The Al Haramain Islamic Foundation was founded in 1988 as a branch of the Muslim World League charity, and just like the Muslim World League it is closely linked to the Saudi government. It develops branches in about 50 countries, including a US branch based in Oregon. It has an annual budget of $40 million to $60 million, paid by the Saudi government, and about 3,000 employees. It gives considerable aid to religious causes such as building mosques. But by the early 1990s evidence began to grow that it was funding Islamist militants in Somalia and Bosnia, and a 1996 CIA report detailed its Bosnian militant ties (see January 1996). In 1998, several links were discovered between the charity and the African embassy bombings that year (see Autumn 1997 and 10:35-10:39 a.m., August 7, 1998). 
In March 2002, the US and Saudi governments jointly announce the closing of Al Haramain’s branches in Somalia and Bosnia, but Al Haramain defiantly keeps its Bosnian branch open and it is shut down again after police raids in December 2003. [Washington Post, 8/19/2004; Burr and Collins, 2006, pp. 38-41] In December 2002, it is reported that the Somali branch is still open as well. [Christian Science Monitor, 12/18/2002] In late 2002, Al Haramain is linked to the October 2002 Bali bombing and al-Qaeda operations in Southeast Asia in general (see September-October 2002). In May 2003, Al Haramain announces the closing of its branches in Albania, Croatia, and Ethiopia, soon followed by branches in Kenya, Tanzania, Pakistan, and Indonesia. But this is because of pressure due to suspected militant links, and at least the Indonesian branch secretly changes locations and stays open. [Burr and Collins, 2006, pp. 38-41] In late 2003, Al Haramain Director-General Aqeel al-Aqeel indiscreetly mentions that Saudi Crown Prince Abdullah recently donated money to his charity. Al-Aqeel, Deputy General Mansour al-Kadi, and two other senior officials are fired from the charity by the Saudi minister of religious affairs in January 2004. Interestingly, the Saudi minister is also the chairman of Al-Haramain’s board. In 1997, US intelligence found al-Kadi’s business card in the possession of Wadih el-Hage, Osama bin Laden’s former personal secretary (see Shortly After August 21, 1997). [Netherlands Interior Ministry, 1/6/2005 
; Burr and Collins, 2006, pp. 38-41] In February 2004, the US Treasury Department freezes the organization’s US financial assets pending an investigation. In June 2004, The charity is disbanded by the Saudi Arabian government and folded into an “umbrella” private Saudi charitable organization, the Saudi National Commission for Relief and Charity Work Abroad. In September 2004, the US designates Al-Haramain a terrorist organization, citing ties to al-Qaeda. [US Treasury Department, 9/9/2004; Washington Post, 3/2/2006] The United Nations also bans the organization, saying it has ties to the Taliban. [United Nations, 7/27/2007]
Autumn 2002: Taliban and Al-Qaeda Regrouping in Afghanistan
With the US having diverted much of their best troops and equipment to Iraq, the Taliban and al-Qaeda begin regrouping inside Afghanistan. In August 2002, it is reported that former Taliban head Mullah Omar has secretly returned to Afghanistan and is living in remote hideouts near Kandahar. [Guardian, 8/30/2002] In September, US intelligence officials say “al-Qaeda operatives who found refuge in Pakistan are starting to regroup and move back into Afghanistan… The movement back into Afghanistan is still relatively small and involves al-Qaeda members traveling in small groups, the officials say.… American officials say the world’s largest concentrations of al-Qaeda operatives are now in Afghanistan and Pakistan, and the recent influx into Afghanistan is creating new dangers.” [New York Times, 9/10/2002] In December, a United Nations report claims that al-Qaeda training camps have recently been reactivated in Afghanistan, and new volunteers are making their way to the camps. While the new camps are basic, they are said to be “increasing the long-term capabilities of the al-Qaeda network.” [Associated Press, 12/17/2002]
October 24, 2002: US and UN Declare Jemaah Islamiyah a Terrorist Organization
The US and the United Nations officially declare Jemaah Islamiyah (JI) to be a terrorist organization. JI is considered to be al-Qaeda’s main affiliate in Southeast Asia. Australia, Malaysia, New Zealand, Indonesia, and other nations support the UN declaration. The Indonesian government had previously maintained that JI did not even exist, but immediately changed its position on JI after the Bali bombings earlier in the month (see October 12, 2002). However, even though the Indonesian government supports the UN declaration, it does not actually declare JI an illegal organization within Indonesia. [New York Times, 10/24/2002; Associated Press, 10/31/2002] It will take until 2008 for an Indonesian court to officially declare JI an illegal organization (see April 21, 2008). The key breakthrough to identifying the bombers takes place on November 2, 2002. The first suspect, an alleged JI operative named Amrozi bin Nurhasyim, is arrested on November 5. [BBC, 12/3/2002] Indonesia officially declares JI the prime suspect in the bombings on November 16. [Jakarta Post, 1/3/2003]
March 14, 2003: Afghanistan Becomes Number One Heroin Producer
The Afghan government warns that unless the international community hands over the aid it promised, Afghanistan will slip back into its role as the world’s premier heroin producer. The country’s foreign minister warns Afghanistan could become a “narco-mafia state.” [BBC, 3/17/2003] A United Nations study later in the month notes that Afghanistan is once again the world’s number one heroin producer, producing 3,750 tons in 2002. Farmers are growing more opium poppies than ever throughout the country, including areas previously free of the crop. [Associated Press, 3/27/2003]
December 16, 2003: Al Taqwa Bank Still Supporting Al-Qaeda Using New Names
A United Nations report criticizes Switzerland for failing to prevent support from reaching al-Qaeda and the Taliban. UN observers claim there is weapons smuggling passing through Switzerland to Afghanistan. The report further claims that the leaders of the banned Al Taqwa Bank (see November 7, 2001) are continuing to do business with new and renamed financial entities. They continue to maintain commercial interests and properties in Italy and Switzerland, despite being on US and UN blacklists. Switzerland is also failing to enforce travel bans. For instance, Al Taqwa leader Youssef Nada was able to travel through Switzerland to Liechtenstein and back in January 2003. [Swissinfo, 12/16/2003] Salon noted in 2002 that, for many years, Al Taqwa has benefited from political connections in Switzerland. Al Taqwa directors have ties to some European far right wing politicians such as French politician Jean-Marie Le Pen, and even neo-Nazi groups (see 1988). [San Francisco Chronicle, 3/12/2002; Salon, 3/15/2002] Newsweek will later report that in 2004, the UN will not convince its members to plug loopholes in the sanctions against Al Taqwa related entities. Instead, the UN Security Council will abolish its own monitoring group. [Newsweek, 3/3/2004; Newsweek, 12/24/2004] In late 2004, the Washington Post will report that although Al Taqwa “was supposedly shut down, US and European officials say they still find Nada moving funds under new corporate names.” [Washington Post, 9/11/2004] Additional reports of entities connected to Al Taqwa directors continuing to do business will appear in 2005 (see June-October 2005).
December 21, 2004: London-based Militant Is Designated a Terrorist, but He Remains Free
The US and UN designate Saad al-Fagih a global terrorist, but Britain, where he lives, takes no effective action against him. Al-Fagih helped supply bin Laden with a satellite telephone used in the 1998 embassy bombings (see November 1996-Late August 1998). Britain seizes the assets of al-Fagih and his organization, the Movement for Islamic Reform in Arabia. [US Department of the Treasury, 12/21/2004; BBC, 12/24/2004] However, Saudi ambassador to Britain Prince Turki al-Faisal will later complain that the total seized is only ”£20 or something” (note: equivalent of about $39) and that the British government allows al-Fagih to continue to operate openly from London, despite being a specially designated global terrorist (see August 10, 2005). [London Times, 8/10/2005] Britain has long been suspected of harboring Islamic militants in return for them promising not to attack Britain (see August 22, 1998).
December 21, 2004: US Finally Designates Top Al-Qaeda Financer
The US Treasury Department and UN designate Adel Batterjee a global terrorist. Batterjee is connected to the Benevolence International Foundation (BIF). The Treasury Department says that Batterjee “has ranked as one of the world’s foremost terrorist financiers” by helping to fund al-Qaeda. It is not explained why the US waited until this time to list him, but counterterrorism expert Rita Katz suggests that the Saudi government may have changed their stance due to increased al-Qaeda activity in Saudi Arabia. “I think they needed Saudi support, and now it seems to be in place.” However, there is no report of Batterjee being arrested or having his funds frozen in Saudi Arabia. [US Department of the Treasury, 12/21/2004; Chicago Tribune, 12/22/2004]
September 2, 2006: Afghanistan’s Opium Production Hits Record Levels Again
The United Nations says Afghanistan’s latest opium harvest is the biggest ever. The harvest was 6,100 metric tons (enough for 610 tons of heroin), an increase of nearly 50 percent from the year before. This is 92 percent of the world total and 30 percent more than global consumption. Antonio Maria Costa, head of the UN’s drug office, says, “It is indeed very bad, you can say it is out of control.” He says the Taliban have profited from the drug trade, and they promise protection to growers who expand their operations. 400,000 acres were planted with poppies in 2006; about ten percent of these poppy fields were destroyed by the Afghan government’s eradication program. About five percent was destroyed in the previous year. [New York Times, 9/2/2006; Associated Press, 9/3/2006]
November 14, 2007: Al Taqwa Bank Figure Quietly Removed from US and UN Terrorist Financier Lists
Ahmed Idris Nasreddin is quietly removed from the US and UN terrorist financier lists. Neither the US nor the UN publicly announces the decision or explains why his name is no longer on an updated list of financiers. Nasreddin, a 78-year old businessman based in Italy and Switzerland, was formally listed in 2002 due to his ties with the banned Al Taqwa Bank (see November 7, 2001). That bank was considered one of the top funders for al-Qaeda and other militant groups until it was banned in late 2001. When asked by the Los Angeles Times about the delisting, the Treasury Department says the original listing was appropriate but Nasreddin was delisted because he submitted signed statements certifying he had terminated all business relationships with Al Taqwa and related entities and individuals. Former State Department official Victor Comras complains: “They seem to be saying that he was a bad guy but that he has renounced being a bad guy. If that’s the criteria, wow, a lot of people will try to get off the list. All they have to do is say, We’re not doing it anymore.” [Los Angeles Times, 11/28/2007]
