T4 B11 Treasury- Progress In The War Fdr- Entire Contents- 2002 Treasury Report And Press Releases- 1st Pgs Scanned For Reference 903

ACCOMPLISHMENTS IN THE WAR AGAINST TERRORIST FINANCING SINCE SEPTEMBER 11, 2001 Starving the terrorists of funding remains both a priority and a success of the war on terrorism. Ever since the President took his initial action in freezing terrorist finances, the international coalition has not slackened in its efforts to disrupt, dismantle, and destroy the pipelines from which terrorists receive money. Our first step has been to deny terrorists access to the world's organized financial structures; in addition, we have been moving to protect charities from abuse by terrorist financiers and increase government oversight of informal financial transfer systems. All these lines of attack have produced results. •

President Bush launched the first offensive in the war on terrorism on September 23, 2001, by signing Executive Order 13224, thereby freezing the U.S.-based assets of individuals and organizations involved with terrorism and authorizing the Secretaries of the State and Treasury Departments to continually identify, designate and freeze the U.S.based assets of terrorists and their supporters.

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Since September 11th, 209 of the 212 countries and jurisdictions in the world have expressed their support for the financial war on terror; 172 countries have issued orders to freeze the assets of terrorists; the international community has frozen over $136 million of terrorist-related assets, including $36.5 million frozen by the U.S.; over $60 million of additional terrorist-related assets have been seized worldwide, including over $37 million in the U.S.; 685 terrorist-related accounts have been blocked around the world, including 106 in the U.S.; over 80 countries have introduced new terrorist-related legislation, and 84 countries have established Financial Intelligence Units.

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U.S. authorities have issued blocking orders on the assets of 281 terrorists, terrorist organizations, and terrorist supporters, effectively denying them access to the U.S. financial system.

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The United States referred to the United Nations 1267 Sanctions Committee, the United Arab Emirates (UAE) and Somalia-based al Barakaat network, which once funneled as much as $15 million a year to al-Qaida; 16 al-Qaida-linked non-profit and charitable foundations, including two overseas branches of the large Saudi Arabia-based charity al Haramain; the extensive financial networks of Youssef Nada and Ahmed Idris Nasreddin; Saudi millionaires Yasin al-Qadi and Wa'el Hamza Julaidan; and the Southeast Asiabased organization Jemaah Islamiyah, the latter in cooperation with Australia and 48 other nations.

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The U.N. Security Council has approved all U.S. requests to impose asset freezes and other sanctions on terrorists and terrorist organizations linked to al-Qaida, the Taliban, or Usama bin Laden.

Progress in the War on Terrorist Financing September 11, 2003

OVERVIEW The opening salvo in the war on terrorism was launched with a stroke of a pen on September 23, 2001 when President Bush signed Executive Order 13224, freezing the assets of terrorists and their supporters and authorizing the Secretaries of Treasury and State to identify, designate and freeze the U.S.-based assets of those who financially facilitate terrorism. President Bush's action began an unprecedented international campaign to deter and dismantle the sources of terrorist financing. In the nearly two years since the September 11 attacks, those efforts have left few places for terrorists and their supporters to hide their money. The U.S. and our international partners have seized or frozen nearly $200 million in terrorist-related assets and have designated 315 individuals and organizations as terrorists or as part of terrorist support networks. Pipelines of terrorist financing that once funneled millions of dollars to terrorists have been dismantled. Several key fundraisers and facilitators have been identified and arrested around the world, further limiting sources of money for terrorists. The fight to stop the financing of terror is virtually without borders. Nearly every country in the world has expressed support in the war on terrorist financing — 173 nations have implemented orders to freeze terrorist assets, more than 100 countries have introduced new legislation to fight terrorist financing, and 84 countries have established Financial Intelligence Units to share information. The 9/11 hijackers took advantage of a financial system that afforded them the ability to transmit and receive money with relative anonymity and to find the financial resources to carry out their plots. But, the past two years have yielded tremendous progress in securing the financial system against terrorist financing and in shining the light of international scrutiny on sectors of the financial system previously untouched by regulation or oversight. Designations and freezing of assets, structural changes to financial systems around the world, and the cooperation of international partners have helped to dry up sources of financial support for terrorism and have restricted the ability of terrorists to operate. Our efforts and the world's focus have made it more difficult for terrorists to succeed in their attacks. The war on terrorist financing, like the war on terror as a whole, is a long fight. While there is still much work to be done, the progress made since the first 9/11 will hopefully help to prevent the next.

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