N. Korea funds transfer issue 'has concluded': Macao finance chief [ :-( ]

(Kyodo) _ Macao's finance chief said Thursday evening that issue of some $25 million in North Korea-linked funds that were frozen at a blacklisted Macao bank "has concluded," apparently indicating transfer of the money that began earlier in the day has been completed.

"The BDA issued has concluded," Francis Tam, secretary for economy and finance, said in a statement issued by the Macao government, alluding to Banco Delta Asia SARL.

Apparently, $20 milion was sent to FRB in NYC. $5 million would be following soon. However, several U.S. lawmakers are trying to throw a roadblock on this move.

So we will see if the money can go from FRB to Russian Central Bank. The lawmakers say that such a move violates U.S. Patriot Act.

Probe requested of U.S. effort to free N.Korea funds

By Arshad Mohammed

Tue Jun 12, 7:36 PM ET

Six Republican lawmakers asked a government watchdog on Tuesday to investigate whether U.S. efforts to help North Korea get back about $25 million would violate money laundering and counterfeiting laws.

Until it gets the money, which is currently being held by Banco Delta Asia in Macao, North Korea has refused to carry out an agreement to shut down its reactor at Yongbyon as a first step toward giving up nuclear weapons.

The U.S. Treasury designated Banco Delta Asia as a money-laundering concern in September 2005 and suggested it was a "willing pawn" in suspected North Korean counterfeiting, drug smuggling and other illegal activities.

The Republicans, led by Florida Rep. Ileana Ros-Lehtinen, asked the Government Accountability Office to look into the matter after reports that a resolution may be at hand.

U.S. officials have been trying to facilitate the payment of the money to North Korea and have grown more hopeful the matter may be settled following Russia's decision to step in to try to help arrange the transfer. Many international banks are afraid their reputations may be tainted if they handle the transfer.

The Republicans asked the GAO to study whether efforts by the State and Treasury departments to resolve the matter were consistent with U.S. laws and a U.N. Security Council resolution passed after North Korea conducted a nuclear test in October.

"We would also request that GAO evaluate whether all U.S. official actions undertaken in connection with support for the transfer of North Korean funds held in Banco Delta Asia accounts are in keeping with the prohibitions regarding money laundering and counterfeiting as stipulated in the U.S. Criminal Code," the group said in a letter to the agency.

State Department spokesman Sean McCormack said Secretary of State Condoleezza Rice and Treasury Secretary Henry Paulson had made clear from the start that they would act "in strict accordance with the law and international regulations."

"We appreciate Congress' interest in safeguarding the U.S. financial system from abuse. The transaction the U.S. government is helping to facilitate would be fully consistent with all applicable laws and regulations," added Treasury spokeswoman Molly Millerwise.

In addition to Ros-Lehtinen, the letter was signed by Reps. Christopher Smith of New Jersey, Dan Burton of Indiana, Edward Royce of California, Mike Pence of Indiana and Joseph Pitts of Pennsylvania.

Some conservatives have harshly criticized the Bush administration for striking the February 13 agreement under which North Korea would receive aid in exchange for beginning the process of giving up its nuclear weapons.

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.