Russia freezes Iran embassy accounts

Iran’s Ambassador to Moscow Seyyed Mahmoud-Reza Sajjadi was quoted by Dow Jones as criticizing the measure on Friday, accusing the Russian bank of surrendering to US-led financial sanctions against Tehran.

He added that shutting down the embassy’s accounts were ordered at short notice by VTB 24, the retail banking arm of Russia’s second-largest bank VTB, and even his own credit card has been blocked.

“The bank said that this was an order from their top management, and they couldn’t do anything about it,” Sajjadi wrote in a blog post.

“This behavior on the bank’s part is ill-mannered, unprofessional and characteristics of Third World countries. Even banks in Britain and France are not ready to take such liberties with our embassy employees,” he said.

Meanwhile, a spokesman from VTB 24 said the move was a “purely economic” one, saying the bank’s wage project with the embassy was being closed because it is unprofitable.

The embassy had been informed a week in advance of the closure, he claimed.

Russia’s foreign ministry spokesman Alexander Lukashevich, however, stated that the move may be the result of US and EU sanctions.

The Russian bank’s measure comes after EU foreign ministers agreed on January 23 to impose new sanctions on Iran targeting the country’s oil and financial sections.

The EU decision followed the imposition of similar sanctions by the US government on December 31, 2011, which aimed to punish countries for doing business with Iran’s central bank or importing its crude oil.

The US, Israel and their European allies charge Iran with pursuing a military nuclear program under the cover of its civilian nuclear energy program. Tehran rejects such charges, arguing that as a member of International Atomic Energy Agency (IAEA) and a signatory to the Non-Proliferation Treaty, it is entitled to peaceful applications of the nuclear energy.

Iran’s nuclear energy program is under tight control of IAEA, which has never been able to provide evidence of diversion in Iran’s nuclear energy program towards a weapons program.

SS/HGH

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