PEACE & SECURITY | Creating a more stable world
11 September 2008
United States Places Sanctions on Iran's Largest Maritime Company
Authorities say shipping line used deception and denial techniques
Washington — The United States has leveled financial sanctions against Iran's largest shipping line and 18 of its affiliates for shipping military-related arms and related cargo, according to senior U.S. officials.
The maritime company — the Islamic Republic of Iran Shipping Lines, also known as IRISL — shipped cargo for Iran's Ministry of Defense and Armed Forces Logistics, which has direct control of Iran's ballistic missile research, development and production activities, says Adam Szubin, director of the Treasury Department's Office of Foreign Assets Control.
“The U.S. also has information that points to an alarming pattern of denial and deception techniques by IRISL,” Szubin said. The departments of State and Treasury made the announcement September 10.
“Because of the high risk of unwittingly facilitating Iran's [nuclear] proliferation activities, we call on banks, companies and insurers worldwide to reevaluate any ongoing business relationships with IRISL. IRISL's deceptive conduct makes it nearly impossible to determine whether its shipments are licit or illicit under the international standards put out by the U.N. Security Council in its resolutions,” Szubin said.
Any bank accounts or other financial assets belonging to IRISL found in the United States will be frozen under the sanctions imposed by the Treasury Department. In addition, U.S. citizens are forbidden to do business with the company and its affiliates in Iran and at least nine other countries, including Britain, Belgium, China, Egypt, Italy, Germany, Malta, Singapore and South Korea.
The departments also identified 123 known IRISL ships by type, tonnage and flag to help other maritime authorities spot the ships, which should be searched.
“Not only does IRISL facilitate the transport of cargo for U.N.-designated proliferators, it also falsifies documents and uses deceptive schemes to shroud its involvement in illicit commerce,” said Stuart Levey, Treasury under secretary for terrorism and financial intelligence. “IRISL's actions are part of a broader pattern of deception and fabrication that Iran uses to advance its nuclear and missile programs.”
The State Department said in a separate statement that these designations implement a March 2008 U.N. Security Council resolution, which calls upon all states to inspect IRISL cargoes to or from Iran, provided there are reasonable grounds to believe that a vessel is transporting prohibited goods cited in three previous sets of U.N. sanctions.
“We are concerned that IRISL is using its global transportation system to ship items of proliferation concern to Iran in circumvention of these United Nations Security Council resolutions,” the State Department said.
See the text of the Treasury Department announcement on the department’s Web site.
