The Biden administration is trying to maintain sanctions pressure while avoiding “a global economic catastrophe,” the agency says
The Biden administration is privately urging leading US banks like JPMorgan Chase and Citigroup to continue doing business with strategic Russian firms despite sanctions imposed on Moscow over the conflict in Ukraine, people familiar with the issue told Bloomberg.
The requests have been made by the US Treasury and State Departments as the government tries to maintain pressure on Russia, but at the same time avoid “a global economic catastrophe,” the news agency reported on Monday.
Washington has been requesting services such as US dollar settlements, payment transfers, and trade finance for Russian firms that are exempt from certain aspects of the sanctions, including gas giant Gazprom and fertilizer producers Uralkali and PhosAgro, the sources said.
As a result, the largest American banks are currently being “caught in the push-pull” between the Biden administration and Congress, which insists on harsher measures against Moscow.
The sanctions prevent US banks from providing services to blacklisted entities and people, with violations punishable by multibillion-dollar fines.
Jamie Dimon the CEO of investment bank JPMorgan Chase was reportedly grilled at a congressional hearing in September over his company allegedly using loopholes in the sanctions regime to keep working with Russia. The banker responded by saying that “we are following the instructions of the American government as they asked us to do it.”
When addressed on the matter by Bloomberg, a Treasury spokesman said that it had issued guidance to banks, clarifying that activities in humanitarian aid, energy, and agriculture are authorized. JPMorgan and Citigroup have declined to comment.
“Congress needs to understand this - the US government has not imposed a comprehensive embargo with Russia, there’s still pockets of business that are allowed,” Nnedinma Ifudu Nweke, an attorney specializing in US economic sanctions at Akin Gump Strauss Hauer & Feld LLP, pointed out.
The Treasury “will continue to have meetings to educate banks on those pockets of allowable transactions, especially in the humanitarian space,” Nweke added.
https://www.rt.com/russia/566119-us-banks-sanctions-ukraine/
Ecuadorian voters have rejected a proposal to permit the return of US military bases, according to preliminary referendum results.
Ecuadorians went to the ballot box on Sunday to decide whether US forces should again operate from local facilities. The nation had banned foreign bases in 2008 amid concerns over sovereignty.
With three-quarters of ballots counted, about 60% voted ‘no’ to the plan advanced by President Daniel Noboa, a close ally of US President Donald Trump and a supporter of US military operations in the Caribbean and near Venezuela.
The result blocks any US effort to return to the Manta airbase on the Pacific coast, which once served as a platform for Washington’s regional military operations.
The referendum also asked voters whether to end public funding for political parties, reduce the number of lawmakers, and create an elected body to draft a constitution.....more below
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The Jewish state says the incident in southern Lebanon was due to poor weather conditions, with no casualties reported.
UN peacekeepers stationed in southern Lebanon have accused Israel of firing on one of their patrols, criticizing the country for its “aggressive behavior.” Israel has acknowledged that the incident occurred, but said it was not intentional and was due to poor weather conditions.
In a statement on Sunday, the United Nations Interim Force in Lebanon (UNIFIL) said the Israel Defense Forces (IDF) fired on personnel from a Merkava tank.
It called the incident “a serious violation” of the ceasefire deal between Israel and Lebanon that ended the 2006 war, stressing that it was not the first attack of this kind. “Yet again, we call on the IDF to cease any aggressive behavior and attacks on or near peacekeepers, who are working to support the return to the stability that both Israel and Lebanon say they seek.”.... more below
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Iran’s largest credit institution has gone into administration amid the government’s continued push to reform the country’s banking and financial system.
The Central Bank of Iran (CBI) said on Sunday that it had appointed a team of three administrators to restructure the Melal Credit Institution after the lender accumulated a loss of 650 trillion rials ($590 million)
Head of CBI’s regulatory and oversight department Farshad Mohammadpour said the Melal Institution had an asset–liability mismatch of 450 trillion rials and its capital adequacy ratio was minus 41%.
Mohammadpour said that administrators are expected to restructure the Melal Institution in the next six months, mainly by selling off its non-banking assets, properties and affiliated enterprises to pay down its debts.
CBI’s decision about Melal Institution comes three weeks after the lender declared Bank Ayandeh, one of Iran's largest private banks, insolvent and transferred its assets and staff to the state-run Bank ...
