Iran’s Guardian Council rejects terror financing bill

04-11-2018
Rudaw
Tags: Iran Guardian Council terror financing FATF global finance reforms sanctions
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ERBIL, Kurdistan Region – Iran’s Guardian Council rejected a bill that would sign the country onto the UN convention against counter-terror financing.

The bill is “against religious law, the constitution, and is ambiguous,” spokesman for the council, Abbas Ali Kadkhodaee, tweeted on Sunday. 

Iran’s parliament approved the bill on October 7. The legislation is part of a demand by the global financial watchdog the Financial Action Task Force (FATF) that Tehran come into compliance with international standards. 

FATF had given Tehran an October deadline to enact several pieces of legislation to address issues of money laundering, funding terrorism, and organized crime. It subsequently extended the deadline until February 2019.

The counter-terror law was passed in the parliament despite opposition from conservatives. All bills, however, must be approved by the powerful Guardian Council and Expediency Council before becoming law. 

Bills passed by parliament on joining the UN convention on organized crime and amending anti-money laundering laws are still waiting final approval.

Joining FATF will benefit Iran as it risks getting blacklisted on the global financial stage as US sanctions come into force, argued an Iranian lawmaker.

“If we fail to join the FATF, those countries that are close to us will inevitably face problems for conducting transactions with our country, failing to transfer money to Iran,” said MP Yonathan Betkolia, state media IRNA reported. 

The counter-terror bill has been sent back to parliament for revisions. 

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