US freezes funds of Qaeda-linked Muslim charity in RP

WASHINGTON — The US Treasury Department on Thursday tagged the Philippine and Indonesian branches of a Saudi-based Islamic charity organization as fund-raisers for the al-Qaeda terror network and moved to freeze the financial assets of one of its officials for allegedly helping bankroll terror attacks.

The Treasury Department’s action is directed at the Philippine and Indonesian offices of the International Islamic Relief Organization (IIRO). The charity has operations in more than 20 countries in Africa, Europe, Asia and the Middle East.

The treasury department is seeking to financially incapacitate Abd Al Hamid Sulaiman Al-Mujil, the executive director of IIRO’s eastern province branch in Saudi Arabia.

This means that any assets found in the US belonging to Al-Mujil or to the Philippine and Indonesian branches of IIRO will be frozen.

The department said that Al-Mujil has been called the "Million Dollar Man" for his financial support of Islamic militant groups.

Al-Mujil allegedly provided money to the al-Qaeda terror network and is considered a major fundraiser for the Abu Sayyaf and the Jemaah Islamiyah (JI), the department said.

The department also alleged that, among other things, the IIRO offices in the Philippines raised money for the Abu Sayyaf bandits. The IIRO’s offices in Indonesia have funneled money to foundations affiliated with the JI regional terror network and have helped to finance training facilities for use by al-Qaeda associates, the department alleged.

"It is particularly shameful when groups that hold themselves out as charitable or religious organizations defraud their donors or divert funds in support of violent terrorist groups," said Stuart Levey, the US Treasury Department Undersecretary for terrorism and financial intelligence.

"Al-Mujil has a long record of supporting Islamic militant groups and he has maintained a cell of regular financial donors in the Middle East who support extremist causes," Levey said.

Philippine anti-terrorism officials, however, claimed IIRO had already ceased operations in the country.

Ambassador Benjamin Defensor, chairman of the Asia-Pacific Economic Cooperation Counter-Terrorism Task Force (APEC-CTTF) and Ricardo Blancaflor, executive director of Malacañang’s Anti-Terrorism Task Force (ATTF), admitted some degree of terrorist financing in the country but clarified it might not be as extensive.

"Based on our latest update, the IIRO has been out of the country for some years now," Blancaflor said. "Maybe the US government has its own sources of information."

The officials, though, vowed to investigate the allegations made by the US Treasury department.

"We will still look into this, we will update our holdings, even if the (IIRO) has already closed down," Blancaflor said.

Blancaflor disclosed the IIRO is among the organizations being monitored by security forces on suspicions of channeling funds to the Abu Sayyaf in Mindanao.

But Blancaflor did not say if their suspicions have been confirmed.

Defensor, for his part, said it is difficult to completely trace terrorist financing, much less pile up strong evidence that would hold in various courts.

He pointed out that APEC economies contribute to more than half of the world’s Gross Domestic Product so somehow, a small part of these resources finds its way to terror groups.

"There (is) terrorist financing. Why else would there be bombings in Mumbai (India) and Bali (Indonesia)? That’s why in APEC we do our share in restricting, if not stopping, the flow of funds in pursuit of the Leaders’ Statement and UN conventions against terrorism," Defensor said, referring to the APEC Declaration last November in Busan, South Korea.

He said governments should also be careful in tagging non-government organizations or foundations as possible financial conduits to a terror group.

If a certain foreign group is strongly suspected of being a front for the al-Qaeda or other terror group, authorities can request it to close down or have its officials leave the country, he said.

Sponsors

A flagship Saudi Arabian charity organization, the IIRO has top Saudi officials and businessmen as sponsors.

The charity, however, found itself accused of financing the Sept. 11, 2001 terror attack when it was included in a lawsuit filed by families of the 9-11 victims.

US District Court Judge Richard C. Casey of the Southern District of New York ruled there is a prima facie case that the IIRO "had been involved in terror plans and plots and had purposely directed its activities against the United States."

The court noted "the IIRO has allegedly funded al-Qaeda training camps in Afghanistan, supported al-Qaeda guest houses, and been involved in other terrorist attacks and plots."

The suit against IIRO claims the Saudi charity organization helped Osama bin Laden create al-Qaeda and nurture the terror organization in the assassination plots against US President Bill Clinton in 1994 and Pope John Paul II in 1995, who were both then visiting the Philippines.

Bin Laden is pumping money to finance the terror skills of the Abu Sayyaf, according to author Simon Reeve in his book "The New Jackals."

The financing is committed by Saudi businessman and Bin Laden’s mutual friend Muhammad Jamal Khalifa who founded the IIRO branch in the Philippines.

The pattern of funding by Khalifa indicated that all its activities in Mindanao are only fronts for laundering money for the Abu Sayyaf. — AP, Paolo Romero