U.S. report calls Iran leading terror sponsor

WASHINGTON -- Libya and Sudan have moved to distance themselves from terrorism and cooperate in the American-led battle against militant groups but have not yet done enough to be removed from a U.S. list of seven governments sponsoring terrorism, according to an annual State Department report released Tuesday.

Iran, North Korea and Syria have also taken modest steps to join in the international effort against terrorism although they continue to host militant groups and take other actions supporting those groups, the report finds. Iran, in particular, remained "the most active state sponsor of terrorism in 2001," according to the findings.

The report noted no progress by Cuba and Iraq, the other two governments on the terrorism list. Indeed, the report beefs up the criticism of these two countries from last year.

These conclusions were included in the State Department's survey of global terrorism for 2001. After the devastating attacks on New York and Washington in September and the subsequent launch of President Bush's war on terrorism, this annual report has taken on a new significance.

It found that all seven governments "clearly heard the president's message" that every nation had to decide whether it was on the side of the United States or on that of the terrorists. "While some of these countries appear to be reconsidering their present course, none has yet taken all the necessary actions to divest itself fully of ties to terrorism," the report said.

"Sudan and Libya seemed closest to understanding what they must do to get out of the terrorism business, and each has taken measures pointing it in the right direction," the report said.

This was the second year in a row that the annual evaluation had noted positive actions by Sudan. The report said that the U.S. discussions that began in 2000 with Khartoum about fighting terrorism intensified last year.

Sudan also condemned the Sept. 11 attacks and stepped up its counterterrorism cooperation with the United States, investigating and arresting suspected militants, the State Department found. Administration officials have previously said Sudan has increased its sharing of intelligence about extremist groups with the United States.

But the report said Sudan also remained a haven for militants aligned with several groups, including Osama bin Laden's al-Qaida organization and Egyptian and Palestinian organizations.

The State Department noted that Libya had also strongly condemned the Sept. 11 attacks and repeatedly denounced terrorism since then. The Tripoli government has reduced its support for international terrorism and "sought to recast itself as a peacemaker," the report said.

Libya, however, has not been able to shed its status as a state sponsor of terrorism because of its earlier involvement in attacks, such as the bombing of Pan Am Flight 103 in 1988, the report said. The State Department said Libya must still comply with U.N. Security Council requirements that it accept responsibility for the action of its officials in connection with the downing of the airplane, fully disclose what it knows about the incident and pay appropriate compensation to the victims' families.

The report said that Iran, North Korea and Syria "have, in some narrow areas, made limited moves to cooperate with the international community's campaign against terrorism."

The State Department said, "Iran and Syria, however, seek to have it both ways." While these governments have provided some cooperation in the American-led campaign against al-Qaida, they have continued to support militant groups such as the Palestinian organization Hamas and the Lebanese Hezbollah movement.

Although North Korea has made public statements opposing terrorism, the Pyongyang government has not backed these up with effective actions, the report concluded.

The latest State Department report said Cuban President Fidel Castro has "vacillated" over the counterterrorism effort and accuses his government of harboring fugitives, including Basque militants.

On Iraq, the report faults President Saddam Hussein for not condemning the Sept. 11 attacks and for providing a base to several militant groups, including Palestinian and Kurdish organizations.

"Sudan and Libya seemed closest to understanding what they must do to get out of the terrorism business and each has taken measures pointing it in the right direction."

-- STATE DEPARTMENT REPORT

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