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Home»EUROPE»This is the clandestine financing system that Iran relied on, which calls into question Russia’s sanctions
EUROPE

This is the clandestine financing system that Iran relied on, which calls into question Russia’s sanctions

By euro7April 3, 2022No Comments3 Mins Read
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This is the clandestine finance system on which Iran relied that calls into question the sanctions on Russia
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Europe and the United States are seeking a way to economically block Russia. Different states have attempted to isolate Russia since the Russian invasion in Ukraine was launched, as directed by Vladimir Putin. But Iran’s remarkable feat of coming out of this “unscathed”, puts into question the effectiveness Western sanctions.

The Wall Street Journal reported that an Asian country established a secret banking and financial system to facilitate commercial transactions.

Iran’s banks have subsidiaries outside Iran that will act as intermediaries between Iranian business. These subsidiaries are used to sell oil and other raw material, as well as for transactions.Iran may purchase foreign goods through accounts in foreign banks.

This has allowed Tehran to resist the pressure of the Biden administration to join the 2015 nuclear agreement, buying time to delay negotiations.

Western banks can be eliminated from the international banking system if they allow their infrastructure to be used for US government-sanctioned transactions, but the system of shell companies with deposits in non-sanctioned countries has inadvertently made these institutions approve Iranian money transactions. This is all without causing suspicion.

The system was defended by an Asian country, calling it a “resistance economic.” One of the Western officials who was consulted by US media said that “this is an unprecedented money laundering operation government operation.”

To date, more than 61 deposit accounts of Iranian “front” companies have been identified. According to the American newspaper, up to 28 banks are located in China, Hong Kong and Singapore. The total amount of these accounts is several million dollars. The Iranian parallel financial systems covered more than 80,000,000,000 dollars of income in the last year.

It will increase to $150 billion by 2022 according to the International Monetary Fund. This includes foreign sales that are banned by sanctions.

The United States maintained this Sunday aHistoric summitIsrael: Antony Blinken, the US Secretary, and the foreign minsters ofBahrain, United Arab Emirates, (UAE), and MoroccoThe Israeli authorities signed agreements to normalize relations with Israel since 2020. The Russian invasion of Ukraine caused the nuclear talks to collapse earlier in the month. The conflict withIran is a major concern for Sunni Arab countries.It acts as the glue that binds these diverse countries together.

The United States Department of the Treasury issued new economic sanctions this Wednesday against an intermediary, and his network of companies, for their role in facilitating and co-operating with the Iranian ballistic missile development program. The new restrictions by Washington are part of its strategy against Iran’s advanced development and use ballistic missiles. This was explained by Brian E. Nelson, the Undersecretary for the Treasury for Terrorism and Financial Intelligence.

Iran Russia Tehran United States
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