(Wall Street Journal) Mark Dubowitz - The Reserve Bank of India has opened up a major new front in the global effort to tighten the economic screws on Tehran. Under pressure from the United States, the Indian central bank last week blocked domestic buyers of Iranian oil from making payments through the Asian Clearing Union. While oil sales to India can still clear through commercial banks, they will be more transparent. Many international banks will not get involved at all, given the potential penalties. Every bank CEO is aware of the almost $2 billion in fines levied by the U.S. government against some prominent European banks for violations of U.S. laws against business with Iran. Sanctions need time to work. The near-miraculous attack of the Stuxnet virus on Iran's centrifuges and the untimely deaths of key Iranian nuclear scientists may have bought the administration that time, and further strengthened those who want to use economic sticks to beat back Iran's nuclear aspirations. The writer is executive director of the Foundation for Defense of Democracies.
2011-01-04 10:42:10Full ArticleBACK Visit the Daily Alert Archive