A new Executive Order issued by President Obama on February 6th has called upon the first use of the National Defense Authorization Act (NDAA) in regards to economic sanctions against Iran, and the Iranian central bank. The NDAA is the military defense bill which in its passage on December 31st, 2011, allows for military actions and detainment on any citizen or entity that is found or perceived to be aiding terrorist groups or activities.
I have delegated to the Secretary of the Treasury the authority, and consultation with the Secretary of State, to take such actions including the promulgation of rules and regulations, and to employ all powers granted to the President by IEEPA, as may be necessary to carry out the blocking regulated purposes of the order.
All agencies of the United States government are directed to take all appropriate measures within their authority, to carry out the provisions of the order.
I have also delegated certain functions and authorities conferred by section 1245 of the NDAA to the Secretary of the Treasury, and the Secretary of State in consultation with other appropriate agencies as specified in the order. – Congressional reading via CSPAN
Section 1245 of NDAA is targetted primarily at the nation of Iran, and to any and all businesses or peoples who participate in economic transactions with the nation state.
Section 1245 of NDAA prohibits transactions in property interests of an Iranian financial institution if such interests are in the United States, or are within the possession or control of a United States person. This formulation extends prior US law to all Iranian financial institutions, not only Iranian institutions on the U.S. “SDN List.” Significantly, foreign financial institutions will, after 29 February 2012, be restricted or prohibited from maintaining correspondent or pay-through accounts in the United States if they have “knowingly conducted or facilitated any significant financial transaction with the Central Bank of Iran. . . .” – Shiplawlog.com
The focus by the Obama administration on the Iranian central bank is eerily similar to events that took place last year, when the US chose to intervene with NATO on ousting Moammar Gadhafi from Libya after rebels laid siege to the oil producing country during the Arab Spring. Libya, like Iran, was one of only a handful of nations who still held a government controlled central bank, and evidence grew during the conflict, that the one of the primary intentions of Western nation intervention was for the destruction of that bank, and the creation of a privately owned central bank.
By issuing this Executive order, and invoking sections of NDAA, the President has authorized any and all government agencies, including the military, to take part in the implementation of economic sanctions against Iran, and in the arrest and detainment of anyone who might be perceived as abetting Iran in economic trade or financial transactions. In essence, an Iranian-American citizen living in the United States can now be arrested and detained without warrant indefinately for even sending home money to family or relatives if the proceeds cross any Iranian banking system.
The War on Terror, like the War on Drugs, is a very generic and very encompassing policy that can be interpreted, and has been interpreted, in many different ways. With this understanding, the use of NDAA by the President in his new Executive Order against Iran can very well lead to both an escalating conflict in the Arabian Gulf, and also an increase of watchfullness against American citizens for actions that may not be terrorist in nature, but are perceived as such according to interpretations made by government officials and government agencies.
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