Iran Withdraws $75 Billion from Europe

Is our State Department really this incompetent, or are they playing a different game? You can't announce the intent to freeze assets to the world press and not expect those involved to take action. Makes me wonder what we learned about Iran's true friends by watching where the money went ...

Iran Withdraws $75 Billion from Europe: Report Asharq Alawsat Newspaper (English):
"Iran has withdrawn around $75 billion from Europe to prevent the assets from being blocked under threatened new sanctions over Tehran's disputed nuclear ambitions, an Iranian weekly said.
Western powers are warning the Islamic Republic of more punitive measures if it rejects an incentives offer and presses on with sensitive nuclear work, but the world's fourth-largest oil exporter is showing no sign of backing down."

E.U. to Add To Sanctions Against Iran, Brown Says - washingtonpost.com:
"LONDON, June 16 -- British Prime Minister Gordon Brown announced plans Monday for new European sanctions against Iranian banking, oil and natural gas interests, signaling a growing willingness by Western allies to join President Bush in punishing Tehran for its nuclear enrichment program.

With Bush by his side at 10 Downing Street, Brown said Britain and the other members of the European Union had agreed to freeze the assets of Bank Melli, Iran's largest bank, and would consider separate sanctions targeting Iran's oil and natural gas industry. E.U. ministers are to take formal action as early as Tuesday, officials said.

Brown's announcement, which followed meetings with Bush, was aimed at ratcheting up pressure on the Islamic republic to curtail its nuclear activities and allow more extensive international inspections.

"We will take any necessary actions so that Iran is aware of the choice it has to make: to start to play its part as a full and respected member of the international community or face further isolation," Brown said.
. . .
European action against Bank Melli would come on top of restrictions imposed by the U.S. Treasury Department against Melli and other state-owned Iranian financial institutions this year. From 2002 to 2006, Bank Melli sent $100 million to Hamas, Palestinian Islamic Jihad and other organizations that the United States has designated as terrorist groups, according to Treasury officials.

Treasury has also moved to cut off another major Iranian bank, Bank Saderat, from the international financial system.

The United States has had numerous other measures in force against Iran since shortly after the seizure of the U.S. Embassy in Tehran in 1979."

NewsDaily: Iran withdraws $75 billion from Europe: report:
"Iran is making windfall gains from record global oil prices and said in April its foreign exchange reserves stood at more than $80 billion.

Iran's foreign reserves figure has been climbing steadily. Some analysts say that, alongside rising oil revenues, Iran has been helped by its decision to shift away from the U.S. dollar into other currencies as the dollar has weakened.
Iran has made the shift as Washington has tried to isolate the Islamic state, including imposing sanctions on Iranian banks. That has pushed many Western banks to scrap dollar dealings with Iran or even end business completely."

$75 - 80 Billion could buy a lot of parts for weapons systems - let's hope something intelligent is going on behind closed doors.