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US Government Pays Its Companies To Violate Iran “Sanctions”

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The Times has a hilarious investigative report in today’s issue. Apparently $100 billion in government cash has gone into the pockets of energy companies doing business with the nefarious Iran.

Its worth getting out of the way first that sanctions don’t work. They never have. Numerous studies have concluded that the net effect of “sanctions” is invariably to strengthen the targeted regime, and an article on sanctions in Iran – especially on how US companies are violating them – should probably mention this.

Instead, The Times plumps for the opposite approach – that instead of the sanctions themselves being a vicious attack on the Iranian people, the violation on the part of the US companies of the sanctions is the real crime. It bears mentioning that the major Israeli paper, Haartez, ran a similar story, “US Rewarding Firms That Defy Iran Sanctions“, with a much angrier headline. The pro-Israel lobby clearly isn’t happy about this.

The whole Times article really deserves to be read in full, as it presents a case study in systemic bias. Observe:

For years, the United States has been pressing other nations to join its efforts to squeeze the Iranian economy, in hopes of reining in Tehran’s nuclear ambitions. Now, with the nuclear standoff hardening and Iran rebuffing American diplomatic outreach, the Obama administration is trying to win a tough new round of United Nations sanctions.

The third paragraph. Note how nonchalantly The Times speaks of “squeezing” the Iranian economy and “reining in” its nuclear ambitions, as though we have an implicit right to do such things. The next sentence accuses Iran of “rebuffing American diplomatic outreach” (an Orwellianism, that), completely ignoring Iran’s agreement to ship its uranium for inspection in Russia. The US demanded to send its own specialists into Iran to “inspect” their sites, something which Iran rightfully refused. Actually, when one thinks of it, the Americans rebuffed Iran’s outreach, but in true propaganda style, The Times reverses the accusation.

After a few paragraphs describing how easily US companies and those of our “allies” can operate in Iran and how eager Iran is for foreign investment, The Times says:

One of the government’s most powerful tools, at least on paper, to influence the behavior of companies beyond the jurisdiction of the embargo is the Iran Sanctions Act, devised to punish foreign companies that invest more than $20 million in a given year to develop Iran’s oil and gas fields. But in the 14 years since the law was passed, the government has never enforced it, in part for fear of angering America’s allies.

That has given rise to situations like the one involving the South Korean engineering giant Daelim Industrial, which in 2007 won a $700 million contract to upgrade an Iranian oil refinery.

Once again, the implicit assumption is that these “sanctions” (a) work, and (b) are legitimate. After all, why shouldn’t South Korea be allowed to invest where it wishes? The Times claims that the Army’s $111 million investment in S. Korea should have bought at least some respect for our sanctions, but this is a facile argument.

Later, they complain that Brazil, the Netherlands, France, and other “US allies” are investing in Iran while taking US dollars.

The Iranian government has engaged in some unsavory acts this past year, but the amount of violence it visited upon its citizens is minuscule compared to that of our “allies”, particularly Israel. Even the highest estimates of the death toll in Iran’s post-election violence only reach the low hundreds. In January of the same year, Israel killed more than 2,000 Gaza civilians, and dozens die from lack of food, water, or sanitation as a result of that action and the surrounding blockade every day.

If we’re really going to castigate countries for human-rights violations and write massive “exposes” on US companies violating sanctions , shouldn’t we focus on a more murderous country than Iran?

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Written by pavanvan

March 7, 2010 at 8:09 pm

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