BRIEF ON IRAN No. 589 Friday, February 7, 1997 Representative Office of The National Council of Resistance of Iran Washington, DC Bosnian Spy Network Under Mullahs' Influence Stirs Concerns in U.S., Los Angeles Times, February 6 WASHINGTON - The Clinton administration has received a new and troubling secret report that says Bosnia's Muslim government is setting up an underground intelligence service heavily influenced by Iran, according to U.S. intelligence sources. The classified intelligence report, now being circulated throughout the administration, says a senior Bosnian government official forced out of power under American pressure in November because of his close ties to Iran is setting up a secret intelligence network for Bosnian President Alija Izetbegovic.... If the report is entirely accurate, Cengic's powerful, unofficial intelligence role would mark a major setback in U.S. efforts to reduce or eliminate Iranian influence in Bosnia, which has remained one of the biggest strategic problems for the Clinton administration in the Balkans.... The United States had detected that... [Bosnia's security] agency had given Iran the identity of an undercover CIA officer serving in Bosnia... Then in early 1996, North Atlantic Treaty Organization forces serving in Bosnia uncovered a terrorist training camp manned by Iranian officials in Bosnia.... His firing only seemed to enhance his stature. Iranian officials, who clearly see themselves as in a competition with the United States to win hearts and minds in Bosnia, appears to be trying to capitalize on the resentment inside Bosnia against the U.S. role in the Cengic affair. "I think that the Americans should not have meddled in the personnel issues of Bosnia-Herzegovina," Mohammad Ibrahim Teherian, the Iranian ambassador to Bosnia, said in a recent interview with a Sarajevo newspaper. "With their behavior toward Mr. Cengic, they have made him an even greater hero of his country."... Witness Tells Murder Trial He Spied for Iran, Reuters, February 6 BERLIN - An Iranian witness in a Berlin murder trial on Thursday rejected Iran's charge he had lied when he said he had worked as an Iranian agent and had inside knowledge of Tehran's power structures. Abolhassem Mesbahi, 39, denounced in November by Iran as a western spy and criminal after he testified in court Tehran's leaders had ordered political killings in Germany, told the court he had worked for Iranian intelligence in the 1980s. The Berlin court, trying an Iranian and four Lebanese for the 1992 murder of three Kurdish dissidents and their translator in a Berlin cafe, asked Mesbahi to give more details about his work as an agent until he defected in 1986. "Until 1983 I was an Iranian agent based in France. Then I was expelled," he said speaking in Farsi through a translator. "My position improved and I was given a kind of leadership over Iranian intelligence operations in western Europe."... "I never worked for any foreign intelligence service only for that of the Islamic Republic of Iran," he told the court. Mesbahi described in detail how he had carried out secret negotiations with Bonn for the release of a German businessman kidnapped in Tehran from 1987 to 1988.... Iranian Envoy in Anti-Israel Row to Leave Turkey, Reuters, February 6 ANKARA - Iran's ambassador to Turkey, at the center of a diplomatic row over an anti-Israel rally in Ankara, is to leave the country, a government MP said on Thursday.... The Turkish foreign ministry protested to Iran this week after the ambassador spoke at the "Jerusalem Night" rally in Ankara along with the district mayor. The speeches were blasted by Turkish media as a call for Islamic sharia law.... Anatolian quoted a foreign ministry official as saying Ankara as also considering a protest against Iran's consul in Istanbul for noting Turks made up the crowd applauding the ambassador's speech. The main opposition Motherland Party has asked the government to explain the conduct of the Iranian ambassador. The media are asking why Bagheri is still in Turkey. Welfare party leader Necmettin Erbakan, modern Turkey's first Islamist prime minister, visited Iran soon after forming a ruling coalition with a conservative party in June. Iran Quake Toll Rises to 79 Dead, 260 Injured, Reuters, February 6 TEHRAN - The toll from two strong earthquakes that rocked a mountainous region in northeastern Iran this week rose to 79 dead and 260 injured, the Iranian news agency IRNA said on Thursday. It quoted Deputy Interior Minister Rasoul Zargar as also saying some 25,000 people were made homeless by the quakes on Tuesday which were centered near the town of Bojnurd, about 580 km (360 miles) northeast of Tehran. Zargar, who heads Iran's natural disasters agency, said some 65 villages were damaged by the tremors... More than 12,200 heads of cattle were killed by the quakes, Zargar added....