WRITTEN QUESTION E-3560/03 by José Ribeiro e Castro (UEN) to the Commission. Al-Qa'ida — international funding networks.
Date: 2003-12-01
Institutions: European Parliament, Provisional data
Subjects: UN resolution, capital movement, economic sanctions, financial market, international sanctions, terrorism

C 88 E/468

Official Journal of the European Union

EN

8.4.2004

Answer given by Mr Nielson on behalf of the Commission

(9 January 2004)

The Commission is aware of the facts mentioned by the Honourable Member and follows events in
Zimbabwe with concern and very closely. The Union has reacted promptly to the latest attacks against
fundamental rights made by the Government of Zimbabwe.

Being deeply worried about the deterioration of the current situation with regard to the above, the
Commission has fully supported the last two Declarations issued by the Presidency on behalf of the Union
related to these matters: on 18 September 2003, a declaration on Freedom of Press in Zimbabwe by which
the Union has condemned the closure of the Daily News and, recently, on 28 November 2003, a
declaration expressing concern on the current situation in Zimbabwe, calling on the Government of
Zimbabwe to respect fundamental rights and urging it to engage in active and meaningful dialogue with
internal stakeholders as a way forward to solve the current crisis.

The Commission cannot confirm the information as referred to by the Honourable Member on the
imminent promulgation of laws infringing the freedom and independence of the press and the non-
governmental organisations (NGO’s) operating in Zimbabwe.

The Commission intends to pursue its assistance to civil society actors in order to support human rights
and democratisation projects/activities and to allow them to enhance their capacity to promote internal
dialogue.

(2004/C 88 E/0482)

WRITTEN QUESTION E-3560/03

by José Ribeiro e Castro (UEN) to the Commission

(1 December 2003)

Subject: Al-Qa’ida (cid:1) international funding networks

The Financial Times (UK) of 11 November 2003 reported that a UN report had revealed that despite
‘considerable progress’, al-Qa’ida and those funding it continue to operate on the international financial
markets.

The international system set up to stop the flow of funds to al-Qa’ida is seriously endangered by the
inadequate cooperation of many countries, legislative loopholes and the lack of political will to tackle this
extremely serious problem.

The UN report makes particular reference to Youssef Nada and Ahmed Idris Nasreddin, administrators of
the al-Taqwa financial Group, which the USA views as the most significant canvasser of funds for al-
Qa’ida. European and North American researchers see the Group as the core of multiple terrorist activity
funding networks, all benefiting from the collaboration of various Islamic financial and even charitable
organisations.

The two men in question allegedly continue to have interests and property in Switzerland and Italy, despite
their being classified as ‘terrorist financiers’, and their bank accounts being frozen.

Use of offshore financial centres and trusts appears to be the most common way of disguising the
ownership and source of these financial flows.

Youssef Nada apparently travelled to Liechtenstein in January to change the registration of two companies
linked to the al-Taqwa group, in violation of the UN-imposed ban.

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Official Journal of the European Union

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Al-Qa’ida, the Taliban and their collaborators and associates, according to the report, still possess the
ability to obtain, demand, receive, transfer and distribute considerable sums.

The Commission:

(cid:1) what information does it have about these facts?

(cid:1) is it aware of the existence of negotiations involving terrorists within the European Union?

(cid:1) what information does it have as to the activities of the al-Taqwa Group on Community territory, and

in countries with which the EU has special relations, such as the other members of the EEA?

(cid:1) what measures has it taken or will it take to encourage compliance with the UN resolutions and
prevent the movement of capital destined to fund terrorist organisations? What innovations and
improvements would the Commission suggest?
such
improvements within the territory of the EU?

it already attempting to implement

Is

Answer given by Mr Patten on behalf of the Commission

(12 January 2004)

The Commission has taken note of the second Report prepared by a United Nations (UN) Monitoring
Group chaired by Mr Chandler, which reports to the Al Qaeda and Taliban Sanctions Committee of the
UN Security Council (hereinafter the UN Committee). This report, which was issued on 1 December 2003
and apparently seen by the Financial Times beforehand, concerns the implementation of the restrictive
measures targeting Usama bin Laden and the Al Qaeda network which have been imposed by the UN
Security Council in a number of Resolutions based on Chapter VII of the UN Charter.

The Commission considers that it is primarily up to the UN Committee and, indeed, the UN Security
Council itself to review whether the information contained in the Monitoring Group’s report justifies the
imposition of any additional measures or an amendment of existing measures. The Security Council will
review the relevant Resolutions in January 2004.

As regards the existing measures, it should be noted that Council Regulation (EC) No 881/2002 (1) requires
the freezing of funds and economic resources of persons, groups and entities which have been identified
by the UN Committee as meeting the conditions set out in Resolution 1267(1999) or in Resolution
1390(2002). The Regulation also prohibits making funds and economic resources available to such
persons, groups and entities.

Regulation (EC) No 881/2002 restricts the use of funds and economic resources owned by the persons,
groups and entities concerned. It should be noted that these measures are not tantamount to confiscation
and that
in
accordance with applicable (criminal or other) procedures of the Member States, a competent authority
decides otherwise.

these persons, groups and entities thus continue to have interests and property until,

The Monitoring Group’s second report describes some actions of Mr Youssef Nada and Mr Ahmed Idris
Nasreddin by way of example of the continued use of shell companies and offshore trusts by persons,
groups and entities listed by the UN Committee. The reason why the Monitoring Group selected these
persons for an ‘in-depth inquiry’, as paragraph 70 of the report calls it, are not entirely clear. The example
shows, however, that effective prevention of the financing of terrorism requires that adequate registration
requirements apply as regards legal persons or entities. Only such requirements will allow the authorities
to identify the beneficial owners of legal persons or entities.

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Official Journal of the European Union

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8.4.2004

Third countries such as Switzerland and Liechtenstein have not provided the Commission with any
information about possible activities of Mr Nada and Al Taqwa Ltd. in the Community. It is up to the
Member States to investigate whether the provisions of Regulation (EC) No 881/2002 have been infringed
and whether legal persons or entities have links with persons, groups or entities which have already been
identified by the UN Committee as meeting the conditions set out in Resolution 1267(1999) or in
Resolution 1390(2002). Where appropriate, Member States should propose that the UN Committee makes
a similar finding as regards the legal person or entity investigated.

(1) Council Regulation (EC) No 881/2002 of 27 May 2002 imposing certain specific restrictive measures directed
against certain persons and entities associated with Usama bin Laden, the Al-Qaida network and the Taliban, and
repealing Council Regulation (EC) No 467/2001 prohibiting the export of certain goods and services to
Afghanistan, strengthening the flight ban and extending the freeze of funds and other financial resources in respect
of the Taliban of Afghanistan, OJ L 139, 29.5.2002.

(2004/C 88 E/0483)

WRITTEN QUESTION E-3567/03

by Chris Davies (ELDR) to the Commission

(2 December 2003)

Subject: Water for Life

On 3 September 2002 the European Union launched its ‘major global Water Initiative aimed at creating
strategic partnerships to achieve the World Summit on Sustainable Development goals on clean water and
sanitation’, viz. to halve the proportion of people without access to safe drinking water and improved
sanitation by 2015.

How many ‘strategic partnerships’ have now been established and how many people have to date

1.
benefited from access to safe drinking water and improved sanitation as a result?

The EU made clear

2.
EUR 1,4 billion per year then being invested in water-related aid. By how much has it done so?

it was ready to increase financial

resources over and above the

that

Given that 10 per cent of the time needed to reach the 2015 goals has now passed, what is the

3.
Commission’s assessment of progress to date and the likelihood of the targets being realised?

4. What action must a developing country take in order to take advantage of the EU promise to
increase financial resources towards water-related development aid?

Answer given by Mr Nielson on behalf of the Commission

(28 January 2004)

Important progress has been made since the launch of the EU Water Initiative at the World Summit
1.
on Sustainable Development (WSSD)
in 2002, with the establishment of two strategic partnerships
covering Africa and twelve countries of Eastern Europe, Caucasus, and Central Asia (EECCA). Two
additional geographical components, covering respectively the Mediterranean and Latin America, are in the
process of being designed.