sanctions – Page 4

Five EU countries to ban economic activity in Occupied Territories

France has warned its citizens against taking part in any economic activity in the occupied Palestinian territories, saying this may entail legal risks because the Jewish settlements are illegal under international law.

The warning is part of a joint act drafted by the five largest EU countries: Germany, the United Kingdom, France, Italy, and Spain, Haaretz cited a French diplomat as saying.

Italy and Spain are expected to issue similar warnings over the next few days, while the UK and Germany did so a few months ago.

The move comes after the failure of peace talks between Israel and the Palestinians, and also following massive protests against the construction of settlements across the EU.

The notice by the French Foreign Ministry advises against investing, purchasing land, or engaging in economic activity in the West Bank, East Jerusalem, and Golan Heights. It was published as part of recommendations for French people traveling to Israel.

“Due to the fact that the settlements are illegal in international law, the performance of financial activity in the settlements such as money transfers, investments, acquisition of property, provision of supplies or the performance of any other economic activities that benefit the settlements involves risks,” the statement reads in French.

The document also stated that the international community does not recognize the settlements as part of Israel, which could lead to “land disputes or disagreements regarding water, quarries or other natural resources.”

“We call upon citizens or businesspeople who are considering becoming involved in economic activity in the settlements to seek appropriate legal advice before going ahead,” the statement adds.

The warning from the French government is non-binding, so a French national who conducts financial activities in the settlements would not be breaking the law in France. However, over the last year, Europe’s private sector and Israeli businesses that work in the settlements have seen boycotts of their goods and services.

The Dutch government has recently issued a similar warning to its citizens, with recommendations that products from the settlements on sale in supermarkets are to be marked. Shortly afterwards, the largest water company in The Netherlands declared that it was canceling a contract with Mekorot, Israel’s national water company.

About a week ago, the Israeli Foreign Ministry asked its ambassadors across the EU to contact European foreign ministries, asking them to refrain from issuing the warnings.

Source: RT

Obama ready to end US embargo against Cuba?

At the end of last week, Uruguayan President Jose Mujica passed along a message from US President Barack Obama to Cuban leader Raul Castro, in which Obama demonstrated willingness to hold a dialogue aimed at cancelling the US embargo against Cuba, the Uruguayan newspaper Busqueda said with reference to sources in official circles.

The newspaper claims that Obama’s message was passed along to Castro by President of Uruguay on the sidelines of the summit in the Group of 77 and China format, which took place at the end of last week in the Bolivian city of Santa Cruz. Meanwhile, the newspaper does not specify in what form this message was given – oral or written.

For his part, Castro “shows great interest” having expressed willingness for rapprochement between Havana and Washington, but only in case the US did not impose their point of view.

According to the newspaper, Mujica assessed the meeting with Castro as “fairly optimistic”.

In May, Mujica visited the USA on an official visit and held talks with the US President. According to the Uruguayan newspaper, it was at this meeting that Obama reported to Mujika his readiness for closer ties with Havana.

Washington imposed sanctions against Cuba in 1961, after the failure of the operation aimed at overthrowing the government of Fidel Castro. In 1996, the US Congress adopted the “Helms – Burton Act” on additional sanctions against foreign companies trading with Cuba.

Source: Voice of Russia

US bullies French bank BNP Paribas

France would defend the interests of bank BNP Paribas after the information appeared that it faced the prospect of over a $10 billion fine from the United States on charges of violating sanctions on Iran and Sudan, the country’s foreign ministry said, calling such sanctions “unreasonable.”

“If there is a an error or a violation then it’s normal that there is a fine, but the fine has to be proportionate and reasonable,” French foreign minister Laurent Fabius said on France 2 television. “These figures are not reasonable,” he said.

Currently, little is known about BNP Paribas’ negotiations with US authorities’ investigation whether it evaded sanctions related primarily to countries Iran, Syria, Sudan between 2002 and 2009.

US authorities declared that the BNP Paribas, which is the France’s biggest lender, stripped out identifying information from wire transfers so they could pass through the US financial system, Reuters reports.

Sources familiar with the negotiations said a settlement could include a fine of over $10 billion and other penalties, such as a possible temporary suspension of the bank’s authority to clear US dollar transactions.
Foreign minister Fabius said that US decision would raise questions over European Union-US trade negotiations given the agreement should be based on reciprocity.

“But here you would have an example of unfair and unilateral decision. It would be an extremely serious problem.”

Fabius’ comments come just two days before US President Barack Obama’s visit to France where he is going hold bilateral talks with his French counterpart Francois Hollande.

“These figures could have a negative impact and BNP could see its funds hit and that means less loans especially for French firms,” Fabius stated.

“It’s an extremely serious question that the Americans must handle in a spirit of partnership and not unilaterally,” he said.

Source: Voice of Russia

‘Sanctions against Russia a stupid idea’

Moscow’s actions in the Crimea are comprehensible, former German chancellor, Helmut Schmidt said, criticizing the Western reaction to the peninsula’s reunification with Russia.

President Vladimir Putin’s approach to the Crimean issue is “completely understandable,” Schmidt wrote in Die Zeit newspaper where he’s employed as an editor.

While the sanctions, which target individual Russian politicians and businessmen, employed by the EU and the US against Russia are “a stupid idea,” he added.

The current restrictive measures are of symbolic nature, but if more serious economic sanctions are introduced “they’ll hit the West as hard as Russia,” Schmidt warned.

He also believes that the refusal of the Western countries to cooperate with Russia in the framework of the G8 is a wrong decision.

“It would’ve been ideal to get together now. It would certainly do a lot more to promotion of peace than the threats of sanctions,” the ex-chancellor explained.

But the G8 itself isn’t that as important as the G20, in which Russia remains a member, he added.

Schmidt executed the duties of chancellor of West Germany in 1974-82, also working as the country’s finance, economy and defense minister.

Source: RT

Swiss decide against Russian sanctions

The Swiss federal government on Wednesday decided not to impose sanctions against Russia for its seizure of Crimea, claiming it wanted to find a “balance” between international law and Switzerland’s interests.

“The position of our country is independent of the UN,” Swiss president Didier Burkhalter told a press conference in Bern, saying Switzerland can only use sanctions when they are based upon “international law and the interests of the Swiss”.

“And in this case the rights and the interests play a role… we need to find a balance,” he added, as well as noting that Russian interests in Switzerland were “very large”.

“The federal council has noted the sanctions imposed by the European Union and the United States,” he added.

Burkhalter said some sanctions imposed by the EU would apply to Switzerland, including a ban on the freedom of movement of some Russian nationals as Switzerland is a member of the Schengen group of European countries, which allow passport-free movement between them.

Burkhalter, who is also the country’s foreign minister, said Switzerland would not allow itself to be used in the conflict.

The majority of Russian gas and petrol is traded in Geneva, and Switzerland is an increasingly popular destination for Russia’s wealthy.

Source: The Local

Japan wants Russia in G8

Japan’s Minister in charge of Economic Revitalization, Akira Amari, has spoken in favor of restoration of Russia’s involvement in the Group of Eight after the resolution of current problems around Ukraine.

He said it Tuesday at a news conference in Tokyo.

Russia is an important international actor related to the maintenance of global order and it would be desirable for Moscow to regain its position in the G8 after the solution of the problems the world community has pointed out, Amari said.

He said that the sanctions imposed by the US, the EU and Japan on Russia do not affect the Japanese economy considerably but an escalation of tensions around Ukraine may exert impact on bilateral trade.

Monday night, Britain, Canada, France, Germany, Italy, Japan, and the U.S. issued a statement, which said among other things they were leaving the G8.

The G7 leaders claimed that “this Group came together because of share beliefs and shared responsibilities” but “Russia’s actions in recent weeks” (support for the Crimeans’ referendum on self-determination and reunification with Russia) allegedly were not consistent with them.

“We will suspend our participation in the G-8 until Russia changes course and the environment comes back to where the G-8 is able to have a meaningful discussion and will meet again in G-7 format at the same time as planned, in June 2014, in Brussels, to discuss the broad agenda we have together,” the statement said.

“We have also advised our Foreign Ministers not to attend the April meeting in Moscow. In addition, we have decided that G-7 Energy Ministers will meet to discuss ways to strengthen our collective energy security,” it said.

Source: Voice of Russia, TASS

German economist warns sanctions against Russia could harm EU

Economic sanctions against Russia would cause serious damage to Germany’s switch to alternative energy sources, the head of the German Economic Research Institute, Hans-Werner Sinn, said in an interview published in Germany’s Passauer Neue Presse on Friday.

Germany cannot afford such a policy of sanctions, as it considerably depends on Russian gas supply in the process of switching to alternative energy sources, the economist notes. According to him, EU sanctions will only harm the European countries.

Any attempt to bring such countries as Ukraine out of Russia’s influence and link with the West is naive, he believes.

Russia, along with Norway, is an important supplier of gas to Germany, the publication notes.

Source: Voice of Russia, Interfax

Bob threatens US, British firms

Zimbabwean President Robert Mugabe on Sunday threatened “tit-for-tat” actions against Western countries that have imposed sanctions on his rule, suggesting US and British firms could be targeted.

“They should not continue to harass us,” said the 89-year-old veteran leader whose re-election last month drew Western doubts over the credibility of the polls.

“We have British and American companies here and we are treating them well. There will come a time when we will lose our patience.”

The United States and European Union imposed sanctions including travel bans and asset freezes on Mugabe and members of his inner circle and several companies following 2002 elections which western observers said were rigged.

“They have companies here and we have not imposed controls or sanctions against them but time will come when we will say tit-for-tat. You hit me, I hit you. You impose this on me, I impose this on you,” Mugabe said.

“Our attitude is not going to continue as it was in the past — passive. We have had enough and enough is enough.”

Mugabe won an extension to his 33-year rule in general elections on 31 July, which were slammed as “a farce” by his rival Morgan Tsvangirai and prompted serious concerns from Western nations.

Local observers said the elections were fraught with irregularities but observers from the African Union and the regional Southern African Development Community (SADC) bloc were less critical.

Mugabe was sworn in last week after the constitutional court declared the elections “free, fair and credible”.

He has vowed to forge ahead with his controversial equity drive to force foreign companies to cede majority shares to local investors.

So far mining companies including Zimplats, a subsidiary of the South African-based Impala Platinum, and Anglo American Corporation’s Unki mines have been forced to sell their majority stake to locals.

Companies in the retail sector are set to follow.

The EU earlier this year retained an asset freeze and travel ban on Mugabe but eased most of its decade-old restrictions on Zimbabwe.

The majority of those on the US sanctions list still remain, including a travel ban and asset freeze on individuals and entities with links to Mugabe.

Mugabe was addressing mourners at the burial of Mike Karakadzai, a retired air commodore and hero of the 1970s liberation war, who died aged 56 on Tuesday.

In his first public speech since Thursday’s swearing-in, he targeted Tsvangirai, his former partner in a shaky powersharing government, as “an ignoramus” and “a lone stray locust”.

This was in reaction to Tsvangirai’s attempt to seek a court’s help to overturn the polls and his calls to rid the security forces of officers allied to Mugabe and his Zanu-PF party.

“I hope our people will never repeat the same mistake and choose an ignoramus when you have bright children who went to university. I wonder what you admire in him,” he said.

On security reforms that were meant to precede the polls, he also hit out at Tsvangirai.

“What sector reform can you a lone stray locust implement? When has the frog aspired to be the crocodile?” he said.

“You are better off with an ignorant person who is conscious of his ignorance. It becomes a problem when you assume your ignorance is wisdom and lead people into trouble.”

The vote ended the pair’s regionally brokered compromise government forced by chaotic 2008 polls.

This time round the electoral commission declared Mugabe the winner with 61 percent of the vote, against 34 percent for Tsvangirai. – AFP

UN: Lifting Zim sanctions a matter for individual states

United Nations (UN) Secretary General Ban Ki-moon says the lifting of targeted sanctions against Zimbabwe is a matter for individual member states.

He was responding to a question during a brief press encounter with journalists at the UN Headquarters in New York.

“Any sanctions imposed on Zimbabwe need to be discussed and done by the member states and intergovernmental bodies. I have been urging the government of Zimbabwe and President Robert Mugabe himself, on many occasions, that there should be fair and credible elections and for a democratic process in Zimbabwe,” says Ban.

He says that there should be full respect for human rights and they should work on improving the well-being of the people.

Earlier, statements by the UN called for the country’s leadership to govern responsibly and inclusively.

“I have taken note of elections which were held recently. I know that there have been some assessments by different groups of monitors and I hope that all these controversies or current assessment should fully reflect the will of the people in line with international democratic principles,” he added.

Both the European Union (EU) and the United States have called for credible elections as a precursor to lifting sanctions.

Meanwhile, the United States says it will only lift sanctions on Zimbabwe’s newly re-elected President Robert Mugabe if he implements political reforms.

On Sunday, southern African leaders called for the West to lift sanctions against Harare as they gave their seal of approval to Mugabe’s victory in disputed elections. However, Washington was unimpressed.

In March 2003, the United States imposed sanctions on Mugabe and his relatives. – SABC

SADC call on international community to end Zim sanctions

The SADC summit in Malawi has called on the international community to lift sanctions against Zimbabwe. The regional summit in Lilongwe says the July 31 elections in Zimbabwe were free and peaceful. SADC Chair Joyce Banda has commended Zimbabwe for what she says were free and peaceful elections and urged the United States and European Union to ease restrictions against Harare.

The SADC has welcomed the election process in Zimbabwe. After a two day summit the regional body also called on all stake holders to continue working together.

” We urge all stake holders to continue to work together and that the sanctions must be lifted. Zimbabweans have suffered enough,” said SADC Chair Joyce Banda.

The summit commended president Jacob Zuma for his role in Zimbabwe and his mediation efforts that led to the country’s elections. In turn President Zuma said South Africa has carried out its mandate to the full.

Zimbabwe was elected as the next host of the regional body summit to be held in August next year. – SABC

Zim to supply Iran with uranium

Mugabe greets Iranian counterpart — Mugabe greets Ahmadinejad

Zimbabwe has breached international sanctions with an agreement to supply Iran with uranium to fuel its nuclear programme.

Zimbabwean Deputy Mining Minister Gift Chimanikire said: “I have seen [a memorandum of understanding] to export uranium to the Iranians.”

The agreement, which was reportedly signed in 2012, is likely to cause alarm in western capitals.

The United States and the European Union have imposed crippling sanctions on Iran over its declared nuclear programme.

Zimbabwe is also subject to international sanctions over its human rights record and conduct of elections.

A report compiled by the United Nations’ nuclear watchdog more than two years ago detailed a visit from Iran’s then Foreign and Co-operative Ministers to Zimbabwe to strike a deal, with the Iranians also sending engineers to assess uranium deposits

President Robert Mugabe, who won another five-year term in disputed polls in July, has publicly backed Iran’s nuclear drive.

During a visit by Iran’s then president, Mahmoud Ahmadinejad, to Harare in April 2010, Mugabe said his guest should be assured of “Zimbabwe’s continuous support of Iran’s just cause on the nuclear issue”.

He said the uranium deal had been made without his knowledge, and was only known to a handful of people at the top of the government.

A Chinese company has been surveying yellow-cake deposits in the far northeast of the country and the Zimbabwe government has been actively looking for buyers, according to Chimanikire, who, as a member of Zimbabwe’s opposition is likely to be replaced now that the election has brought an end to the shaky coalition government.

Uranium ore, or yellow cake, can be converted to a uranium gas which is then processed into nuclear fuel or enriched to make nuclear weapons.

Iran has long maintained that it needs the uranium for peaceful nuclear aspirations, as a source of domestic energy.

Mugabe has begun his seventh term as Zimbabwe president following an election once again stained by accusations of widespread vote rigging

Despite the agreement, analysts have said it was likely to be a long time before Zimbabwe’s uranium reserves were ready for export. – Sapa

US men accused of illegally lobbying for Mugabe

Federal prosecutors announced charges Tuesday against two Chicago men who they accuse of illegally lobbying US lawmakers to lift sanctions against longtime Zimbabwe President Robert Mugabe and members of his regime in exchange for a promise of $3.4-million.

Prince Asiel Ben Israel, 72, and C. Gregory Turner, 71, tried to persuade unnamed US state and federal lawmakers, including four from Illinois, to oppose the sanctions against the leaders of the southern African nation, according to the charges unsealed Tuesday in US District Court in Chicago.

The complaint says the men met with Mugabe, Reserve Bank of Zimbabwe Gov. Gideon Gono and other officials “multiple times” in the US and Africa, and allegedly agreed to lobby US federal and state officials on Zimbabwe’s behalf in exchange for the promised payments, which the defendants apparently weren’t able to collect in full.

No lawmakers have been accused of wrongdoing, although the investigation is ongoing, the US Attorney’s Office in Chicago said in a news release. It’s not illegal for public officials to meet with sanctioned Zimbabweans, but individuals cannot provide lobbying services to those subjected to US sanctions, prosecutors said.

Mugabe’s government has been under sanctions since 2003 for alleged democratic violations.

Ben Israel appeared in a federal courtroom in Chicago Tuesday, where the terms of his bond were changed to require him to remain in contact with the court’s pretrial services department. His wife, Hattie Brown, also appeared in court, promising US Magistrate Judge Arlander Keys that she would turn in her husband if he attempts to flee.

The complaint alleges that the defendants violated the International Emergency Economic Powers Act. The violation carries a maximum penalty of 20 years in prison and a $1-million fine.

Ben Israel’s attorney, Viviana Ramirez, said Tuesday that it’s too early to address the merits of the case. Turner, a Chicagoan, is believed to be currently living in Israel. A warrant has been issued for his arrest.

According to the complaint, Ben Israel and Turner began talking with Mugabe and other Zimbabwe leaders in early November 2008 regarding the influence they could exert to lift the sanctions originally imposed by President George W. Bush.

The defendants allegedly discussed with Mugabe, Gono and others their ties to several public officials who supposedly had close connections to then-President-elect Barack Obama.

The complaint states that Ben Israel and Turner engaged in public relations, political consulting and lobbying efforts and had a Nov. 26, 2008, “Consulting Agreement” that called for an initial payment of $90,000 and three subsequent equal installments of $1,105,000.

The defendants allegedly arranged for Ben Israel to travel to South Africa with two Illinois lawmakers – referred to as “Illinois State Senator A” and “Illinois State Representative A” in the complaint – in early December 2008. Travel records show the two lawmakers traveled to Israel, but did not return as scheduled and extended their overseas stay, the complaint states.

Three days after the lawmakers’ return in mid-December, a scheduler for President-elect Obama’s transition team sent an email to another transition team member stating that State Representative A “wants a phone call from (transition team officials) regarding a meeting he had last week in Zimbabwe. I am not sure who to pass this on to but it’s the second time they have called.”

The transition team forwarded the email to the FBI based on its concerns that the state representative may have violated sanctions by traveling to Zimbabwe, according to the complaint.

Obama has decided each year of his presidency to keep the Zimbabwe sanctions in place, most recently in March.

Mugabe, 89, has been president of Zimbabwe for 33 years. He was re-elected by a wide margin last week, although his political opponents say voting wasn’t free or fair and was marred by widespread irregularities. – Sapa

US unlikely to lift Zim sanctions

The United States (US) has reiterated its long held position that any easing or lifting of sanctions against Zimbabwe would happen only in the context of a credible election.

At the weekend, Secretary of State John Kerry issued a statement that in light of substantial irregularities they did not consider the election to be a credible expression of the will of Zimbabweans.

While at the United Nations (UN) in New York, there were no words of congratulations, only to say they are watching developments closely. There has been no ringing endorsement of President Robert Mugabe’s electoral victory, not from the US or UN.

UN Secretary General Ban Ki-moon’s spokesperson, Martin Nesirky says: “Obviously the SG continues to follow this closely and as we said at the time and it still holds true, and concerns that have been raised about certain aspects of the electoral process should be pursued through established channels and these concerns should then be considered transparently and fairly.”

The US State Department hinted that lifting of sanctions were unlikely. Spokesperson Marie Harf says: “We do not believe the results announced represent a credible expression of the will of the Zimbabwean people in light of the substantive electoral irregularities reported by domestic and regional observers.”

She says voter rolls had some irregularities in them that were not credible as stated by preliminary reports from the African Union and Southern African Development Community. Harf says: “Domestic observer missions also noted some serious concerns, so we’ve been clear that any easing of sanctions will only occur in the context of credible, transparent and peaceful elections.”

“So I don’t want to get ahead of the process here but the Secretary made clear that we do not believe that these were a credible expression of the will of the Zimbabwean people,” she says.

While the UN is waiting and watching to see how opposition concerns are handled by the ‘established channels’, the US has been absolutely frank that it does not accept the poll results placing it at odds with President Jacob Zuma who endorsed the process and has long held that sanctions be lifted against Zimbabwe, something that now seems increasingly unlikely.

Zim’s Reserve Bank governer and the oil deal

Zimbabwean Reserve Bank governor Gideon Gono accepted £104000, paid into the accounts of his children, from a company that sold fuel to the Mugabe regime.

Six separate payments were made to three Gono children while they were studying in Australia, at the same time as the company concerned – which claimed to have an office in Britain – was helping to supply Zimbabwe with millions of litres of fuel.

Gono admitted the payments had been made to his twin daughters and a son, but denied having taken a bribe. He said the reserve bank had reimbursed the company on his behalf.

In almost a decade as Zimbabwe’s central banker, Gono, a close ally of President Robert Mugabe, has presided over hyperinflation, the demise of the Zimbabwe dollar and a desperate shortage of essentials, notably petrol.

Gono, who blames “illegal sanctions” imposed by the West for the country’s economic woes, became the crucial deal-maker charged with ensuring the survival of Mugabe’s regime, negotiating with private companies to raise funds for vital imports.

One such company was Ravenscourt Corporation, which sold 49million litres of fuel – almost 5% of Zimbabwe’s annual fuel consumption – to the reserve bank as part of a joint venture in 2006 and 2007.

At the same time, Ravenscourt paid money into the accounts of Gono’s children, according to bank statements obtained by Global Witness, a campaign group, following an investigation by the specialist newsletter Africa Confidential.

In particular, Ravenscourt paid £1300 into the Australian bank accounts of Gono’s twin daughters, Pride and Praise, and the same amount to his son, Passion, on May 30 2006.

On August 21 that year, Ravenscourt made another payment into each of the daughters’ accounts.

Gono said the funds had been used solely to move his children to Singapore and Malaysia after they were forced to leave Australia.

In order to conceal their new locations in Asia, it had been necessary to pay the funds from a “UK source”, he said.

The reserve bank had reimbursed Ravenscourt on his behalf.

“In my 36 years of working, I am yet to receive a bribe from anybody and I’m not about to do so now or in the future. The same applies to my family,” said Gono.

His terms of employment encompassed such financial support for his children, he said.

Mohamed Iqbal Mahmed, director and part owner of Ravenscourt, refused to say why the money was paid to the Gono children or whether it had been repaid by the reserve bank.

“I categorically and unequivocally state that they [the payments] were not bribes or inducements to obtain favours from anyone,” he said. – The Daily Telegraph