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Financial Watchdog Keeps Iran on Global Blacklist

Negar Mojtahedi
Negar Mojtahedi

Iran International

Jun 29, 2024, 08:15 GMT+1Updated: 16:29 GMT+0
The logo of the FATF (the Financial Action Task Force) is seen during a news conference after a plenary session at the OECD Headquarters in Paris, France, October 18, 2019.
The logo of the FATF (the Financial Action Task Force) is seen during a news conference after a plenary session at the OECD Headquarters in Paris, France, October 18, 2019.

Iran has retained its place on the Financial Action Task Force’s(FATF) blacklist, for not respecting international banking and related rules after a meeting in Singapore concluded Friday.

The FATF is a global financial watchdog that leads action to tackle money laundering, terrorist and proliferation financing. The watchdog does not have enforcement powers but describes itself as a monitoring system on how criminals and terrorists raise, use and move funds.

The continuation of the blacklist designation means Tehran is subject to increased monitoring and restrictions.

Toby Dershowitz, the Managing Director of the FDD's Action, said being on the blacklist has “reputational” and real consequences like having an impact on investments, thereby deterring other countries from doing business with Iran.

“It sends a message to the whole financial system, that is to banks, to all kinds of financial institutions...that basically says it's not safe to do business with Iran.”

Dershowitz said it means Iran has to constantly find tactics to get around these measures.

But those implications, according Mahdi Ghodsi, an economist with the Vienna Institute for International Economic Studies, may actually benefit Iranian regime insiders who assist in circumventing sanctions, which hurt ordinary citizens.

“So these are the people who we don't know. They are not part of the government. They are hidden financial apparatus that nobody cares about them. They're just people that are providing some service circumventing sanctions. And they're getting enormous amount of financial profits. At the same time, they're benefiting the governments who are in line with them,” he said.

Ghodsi told Iran International that Tehran is selling oil in Malaysia which is being exported to China. US government officials have also said that Iran uses the help of service providers in Malaysia to sell its oil abroad, circumventing US sanctions.

“As long as they're benefiting from this, they don't care about blacklisting,” said Ghodsi.

Ghodsi said the significance to the Iranian government is a message from the FATF that “we are watching you.”

“I don't think that it can have any significant impact on what they're [Iran] is doing,” said Ghodsi.

While Dershowitz agrees that ordinary citizens suffer the most, because of the regime’s money laundering and terror finance, she said the FATF listing can make Iran’s economy risky to its partners like Venezuela, which was, for the first time, placed on the graylist Friday.

"And one of the reasons that it did so is because of the ties that Venezuela has with Iran. So because Iran has some malign activities these are adversely impacting other countries such as Venezuela,” she said.

Friday’s blacklist also a signaling, Ghodsi, said that the US administration may change their tone on Iran to include more pressure and stricter policies.

Myanmar and North Korea are also on the FATF blacklist in addition to Iran.

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Iran’s Green Movement Leaders Divided: Two Boycott Election, One Votes

Jun 28, 2024, 22:10 GMT+1
•
Niloufar Goudarzi

Iran’s Green Movement leaders Mirhossein Mousavi and Zahra Rahnavard abstained from voting in the presidential elections, while Mehdi Karroubi publicly endorsed Masoud Pezeshkian, the sole reform-leaning candidate.

The daughter of Mousavi and Rahnavard, who have been under house arrest since 2011, announced on Friday that her parents would abstain from participating in the presidential election. Meanwhile, Karroubi was photographed casting his ballot, and his son had previously confirmed his endorsement of Pezeshkian.

The Green Movement sprang up in 2009, when in a dubious presidential election Mahmoud Ahmadinejad was unexpectedly was announced the winner, triggering protests. Mousavi and Karroubi who were running against Ahmadinejad were later put under house arrest after Supreme Leader Ali Khamenei denounced then as "seditionists."

This is while the relatively moderate Pezeshkian's candidacy is seen by many as an attempt to create an illusion of competition and boost historically low voter turnout, as witnessed in the 2023 parliamentary elections, where turnout hit a record low since 1979.

Iran's un-elected election watchdog, the Guardian Council allowed five conservative-hardliners and one reform-minded candidate to run. Two hardliners dropped out and four candidates remained.

Activists also announced that while authorities brought a ballot box to Ward 4 of Tehran's Evin prison, housing numerous political prisoners, the prisoners abstained from voting.

Many, including several students, women's and youth organizations, and civil and political activists, have called for boycotting the presidential election. Over 500 teachers, union activists, and cultural figures publicly declared their abstention. Also, notable figures such as imprisoned Nobel laureate Narges Mohammadi criticized the upcoming election, denouncing it as a facade orchestrated by an “oppressive regime.”

Friday's presidential election is the first after the "Woman, Life, Freedom" protests in 2022, which marked a significant demand for secular governance, human rights, women's rights, and rational foreign policies in Iran.

Mirhossein Mousavi and Zahra Rahnavard voting in the 2009 presidential election (undated)
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Mirhossein Mousavi and Zahra Rahnavard voting in the 2009 presidential election

Last year, following the "Woman, Life, Freedom" movement that was triggered following the death of Mahsa Jina Amini while in the custody of the so-called morality police, Mousavi called for the end of clerical rule, which over 400 political activists and journalists supported. The state's subsequent killing of at least 550 protesters during its crackdown has been labeled a crime against humanity by a UN fact-finding mission.

German FM Urges Iran to Help Prevent Further Escalation in Mideast

Jun 28, 2024, 17:58 GMT+1

Germany has called on the Islamic Republic to prevent further escalation in the Middle East "at all costs", as Israel and Tehran-backed Hezbollah of Lebanon lurch closer to a full-blown war.

German Foreign Minister Annalena Baerbock in a Friday phone call "delivered a clear message" to Iran’s acting Foreign Minister Ali Bagheri Kani on the urgent need for de-escalation in the region, the Germany Foreign Ministry said.

"Clear message from Baerbock in today's phone call with the acting Iranian FM Bagheri Kani regarding the situation in the Middle East: Further escalation must be prevented at all costs, and Iran must also contribute to this," reads a post on the German Foreign Ministry's X account.

Later in the day, EU Foreign Policy Chief Josep Borrell said on his X account that he held a phone call with Bagheri Kani to discuss the "rising tensions" along the Israeli-Lebanese border.

Tensions between Israel and Hezbollah have been escalating in recent days, raising concerns about a potential full-blown war. Both sides have exchanged threats and engaged in increasingly aggressive actions, leading to fears of a larger conflict that could engulf the region.

Hezbollah chief Hassan Nasrallah recently warned that "no place" in Israel would be spared in the case of a full-blown war against the Lebanese group, and even threatened to target Cyprus if it opened its airports to Israel.

Israel has also threatened to “plunge Lebanon completely into the dark and take apart Hezbollah’s power in days."

The Israeli threat to plunge Lebanon into darkness, issued by former war cabinet member Benny Gantz on Tuesday, won't be difficult for the IDF to carry out. Lebanon's power grid, already crippled by decades of mismanagement and the current economic collapse, barely functions as it is. Israel will be able to easily finish it off with a few well-aimed airstrikes.

However, the US is warning Israel that any IDF offensive in Lebanon would risk a broader conflict that draws in Iran and Iran-aligned militants, particularly if Hezbollah's existence is threatened.

German Citizens Jailed in Iran

In the Friday phone call, Berlin said, Baerbock also raised the issue of German citizens jailed in Iran, which include Jamshid Sharmahd and Nahid Taghavi.

Jamshid Sharmahd, a 68-year-old software developer and California resident, was abducted by Iranian agents during a visit to the United Arab Emirates in 2020 and forcibly taken to Iran. In February 2023, the Iranian judiciary sentenced him to death on charges of endangering national security.

Sharmahd, who holds German and Iranian citizenship, was convicted of heading a pro-monarchist group named Tondar accused of a deadly bombing incident that occurred in 2008 at a religious center in Shiraz, killing 14 and injuring 215 more.

Nahid Taghavi, 68, has also been jailed in Iran since 2020, and as detailed by her daughter, endured psychological torture during her detention.

Reports indicate that she was confined to solitary confinement in the notorious Ward 2-A of the Revolutionary Guards at Evin Prison for a staggering 220 days.

She was granted a brief furlough in January, but the furlough was terminated next month, and she was forced to return to prison before "being able to receive necessary medical treatment," according to the German Foreign Ministry.

Iranian Diaspora Stage Boycott Protest on Election Day

Jun 28, 2024, 17:31 GMT+1
•
Niloufar Goudarzi

Activists in the Iranian diaspora mobilized internationally to protest and boycott the presidential election, resulting in confrontations and arrests at some polling stations.

In London, outside the Iranian consulate where voting for Iran's presidential election was underway on Friday, activists confronted voters, questioning their decision to participate after the bloody 2022 nationwide protests in Iran. "How can you vote after all these people were killed? You legitimize the regime by doing so," one protester was heard saying in a video shared on social media.

Metropolitan Police arrested two voting individuals outside the consulate amidst the tension. Demonstrators displayed images of victims from nationwide protests in Iran, notably from the 2022 Woman, Life, Freedom movement, which was sparked by the death of 22-year-old Mahsa Amini in police custody. The subsequent crackdown, resulting in the deaths of at least 550 protesters, has been labeled a crime against humanity by a UN fact-finding mission.

As reported by Mohsen Moheimany, an Iran International journalist who was present at the event, the arrested voters engaged in aggressive behavior and verbally attacked the protesters.

Several videos circulating on social media have documented the clashes, including one where a voter in London is seen threatening the protesters.

Also, there were reports that some protesters and voters verbally confronted one another in Paris.

The protesters equated election ink to the "blood of the youth," using the analogy as their central slogan. Election ink is typically applied to voters' forefingers to prevent electoral fraud.

Protests erupted in numerous global cities, including Bern, Amsterdam, Melbourne, Oslo, The Hague, Vienna, Stockholm, Manchester, Auckland, Sydney, Washington, and Hamburg, as demonstrators gathered outside Iranian embassies and polling stations to denounce participation in the presidential election.

Among the demonstrators in London was Azemat Ajdari, whose sister was a victim of flight PS752. This flight, which departed from Tehran amid military activity, was downed by the IRGC in 2020, killing all 176 passengers aboard.

Ajdari, positioned on the opposite side of the street facing the Iranian consulate, expressed to Iran International, "The street we are standing on symbolizes the sea of blood that separates us from the supporters of the Islamic Republic."

"We are here today because the people of Iran are subjected to the tyranny of a regime that has erected a barrier around them, stifling their voices and preventing them from being heard by the world. Our presence aims to amplify the people's voices and demonstrate that this government does not represent us," Ajdari elaborated.

Fariba Balouch, a human rights activist and another protester, shared with Iran International, "This protest stands against the Islamic Republic's facade of democracy. By being here, we stand in solidarity with the families of the victims, those whose children were killed by this regime, and all victims, including those from Zahedan's Bloody Friday."

On September 30, 2022, security forces opened fire on peaceful protesters in Zahedan, the provincial capital of Sistan-Baluchestan, marking a day known as Bloody Friday. This incident resulted in the deaths of at least 105 civilians, including 17 children.

During protests in Hamburg, Fardin Mafghodi, who was shot in the back and hands during the Woman, Life, Freedom movement and is now confined to a wheelchair, told Iran International, “Anyone who votes effectively buys bullets for the Islamic Republic to target people like me.”

Mojtaba Elhani, a political activist at the Berlin protest, stated to Iran International, “The blood of our youth obstructs the path to the polls. We have only one vote, and that is to overthrow the establishment.”

Faramarz Bahar, a political activist and organizer of the gathering in Paris, also told Iran International, “We want to show the regime that we do not care about the political factions within the system, whether reformist or fundamentalist. Our message to the Islamic Republic is clear: we have not seen justice, and we will not vote again.”

Iranian Authorities Cut Off Kurdish Death Row Inmate's Family Contact

Jun 28, 2024, 15:30 GMT+1

The prison authorities have barred death row prisoner Reza Rasaei from receiving phone calls and family visits for the past week, according to Dadban, a group of pro-bono lawyers in Iran defending political prisoners.

“The authorities of Dizel Abad prison in Kermanshah province have cut off Reza Rasaei's contact with his family and have not given any explanation about the reason for these restrictions,” a source close to the case told Dadban.

The group also reported intensified pressure on Rasaei's family, with increased threats of arrest being made against them.

Last year, the death sentence of Rasaei, one of the detainees from the 2022 nationwide protests, was confirmed by the Supreme Court of Iran.

Rasaei, from the marginalized Kurdish and Yarsan minorities, was sentenced to death by a Revolutionary Court on charges related to the killing of Nader Beirami, head of the Revolutionary Guards Intelligence Organization in Sanandaj, during a clash between security and law enforcement forces and protesters.

Various human rights organizations, including Dadban and Hengaw, reported that the authorities attributed Beirami’s murder to Rasaei without providing any evidence, witnesses, or documents.

Amnesty International, also, issued a warning about Rasaei's trial, noting that he was subjected to torture and ill-treatment, including electric shocks and severe beatings, to compel self-incriminating “confessions.”

Opposition Accuses Trudeau Gov't of Leaking IRGC Terror Listing

Jun 28, 2024, 15:05 GMT+1
•
Negar Mojtahedi

Canada’s Conservative Deputy Leader Melissa Lantsman has accused the Liberal government of deliberately leaking its plan to designate Iran's Islamic Revolutionary Guard Corps (IRGC) as a terrorist organization.

Canada’s Public Safety Minister Dominic LeBlanc made the announcement, proscribing the IRGC as a terror organization on June 19 at a news conference in Ottawa. Before the official announcement, CBC News and Iran International English were the first outlets to break the news. 

"The government leaked that listing, and that's not usually how something as serious as this takes place," Lantsman told Iran International’s ‘Eye for Iran’ Podcast.

Lantsman stated that while she does not attribute malicious intent to the federal government for the leak, it may have given individuals with ties to the IRGC time to relocate their money or assets within Canada.

The parliamentarian, whose party has been pressuring the federal government to list the IRGC, admitted that she does not know when the government began taking action or notifying banks.

Iran International sought an interview and a response to the allegations from Canada’s Public Safety Minister for the 'Eye for Iran' podcast but received no reply in time for publication.

In a previous email correspondence, a Public Safety spokesperson told Iran International that adding an entity to the terrorist list results in “significant and immediate consequences for the entity and those associated with the entity.” 

“Canadian financial institutions, such as banks and brokerages, must immediately freeze the entity’s assets, which can then be the subject of seizure, restraint or forfeiture," the spokesperson said. 

Lantsman said “You know when you give somebody a heads up of a decision you know, it allows things to move around. Frankly the government is sloppy on this, just as they've been sloppy on foreign interference, and more than sloppy, but outright dangerous.”

When asked by Iran International’s Negar Mojtahedi during 'Eye for Iran,' whether this points to potential foreign interference within the government itself, Lantsman responded that she does not have the intelligence to suggest that, but that it’s not usual to “see something written in the newspapers before you hear it from a minister's mouth. It's usually the other way around. It should be the other way around. Canadians should expect that it's the other way around.” 

The designation of the IRGC as a terrorist group has long been sought by Iranian-Canadians and the relatives of those killed when the IRGC shot down Ukraine International Airlines Flight 752 with two surface-to-air missiles on January 8, 2020. 

The downing killed all 176 people on board, including 55 Canadian citizens and 30 permanent residents of Canada. Prime Minister Justin Trudeau resisted calls to designate the IRGC as a terrorist organization, despite his party's support for a motion to list it in 2018.

Trudeau previously cited several concerns, including the unintended consequences such a designation could have for individuals conscripted into the group. 

In an email, a Public Safety spokesperson told Iran International that “being listed as a terrorist entity does not constitute a criminal offense, however it can lead to other criminal consequences.” 

The RCMP does not investigate movements or organizations for their ideological dispositions but rather for their criminal activities, the statement said. 

The listing of the IRGC as a terrorist entity, the Public Safety spokesperson wrote, identifies individuals who have engaged in or played a “substantial role in terrorism and acts of violence.” Doing so allows the Immigration Refugees and Citizenship Canada (IRCC) to prevent these individuals from obtaining a visa, entering, or remaining in Canada.

You can watch the full podcast with Minister Melissa Lantsman on Iran International YouTube Page.