Thursday, July 14, 2016

Eye on Iran: Iran Sticks to Terms of Nuclear Deal, but Defies the U.S. in Other Ways








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NYT: "A year after President Obama's nuclear deal with Iran, the worst predictions of what would happen next have not come to pass... But if the celebrations inside the White House this week appear muted, it is in part because very little about the Washington-Tehran relationship outside the strict parameters of the 130-page agreement has improved. Tehran is still sending its forces to support President Bashar al-Assad of Syria and to gain influence in Iraq, and now has begun to honor its fallen soldiers there as heroes. Taking advantage of a newly worded United Nations resolution that merely 'calls upon' Iran to limit its missile testing, it has kept up a steady pace of tests, with more and more capable weaponry. The United States has protested, but has recognized that Russia and China would never permit the imposition of sanctions... the easing of economic sanctions against Iran has gone much more slowly than most Iranians expected, leading to a sharp decline in popular support for the deal and the government of President Hassan Rouhani, which staked its political future on the negotiation. And that in turn threatens the biggest bet of the deal: that Washington's fraught relationship with Iran would begin to turn, as it has with Cuba and Myanmar. Mr. Obama's top aides say it is far too early for that; the moment will come, they argue, only after the death of the supreme leader, Ayatollah Ali Khamenei. Even then, there is no assurance hard-liners will not prevail in the struggle for influence inside Iran." http://t.uani.com/2acte9t

WashPost: "The legacy-making deal, completed a year ago Thursday, is still a work in progress. And by virtually all accounts, Iran has done everything it is required to do under the agreement. But the best-case scenario, that the deal would exert a moderating influence on Iran's behavior, has yet to be realized. Human rights abuses have piled up and Tehran has conducted missile tests that U.N. chief Ban Ki-moon has called inconsistent with 'the constructive spirit' of the deal... But the Joint Comprehensive Plan of Action is under threat from the half of the deal that kicked in six months ago, when the United States, the European Union and the United Nations revoked nuclear-related sanctions. European businesses have been leery of running afoul of U.S. sanctions over human rights abuses and terrorism, and Tehran has complained the United States is not doing enough to let them know what is legal. Kerry has gone out of his way to outline the new rules, to little avail and much criticism from the deal's detractors... 'There are those of us who are concerned that unless there's a change in Iran's other egregious behavior, its nascent nuclear status is problematic,' said Mark Wallace, head of United Against Nuclear Iran, which opposed the deal and now is warning corporations of potential pitfalls." http://t.uani.com/29V2Wti

WSJ: "Iranian President Hassan Rouhani on Wednesday marked the first anniversary of his country's landmark nuclear deal with the U.S. and other world powers with a warning that Tehran could quickly restore its nuclear capacity if the terms of accord are breached... On Wednesday, Mr. Rouhani, a strong proponent of the accord, said Iran would continue to adhere to the terms of the deal but expressed wariness over whether the other signatories would do so. 'We always keep our word,' the Iranian leader said on state television. 'But if they want to breach their commitment, our nuclear capabilities are such that we can reach the level we want in a short period of time.'" http://t.uani.com/29Ga8Zz

UANI in the News

Algemeiner: "The American government's behavior has enhanced Iran's inflammatory rhetoric and nefarious activity, former US senator Joseph Lieberman told The Algemeiner on Wednesday. 'If we are weak, Iran will take advantage of our weakness,' said Lieberman, chairman of advocacy group United Against a Nuclear Iran (UANI). 'If we are strong, they will adjust their behavior as much as they feel they have to.' His comments coincide with the one-year anniversary of the July 14, 2015 signing of the Joint Comprehensive Plan of Action (JCPOA) between Iran and world powers. However, said Lieberman, a vocal critic of the JCPOA, 'The single greatest failure of the nuclear agreement is that, rather than blocking Iran's path to building nuclear weapons, it opens an internationally approved way for Iran to build nuclear weapons in no more than 15 years.'" http://t.uani.com/29Sg02I

Nuclear & Ballistic Missile Program

Politico: "Secretary of State John Kerry on Thursday heaped praise on the nuclear deal between Iran, the United States and five other powers on the occasion of its one-year anniversary, remarking that it has 'lived up to its expectations' and 'made the world safer.' 'As of today, one year later, the program that so many people said will not work, a program that people said is absolutely doomed to see cheating and be broken and will make the world more dangerous has, in fact, made the world safer, lived up to its expectations and thus far, produced an ability to be able to create a peaceful nuclear program with Iran living up to its part of this bargain and obligation,' Kerry said in Paris before attending a parade for Bastille Day. Kerry acknowledged that challenges with the Iranian regime persist, but noted that the agreement was never meant to resolve those issues. 'Nobody pretends that some of the challenges we had with Iran have somehow been wiped away,' Kerry continued. 'This program was about a nuclear track and about a nuclear program. It was not about the other issues that are involved in the relationships of a number of nations in the region and the United States. So we continue to focus on those issues, whether it's Syria or Yemen, terrorism, there are other real issue. We will continue, and are continuing to focus on those issues.'" http://t.uani.com/29V3xuP

Reuters: "Iran is assessing whether to apply for associate membership of the ITER multi-national nuclear fusion project, its director said on Wednesday, just a year after Tehran struck a deal with six world powers to curb its own atomic programme. The International Thermonuclear Experimental Reactor (ITER) project, which was launched 10 years ago by Europe, United States, China, India, Japan, Russia and South Korea, aims to build the world's largest experimental reactor, or tokamak. It would generate energy through nuclear fusion, rather than the fission process currently used in nuclear power stations around the world. Fusion could prove cleaner, safer and more efficient. The head of the Atomic Energy Organization of Iran, Ali Akbar Salehi, visited ITER's headquarters in southern France this month and Iranian media quoted officials as saying that there was a 'general agreement' for cooperation on ITER. But in an interview with Reuters, ITER Director General Bernard Bigot said the purpose of the visit had been just to understand the project. 'After that they told us they had a long-standing interest in fusion and they would like to consider how to join the ITER project, but clearly not as a full member,' he said. Full members provide experienced engineers and scientists and substantial financial contributions. 'They felt that full membership is not best for them, but consider association in some specific areas or fields where they can contribute. Now it's up to them to make up their mind,' Bigot said." http://t.uani.com/29SxdMu

Congressional Action

Reuters: "The House of Representatives passed legislation on Wednesday to block the purchase of 'heavy water' from Iran, defying President Barack Obama's veto threat a year after the announcement of the landmark Iran nuclear agreement. The House passed the 'No 2H2O from Iran Act' by 249-176, with support coming almost exclusively from Republicans, who hold a majority of seats in the chamber... The Obama administration said in April the United States would buy $8.6 million worth of heavy water from Iran, angering Republicans who called it a subsidy of the country's nuclear program. The White House issued a threat on Monday to veto the bill, and two others the House is due to consider later this week. Representative Ed Royce, chairman of the House Foreign Affairs Committee, denied that the House measure would violate the landmark pact. He said it would deter Iran from producing heavy water by making its sale more difficult." http://t.uani.com/29zcKHK

WashPost: "After months of negotiations, Senate Foreign Relations Committee Chairman Bob Corker is introducing a new bill to impose sanctions on Iran, as Republicans continue to warn that last year's nuclear deal with Iran was a dangerous mistake by the Obama administration. But, so far, only two Democrats are backing the measure. Corker's legislation seeks to step up mandatory sanctions against individuals and entities involved with Iran's ballistic missile program, the Iranian Revolutionary Guard Corps, and cyber-threats and espionage efforts. It also would renew thorugh 2026 the expiring Iran Sanctions Act, or ISA, which outlines trade, energy, defense and banking sector sanctions over Iran's nuclear and missile activities. In addition, the proposal would prohibit Iran's financial institutions from engaging in dollar-based financial transactions with banks in third-party countries. But Corker's usual negotiating partner, committee ranking member Ben Cardin (D-Md.), is not on board with the compromise and is not expected to sign on anytime soon... Cardin is not an advocate of Congress doing nothing. He stressed that 'the way to proceed is to get Democrats and Republicans working together,' suggesting that the only way to do that this Congress might be to simply pass an unadorned renewal of the Iran Sanctions Act, which expires at the end of the year. 'That's a pretty clear statement by Congress, unambiguous, and it will receive near-unanimous support,' Cardin said." http://t.uani.com/29GZFyh

The Hill: "House Democrats and Republicans sparred on Wednesday over a bill aimed to ensure that no U.S. financing can be used in the sale of Boeing jets to Iran. House Financial Services Committee Chairman Jeb Hensarling (R-Texas) said the bill would provide 'a little insurance' against President Obama or his successor waiving a prohibition placed on U.S. financial institutions and the Export-Import Bank from financing Boeing's recently announced sale of passenger planes to Iran. 'These bills are all part of a bipartisan effort to ensure that Iran does not have access to the U.S. financial system and that taxpayers and depositors are not forced to pick up the tab for these risky arrangements,' Hensarling said. 'They are about taking every possible step to ensure that American made aircraft are never used in pursuit of ending the lives of Americans or our allies.'  The committee on Wednesday evening approved three bills designed to prevent Boeing's sale. President Obama would likely veto any attempts by Congress to stop the sale." http://t.uani.com/29LBmjo

Sanctions Enforcement

Reuters: "More than a dozen U.S. Republican lawmakers on Wednesday urged the Obama administration to impose penalties on the Chinese telecommunications equipment maker ZTE Corp for alleged violations of Iran export controls. In a letter to three Cabinet secretaries, 14 House of Representatives Republicans led by Robert Pittenger of North Carolina said the Chinese technology giant has 'blatantly worked to evade American sanctions and export control laws' to sell products to Iran that could be used to oppress dissidents... 'We urge you to punish ZTE,' the lawmakers said in the letter that was addressed to the secretaries of Commerce, Treasury and State. 'We do not want to see the effectiveness of export control laws become compromised, especially export laws intended to address human rights violations and systematic oppression,' the lawmakers wrote. The Republicans asked the Commerce Department to reimpose sanctions on ZTE Corp that U.S. officials temporarily suspended earlier this year." http://t.uani.com/29V1yGT

JPost: "A German government quality control agency and a private certification agency that works with it both violated EU sanctions and the federal agency's policy by providing certificates to Iranian banks, constructions companies and energy firms, a joint investigation by The Jerusalem Post and the Federal Republic's largest daily, Bild, reveals. The quality control certificates make it easier for the Iranian firms to conduct business, because of Germany's reputation for high industrial standards. The violations occurred between late October 2012 and January 2016, when the Iran nuclear agreement was implemented. After accusations of sanctions violations emerged in 2012, Kurt Lindenblatt, the head of certification for the Bonn-based TÜV InterCert SAAR private agency, wrote, in an email obtained by the Post and Bild: 'The list of the companies that are under an embargo was briefly scrolled through... there are several Iranian companies... that possess certificates from us.' TÜV InterCert SAAR issues management systems quality control certifications to companies, as does the German Accreditation Council, the country's national accreditation body. The Federal Economic Affairs and Energy Ministry oversees the council, which is a government agency." http://t.uani.com/29LxGhu

Domestic Politics

LAT: "When a young female Iranian lawmaker named Fatemeh Hossaini was swept into office as part of a pro-reformist wave in February's parliamentary elections, it was supposed to be a signal of change in a country long led by a corrupt and overwhelmingly male elite. But the substantial income of Hossaini's family has dragged her into the middle of a widening national outcry over public-sector corruption that underscores Iran's economic troubles. As part of a series of leaks exposing high salaries among Iranian state-owned companies, Hossaini's father, Safdar Hossaini, chairman of Iran's sovereign wealth fund, was revealed to be earning more than $23,000 per month - dozens of times what the lowest-paid government workers earn. Known as the National Development Fund of Iran, the fund is meant to reserve surplus oil and petrochemical revenues for development and economic emergencies. Safdar Hossaini resigned in silence along with his colleagues.  Then Hossaini's husband, Hani Mirmohammad-Ali, a tile seller turned civil engineer, was accused of using family connections to get a license to operate a money exchange shop that has been implicated in money laundering. A year after the Iranian nuclear deal was signed, the so-called 'Payslip-gate' revelations are adding to a growing frustration at the lack of economic improvement under President Hassan Rouhani, who promised the historic pact would ease widespread unemployment and industrial decline." http://t.uani.com/29EFWfh

Opinion & Analysis

UANI CEO Amb. Mark Wallace in TIME: "When Tehran reopened for global business after sanctions lifted one year ago, investors scrambled to be first into the last major frontier market opening to the outside world. A top British trade official described it as the 'biggest emerging market since the collapse of the Soviet Union'-offering access to a young and educated population, vast oil-and-gas reserves, and industries with huge, untapped potential. Iran capitalized on the excitement by orchestrating a global roadshow to lure would-be investors, hosting a flurry of trade delegations and dispatching its foreign minister to business conferences and other events. But executives and shareholders at international firms tempted by Iran's sales pitch should stop the flow of investment money-or risk their brand and business. Our organization has tracked business pursuits worldwide in Iran, convinced major multinational corporations to divest, seen the moneyed interest and the regret, and seen the smart skepticism as well. In late May, Finnish President Sauli Niinisto played host to Iran's foreign minister and a group of Iranian business leaders. But Iran's sordid history loomed large: last year, pictures emerged online of cranes linked to a Helsinki-based company, Cargotec, that were used in two public executions of Iranian prisoners-instantly making the company a symbol of the regime's brutal tactics against its own citizens. The visit underscored the kind of brand damage that foreign companies face. But the risks go much further: If the hardliners take back control, or Iran swerves away from its commitments under the Joint Comprehensive Plan of Action, it could trigger automatic 'snapback' sanctions that would expose investors to immediate and heavy losses. Given Iran's long record of cheating on its international nuclear obligations, and President Obama's recent warning about the regime 'engaging in a range of provocative actions,' the prospects that the deal could unravel are more real than theoretical. In the year since the signing of the Iran Deal, Tehran has ramped up its support for Islamic Jihad, Hamas and Hezbollah; has tested multiple ballistic missiles in defiance of U.N. Resolution 2231; has imprisoned a least three dual nationals on trumped-up charges of espionage; and has doubled down in its meddling in multiple regional battle theaters, including Iraq, Syria and Yemen, to name a few. As a result, foreign businesses operating in Iran confront an uncertain and fluid legal environment for their Iranian operations that will remain unless and until Iran demonstrates long-term and sustained compliance with its obligations. Another major risk is the elite Islamic Revolutionary Guards Corps (IRGC)-a terrorist organization sanctioned by the U.S. and international community-and its big, hidden economic interests throughout Iran... Any international company doing business in Iran could find themselves entangled. Take Fiat Chrysler Automobiles, the Italian multinational conglomerate...So, while Iranian Foreign Minister Javad Zarif recently proclaimed that Iran is a 'stable, safe and healthy environment for our citizens and for those visiting and doing business with us,' the facts suggest otherwise. The world's companies still face complex, real and profound risks in doing business with Iran." http://t.uani.com/29ShR7P

Eli Lake in Bloomberg: "On the first anniversary of the Iran nuclear deal, some of its most ardent supporters are worried. President Barack Obama has tried his best to reach out to Iran and end the cycle of enmity between the two nations, but who knows what the next president will do? So 75 of America's foreign-policy mandarins are urging the White House to establish more permanent diplomatic channels with Iran. In a letter organized by the Iran Project, a nonprofit that advocated the deal, they call on Obama to establish formal channels between the U.S. Treasury and Iran's central, bank as well as a line of communication between State Department deputies and the Iranian foreign ministry. 'We acknowledge that opportunities will be limited for testing Iran's willingness to work directly with the U.S. due to the political uncertainties in both countries in the coming year,' the letter says. 'But engagement should be the U.S. government's long-term goal.' That's understating it. As I've reported, Hillary Clinton's top adviser on national security, Jake Sullivan, last month gave a speech in which he said the U.S. should be raising the costs on Iran's destabilizing activities in the Middle East. As for Donald Trump, one of his top advisers, retired General Michael Flynn, just published a book saying that Iran is in an alliance with terrorists against the U.S. Then there is Iran itself. Since agreeing to the Joint Comprehensive Plan of Action, the regime has fixed an election, arrested an American citizen, briefly held captive U.S. sailors, repeatedly tested ballistic missiles, hosted a holocaust cartoon contest and increased efforts to illicitly obtain nuclear technology. This last infraction came out in the open after Germany's equivalent of the FBI published a report on the findings this month. For the Obama administration and its supporters, the best way to counter Iran's bad behavior is to reach out even more to Iran. It's a fashionable theory for engagement enthusiasts. If only we treated rogue states like normal states, then they will act accordingly." http://t.uani.com/29H0JSW
       

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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