This record is a partial extract of the original cable. The full text of the original cable is not available.

C O N F I D E N T I A L VIENNA 001075 
 
SIPDIS 
 
DEPT FOR EB/ESC/TFS (DNELSON), S/CT (TKUSHNER), IO/PSC 
(JSCHWEITZER), EB/EPPD (CTHOMPSON), AND EUR/AGS 
PLEASE PASS TO TREASURY (JZARATE) AND OFAC (RWERNER) 
 
E.O. 12958: DECL: 04/04/2015 
TAGS: KTFN KVPR EFIN PTER ETTC PREL CVIS AU
SUBJECT: TERRORISM FINANCE: 2005 UPDATE NO.2: AUSTRIAN 
RESPONSE 
 
REF: STATE 32688 
 
Classified By: ECONOMIC-POLITICAL COUNSELOR GREGORY E. PHILLIPS FOR 
REASONS 1.4 (B) AND (D). 
 
¶1.  (C) Following is keyed to information requested in reftel: 
 
A) Amount of assets frozen, forfeited or seized by host 
government pursuant to UNSCR Resolutions 1267 and 1373; the 
legal authority under which the action was taken; and what 
additional domestic actions have been taken against the 
designated parties: 
 
--Austrian authorities have not frozen, forfeited, or seized 
any assets pursuant to UNSCR 1337.  Authorities have frozen 
minor amounts pursuant to UNSCR 1267, but because police are 
still investigating several of these cases, our GoA contacts 
would not provide exact figures. 
 
--The EU Council has transposed both UNSCR 1267 and UNSCR 
1373 into regulations, so both are directly and immediately 
applicable to the GoA, as well as Austrian entities and 
citizens. 
 
B) What impediments exist for more robust cooperation with 
your host government on co-sponsoring designations? 
 
--We do not see any impediments for a more robust 
cooperation.  The GoA has been very responsive to all our 
requests and extremely cooperative with USG agencies on 
terrorist financing issues. 
 
C) Is your host government willing to accept USG training and 
technical assistance, including an assessment of training 
needs?  In your view, what are your host government's 
priority training and technical assistance needs with regard 
to the development and/or enhancement of their anti-terrorist 
financing regimes in general and their sanctions program in 
particular? 
 
--Austria is a highly developed country, which uses 
state-of-the-art technology to fight crime, including 
terrorist financing.  GoA personnel in this field are very 
competent.  We believe the USG should keep appropriate GoA 
officials aware of new developments in the fight against 
terrorist financing.  However, we believe any USG training 
should be well-targeted and specific, rather than 
across-the-board. 
 
--One area where Austria might benefit from USG or 
third-country experience is better vetting, control and 
monitoring of non-profit organizations. 
 
D) How would you rank your host country in terms of risk that 
it will be used as a site either for significant fund raising 
or for significant banking services for terrorists ("High," 
"Medium," or "Low")? 
 
--We believe there is a medium risk that terrorists would use 
Austria as a site for significant fund raising.  The GoA has 
implemented a comprehensive set of regulations against 
terrorism financing.  The Criminal Code contains a category 
entitled "Financing Terrorism," which foresees a prison 
sentence of 6 months to five years.  Nevertheless, Austria 
has loose regulations on the approximately 100,000 charities 
and other non-profit organizations, including religious 
associations, registered in Austria.  There are no regular or 
routine checks on non-profit organizations after they 
register.  These entities could be vulnerable to misuse by 
criminal and terrorist organizations and their supporters. 
 
--We believe there is a medium risk that terrorists would use 
Austrian banking services to transfer funds.  The GoA 
tightened provisions against terrorism by implementing the 
FATF Special Recommendations on Terrorist Financing, and by 
amending the Banking Act, Criminal Code, Criminal Procedures 
Code, Gambling Act, Law on Attorneys, Law on Notaries, and 
the Commercial Code.  However, Austria's banking system, like 
the financial system of any developed nation, could be 
attractive for terrorist organizations to effect financial 
transfers. 
Brown