 1/6/99, rfbi-7495UAE request for more info, 2/2/00, rdos-6593


Pak appears to be comp lying w/ sanctio ns, 2/2/01, JI , S/oo/3909-01UBL transferring funds via Pak, 8/18/00, tdx/26218-009/11 Classified Information

Sud an made credible effort re: UBL, 9/15/00, rdos-6698 Bahrain efforts pre-9/11, AML law, 9/24/01, rdos-5296, 1/27/02, rdos-6436 SA , CP assured VP cooperation, 11/26/99, rdos-5215

2. Descr ip t ion an d assessment of USG efforts to increase foreign political willa. W hat were efforts made in conjunction with countr ies not invo lved insupport ing terrorism Europe, Japan

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Commission Sensitive -- Law Enforcement Sensitive10/21/03 SA mission budget, one l ine abt CTF, good overall description, US-SA, rdos-6402

9/11 Classified Inform ation

SA/U BL, history, assessment, 1 0 /1 3/ 98, rdos-6708SA/UBL, 1 / 1 1 / 9 9 , rdci -1871UAE7UBL. 3/29/99. rdci-1872


' US-GCC senior level consultations, US presents UBL strategy, 8/7/00, rdos-57269/11 Classified Information

US am b m tg w/ EGIS, outlines s trategy incldg going after $, 3/27/96, rdos-64303.


re: US A M L , US looking for ways to improve, l i t t le effect on fundrais ing by T orgs,3/16/98, rdos-5145 R discuss ing draft AML law w / Europe, draft to D u m a , 4/7/99, rdos-5727 Canadian working on CTF legis, 6/4/99, rdos-6682 EU legal regimes, no specific TF legis, 5/3/99, rdos-6686 Italy regime, 10/4/01, rdos-5253 AML reports , 99-01, rdos-4329B, C, DI 9/11 Classified Information I

' t ra ining in Phi l ippines . 7/6/01. rfbi-5481


description t ra in ing , 6/17/98, rdos-6518/19 French 99 an nu al terrorism report, no ment ion of TF, 12/2/99, rdos-6656


Germany cd not act against AQ contacts be no law broken, 9/11/02, JI-0084German la w made prosecut ing M L dffct, 1 2 / 1 0 / 0 2 , J Ii. Legal auth orit ie sii . Intel l igence

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Commission Sensitive L aw Enforcement Sensitive10/21/03i i i . FIUsiv . Priv ate sector sophist icat ionb. Descript ion an d assessment of USG efforts to improv e these ab i l i t i esi . Assessmentsi i . Train ingi i i . F u n d i n giv . Role of various agencies (coordination, etc . ) embassy C airo proposed 5 y r training program, no mention CTF, rdos-6513 Cairo notes that ML not b ig in Egypt, no law s again st, 9/24/98, rdos-6512

U S t rying to internationalize t raini ng efforts, inc lude G-8 in FSAT v is i t s , 3/18/02 (rdos-5845)D . W hat did the Un ited States Governm ent do to coordinate the disparateagencies involve d in ide ntifying, tracking and disrupting terrorist finances?

III . Based on w hat we kn ow about the 9/11 conspiracy, were there any keyopportunities to detect them as a result of their finan cial transactions? W hatother lessons can be drawn from these financial transactions?

A . W hat do these transactions say about how organized, planned terroristoperations operate within the US?8. Were th e anti-money laundering controls in place sufficient to detect th etypes of movement of money involved here?


cr imina l i ty K Y C hawala/charity overs ight wire transfers zakat and relnp bw char i t ies and ba n ks

C. W as there any concerted, contemporaneous effort to track know n terroristscells through their financial transactions?IV . W h a t has al-Qaeda done since 9/11 to continue to support terroristoperations and move money?

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Commission Sensitive -- Law Enforcement Sensitive10/21/03V. What are we currently doing, an d have these efforts eliminated th edeficiencies present before 9/11?

A . W hat is the current approach to gathering and a nalyzing intelligence on theraising an d movement of money in support of terrorist groups?


B . What is the current approach to disrupting terrorist funding?1. Description and assessment of the changes made, procedura l ly andsubstantively, in the US effort to nam e terrorist groups

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C. W h a t is the current regulatory environment?D. What are the current efforts to generate international cooperation?

1. Descript ion an d assessment of s t ruc tura l changes wi th in th e USGa. Descript ion and roles of various agencies involvedb . Me t hods and effect iveness of in te ragency coo rdina t ion

UST vs. DOS in t ra in ing , rdos-5927 di rec tive f rom DC/OM B re: CTF a u t hor i t y , 9/25/02, rdos-5922 c omm uni c a t ions b re a kdown re: des igna t ion, 9/27/02, rdos-5689 inform at ion di ssemina t ion to foreign govts notification to posts of interagency efforts to coordinate delivery of CTF t raining,

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9/11 Law Enforcement Sensitive

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Comm ission Sensitive -- Law Enforcement Sensitive10/21/03decisions (general, not TF), 3/4/03, rdos-5680

E. W hat are the current mechanisms to coordinate government agencies?VI. What specific, actionable p olicy recommendations can be made to improvethe current efforts in light of the lessons of 9/11?

do we undercut coop on intl efforts against AQ if broaden designations?

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t4 b1 team 4 workplan fdr- 10-21-03 terrorist financing monograph outline 122

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