Wednesday, August 1, 2012

Eye on Iran: House, Senate Negotiators Push New Round of Sanctions Against Iran






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AP: "Congress pushed ahead Tuesday with a new package of crippling sanctions on Iran, targeting its energy, shipping and financial sectors in the hope that hitting Tehran's oil income will halt its suspected nuclear weapons program... House and Senate negotiators reached agreement late Monday on legislation that builds on the current penalties directed at financial institutions that do business with Iran's central bank. The new bill would impose sanctions on anyone who mines uranium with Iran; sells, leases or provides oil tankers to Tehran; or provides insurance to the National Iranian Tanker Co., the state-run shipping line. Lawmakers hope to vote on the bill this week before their monthlong August recess, with a House vote as early as Wednesday... The bill would penalize anyone who works in Iran's petroleum, petrochemical or natural gas sector, or helps Tehran's oil and gas industry by providing goods, services, technology or infrastructure. Any entity that insures or reinsures investments in Iran's oil sector would be penalized. So would anyone who helps Iran avoid sanctions through reflagging of vessels... A few lawmakers said they were frustrated that the legislation didn't go far enough... Mark Wallace, the former ambassador and head of United Against Nuclear Iran, welcomed the bill and urged its quick passage. He wished, however, that it could have been tougher. 'While this legislation will further isolate the Iranian regime, UANI has long called for much more in the form of a full economic blockade of the regime,' Wallace said in a statement." http://t.uani.com/R500rl

Reuters: "President Barack Obama announced new U.S. sanctions on Tuesday against foreign banks that help Iran sell its oil and said the measure would increase pressure on Tehran for failing to meet its international nuclear obligations. Obama's decision, in an executive order, came ahead of congressional votes on new sanctions intended to further strip Iran of its oil-related revenues... Obama's new sanctions target foreign banks that handle transactions for Iranian oil or handle large transactions from the National Iranian Oil Company (NIOC) or Naftiran Intertrade Company (NICO), two key players in Iran's oil trade... Obama's order also targets China's Bank of Kunlun and Iraq's Elaf Islamic Bank for providing services to Iranian banks... 'There is no reason why President Obama should oppose a full economic blockade of Iran at this point,' said Mark Wallace, a former ambassador to the United Nations in the George W. Bush administration, and now head of a pressure group called United Against Nuclear Iran." http://t.uani.com/R81Njz

NJ Today: "Gov. Chris Christie signed into law legislation to impose financial sanctions on Iran Tuesday... The new law (formerly A-2146) prohibits all state and local entities from doing business with individuals or companies that engage in certain investment activities in the energy, financial or construction sectors of Iran. The law follows the direction of the July 2010 Comprehensive Iran Sanctions, Accountability, and Divestment Act signed into law by President Obama, which expressly authorizes states and local governments to prevent investment in companies operating in Iran. Specifically, the law prohibits state and local contracting units, boards of education, and county colleges from contracting with individuals or entities engaged in certain investment activities in the energy, financial or construction sectors of Iran." http://t.uani.com/OJ71zM
Lebanon Banking Campaign   
Nuclear Program 

WSJ: "Israeli leaders dismissed the chances that a U.S.-led campaign of economic sanctions will succeed in convincing Iran to give up its nuclear program, a sign Israel is losing patience with negotiations and may be closer to military action. The stark comments by Israeli Prime Minister Benjamin Netanyahu and Defense Minister Ehud Barak, coupled with U.S. Defense Secretary Leon Panetta's more hawkish tone toward Iran during his visit to Israel, underlined the challenge facing the Obama administration in heading off an Israeli strike that could engulf the region in another major conflict and, potentially, force the U.S. to intervene. U.S. officials say it is difficult for them to tell whether Israel is serious about attacking Iran or saber rattling in order to pressure the U.S. and the Europeans to do more to curb the country's nuclear program-or both." http://t.uani.com/OnZ6IP

AP: "U.S. Defense Secretary Leon Panetta said Wednesday that Iran must either negotiate acceptable limits on its nuclear program or face the possibility of U.S. military action to stop it from getting the bomb. Speaking outside the city of Ashkelon in southern Israel, with an 'Iron Dome' rocket defense shield as a backdrop, Panetta sought to balance his threat to possibly use force against Iran with a message of patience. He said every measure short of military action must be exhausted first, and he suggested Israel agrees. His Israeli counterpart, Ehud Barak, sought to portray the allies as united on Iran. But he left no doubt that his government believes time is running short to stop Iran from getting a nuclear weapon it could use on the Jewish state." http://t.uani.com/NU1B3W 

Sanctions
  
AFP: "Beijing reacted furiously Wednesday to new US sanctions imposed on a Chinese bank over transactions with Iran, urging Washington to revoke them and saying it would lodge an official protest. China's foreign ministry urged the United States to lift the sanctions on the Bank of Kunlun, which it said violated the 'norms of international relations' and damaged relations between Beijing and Washington. US President Barack Obama on Tuesday imposed new economic sanctions on Iran's oil export sector and on a pair of Chinese and Iraqi banks accused of doing business with Tehran." http://t.uani.com/Qe7Kdl

Bloomberg: "OPEC oil production declined for a second month in July as Iranian output tumbled to a 22-year low, a Bloomberg survey showed. Production fell 393,000 barrels, or 1.2 percent, to an average 31.165 million barrels a day this month from 31.558 million in June, according to the survey of oil companies, producers and analysts. It was the second straight decrease after daily output reached 21.62 million barrels in May, the highest level since October 2008. Iran pumped 2.86 million barrels a day, down 300,000 barrels from June and the lowest level since February 1990. The Islamic republic was the third-biggest producer the Organization of Petroleum Exporting Countries in July, after Saudi Arabia and Iraq. Iran had been the second-biggest since May 2000." http://t.uani.com/NIf8hK

Bloomberg: "Russia is taking legal action to block companies controlled by Iran from acquiring the strategic Astrakhan port on the Caspian Sea in violation of United Nations sanctions, the Russian competition watchdog chief said. 'We know that these companies, through a certain chain, are under the direct control of the government or structures close to the government of the Islamic Republic of Iran,' Igor Artemyev, head of the Federal Anti-Monopoly Service, told reporters in Moscow today. 'Ports are strategic assets.' After the Russian government blocked the deal two years ago, the Iranian-controlled companies bought a significant stake in the port, which carries strategic national importance, from its Russian owners and now control at least 25 percent, Artemyev said. Russia is working on annulling the deal, which contravenes United Nations sanctions against Iran imposed over its disputed nuclear program, he said." http://t.uani.com/NTlsQK

Bloomberg: "Azerbaijan plans to exclude Naftiran Intertrade Co., a partner in the BP Plc-led Shah Deniz natural- gas development, from a pipeline project to Europe from the Caspian region. 'Nico's participation in the Trans-Anatolia pipeline or other pipelines is not being considered,' Vaqif Aliyev, head of State Oil Co. of Azerbaijan's investments department, said by e- mail, referring to Naftiran, which is a unit of National Iranian Oil Co. 'It has not been invited to join.' Nico holds 10 percent of Shah Deniz, which is estimated to contain 1.2 trillion cubic meters of gas, enough to supply demand in the European Union for about 2 1/2 years." http://t.uani.com/NlFwbm

Terrorism

WSJ: "U.S. officials are increasingly concerned about what they call a growing terrorist threat from Iran as well as an emerging al Qaeda presence in Syria, according to an annual State Department report assessing terrorism trends in 2011... 'We are increasingly concerned about Iran's support for terrorism and Hezbollah's activities,' said Daniel Benjamin, the State Department's counterterrorism chief, adding that both appear to have stepped up their terrorist activity in the past year and 'are engaging in their most active and aggressive campaign since the 1990s.' The U.S. views Hezbollah of Lebanon as a proxy of Iran... Iran also has allowed al Qaeda members to move money and operatives through Iranian territory to South Asia, the report said. Iran has denied any connection with al Qaeda." http://t.uani.com/NJ14or

WSJ: "Iran has allowed the Taliban to open an office in eastern Iran and discussed providing them with surface-to-air missiles, ramping up the potential for cooperation with the insurgents, according to senior Afghan and Western officials. Iran's shift came after the U.S. and Afghanistan sealed a long-term partnership agreement in May, and in an effort to expand its options for retaliation should its nuclear facilities be attacked, the officials said. Iran, a Shiite theocracy, wasn't friendly with the Sunni Taliban government ousted by the U.S. in 2001 and hasn't permitted an official Taliban presence in the country until now. But these days both sides 'see America as the bigger enemy' a Western official in Kabul said." http://t.uani.com/Qe4RJw

Foreign Affairs

Reuters: "Yemeni President Abd-Rabbu Mansour Hadi has snubbed a visiting Iranian envoy to signal his 'displeasure' with Tehran, a Foreign Ministry official said on Tuesday, only weeks after Yemen said it had uncovered an Iranian-led spy ring in the capital Sanaa. The Iranian envoy was visiting Yemen to invite Hadi to the Non-Aligned Movement's summit in Tehran in August." http://t.uani.com/MRpKuV

Opinion & Analysis

Advisory Board Member Olli Heinonen in CSM: "After a recent announcement by the deputy chief of the Iranian navy that it is considering nuclear propulsion for its submarines, actions have proceeded swiftly. A bill an Iranian Parliament (Majlis) committee was approved, and debate has followed, parallel to the latest round of P5+1 talks with Iran in Istanbul, which concluded last week. The Majlis debate brought to the arena additional aspects of the Iranian plans: the use of nuclear propulsion for oil tankers and possible use of uranium with higher enrichment. There is speculation that nuclear propulsion will be used as a bargaining chip to trade away in international talks or as (eventual) justification for continuing uranium enrichment and get to higher enrichment. Some have raised questions about Iran's proclamations and its actual capacity to develop nuclear submarines. Nuclear powered vessels were not mentioned in the paper distributed by Iran at the recent Moscow and Istanbul talks. (What else is in the pipeline that has not been mentioned?) The issue gets more complicated, since non-nuclear-weapon states are allowed to remove from IAEA safeguards nuclear material intended for non-proscribed military use, such as fuel for nuclear submarines, under arrangements to be agreed with the International Atomic Energy Agency... If we put aside for a moment the question of if, whether, and when Iran will make good on its proclaimed intent, this is what it could mean in terms of enrichment for Iran. Iran would need to produce approximately 50 kg of 90 percent highly enriched uranium or 100 kg of 45 percent highly enriched uranium to power a small submarine. The highly enriched uranium produced under the first scenario is equivalent to the amount needed for two nuclear weapons. But before that, a land-based test reactor of the same scale would need to be constructed. In sum, with those two reactors and additional materials needed for testing and manufacturing, such a project would require highly enriched uranium amounts equal to half a dozen nuclear weapons." http://t.uani.com/OJ7Atq

Thomas Joscelyn in The Weekly Standard: "The State Department released its annual Country Reports on Terrorism on Tuesday. Once again, the U.S. government has deemed Iran the world's leading state sponsor of terrorism. The Iranian regime's sponsorship of terrorism includes troubling relationships with al Qaeda ('AQ') and the Taliban. 'In 2011,' the State Department's report reads, 'Iran remained unwilling to bring to justice senior AQ members it continued to detain, and refused to publicly identify those senior members in its custody.' Similar language was included in previous State Department reports. But that is not all there is to the Iran-AQ relationship. Iran 'also allowed AQ members to operate a core facilitation pipeline through Iranian territory, enabling AQ to carry funds and move facilitators and operatives to South Asia and elsewhere.' During a briefing with the press, Ambassador Daniel Benjamin, the State Department's coordinator for counterterrorism, was asked what the U.S. government is doing to counteract Iran's sponsorship of terrorism. Benjamin said that the Obama administration is 'deeply concerned about Iran's activities on its own through the' Iranian Revolutionary Guard Corps - Qods Force (IRGC-QF), which is the Iranian regime's principal terrorist-supporting arm. Benjamin also highlighted the work Iran does 'together with Hezbollah' to 'pursue destabilizing activities around the globe.' Iran does not only work with Hezbollah terrorists, however. 'I think that it's important to note that we've seen quite a number of different designations in the last year,' Benjamin explained. 'We have seen a number of al Qaeda activists in Iran who have been designated.' ... Iran does not limit its sponsorship of terrorism to the Middle East. Iran has 'sought to expand its activities in the Western Hemisphere,' the State Department warns. 'The most disturbing manifestation of this was the Iranian plot against the Saudi Ambassador to the United States.' In that plot, the IRGC-QF sought to use Mexican drug cartels to do its bidding. None of this is surprising. Iran will work with virtually anyone who is opposed to the U.S., whether they are al Qaeda terrorists, Taliban insurgents, or suspected members of Mexican drug cartels." http://t.uani.com/OIhR9l

Michael Ledeen in Foreign Affairs: "The nuclear question is at the center of most countries' Iran policies. China, France, Germany, Russia, the United Kingdom, and the United States have all engaged in negotiations to convince Tehran to give up its presumed quest for the bomb. Now, with talks sputtering, Western powers have implemented increasingly tough sanctions, including the European Union's recent embargo on Iranian oil, in the hope of compelling the regime to reverse course. Yet history suggests, and even many sanctions advocates agree, that sanctions will not compel Iran's leaders to scrap their nuclear program. In fact, from Fidel Castro's Cuba to Saddam Hussein's Iraq, hostile countries have rarely changed policy in response to Western embargoes. Some sanctions advocates counter that sanctions did work to get Chile to abandon communism, South Africa to end apartheid, and Libya to give up its nuclear program. But the Chilean and South African governments were not hostile -- they were pro-Western, and thus more amenable to the West's demands. And Libya's Muammar al-Qaddafi ended his nuclear pursuit only after the 2003 U.S. invasion of Iraq, fearing that he would suffer the same fate as Saddam Hussein. Iran, which is clearly hostile and which watched what just happened to a disarmed Libya, will not back down. Some therefore see sanctions as only a prelude to military action -- by Israel, the United States, or both. In other words, current Iran strategy boils down to an eventual choice between appeasement and attack. Neither outcome is attractive. However, if the United States and its allies broadened their perspective and paid attention not merely to Iran's nuclear program but also to the Islamic Republic's larger assault on the West, they would see that a third and better option exists: supporting a democratic revolution in Iran... Iran's democratic revolutionaries themselves must decide what kind of Western help they most need, and how to use it. But they will be greatly encouraged to see the United States and its allies behind them. There are many good reasons to believe that this strategy can succeed. Not least, the Iranian people have already demonstrated their willingness to confront the regime; the regime's behavior shows its fear of the people. The missing link is a Western decision to embrace and support democratic revolution in Iran -- the country that, after all, initiated the challenge to the region's tyrants three summers ago." http://t.uani.com/N9Pbmh

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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