Thursday, May 17, 2012

Eye on Iran: Advocacy Groups Join in Drive to Tighten Sanctions






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NYT: "An American advocacy group that has successfully pushed for strict sanctions against Iran joined with a prominent European research organization to press for further economic penalties against Iran over its disputed uranium enrichment program. The partnership, between United Against Nuclear Iran in New York and the Institute for Strategic Dialogue in London, is to be announced Thursday and will 'collaborate on research, education, policy and action initiatives in Europe and beyond,' the groups said. Their effort comes as Iran, hurting economically, is claiming progress in talks over the dispute with major powers and demanding a loosening of the sanctions as a sign of good faith ahead of a negotiating session in Baghdad on May 23. 'Now is not the time to be loosening anything,' said Mark D. Wallace, the chief executive of the American group, who is to testify at a Congressional hearing on Thursday." http://t.uani.com/JyBv87

Reuters: "Syria remains the top destination for Iranian arms shipments in violation of a U.N. Security Council ban on weapons exports by the Islamic Republic, according to a confidential report on Iran sanctions-busting seen by Reuters on Wednesday. Iran, like Russia, is one of Syria's few allies as it presses ahead with a 14-month old assault on opposition forces determined to oust Syrian President Bashar al-Assad. News of the panel's report came as Tehran and the U.N. International Atomic Energy Agency try narrow their differences on how to tackle concerns over Iran's atomic program, and as Iran prepares for talks with the five permanent council members and Germany in Iraq next week. The new report, submitted by a panel of sanctions-monitoring experts to the Security Council's Iran sanctions committee, said the panel investigated three large illegal shipments of Iranian weapons over the past year." http://t.uani.com/KABA99

Reuters: "Iran is installing more centrifuges in an underground plant but does not yet appear to be using them to expand higher-grade uranium enrichment that could take it closer to producing atom bomb material, Western diplomats say. They say Iran's production of uranium refined to a fissile concentration of 20 percent, which it started two years ago, seems to have remained steady in recent months after a major escalation of the work in late 2011 and early this year... Getting Iran to stop the higher-level enrichment is expected to be a priority for world powers when they meet with Iran in Baghdad next week in an attempt to start resolving the decade-old dispute over Tehran's atomic ambitions. 'It is still going strong. I hear it is unchanged,' one diplomat accredited to the U.N. nuclear watchdog, which regularly inspects Iran's declared atomic sites, said about the country's most sensitive nuclear activity. 'But with installation work going on, at some point there will be an increase.'" http://t.uani.com/Ki1D0o


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Nuclear Program  & Sanctions 

The Hill: "The House Foreign Affairs committee is holding a hearing Thursday on Iran sanctions, focusing on implementation and enforcement of sanctioning Iran for its nuclear program. The hearing comes after there were reports Wednesday that Iran is installing new centrifuges at an underground nuclear facility, one week before negotiations are set to resume between Tehran and the P5+1 group (the five permanent UN Security Council nations and Germany) on Iran's nuclear program. Mark Wallace, president and CEO of United Against Nuclear Iran; Mark Dubowitz, executive director of the Foundation for Defense of Democracies; and Ray Takeyh, a senior fellow at the Council on Foreign Relations, are testifying." http://t.uani.com/JkNdwK
    Video: Watch a Live Webcast of the Hearing at 10AM EST http://t.uani.com/LWo5Qq

Reuters: "U.S. Senate Democratic leader Harry Reid will ask the chamber to approve a new package of oil and economic sanctions on Thursday aimed at further pressuring Iran to abandon its nuclear program, a Democratic leadership aide told Reuters. The politically popular sanctions are focused on foreign banks that handle transactions for Iran's national oil and tanker companies, and include measures to close loopholes in existing sanctions... Reid brought the bill before the Senate in March for a 'unanimous consent' voice vote, but that failed because some Republican senators wanted to add provisions, such as sanctions on companies that insure trade with Iran. The revised package features some changes and one major new provision. It includes sanctions on European satellite companies that provide service to the Iranian government while Tehran jams signals they carry for customers like Voice of America and the BBC seeking to transmit into Iran, another Senate Democratic aide said. It extends sanctions originally aimed at SWIFT to all financial messaging service providers, and bans third-country entities from accessing electronic banking systems on Tehran's behalf, the aide said. It also adds non-binding provisions urging the Obama administration to impose sanctions on insurers of Iranian oil shipments and to consider new sanctions on shipping companies, the aide said." http://t.uani.com/JVlqan

AP: "Iran's top nuclear negotiator said Thursday his country is seeking 'cooperation' from world powers in next week's nuclear talks in Baghdad and warned against pressure by the West. Saeed Jalili said the talks in the Iraqi capital have to recognize Iran's rights to a nuclear program, insisting Tehran will not yield to any 'pressure strategy.' 'Cooperation is what we can talk about in Baghdad,' Jalili, Iran's nuclear negotiator with the West, said in comments broadcast on state television. 'Talks based on the definite rights of the Iranian nation.' 'Some say time is running out for the talks,' he added. 'I say time for the (West's) pressure strategy is running out.'" http://t.uani.com/JKKsIx

Reuters: "U.S. plans for a possible military strike on Iran are ready and the option is 'fully available', the U.S. ambassador to Israel said, days before Tehran resumes talks with world powers which suspect it of seeking to develop nuclear arms. Like Israel, the United States has said it considers military force a last resort to prevent Iran using its uranium enrichment to make a bomb. Iran insists its nuclear programme is for purely civilian purposes. 'It would be preferable to resolve this diplomatically and through the use of pressure than to use military force,' Ambassador Dan Shapiro said in remarks about Iran aired by Israel's Army Radio on Thursday. 'But that doesn't mean that option is not fully available - not just available, but it's ready. The necessary planning has been done to ensure that it's ready,' said Shapiro, who the radio station said had spoken on Tuesday." http://t.uani.com/JKGCiO

Reuters: "Iranian petrochemical exports have plunged nearly 90 percent in the last two weeks as most maritime firms, including those in Iran, cannot find insurance to transport cargoes due to EU sanctions, according to traders and shipping data. The impact EU sanctions are having on Iran's $14 billion petrochemical industry offers a glimpse into how the OPEC member's much larger crude and oil products trade could be affected once similar EU measures are imposed in July. 'Petrochemicals are definitely an indication of what could happen to crude, but I doubt the impact will be as strong,' said Erik Nikolai Stavseth, a shipping analyst with Arctic Securities." http://t.uani.com/JiRLKw

Bloomberg: "Iranian oil shipments to Japan may be blocked after the bank handling payments on the transactions was ordered by a U.S. court to freeze assets belonging to the Persian Gulf nation, according to two refinery officials with knowledge of the matter. The National Iranian Oil Co., the country's state-run oil company, will stop Japanese refiners from picking up cargoes until it can find alternative ways to access payments received through accounts at the Bank of Tokyo unit of Mitsubishi UFJ Financial Group Inc. (8306), the officials said, declining to be identified because of company policies. All of Japan's purchases of Iranian crude are handled through the unit, they said." http://t.uani.com/Kbi9S0

Reuters: "Japan's top oil refiner, JX Nippon Oil & Energy Corp, is not facing a problem paying Iran for crude imports, the company said on Thursday, after a major Japanese bank froze transactions with Iranian banks on the order of a U.S. court. Japan's Bank of Tokyo-Mitsubishi UFJ said it had frozen Iranian assets and transactions with Iranian banks after being ordered to do so early this month by the New York District Court... Besides JX Nippon, Japan's top buyer of Iranian crude, Showa Shell Sekiyu KK, and Cosmo Oil have already renewed term deals to lift Iranian crude from April, industry sources have said. Only JX and Showa Shell have plans to lift Iranian oil in April and May among the Japanese oil firms, industry sources have said." http://t.uani.com/J9TmRC

Bloomberg: "Japan may seek approval from parliament this month to provide sovereign insurance to tanker operators that import Iranian crude as European sanctions block access to private providers, according to two government officials familiar with the proposed legislation. The cabinet will make a proposal to the diet, or national parliament, this month, according to the officials who declined to be identified because the bill is not public yet. The government wants to provide as much as $7.6 billion in cover, according to one of the officials. The Japan Ship Owners' Mutual P&I Association, the body that covers owners against the risk of oil spills and tanker collisions, is likely to lose access to Europe's reinsurance market after the sanctions come into force July 1, according to the officials. Asian shipowners are seeking alternative sources of insurance for Iranian cargoes because the EU's embargo extends to 95 percent of the world's tankers that are covered by the 13 members of the London-based International Group of P&I Clubs." http://t.uani.com/Kimz8W

Reuters: "South Korea is considering cutting its exports to Iran - mainly steel, cars and electronics - to reduce the risk of payment defaults as sanctions strangle Iran's earnings from oil exports, two sources with knowledge of the issue said. Export quotas could be imposed on products including Samsung Electronics' mobile phones and Hyundai Motor's vehicles, one of the sources said. The sources, who could not be identified due to the sensitivity of the issue, both have direct knowledge of the matter through dealings with the government bodies responsible for trade with Iran and the possible imposition of the regulations by South Korea... Around 2,000 South Korean companies are exporting to Iran, according to the government. Samsung Electronics and LG Electronics accounted for a combined 30 percent of Iran's mobile phone market, Korean major newspaper Dong-a Ilbo reported in January." http://t.uani.com/Lf60QS

Reuters: "Turkish gold sales to Iran in March soared over 30 times and gold companies said Iranians were turning to gold for savings and possibly trade as Western sanctions tighten... The sanctions have made neighbouring Turkey an ever more important channel for the Islamic republic. Data from Turkey's Statistics Institute on Thursday showed gold exports to Iran rose to nine tonnes, worth $480 million, in March, from 286 kg a year earlier and compared to just 30 kg in February this year. They were the highest monthly exports to Iran since records started in 2010. Total gold exports were 11.1 tonnes in March." http://t.uani.com/LWnH4n

AP: "A federal judge has sentenced a businessman to 13 months in prison following his guilty plea in a scheme to illegally export computer parts to Iran. The Justice Department says Massoud Habibion and his company, Online Micro LLC of Costa Mesa, Calif., conspired with a firm in the United Arab Emirates to export computer-related goods from the U.S. to Iran through Dubai in the UAE without first obtaining licenses from the U.S. government." http://t.uani.com/LUswLt

Terrorism

AFP: "A Japanese bank has halted transactions by the Iranian government after a US court ordered a $2.6 billion asset freeze over the 1983 bombing of US barracks in Beirut, a bank' spokesman said on Thursday. 'We have received the order from the US court," to freeze $2.6 billion of assets, a spokesman for the Bank of Tokyo-Mitsubishi UFJ told AFP, declining to give details on the value of Iranian holdings at the bank. The court order reflects 'the amount that the court in 2007 upheld for compensation demands by families of victims of the 1983 attacks on US forces in Beirut,' he said." http://t.uani.com/J0nhqy

Human Rights


JPost: "The Iranian judiciary this week upheld the death penalty for four men convicted of sodomy, according to the Human Rights Activists News Agency (HRANA). The agency distributes reports in Persian from human rights reporters throughout Iran. According to the report, the four men - named as Saadat Arefi, Vahid Akbari, Javid Akbari, and Houshmand Akbari, all from the city of Charam in Iran's remote southeastern province of Kohgiluyeh and Boyer-Ahmad - were convicted of sodomy ('lavat' in Farsi)." http://t.uani.com/JkVcd4

Guardian: "This month marks the second anniversary of the execution of a primary school teacher, who paid with his life for refusing to make televised confession about a crime he didn't commit. Farzad Kamangar was 31 when he was detained by the security forces in July 2006 for allegedly collaborating with the Kurdish opposition groups. The government accused him of being 'an enemy of god'. His mother believes that her son's only crime was his 'Kurdishness' and his lawyer Khalil Bahramian maintained that 'there was not a shred of evidence' against him. Interrogators in numerous prisons where Farzad was held for four years, put him through severe physical and mental torture to break his resistance." http://t.uani.com/L8Lon7

Domestic Politics

AP: "Iran's parliament on Thursday signed off on a $462 billion budget bill for the current Iranian year that is about 9 percent less than the budget approved in the previous calendar year, a consequence attributed to the new exchange rate of the U.S dollar. The Iranian currency has lost much of its value because of Western sanctions over Iran's nuclear program... With its economy hurting, Iran this year increased the official exchange rate to 12,260 rials to the dollar. The previous budget was based on the rate of 10,500 rials per dollar. The country also increased the price of exporting oil to $85 from $81.5 per barrel." http://t.uani.com/J9VIzJ

Foreign Affairs

AFP: "Iranian President Mahmoud Ahmadinejad said Thursday he hopes to attend this summer's Olympic Games in London but that the British authorities were reluctant to allow him, state media reported. 'I would like to be beside the Iranian athletes at the Olympic Games in London to support them, but (the British) have issues with my presence,' Ahmadinejad said, without offering further explanation. 'The enemies do not want our athletes to win medals, but our young people shall be present at the Olympic Games and, like Arash, give new reasons to take pride in Islamic Iran,' he said, quoted by the official news agency IRNA." http://t.uani.com/J2fbPy

Opinion & Analysis


Meir Dagan, August Hanning, R. James Woolsey, Charles Guthrie, Kristen Silverberg & Mark Wallace in WSJ: "As the Iranian regime races to fulfill its nuclear ambitions, the world faces a stark choice. Our near future carries the risk of a military conflict with Iran, or a nuclear arms race in the already-volatile Middle East. It is still possible to avoid these outcomes, but only if like-minded nations act immediately to deliver a potentially decisive economic blow to the regime. It is still in Iran's interest to change course and address international concerns regarding possible military aspects of its nuclear program. Our rationale is based on strong empirical evidence from the last few months that sanctions are having a tangible impact. For example, the value of Iran's currency, the rial, is currently in free fall. Two actions that were long advocated by United Against Nuclear Iran have been enacted and have struck at the heart of Iran's economic system. First, the United States and the European Union passed financial sanctions against Iran's central bank and pressured Swift, the international banking consortium, to deny access to Iranian banks. The ripple effect has been staggering. Second was the decision by countries to ban or significantly curtail oil imports from Iran. The EU joined the U.S. in enacting an outright ban on imports of Iranian oil, while other countries, like Japan, also took significant steps. With these measures in place, now is the time for the international community to truly isolate the regime. This means passing the most robust sanctions against Iran in history. We propose decisive action in four key areas. First, Iran must be fully denied access to the international banking system. Current sanctions and Swift's action have made a difference, but they did not include all Iranian institutions. By designating all Iranian banks for sanctions, the global community can fully sever Iran from the international financial system. Second, companies should be required to disclose any and all investments and business transactions in Iran. This can be accomplished by changing the rules of the U.S. Securities and Exchange Commission, the U.K.'s Financial Services Authority, and similar counterparts overseas. The moment companies are required to disclose their irresponsible business activities in Iran is the moment they end such business for risk of reputational harm. Third, the world must deny Iran's access to international shipping, a move that would severely affect the regime given its dependence on global trade and seaborne crude oil exports. Aligned nations should prohibit international cargo shippers that service Iranian ports or do business with the Tidewater Middle East Co. (which handles 90% of Iran's container traffic) from shipping to the U.S., EU and elsewhere. The U.S. and EU should introduce laws requiring all tankers and general cargo vessels arriving in ports to certify that they have not docked at an Iranian port, and that they have not carried Iranian crude oil or downstream petrochemical products, in the preceding 36 months. Any that have should be banned for the next 10 years. Fourth, insurance and reinsurance companies that operate in Iran should be identified and prohibited from doing business in the U.S. and the EU, and they should be precluded from entering into insurance and reinsurance agreements with any entities in the U.S. or EU. Insurers and reinsurers must also disclose all substantial investments in Iran. There are inherent risks associated with doing business in Iran, and if institutions are forced to assume the full ramifications of those risks, the allure of doing business in Iran will diminish significantly." http://t.uani.com/JPnXSi

Eye on Iran is a periodic news summary from United Against Nuclear Iran (UANI) a program of the American Coalition Against Nuclear Iran, Inc., a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Eye on Iran is not intended as a comprehensive media clips summary but rather a selection of media elements with discreet analysis in a PDA friendly format. For more information please email Press@UnitedAgainstNuclearIran.com

United Against Nuclear Iran (UANI) is a non-partisan, broad-based coalition that is united in a commitment to prevent Iran from fulfilling its ambition to become a regional super-power possessing nuclear weapons.  UANI is an issue-based coalition in which each coalition member will have its own interests as well as the collective goal of advancing an Iran free of nuclear weapons.

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