Big German Banks to Sever Most Iran Ties

[ Wall Street Journal] Glenn R. Simpson and David Crawford - Deutsche Bank AG and Commerzbank AG, the two largest European banks to continue doing business with Iran despite recent U.S. pressure, say they will end most of their ties to Iranian companies. This could prove a serious blow to Iran unless it can quickly line up other banks to facilitate the country's international commerce. Iran transfers money through euro-denominated accounts at the two German banks and relies on them to finance trade deals, according to counterterrorism officials who monitor the global financial system. Deutsche Bank and Commerzbank became Iran's most important financiers in Europe in the first half of 2007 as other European banks pulled out under pressure from the U.S., according to officials in the U.S.


2007-07-31 01:00:00

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