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RUCNDT/USMISSION USUN NEW YORK PRIORITY 1105
RUEHBS/USEU BRUSSELS PRIORITY

C O N F I D E N T I A L SECTION 01 OF 02 LONDON 000272 
 
SIPDIS 
 
SIPDIS 
 
E.O. 12958: DECL: 01/29/2018 
TAGS: PREL KPRP PGOV PHUM IR UK
SUBJECT: IRAN: UK SAYS EU DESIRE FOR THIRD UNSCR MEANS NO 
AUTONOMOUS MEASURES BEFORE MARCH 
 
REF: A. SECSTATE 07679 
 
     ¶B. EMBASSY-NEA/IR TELCON 1/28 
 
LONDON 00000272  001.2 OF 002 
 
 
Classified By: Political Counselor Richard Mills for reasons 1.4 (b) an 
d (d) 
 
 ¶1.  (C) Summary:  The UK expects no new EU steps on 
autonomous measures against Iran before a March 10-11 GAERC 
ministerial, due to the desire of most EU governments to have 
the legal and political cover of an approved third UN 
Security Council Resolution in place before any further EU 
action, according to the Foreign and Commonwealth Office 
(FCO).   FCO is confident the EU will designate Bank Melli at 
the March 10-11 GAERC, but predicts the EU will, for 
political reasons, not want to approve any second designation 
making, in FCO view, a March designation of Bank Saderat 
unlikely.  The UK expects that during the February GAERC the 
EU will extend existing travel bans and asset freezes to 
those entities considered "uncontroversial" by the UK and 
other EU governments (Embassy has requested more specifics). 
On the UNSC, FCO believes it will take until "mid to late 
February" to persuade non-permanent UNSC members to support a 
third resolution.   End summary. 
 
UK Comments on Some EU Governments 
---------------------------------- 
 
¶2.  (C) Will Gelling, Iran Multilateral Team Leader at FCO, 
agreed on January 28 with all Iran points ref (a) but told 
London Iran Watcher (Poloff) the January 28-29 GAERC session 
is not dealing with financial or other "autonomous measures" 
against Iran.  Gelling explained that the reluctance of Spain 
and Italy to act without a third UNSCR has in effect delayed 
GAERC action on Iran sanctions until the next Iran session at 
ministerial level: March 10-11, according to Gelling. 
Gelling added the Germans have a strong, but not 
unsurmountable, preference to wait for UN authority before 
going ahead in the EU.  In addition to Spain and Italy, 
Gelling described Greece, Austria and Cyprus as heading what 
he called "the usual doubters" on Iran sanctions, and in need 
of repeated persuasion and engagement.  Gelling said that, 
given a third UNSCR on Iran, both Madrid and Rome and other 
EU governments are in UK's judgment likely to support, within 
limits, E3 proposals for EU sanctions.  Gelling said his 
office will spend the next four weeks traveling to EU 
capitals to advocate for autonomous measures. 
 
Less Optimistic on Saderat 
-------------------------- 
 
¶3.  (C) Gelling said HMG was attempting to organize support 
within the EU for designation of Bank Melli, while France 
has agreed to round up support for a Bank Saderat 
designation.  Gelling said Belgium, Denmark, France, Germany, 
Holland, Italy, and Spain have told FCO bilaterally they will 
support EU designation of Melli, making Melli in the UK's 
view an "odds-on" favorite to win EU designation.  Gelling 
noted however, that these governments had at the same time 
been much less definite about supporting a designation of 
Saderat as well.  Poloff asked whether these governments see 
any significant difference in the merits or evidence 
supporting designation of the two banks: Gelling said the 
merits are less important for these governments than "purely 
political" factors -- the reluctance to move too fast, too 
far. 
 
EU Action Depends On Third Resolution 
------------------------------------- 
 
¶4.  (C) Gelling said any delay in a third UN resolution past 
the March GAERC dates would not derail, but might delay, EU 
autonomous measures.  If the draft third resolution were to 
be vetoed in New York, Gelling said most EU members, despite 
continued French and UK support, would want to quickly 
distance themselves from further steps on Iran.  In these 
circumstances, FCO is hopeful, but not convinced, that 
Germany would support further autonomous measures, including 
a Melli designation, and would have a reasonable chance of 
bringing the rest of the EU along; an outright failure of the 
third UNSCR would in effect make Germany the keystone of next 
steps, if any, within the EU. 
 
 
UK View of UNSCR Dynamics 
 
LONDON 00000272  002.2 OF 002 
 
 
------------------------- 
 
¶5.  (C) Gelling said it will take a number of weeks to 
prepare the ground with UNSC member governments to support 
the draft third resolution agreed in Berlin January 22, and 
highlighted Libya, South Africa, Vietnam and Indonesia as 
needing special attention, which he said the UK is planning 
to provide.  Gelling said the Vietnamese have been in UK view 
very opaque on their position, while South Africa will 
require "point-by-point" explanation and persuasion, due to 
what FCO sees as South Africa's fundamental reluctance to act 
against Iran.  Gelling said the Libyans were being 
characteristically prickly on Iran, while Indonesia will need 
to feel it has been fully consulted before it will support a 
third resolution. 
 
 
 
Visit London's Classified Website: 
http://www.state.sgov.gov/p/eur/london/index. cfm 
TUTTLE