Obama Orders Stricter Sanctions Against Iran

06 February 2012

President Obama ordered stricter sanctions on Iran and its central bank for failing to comply with international obligations over its nuclear weapons program.

President Obama ordered stricter sanctions be imposed on Iran and its central bank for noncompliance with its international obligations to halt development of nuclear weapons.

Obama told Congress February 6 that more sanctions were necessary because of deceptive practices by the Central Bank of Iran and other Iranian banks in trying to hide financial transactions of companies and government officials that already have been sanctioned over the country’s nuclear weapons development program. He also cited weaknesses in Iran’s regime to fight money-laundering, which pose an unacceptable risk to the international financial system.

“My goal is to try to resolve this diplomatically, mainly because the only way, over the long term, we can assure Iran doesn’t get a nuclear weapon is by getting them to understand it’s not in their interest,” Obama said in an interview with NBC News that aired on the Today show February 6. He added that the United States has a good estimate of when Iranian scientists and engineers could complete work on a fully functional nuclear weapon, based in part on where they are in the uranium enrichment process.

“Do we know all the dynamics inside Iran? Absolutely not,” Obama said. “And I think one of the difficulties is that Iran itself is a lot more divided now than it was.

“Knowing who is making decisions at any given time inside of Iran is tough. But we do have a pretty good bead on what’s happening with their nuclear program,” he added.

The executive order freezes Iranian assets as well as those of its Central Bank and all Iranian financial institutions held by U.S. banks and financial firms. The order was signed on February 5 and took effect shortly after midnight EST on February 6.

The United States and the European Union (EU) have strengthened sanctions in an effort to convince the Iranian regime to halt all uranium enrichment, a process essential for the construction of a nuclear weapon. The United States, working closely with the EU and other partners, has attempted to negotiate with Iran to halt the weapons development program and find ways to provide Iran with enriched uranium for civilian use.

Six nations — Britain, China, France, Germany, Russia and the United States — have attempted to convince Iran in a series of negotiations to forgo a nuclear development program, but talks halted and have not resumed.

Estimates indicate Iran has more than 3,000 kilograms of reactor-grade low-enriched uranium in stocks at its Natanz enrichment facility and facilities elsewhere in the country. That is enough material for at least a two nuclear weapons, according to previous International Atomic Energy Agency reports. Experts also estimate Iran has begun producing small quantities of uranium to a concentration of about 20 percent, another sign of progress toward nuclear weapons production.

The U.S. Treasury Department said that President Obama’s actions underscore his commitment and resolve to hold Iran accountable for its failure to meet international obligations and ensure it halts uranium enrichment, permits international inspectors to inspect all of Iran’s nuclear facilities, and gives up any efforts to develop nuclear weapons.

“Iran now faces an unprecedented level of pressure due to intensified sanctions applied by the United States and complementary actions by many others around the world,” the Treasury said in a prepared statement. “It will face ever-increasing economic and diplomatic pressure until it addresses the international community’s well-founded and well-documented concerns regarding the nature of its nuclear program.”