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US lifts some Iran sanctions ahead of renewed nuclear talks

  • June 11, 2021

The US Treasury Department said Thursday it was lifting sanctions on three former Iranian officials and two companies, in a move “unrelated” to the ongoing talks on the nuclear deal in Vienna.

At the same time, the Biden administration leveled sanctions against a Yemeni network that it claims was cooperating with Iran’s Islamic Revolutionary Guard Corps to illicitly transfer tens of millions of dollars to Yemen’s Houthi rebels.

The departments of State and Treasury announced both moves in simultaneous statements that come as the administration is trying both to close a deal returning the United States and Iran to an accord on Iran’s nuclear program, and press the Iranian-linked Yemen rebels into peace talks for the war in Yemen.

A State Department spokesman insisted the removal of sanctions was not linked to the negotiations in Vienna, which are set to resume this weekend.

“There is no linkage, there is no connection to the de-listings that we announced today to the JCPOA or to negotiations that are ongoing in Vienna,” Ned Price told reporters. However, he was unable to offer a complete explanation of the reasons behind the move, other than it was made in response to a petition for the removals.

“These petitions are reviewed very carefully,” he said. “They are verified by experts to ensure that the information put forward is factual, that it is accurate, and only after we have verified the information put forward in petitions would we undertake a de-listing. In the case of these three individuals it was the result of our ability to verify that there was a change in status or a change in behavior that allowed us to undertake this de-listing.”

Price added that the step demonstrates “our commitment to lifting sanctions in the event of a change in status or behavior by sanctioned persons.” He said that practice is “consistent with good sanctions hygiene and administrative processes.”

Still, he could not say what the “change in status” or “change in behavior” had been, and Iran’s national oil company, NIOC, and a number of other affiliates remain under US sanctions. Sanctions have been removed in the past because a target has died, retired, or otherwise left their position but there was no indication any of those had happened.

Critics of the nuclear deal and the administration’s intent to return to it immediately denounced the lifting of sanctions as a concession in the absence of anything in return from Iran, and while Tehran continues to ignore demands from the UN atomic watchdog to explain elements of its nuclear program.

“The Biden administration should not be offering Iran sanctions relief at a time when Tehran is refusing to comply with the International Atomic Energy Agency investigation into its nuclear program,” said Andrea Stricker, a research fellow at the Foundation for Defense of Democracies. “Unfortunately, the US just signaled that it is buckling on sanctions relief and the IAEA investigation before a deal is even reached. Iran will be sure to seize on this concession and try to get more.”

The sanctions against Ahmad Ghalebani, a managing director of NIOC, two directors of NIOC affiliates, and those companies had been imposed in 2013 by the Obama administration.

The 2015 deal with world powers allowed it to sell crude oil again on the international market. President Donald Trump unilaterally withdrew America from the accord in 2018, leading Iran to clandestinely taking its oil abroad and selling it.

The accord is based on Iran limiting development of its nuclear program in return for the US and others lifting sanctions against Iran. Ongoing talks in Vienna have focused partly on timing of the US lifting sanctions and Iranians returning to compliance with the agreement known as the Joint Comprehensive Plan of Action, or JCPOA.

In a report published in March that cited US and Middle East officials, the Wall Street Journal said Israel had targeted at least a dozen vessels bound for Syria and mostly carrying Iranian oil since late 2019.

Israel sought to halt the trade in oil because it believed the profits were financing regional extremists, the report said.

In Thursday’s announcements, US Secretary of State Antony Blinken said the money moving through the alleged Houthi financing network came from sales of Iranian petroleum and other commodities throughout the Middle East.

International officials and analysts say Iran has increased its material support to Yemen’s Houthi rebels as the war in the Arab nation passes the six-year mark. A Saudi-led coalition is trying to hold off the Houthis, who seized the country’s capital and are waging an offensive now to capture a major northern city, in defiance of US and UN calls for a ceasefire.

The new US action designates 11 Yemeni individuals, alleged front companies and intermediaries and vessels involved in what it said were the illicit transfers.

The 11 included Jami’ ’Ali Muhammad, a Houthi and alleged IRGC associate who the United States says helped “procure vessels, facilitate shipments of fuel, and transfer funds for the benefit of the Houthis.”

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