◆ SpookStack

FBI Investigation into Allegations that Al Qaeda Operatives Cornered the Market on Western African Diamonds According to the Washington Post, al Qaeda "reaped millions of dollars in the past three years from the illicit sale of diamonds mined by the rebels in Sierra Leone" and al Qaeda “operatives oversaw a 20 million dollar diamond buying spree that effectively cornered the market in the region's precious stones." This activity allegedly occurred during the summer of 2001 and was used to finance terrorist operations and protect funds from law enforcement scrutiny, in anticipation that their accounts would be frozen after the 9/11 attacks. The articles claim that the al Qaeda operatives originally bought diamonds from RUF rebels at low prices seeking to resell them for large profits in Europe, but in July 2001 they changed tactics and bought far more diamonds than usual, paying premium prices for them. On March 17, 2003, TFOS/FBI traveled to Johannesburg, South Africa, to meet with the De Beers Diamond Company's Crime Intelligence Unit regarding its knowledge of possible al Qaeda involvement with conflict diamonds. De Beers was not aware of any b7D unusual activity in the Antwerp diamond market with regard to raw diamonds from West Africa during the summer of 2001. Furthermore, De Beers did not have any information, other than the above mentioned media reports, relating to al Qaeda's presence in West Africa. Diamond Investigative Unit in Antwerp, reviewed the records of Aziz Nassour's Belgian company, ASA Diam. Also examined were Samih Ossaily's extensive records seized upon his arrest. According to | ASA Diam sold 20 million dollars worth of raw diamonds in Antwerp during the first five months of 2001 and then reinvested more than 19 million dollars of these funds for the purchase of additional diamonds from West Africa. Based 9n its comprehensive review of ASA DIAM financial records, the (gmp advised that media assertions that "[i]nvestigators say that at least 20 million dollars was withdrawn from the account, money they believe was a portion of the company's transactions inked to al Qaeda's buying activities" was false. According to the acm} the money was not tied in any way to al Qaeda, but traced back to West Africa for the purchase of additional gems. \ On December 29, 2002, Washington Post reported that “[i]n Ossaily's case, the Belgian investigators say that they uncovered bank records showing that the diamond company enjoyed a sudden surge in business and turned ove ost one billion dollars the year before September 11," TheL investigators overseeing Ossaily's case told the FBI that such assertions were clear exaggerations and 13 REQ 5-4a thru e 000000093