Eye on Iran: Dubai's Trade with Iran Shrinks a Third in 2012

For continuing coverage follow us on Twitter and join our Facebook group.    Top Stories Reuters: "Dubai's trade with Iran plunged by a third in 2012, the Dubai customs authority said on Monday, an indication of how much U.S. financial sanctions are hurting Iranian business with the rest of the world. Dubai, across the Gulf from Iran and home to tens of thousands of ethnic Iranians, has long been a major commercial hub for Iran, serving in particular as a channel for consumer goods imports into that country. This role was damaged after U.S. sanctions, imposed in late 2011 over Iran's disputed nuclear programme, made it legally dangerous for banks around the world to deal with Iranian institutions. Banks in Dubai sharply cut back Iran-related dealings. Two-way trade between Dubai and Iran was roughly 25 billion dirhams ($6.8 billion) last year, said Ahmed Butti Ahmed, Director General of Dubai Customs. That implied a drop of about 31 percent from 36 billion dirhams in 2011. Sharp depreciation of the Iranian currency, which lost more than half its value against the U.S. dollar last year, hurt business in addition to the reluctance of Dubai banks to get involved, Ahmed told a news conference." http://t.uani.com/10fnQpL Reuters: "The Senate showed strong support over the weekend for blocking Iran's access to euros, as Congress continues to push for additional measures to choke funding to Tehran's nuclear program. The Senate unanimously passed a non-binding amendment to the budget plan early on Saturday that seeks to stop Iran from using a loophole allowing it use the European Central Bank's interbank payment system to gain access to euros. The amendment, sponsored by Illinois Republican Mark Kirk and West Virginia Democrat Joe Manchin, is symbolic, as the budget will not become law. It follows a letter signed last month and sent to the European Union by 36 senators, and could indicate the Senate would introduce legislation later on the issue... 'Closing the euro loophole in our sanctions policy is critical in our efforts to prevent Iran from acquiring a nuclear weapons capability,' Kirk said. 'The U.S. Senate has spoken and now the European Union needs to act.'" http://t.uani.com/X9EXwL Reuters: "The United States is concerned Iranian appeals to European courts could loosen sanctions against Tehran, said a State Department official on Monday who urged the EU to urgently find a way to allow judges to examine secret intelligence evidence. Europe's General Court told EU governments in January to lift asset freezes against Bank Mellat and Bank Saderat, two of more than a dozen Iranian banks which the European Union says are helping finance Tehran's nuclear program. Both the European Union and the United States view sanctions against the Iranian banking sector as a crucial component of economic pressure designed to force Tehran to scale back the nuclear work, which they suspect has covert military goals... More than 30 cases are still pending at the General Court, including ones filed by the Central Bank of Iran and the National Iranian Oil Company (NIOC). Those sanctions severely affected Iran's ability to export oil and carry out international financial transactions." http://t.uani.com/11H8onG   Nuclear Program & Sanctions Wired: "A cyberattack that sabotaged Iran's uranium enrichment program was an 'act of force' and was likely illegal, according to research commissioned by NATO's cyberwarfare center. 'Acts that kill or injure persons or destroy or damage objects are unambiguously uses of force' and likely violate international law, according to the Tallinn Manual on the International Law Applicable to Cyber Warfare, a study produced by international legal experts at the request of NATO's Cooperative Cyber Defense Center of Excellence in Estonia. Acts of force are prohibited under the United Nations charter, except when done in self-defense, Michael Schmitt, professor of international law at the U.S. Naval War College in Rhode Island and lead author of the study, told the Washington Times. The 20 experts who produced the study were unanimous that Stuxnet was an act of force, but were less clear about whether the cyber sabotage against Iran's nuclear program constituted an 'armed attack,' which would entitle Iran to use counterforce in self-defense. An armed attack constitutes a start of international hostilities under which the Geneva Convention's laws of war would apply." http://t.uani.com/10fpasA The Hindu: "ONGC Videsh Ltd and its partners Indian Oil Corporation (IOC) and Oil India Ltd (OIL) had in 2009 dropped plans to develop the Binaloud oil find in the Farsi offshore block as it found one billion barrels of reserves commercially unviable... However, Indians remain in contention for the Farzad-B gas find in the same Farsi block. But they haven't yet signed a contract for the development due to US and western sanctions against the Persian Gulf nation. In February 2012, Iran issued an ultimatum to OVL to decide whether it would develop Farzad B, after the company missed the November 2010 deadline that had been set for the investment decision... Sources said OVL is yet to sign the development contract as it is wary of participating in Iranian oil and gas sector for fear of being sanctioned by US and EU." http://t.uani.com/ZTP2eQ Foreign Affairs Reuters: "Saudi Arabia said on Tuesday that people it arrested on suspicion of spying this month had direct links to the intelligence services of Iran, its main rival for influence in the Gulf. A Saudi Interior Ministry spokesman told official media that preliminary investigations - based on physical evidence and statements by the suspects - had found that members of the group had received payment for information. Riyadh announced a week ago it had arrested 16 Saudis, an Iranian and a Lebanese on spying grounds. The spokesman said the investigation was ongoing." http://t.uani.com/X9FY7T Eye on Iran is a periodic news summary from United Against Nuclear Iran (UANI) a program of the American Coalition Against Nuclear Iran, Inc., a tax-exempt organization under Section 501(c)(3) of the Internal Revenue Code. Eye on Iran is not intended as a comprehensive media clips summary but rather a selection of media elements with discreet analysis in a PDA friendly format. For more information please email Press@UnitedAgainstNuclearIran.com United Against Nuclear Iran (UANI) is a non-partisan, broad-based coalition that is united in a commitment to prevent Iran from fulfilling its ambition to become a regional super-power possessing nuclear weapons.  UANI is an issue-based coalition in which each coalition member will have its own interests as well as the collective goal of advancing an Iran free of nuclear weapons.