ABU DHABI Ñ Saudi Arabia is said to have increased measures to
control bank transactions with Gulf Cooperation Council states.
Saudi officials said Riyad has contacted several GCC allies to ensure
that bank transfers between the six members are not relayed to Islamic
insurgents. The effort has been entrusted to the Saudi Arabian Monetary
Agency.
The aim of the Saudi effort, officials said, is to ensure uniform
standards regarding the supervision over money transfers within the GCC.
Earlier this year, the kingdom announced new measures to combat money
laundering.
Saudi Arabia and the United States have agreed to designate a Saudi
businessman as assisting and funding terrorism. Wael Hamza Julaidan was
identified as an associate of Osama Bin Laden and a supporter of Al Qaida.
Julaidan, 44, was said to have directed the Rabita Trust Islamic charity,
based in the Saudi city of Mecca.
The priority of the Saudi effort, officials said, is the United Arab
Emirates. The UAE, particularly the port of Dubai, has been cited as a key
route for financing to Al Qaida.
Officials said the aim is to stop Islamic insurgents based in Saudi
Arabia to use the UAE as a route for financial transfers.
They said Saudis would require a certificate of transfer for the relay of
more than 100,000 riyals [$27,000] to the UAE.
In addition, Saudi Arabia and the UAE have agreed to restrict the
opening of bank accounts by Saudi nationals. Officials said Saudi nationals
would require approval to open bank accounts operated by a third party.
Under the new regulations, Saudi Arabia and the UAE have pledged to
inform each other of major bank transfers. These include the relay of names
of those who have transferred more than $150,000 [500,000 UAE dirhams] over
the last six months.
Moreover, the UAE Central Bank has relayed information to banks and
money exchangers
of those who have transferred more than 1 million dirhams to the
emirates. The banks have been told to report to authorities those who
transfer more
than 40,000 dirhams from Saudi Arabia to beneficiaries in the UAE.
The new cooperation between Saudi and GCC states come amid U.S. appeals
to Gulf Arab countries to help stop financing by Al Qaida and its allies.
The Bush administration has expressed satisfaction with Saudi efforts to
stop Al Qaida financing.
