Fed: AWB breaches US sanctions on Iran

AAP General News (Australia)
04-26-2007
Fed: AWB breaches US sanctions on Iran

SYDNEY, April 26 AAP - Embattled wheat exporter AWB tried to send more than $1 million
to an Iranian transport company last year in breach of US sanctions, it was reported today.

The transaction was detected by the Bank of New York and the $US950,000 ($AU1.14 million)
was returned to AWB.

The wheat exporter confirmed the transaction, saying it was "inadvertently caught up
in a US sanction regime," The Australian newspaper reported.

The sanctions prevent trade with Iran by US citizens and by businesses using US currency.

Australian does not have trade sanctions on Iran but AWB has a US subsidiary, AWB (USA),
which trades in US dollars.

AWB spokesman Peter McBride said it "was a legitimate trade contract".

He said AWB was considering whether to apply for a licence from the US Office of Foreign
Assets Control so it could sell wheat to Iran and other sanctioned countries.

"In the interim, if required, AWB will seek to continue legitimate trade with countries
affected by US sanctions in non-US currency," Mr McBride told The Australian.

AWB does not normally sell wheat to Iran but was seeking new markets after its relationship
with Iraq collapsed in the wake of AWB's kickbacks scandal last year, the report said.

AAP vpm/cp

KEYWORD: AWB IRAN

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