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August 20, 1998-1999: US Pressure on Persian Gulf Governments Fails to Impact Funding of Al-Qaeda

On August 20, 1998, President Clinton signs an Executive Order imposing sanctions against bin Laden and al-Qaeda. The order gives US officials the power to block accounts and impose sanctions on any government, organization, or person providing “material assistance” to al-Qaeda. Beginning in 1999, mid-level US officials travel to Saudi Arabia and a number of Persian Gulf countries seeking information about charities supporting al-Qaeda and attempting to put pressure of governments allowing such charities to operate (see June 1999). But these governments provide little to no assistance. The New York Times claims that by the end of 1999, “with the [US] embassy bombings receding into memory, the [Clinton] administration largely moved on. ‘These visits were not followed up by senior-level intervention by the State Department, or for that matter by Treasury, to those governments,’ [says] Stuart Eizenstadt, a Treasury official and a participant in the trips. ‘I think that was interpreted by those governments as meaning this was not the highest priority.’” William Wechsler, one US official involved in these efforts, will later claim, “We had only marginal successes.” He will cite the United Arab Emirates imposing money laundering laws for the first time in 1999 and efforts to ban flights by Ariana, the Afghan national airline (see November 14, 1999; January 19, 2001), as the main successes. Counterterrorism “tsar” Richard Clarke later notes that the Saudis promised information and support, but in the end gave little of either. He will claim that they “protested our focus on continuing contacts between Osama and his wealthy, influential family, who were supposed to have broken all ties with him years before. ‘How can we tell a mother not to call her son?’ they asked.” The New York Times concludes that by 9/11, “the assault on al-Qaeda’s finances had largely fallen by the wayside.” [New York Times, 9/20/2001; New York Times, 12/10/2001; Clarke, 2004, pp. 190-195]

Entity Tags: William Wechsler, William Jefferson (“Bill”) Clinton, Al-Qaeda, Saudi Arabia

Timeline Tags: Complete 911 Timeline

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