Defense Authorization Act adds to Iran shipping sanctions

DECEMBER 18, 2012 — Sanctions against Iran’s maritime activities have found their way into the Fiscal Year 2013 National Defense Authorization Act Conference Report.

Sanctions against these sectors are already strong and the conference version act will make them stronger.

The report determines that Iran’s energy, shipping, and shipbuilding sectors and Iran’s ports are facilitating their nuclear proliferation activities and designates them as entities of proliferation concern.

The version of the FY 2013 Defense Authorization Act agreed by the House-Senate confererence:

• Imposes sanctions on any person involved in supplying precious metals to Iran, any material to be used in connection with the sectors listed above, any material sold to someone on the Treasury’s list of specially designated nationals and blocked persons list
• Imposes sanctions on any person providing underwriting services or insurance or reinsurance for any activity sanctioned under this or any other prior law related to Iran sanctions
• Requires the President to prohibit the opening or maintaining of correspondent accounts of anyone who has facilitated a significant financial transaction on behalf of any Iranian person on the specially designated nationals or blocked persons list