WASHINGTON, Sept. 8 (UPI) -- A German bank is contributing to the proliferation of weapons by handling billions of dollars for Iranian banks, the U.S. Treasury Department said.
The Treasury Department announced that it was sanctioning German bank Europaisch-Iranische Handelsbank for "actively facilitating" business with Iranian banks that Washington says are connected to arms exporters in Iran.
The Hamburg bank is accused of working with Iranian financial institutions Bank Mellat, Persia International Bank, the Export Development Bank of Iran and Post Bank of Iran, all of which are the subject of Washington and European sanctions.
Stuart Levey, the U.S. undersecretary for terrorism and financial intelligence, said in a statement that EIH was acting as a "financial lifeline" for Iran.
"As one of Iran's few remaining access points to the European financial system, EIH has facilitated a tremendous volume of transactions for Iranian banks previously designated for proliferation," he said in his statement.
The Treasury Department in its announcement said EIH was linked to millions of dollars worth of transactions linked to arms exports and the proliferation of weapons of mass destruction.
EIH is first bank targeted by the Treasury Department since new measures went into force in August. It is the 17th financial institution designated by the United States for alleged ties to Iranian weapons.
