[220611.EN.SEA] New York City DA Charges Iran Flag Carrier IRISL Of 'Abusing' City Banks

NEW YORK City district attorney Cyrus Vance said he has indicted the Islamic Republic of Iran Shipping Lines (IRISL), accusing it of hiding behind shell companies to do business with New York banks, reports The New York Times.

Mr Vance said he would not remain idle while New York banks were being "abused", saying the IRISL illegally "funnelled" money through the American banking system, evading sanctions by hiding behind other companies to do business.

Mr Vance has made 317 charges against the shipping line and 15 other defendants with "conspiracy" to set up companies in Singapore, the United Arab Emirates and Britain to "trick" major clearing banks in New York, like JPMorgan Chase, Bank of America and Citibank to do business with the officially persecuted company, under American sanctions of 2008 which require US banks to block and seize the proceeds from any transactions made in the names of IRISL or known affiliates.

The indictment is the first time IRISL has faced criminal charges, the Times said. The New York Times noted that enforcement of government sanctions is the responsibility of the US Treasury Department, but the district attorney's office claimed jurisdiction because transactions were cleared in New York banks.

Source : HKSG, 22.06.11.