VZCZCXRO9866
PP RUEHTRO
DE RUEHTRO #0968 3531659
ZNR UUUUU ZZH
P R 181659Z DEC 08
FM AMEMBASSY TRIPOLI
TO RUEHC/SECSTATE WASHDC PRIORITY 4253
INFO RUEHEG/AMEMBASSY CAIRO 1348
RUEHTU/AMEMBASSY TUNIS 0705
RUEHAS/AMEMBASSY ALGIERS 0844
RUEHRB/AMEMBASSY RABAT 0787
RUEHTRO/AMEMBASSY TRIPOLI 4775

UNCLAS TRIPOLI 000968 
 
SIPDIS 
 
DEPT FOR S/CT AND NEA/MAG 
 
E.O. 12958: N/A 
TAGS: PTER ASEC EFIN KCRM KHLS AEMR LY
SUBJECT: LIBYA COUNTRY REPORT ON TERRORISM 2008 
 
REF: STATE 120019 
 
¶1. (U) The United States rescinded Libya's designation as a 
state sponsor of terrorism in June 2006 after Libya renounced 
terrorism and weapons of mass destruction in 2003.  Libya has 
continued to cooperate closely with the United States and the 
international community to combat terrorism and terrorist 
financing. 
 
¶2. (U) In November 2007, Egyptian cleric and al-Qa'ida (AQ) 
leader Ayman al-Zawahiri announced a merger between AQ and the 
Libyan Islamic Fighting Group (LIFG).  In an audiotape, 
al-Zawahiri urged AQ fighters to topple the government of Libya, 
describing Muammar al-Qadhafi as an "enemy of Islam" and 
criticizing the 2003 decision to renounce WMD and terrorism. 
According to press accounts, LIFG maintained a limited presence 
in eastern Libya and has facilitated the transfer of foreign 
fighters to join insurgents fighting U.S.-led forces in Iraq. 
 
¶3. (U) On August 14, Libya and the United States signed a 
comprehensive claims settlement agreement to create a process 
and a mechanism to provide compensation to claimants in both 
countries for terrorism-related cases.  Included in the 
settlement agreement are claims stemming from the 1988 bombing 
of Pan Am flight 103 in Lockerbie, Scotland, and the 1986 
bombing of the La Belle nightclub in Berlin.  On October 31, the 
Secretary of State certified to Congress that all settlement 
funds had been received, paving the way for the confirmation of 
a U.S. Ambassador to Tripoli and the restoration of full 
diplomatic ties. 
 
GODFREY