{"id":59252,"date":"2012-11-08T11:03:22","date_gmt":"2012-11-08T11:03:22","guid":{"rendered":"http:\/\/www.colombotelegraph.com\/?p=59252"},"modified":"2012-11-11T10:29:59","modified_gmt":"2012-11-11T10:29:59","slug":"wikileaks-us-on-ltte-fundraising-activities-and-prabhakarans-monetary-board","status":"publish","type":"post","link":"https:\/\/www.colombotelegraph.com\/index.php\/wikileaks-us-on-ltte-fundraising-activities-and-prabhakarans-monetary-board\/","title":{"rendered":"WikiLeaks: US On LTTE Fundraising Activities And Prabhakaran’s Monetary Board"},"content":{"rendered":"

By Colombo Telegraph<\/a><\/span> –<\/strong><\/p>\n

“(SBU) Reftel provided background on LTTE fundraising and financial activities, as well as specific information about LTTE activities in particular countries. In the past few months, there has been an upsurge in media reporting on increased LTTE fundraising activities abroad – often via coercive practices – in order to finance a potential return to war. Over the past year, we have continued to receive information about the strong links between the TRO and the LTTE and the LTTE’s stepped-up fundraising efforts. Below are a few of the more interesting aspects of LTTE fundraising efforts we have garnered since our cable a year ago” the US Embassy Colombo informed Washington.<\/strong><\/p>\n

\"\"<\/a>

LTTE Leader Prabhakaran reportedly names the members of a seven member monetary board<\/p><\/div>\n

The\u00a0Colombo Telegraph<\/a>\u00a0found the related\u00a0classified diplomatic cable \u00a0from\u00a0WikiLeaks<\/a>\u00a0database,\u00a0which details\u00a0LTTE fundraising\u00a0activities. The \u201cConfidential\u201d\u00a0cable is classified by then\u00a0ECONCHIEF\u00a0US Embassy Colombo<\/a>\u00a0Dean R. Thompson\u00a0on December 19, 2005.<\/p>\n

Under the subheading ‘UK Efforts’ the Embassy wrote “In March, TRO UK was shut down by the British Charities Commission, due to irregularities with the manner in which TRO moves money (i.e. suitcases full of cash brought to Sri Lanka rather than more reputable methods). TRO UK ran afoul of charities regulations rather than terrorism statutes but nonetheless, the desired outcome was achieved from HMG’s perspective, according to the British Deputy High Commissioner. As expected, TRO UK morphed into a new organization with exactly the same board of directors.”<\/p>\n

Under the subheading “Indian Information” the\u00a0Embassy wrote\u00a0”\u00a0the Indian High Commission has reported from contacts in eastern Sri Lanka that the TRO\/USA website is very popular with the Tamil diaspora because it is a convenient medium to make donations via credit card. The same contacts (reported to include a former LTTE “money man”) said that of the massive amount of post-tsunami money raised by TRO around the world, none of it has been spent on tsunami recovery. Rather, it has all been banked in LTTE accounts for a “rainy day on the battlefield.” The extensive amount of “TRO” tsunami relief around the North and East has been bankrolled by wealthy individual diaspora Tamils who want to help and are perfectly willing to let the TRO take credit for and put their flag on the projects. According to the Indians, the message from these Tamil contacts was clear: TRO tsunami global fundraising is all going to the LTTE (Note: This Indian comment is a bit apocalyptic. The TRO does do legitimate relief work, althought almost all observers agree there is co-mingling of funds between the TRO and the LTTE. End Note).”<\/p>\n

Under the subheading “LTTE Fundraising”\u00a0The LTTE maintains a completely parallel administrative structure in areas under its control, thus requiring a fairly elaborate revenue scheme. All travelers into and out of the Vanni region (LTTE-held territory) are required to pass through LTTE “Customs” and are assesed a duty and provided a receipt. Duty scales are posted on the internet and can be found at www.nithiththurai.com (Note: a search of www.netcraft.com indicates that this site is based in the US – IP address is 72.36.155.218 and was established in February 2005. Nameserver is ns.hompagenames.net; DNS admin: hostmaster@nithiththurai.com; Reverse DNS: 218.155.36.72.reverse.layeredtech.com. Netblock owner is Layered Technologies, Inc. Post has collected several other Tiger-related websites and would appreciate information on where to send for possibel investigation (see para 10). End Note). As mentioned in reftel, taxes and patronage are collected by the LTTE in the Vanni and in Tamil-dominated Government-held areas as well.”<\/p>\n

“(SBU) Also as mentioned in reftel, the LTTE maintains a “Bank of Tamil Eelam” (BOTE) and recent press reporting suggests that it has a deposit base of approximately USD 15 million. While the Vanni region operates with Sri Lankan rupees, the BOTE offers higher deposit rates and lower lending rates than its Sri Lankan counterparts. LTTE Leader Prabhakaran reportedly names the members of a seven member monetary board that oversee the bank and LTTE “monetary policy.” According to a recent press interview with 36-year old BOTE manager Mahalingam Veerathevan, a graduate of Jaffna University’s business administration program, the bank has “minimal” default rates (Note: Veerathevan attributes this to sound lending policies but a bank backed by the full faith and credit of the LTTE certainly has its own collection “incentives.” End Note) and has never been the target of a robbery attempt. BOTE has 12 branches, four of which have upgraded to computer systems. It has 10,000 depositors and 300 current account holder. Checks issued by BOTE are not accepted anywhere outside of the Vanni. However, the main BOTL branch in Kilinochchi is conveniently located directly between the branches of state-owned People’s Bank (PB) and Bank of Ceylon (BOC). Both are able to accept electronic funds transfers from expatriate Sri Lankans. It is therefore a simple process of receiving funds from abroad via the BOC or PB branches and simply walking them next door for deposit into a BOTE account.” they further wrote.<\/p>\n

Related\u00a0stories to this cable;<\/p>\n

WikiLeaks: GoSL Had No Evidence Against Charles Gnanakone<\/a><\/strong><\/span><\/p>\n

WikiLeaks: \u2018We Are Losing Credibility On Terrorism Financing Issues With The GSL\u2019 \u2013 US Embassy Colombo<\/a><\/strong><\/span><\/p>\n

Read the cable below for further\u00a0details;<\/p>\n

C O N F I D E N T I A L SECTION 01 OF 03 COLOMBO 002112 \r\n\r\nSIPDIS \r\n\r\nNEW DELHI FOR LEGATT; STATE FOR SA\/INS MGOWER; MCC FOR\r\nDNASSIRY AND EBURKE; TREASURY FOR SCHUN AND JROSS; ENERGY\r\nFOR JMILLER \r\n\r\nE.O. 12958: DECL: 12\/15\/2015\r\nTAGS: PTER ECON EFIN KCRM CE LTTE ECONOMICS\r\nSUBJECT: POST (AGAIN) RECOMMENDS INVESTIGATION INTO\r\nPOSSIBLE LTTE-LINKED ACTIVITIES IN THE US \r\n\r\nREF: 04 COLOMBO 2002 \r\n\r\nClassified By: ECONCHIEF Dean R. Thompson, reasons 1.4 b, d and e \r\n\r\n\u00b61. (C) This is an action request, please see para 10.  This\r\nis a follow-on to reftel, in which Post specifically\r\nrequested USG efforts to investigate possible LTTE-linked\r\nfundraising in the US. \r\n\r\n\u00b62. (C) Summary: In the wake of reports of increased LTTE\r\nfundraising activities in Canada, France, UK and Australia,\r\nlocal papers have been reporting increased law enforcement\r\nactivity, particularly in Australia, against such\r\nfundraising.  The fundraising is sometimes via legal\r\nentities, such as the Tamil Rehabilitation Organization\r\n(TRO), which has 501(c)(3) status in the US, as well as\r\ncomparable status in other countries.  In the last twelve\r\nmonths, we have received confirmation from the UK that they\r\nhave withdrawn charity status for the TRO (though it was\r\nreconstituted under a different name) and that Australia has\r\nactively sought to interdict illegal fundraising activities.\r\nThe Bank of Tamil Eelam (the LTTE's banking structure)\r\ncontinues to expand in Tiger held areas and appears to\r\nprovide an effective mechanism through which the LTTE can\r\noperate its financial activities.  Moreover, at least one\r\nLTTE financial website appears to be based in the US.  As\r\nPost first proposed a year ago (reftel), it is time for a\r\nserious, coordinated interagency investigation of possible\r\nLTTE fundraising in the US.  We are losing credibility on\r\nthis issue with the GSL.  End Summary \r\n\r\n\u00b63. (SBU) Reftel provided background on LTTE fundraising and\r\nfinancial activities, as well as specific information about\r\nLTTE activities in particular countries.  In the past few\r\nmonths, there has been an upsurge in media reporting on\r\nincreased LTTE fundraising activities abroad - often via\r\ncoercive practices - in order to finance a potential return\r\nto war. Over the past year, we have continued to receive\r\ninformation about the strong links between the TRO and the\r\nLTTE and the LTTE's stepped-up fundraising efforts.  Below\r\nare a few of the more interesting aspects of LTTE fundraising\r\nefforts we have garnered since our cable a year ago: \r\n\r\nUK Efforts\r\n---------- \r\n\r\n\u00b64. (C) In March, TRO UK was shut down by the British\r\nCharities Commission, due to irregularities with the manner\r\nin which TRO moves money (i.e. suitcases full of cash brought\r\nto Sri Lanka rather than more reputable methods).  TRO UK ran\r\nafoul of charities regulations rather than terrorism statutes\r\nbut nonetheless, the desired outcome was achieved from HMG's\r\nperspective, according to the British Deputy High\r\nCommissioner.  As expected, TRO UK morphed into a new\r\norganization with exactly the same board of directors. \r\n\r\nIndian Information\r\n------------------ \r\n\r\n\u00b65. (C) The Indian High Commission has reported from contacts\r\nin eastern Sri Lanka that the TRO\/USA website is very popular\r\nwith the Tamil diaspora because it is a convenient medium to\r\nmake donations via credit card.  The same contacts (reported\r\nto include a former LTTE \"money man\") said that of the\r\nmassive amount of post-tsunami money raised by TRO around the\r\nworld, none of it has been spent on tsunami recovery.\r\nRather, it has all been banked in LTTE accounts for a \"rainy\r\nday on the battlefield.\"  The extensive amount of \"TRO\"\r\ntsunami relief around the North and East has been bankrolled \r\n\r\nSIPDIS\r\nby wealthy individual diaspora Tamils who want to help and\r\nare perfectly willing to let the TRO take credit for and put\r\ntheir flag on the projects.  According to the Indians, the\r\nmessage from these Tamil contacts was clear: TRO tsunami\r\nglobal fundraising is all going to the LTTE (Note: This\r\nIndian comment is a bit apocalyptic.  The TRO does do\r\nlegitimate relief work, althought almost all observers agree\r\nthere is co-mingling of funds between the TRO and the LTTE.\r\nEnd Note). \r\n\r\nAustralian Efforts\r\n------------------ \r\n\r\n\u00b66. (C)  Recent press reports suggest the Australians are\r\ntaking a closer look at LTTE fundraising.  Matthew Hyndes,\r\nthe Australian Deputy High Commissioner, confirmed to\r\nPolChief on December 2 that the police, based on information\r\nprovided by the Sri Lankan Directorate of Internal\r\nIntelligence (DII), is conducting a total of three\r\ninvestigations in Sydney and Melbourne of individuals\r\nsuspected of raising funds for the LTTE, but he stressed that\r\nno arrests had been made.  Police confiscated some computer\r\nequipment in the course of the raids, Hyndes said, and some\r\narrests could be made later depending upon what, if anything,\r\nis found in the computer records.  He expressed skepticism\r\nthat any \"smoking gun\" would turn up in the computers\r\nalthough there is little doubt, in Hyndes view, that the\r\nindividuals are linked to the LTTE.  He added that under new\r\nprocedures, pro-LTTE Tamil National Alliance (TNA) MPs who\r\ncome in for visas will be closely grilled about their agendas\r\nwhile in Australia and asked to sign a sworn statement that\r\nthey will not engage in any fundraising activities while\r\nthere. \r\n\r\n\u00b67. (C)  Hyndes added that the GSL has put increasing pressure\r\non the Australians to do something about LTTE fundraising in\r\nAustralia but has seldom provided adequate information on\r\nwhich to base an investigation that would stand up in\r\nAustralian court.  He characterized most of the GSL-provided\r\nleads as \"speculation,\" and \"guesswork\" that is \"not very\r\nhelpful.\"   He added that the GSL had no evidence against\r\nCharles Gnanakone, the Australian citizen with links to the\r\nLTTE who had been held for several months on suspicion of\r\ninvolvement in former Foreign Minister Kadirgamar's August\r\nassassination (recently released due to a lack of evidence).\r\n In general, Hyndes believes DII provides comparatively more\r\nuseful and reliable information than the Directorate of\r\nForeign Intelligence (DFI). \r\n\r\nLTTE Fundraising\r\n---------------- \r\n\r\n\u00b68. (SBU) The LTTE maintains a completely parallel\r\nadministrative structure in areas under its control, thus\r\nrequiring a fairly elaborate revenue scheme.  All travelers\r\ninto and out of the Vanni region (LTTE-held territory) are\r\nrequired to pass through LTTE \"Customs\" and are assesed a\r\nduty and provided a receipt.  Duty scales are posted on the\r\ninternet and can be found at www.nithiththurai.com (Note: a\r\nsearch of www.netcraft.com indicates that this site is based\r\nin the US -  IP address is 72.36.155.218 and was established\r\nin February 2005.  Nameserver is ns.hompagenames.net; DNS\r\nadmin: hostmaster@nithiththurai.com; Reverse DNS:\r\n218.155.36.72.reverse.layeredtech.com.  Netblock owner is\r\nLayered Technologies, Inc.  Post has collected several other\r\nTiger-related websites and would appreciate information on\r\nwhere to send for possibel investigation (see para 10).  End\r\nNote).  As mentioned in reftel, taxes and patronage are\r\ncollected by the LTTE in the Vanni and in Tamil-dominated\r\nGovernment-held areas as well.\r\n\u00b69. (SBU) Also as mentioned in reftel, the LTTE maintains a\r\n\"Bank of Tamil Eelam\" (BOTE) and recent press reporting\r\nsuggests that it has a deposit base of approximately USD 15\r\nmillion.  While the Vanni region operates with Sri Lankan\r\nrupees, the BOTE offers higher deposit rates and lower\r\nlending rates than its Sri Lankan counterparts.  LTTE Leader\r\nPrabhakaran reportedly names the members of a seven member\r\nmonetary board that oversee the bank and LTTE \"monetary\r\npolicy.\"  According to a recent press interview with 36-year\r\nold BOTE manager Mahalingam Veerathevan, a graduate of Jaffna\r\nUniversity's business administration program, the bank has\r\n\"minimal\" default rates (Note: Veerathevan attributes this to\r\nsound lending policies but a bank backed by the full faith\r\nand credit of the LTTE certainly has its own collection\r\n\"incentives.\" End Note) and has never been the target of a\r\nrobbery attempt.  BOTE has 12 branches, four of which have\r\nupgraded to computer systems.  It has 10,000 depositors and\r\n300 current account holder.  Checks issued by BOTE are not\r\naccepted anywhere outside of the Vanni.  However, the main\r\nBOTL branch in Kilinochchi is conveniently located directly\r\nbetween the branches of state-owned People's Bank (PB) and\r\nBank of Ceylon (BOC).  Both are able to accept electronic\r\nfunds transfers from expatriate Sri Lankans.  It is therefore\r\na simple process of receiving funds from abroad via the BOC\r\nor PB branches and simply walking them next door for deposit\r\ninto a BOTE account. \r\n\r\nAction Request\r\n-------------- \r\n\r\n\u00b610. (C) We are losing credibility on terrorism financing\r\nissues with the GSL, which takes our GWOT-related financial\r\nconcerns very seriously.  As we suggested a year ago, there\r\nneeds to be an interagency USG look into possible LTTE\r\nfundraising in the US.  A review of TRO\/USA records and\r\nprocedures might be the place to start.  We realize there may\r\nbe USG investigative efforts underway of which Embassy\r\nColombo is not aware.  If that is the case, perhaps the\r\nDepartment could forward a summary of USG efforts to date.\r\nMoreover, we would appreciate information on where to send\r\nsuspected US-hosted Tiger-related website information for\r\nfurther investigation as well.\r\nENTWISTLE<\/pre>\n","protected":false},"excerpt":{"rendered":"
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