Iran News Round Up

The U.S. Treasury Department designated four individuals and one entity on May 15 as Specially Designated Global Terrorists (SDGT) due to their roles in facilitating the transfer of “millions of dollars” to Hezbollah on behalf of the IRGC Quds Force. The Treasury Department sanctioned Central Bank of Iran (CBI) head Valiollah Seif, CBI International Department Deputy Director Ali Tarzali, Iraqi al Bilad Islamic Bank, al Bilad Islamic Bank Chairman Aras Habib Karim, and Hezbollah affiliate Mohammad Qasir. The Treasury Department’s announcement described the designations as part of the Trump administration’s “aggressive campaign against the IRGC and its proxies.” The Treasury Department’s May 15 designations mark the second issuance of new U.S. sanctions against Iranian nationals tied to the IRGC Quds Force following the U.S. withdrawal from the Joint Comprehensive Plan of Action (JCPOA). The Treasury Department made the designations hours before a meeting between Foreign Minister Mohammad Javad Zarif, EU High Representative for Foreign Affairs Federica Mogherini, German Foreign Minister Heiko Maas, British Foreign Minister Boris Johnson, and French Foreign Minister Jean-Yves Le Drian in Brussels, Belgium on May 15. (Treasury.gov) (E) (Treasury.gov) (E)

• U.S. and UAE take action against IRGC Quds Force currency exchange network. The Treasury Department and the United Arab Emirates (UAE) took joint action on May 10 to sanction six Iranian nationals and three Iranian companies that facilitated a multi-million dollar currency exchange network for the IRGC Quds Force. The Treasury Department noted that the Central Bank of Iran (CBI) was complicit in the scheme and enabled the network’s access to oil revenue from the CBI and offshore accounts in the UAE. (Treasury.gov) (E) (Treasury.gov) (E) (Treasury.gov) (E) (Treasury.gov)
• Treasury Department coordinates with Gulf partners to target Hezbollah leadership. The Treasury Department designated five senior Hezbollah officials as Specially Designated Global Terrorists (SDGT) on May 16. The Treasury Department acted in coordination with Saudi Arabia, Bahrain, Kuwait, Oman, Qatar, and the United Arab Emirates (UAE). The designations target Hezbollah Secretary General Hassan Nasrallah, Deputy Secretary General Naim Qassem, and three other senior Hezbollah leaders. The Treasury Department described the designations as complementary to the U.S. sanctions on IRGC Quds Force affiliates on May 10 and 15. (Treasury.gov) (E) (Treasury.gov) (E)

President Hassan Rouhani discussed the future of the Joint Comprehensive Plan of Action (JCPOA) in separate phone calls with his German and British counterparts following the U.S. withdrawal from the nuclear agreement. Rouhani spoke with German Chancellor Angela Merkel on May 10 and British Prime Minister Theresa May on May 13. Rouhani called on European signatories of the JCPOA to “clarify and guarantee” that Iran continues to receive economic benefits from the agreement. The results of Iran’s ongoing talks with Germany, France, and the UK will determine how Iran will respond to the U.S. withdrawal from the nuclear deal. (President.ir) (President.ir) (President.ir) (Gov.uk) (E)

Parliament allocated approximately $140 million to two Defense Ministry budgetary line items tied to Iran’s ballistic missile program. The budgetary line items for the “strengthening of defensive stamina: upgrading defensive capability” and the “preservation of defense industries’ production capability” experienced approximately 12 and 77 percent increases respectively from the final budgetary allocations for the current Persian Calendar year. The budgetary amendments follow President Donald Trump’s announcement to withdraw the U.S. from the Joint Comprehensive Plan of Action (JCPOA). (Tasnim News Agency) (President.ir) (Shenasname)

Tehran City Council members elected Mohammad Ali Afshani as the new mayor of Tehran City replacing Mohammad Ali Najafi on May 13. Afshani previously served as Interior Ministry construction deputy and as Fars Province governor. Najafi tendered his resignation after his controversial attendance at a young women’s dance ensemble in March 2018. (Hamshahri) (Hamshahri) (Fars News Agency)