to the Islamic extremist group.
Last week, for example, Jewish
leaders urged the Justice De-
partment to fully utilize provi-
sions of the recently passed
omnibus crime bill outlawing the
"material support" of terrorist ac-
tivities by groups in this country.
Attorney General Janet Reno re-
sponded by saying that the FBI will
"take appropriate action" against
American organizations that may
be aiding Hamas military activi-
ties. She declined to provide details.
Jewish officials also urged
more stringent immigration pro-
cedures to keep known llamas
activists out of this country, and
tougher surveillance of groups
with known connections to ter-
rorist organizations.
But beneath all the activity
was a sense that llamas fund-
raising in this country is proba-
bly a relatively minor part of the
group's overall operation — and
that severing the flow of funds
from other nations might entail
costs that Washington is not will-
ing to pay.
"While they may be raising
money in this country, it's prob-
ably not a major factor in their
activities," said Abraham Fox-
man, executive director of the
Anti-Defamation League. "We
should track those activities. But
they're only a very small part of
the picture."
A bigger part of the picture, he
said, is Iran's support for Islam-
ic extremism throughout the
Middle East — and European
loans and debt restructuring for
Iran 'that have made it possible
I for Iran to underwrite [terrorism]
all around the world."
Mr. Foxman also pointed to re-
ligious groups in Saudi Arabia as
key sources of Hamas funding.
But dealing with those sources
will be difficult, said Shoshana
Bryen, special projects director of
the Jewish Institute for Nation-
al Security Affairs.
"In some ways, we have lever-
age, but we haven't used it," she
said. "Iran has borrowed large
amounts of money from lending in-
stitutions and European govern-
ments to fund internal and external
activities. Last spring, we made
only pro-forma protests when the
Europeans renegotiated those loans
on more favorable terms."
Washington also has been un-
willing to use its economic support
of the International Monetary
Fund as a lever against Iran — or
to prohibit American oil compa-
nies from buying Iranian oil and
reselling it to Japan, a major
source of revenue for the Tehran
regime. And even as the admin-
istration talks about the need to
squeeze llamas, it has cooperat-
ed in the dissolution of Cold War-
era export control mechanisms
that could accomplish that.
"Any effort to punish Iran will
()
run afoul of our economic desires
and those of our friends," said Ms.
Bryen. 0

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