US: Sanctions having an effect
More companies shun Tehran in wake of latest round of UN sanctions, senior US official says
WASHINGTON – First signs of success: The latest sanctions against Iran have been slammed for not being firm enough, yet US officials are saying that the punitive steps are already having an effect.
The latest round of UN sanctions prompted several private sector companies to cut their ties with the Ayatollah regime, US Undersecretary of Treasury Stuart Levey said Tuesday.
"The impact of these actions on Iran has been significant and is deepening as a result of Iran's own conduct," he said.
Levey, who is the architect of the financial boycott against Iran in the Treasury, told Senate's Foreign Affairs Committee that private sector companies are joining banks in ending their ties with Iran.
"Virtually all major financial institutions have either completely cut off or dramatically reduced their ties with Iran," he said.
"We are now starting to see companies across a range of sectors, including insurance, consulting, energy, and manufacturing make similar decisions," Levey said, adding that ties with Iran are increasingly feared because of the "reputational risk" inherent in such contacts.
