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QUESTION: Can I ask you about these World Bank loans, $900 million that's still due to go to Iran? There's been some dissent from some members of the subcommittee on this, saying it kind of undermines current U.S. and UN policy. Can you talk about this a bit?

MR. CASEY: Well, I think you'd have to, first and foremost, talk to the World Bank about their programs for Iran. Certainly, we have taken steps to try and limit the ability of Iran to pursue both its nuclear weapons program as well as pursue support for terrorist organizations, and those are some of our primary policy concerns with respect to Iran. We've done that, as you know, through a number of measures, including the sanctions that the Secretary and Secretary Paulson announced a couple of weeks ago. And that includes listing several of Iran's banks as being centers through which either terrorist groups are being financed or through which proliferation activities are being financed.

But these steps are designed specifically to have an impact on those programs and have an impact on the regime's ability to carry them out. I'm not sure what kind of programs the World Bank has in Iran, but certainly to the extent that they would deal with the humanitarian needs of the Iranian people I don't think our goal here is to punish the Iranian people for the misdeeds of the regime.

QUESTION: Still, does this not send the wrong message to Iran when the U.S. is ready to send them such a huge amount, even if it is for humanitarian needs?

MR. CASEY: Well, again, what the World Bank chooses to do or to authorize is not a decision that is in the U.S.'s hands. We certainly do want to see other governments take actions to try and limit the ability of the Iranian regime to be able to conduct proliferation activities to help it on its path towards building a nuclear weapon, as well as to take actions to try and prevent them from providing the funding that we know they give to terrorist groups like Hezbollah and Hamas, Palestinian Islamic Jihad and many others, as well as the support that they've provided to militia groups inside of Iraq.

So, you know, we are focusing on the specific problem and on the specific actions of the regime. I don't think anyone at this point has talked about trying to take measures that might have a negative impact on the average person or their ability to feed themselves or have basic kinds of human needs met.

QUESTION: Isn't it time for some kind of review of funding to Iran by the Bank?

MR. CASEY: Well, I think we're constantly looking at our own programs and our own efforts to restrict Iran's capabilities to engage in this kind of negative behavior. I think what it's really time for, though, is for the Iranian Government to try and do what's in the best interests of its people. We certainly would like to see Iran cooperate with the international community, to engage in the negotiations that have been offered to it, and to work with us to be able to deal with what is a concern that's not only that of the United States or of Western Europe but of the broader international community.

And it is remarkable, again, that this Iranian Government has taken so many opportunities to say no to what is a rather unique offer not only from the United States but from the broader members of the international community.

Yeah.

QUESTION: Do you have a preview of the French President's visit? What's on the agenda for --

MR. CASEY: I'll defer over to the White House on that one. It's President Sarkozy meeting with President Bush. Certainly, we welcome his visit here. The United States has had a long and detailed, prosperous relationship with France over the years. This will be a good opportunity for President Sarkozy and President Bush to discuss not only those issues that are on our bilateral agenda, but I'm sure the broader issues that are of concern to all of us, including Iran, including the situation in the Middle East, Lebanon, which is an issue that's been of great importance to France, Darfur, the whole range of issues in which we've been cooperating. But in terms of the specifics of the meetings, I'll leave that to my colleagues over at the White House.

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