VZCZCXRO9983
RR RUEHBC RUEHDA RUEHDH RUEHKUK RUEHTRO
DE RUEHGB #0214/01 0280450
ZNR UUUUU ZZH
R 280450Z JAN 10
FM AMEMBASSY BAGHDAD
TO RUEHC/SECSTATE WASHDC 6327
INFO RUCNRAQ/IRAQ COLLECTIVE
RUCNIRA/IRAN COLLECTIVE

UNCLAS SECTION 01 OF 02 BAGHDAD 000214 
 
SBU 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: ECON EIND PGOV EINV IR IZ
SUBJECT: PRT BABIL: AWKWARD IRANIAN ATTENDANCE AT BABIL 
TOURISM EXPO FOSTERS LOCAL ILL WILL 
 
REF: BAGHDAD 213 
 
¶1.  (U) This is a Babil PRT reporting cable. 
 
¶2.  (SBU) Summary:  Fifteen Iranian companies sent 
representatives to a December 8-11, 2009, tourism conference 
in Babil Province at the invitation of Babil Province Second 
Deputy Governor Sadiq Rasool al-Mihanna (INA/Jaafari Trend ) 
National Reform).  Although the companies met with business 
and government leaders, including Babil Governor al-Zarqani 
(independent) and Investment Commission Chair Harba 
(independent), PRTOffs observed that the Iranians were 
isolated from the main part of the expo.  In addition, the 
Governorate reneged on an earlier promise to cover the 
Iranians, expenses, leaving the conference organizer in the 
red.  Although Iranian companies are natural investment 
partners in south-central Iraq, they are viewed with 
suspicion by many in Hillah.  End Summary. 
¶3.  (SBU) Reftel, 15 Iranian companies sent 26 
representatives to the December 8-11, 2009, Babil Tourism 
Expo in Al Hillah, Iraq.  The companies represented interests 
in construction, electricity, trade, and tourism and 
hospitality.  One company (Al-Ghadir Group) has a 
pre-existing partnership with the Hillah-based Al-Hakkak 
company to build a brick factory.  The Alicon Group billed 
itself as an Iranian-UAE-UK joint venture.  Conference 
organizer Salah Bahaya and other local business leaders told 
the PRT that several Iranian companies had made previous 
trips to Babil Province in search of investment and business 
opportunities. 
¶4.  (SBU) The Iranian companies were isolated in a separate 
room away from the main exhibition hall.  Bahaya told PRTOffs 
the Iranian representatives met with Iraqi construction, 
trade, and infrastructure firms.  The Babil Investment 
Commission's (BIC) website also reported the meetings.  The 
Iranians also met with Babil Governor al-Zarqani, BIC chair 
Harba (independent), PC Chair Toman (Sadrist Trend) 
representatives from the Hillah-based textile manufacturing 
para-statal, the state-owned automobile manufacturing plant 
near Iskandariyah, and from unspecified government 
departments.  Bahaya opined that the Iranians did not appear 
to accomplish much during these meetings ) &a lot of 
talking without any concrete results.8 
¶5.  (SBU) According to Bahaya, Babil Province Second Deputy 
Governor Sadiq Rasool al-Mihanna invited the Iranian firms to 
attend the conference.  The invitations were discussed during 
a November 2009 meeting at the BIC, which Bayaha said he 
attended along with Mihanna, Harba, Deputy PC Chair Sabah 
Allawi (Ayad Allawi,s Iraqi National Movement), Sayed 
Mohamed Ali Hussein Hakkak (owner of the al-Hakkak company in 
para. 3), and several Babil PC members including Dr. Amira 
Beklii (INA/Jaafari Trend ) National Reform).  Bahaya said 
he argued against inviting the Iranians.  According to 
Bahaya, Mihanna sent emails to government departments 
advising them that Iranian companies would be at the 
conference looking for investment opportunities. 
¶6.  (SBU) Bahaya told PRTOffs that at the November meeting, 
the Governorate agreed to cover the Iranians, expenses but 
later reneged on that arrangement, sticking Bahaya with a 
bill of some ID 12,000,000 (approximately USD $10,400). 
Conference fees offset some costs, but Bahaya does not expect 
the Governorate to reimburse him. 
¶7.  (SBU) The PRT supported the Expo, which was a combination 
trade fair, tourism conference, and investment promotion 
meeting, with a $25,000 QRF grant; exhibitors and sponsors 
contributed an additional $35,000.  The PRT was not informed 
prior to the event that the provincial government would 
Qprior to the event that the provincial government would 
compel Bahaya to invite the Iranian companies.  USG funds 
expended by the PRT provided only incidental support for the 
conference, in the form of general expenditures such as lunch 
and facility rental fees that were for the benefit of all 
attendees. 
¶8.  (SBU) Comment:  Despite the fact that Iranian companies 
are natural investment partners in south-central Iraq, the 
PRT's conversations with local business and political leaders 
over the last few years indicate that many in Hillah view 
them with suspicion.  PRT interlocutors have characterized 
Iranian companies as Trojan horses for extremism, terrorism, 
and external control over Iraqi resources.  The fact that the 
event's organizers were stuck with the Iranian's sizable bill 
also did not sit well.  Although the Babil provincial 
officials felt motivated to invite Iranian companies to the 
Expo, it is noteworthy that the Iranian companies reportedly 
did not conclude any new agreements with local firms.  End 
Comment. 
¶9.  (U) The 15 Iranian companies and their 26 representatives 
who attended the conference. 
-- Al-Ghadir Group:  Investment (Sayed Mohamed Ali Hussein 
Al- Hakkak, Ibrahim Arab Zadeh Jemali, Ali Mohamed Bed, Sayed 
Murtadah Shrafet, and Hamid Falah Herwa) 
 
BAGHDAD 00000214  002 OF 002 
 
 
-- Alicon Group: British company for prefabricated buildings 
and Rad Iran financial institution (Ghala Muhsin Rad Sreshet 
and Iyrej Makoni Poor) 
-- Bars Bomis Company: Roads and bridge construction 
(Jehangir  Adalt Nam, Esfandiar Rahim Zadeh Asal Askony, 
Mahmood Ghafari, and Hamid Abasi Shkohi) 
-- Behmen Company: Refrigeration and air cooler industry (no 
representative listed) 
-- Berdo Company: waste water treatment plants and 
construction (Muhsen Fawzi) 
-- Betro Mustakbel Al-Alem: Housing construction and 
international consultations (Ali Aymani) 
-- Kalalah Company:  Aluminum sulfate and sulfuric acid 
industry (no representative listed) 
-- Kreman Tablow Company: Transmission and distribution of 
electrical power (Sahba Khuld Brin) 
-- Nima Sehend Company: Manufacturing machinery and equipment 
for brick and cement factories (Behmen Ayzadi Zeman Abadi, 
Ali Ayzadi Zeman Abadi, and Fayroz Jehan Bakhsh) 
-- Quds Nero Company: Power plants (Shahram Kamali Sraji) 
-- Sa,adeh Sbiz Jenob Company:  Water meters (Rahim Taymorya 
and Hussein Haji Por) 
-- Sanair Company: Power plants, water purification, sewage, 
oil and gas (Nasim Khti, Mohamed Ja,fary Fer- Weza Dard, and 
Arman Muhakken) 
-- Sanay, Bend Company (no representative listed) 
-- Sanay, Roshna,I Arm Company: Electrical industry and 
lighting equipment (Mohamed Hadi Por  Ashki) 
-- Saniro Company: Power plants (Salih Khmashji) 
-- No affiliation given: Mustafa Ikbal-Kether Nameh Ndard 
HILL