{"id":303855,"date":"2023-03-16T16:01:24","date_gmt":"2023-03-16T15:01:24","guid":{"rendered":"https:\/\/www.ncr-iran.org\/en\/?p=303855"},"modified":"2023-05-02T22:00:01","modified_gmt":"2023-05-02T21:00:01","slug":"why-instex-was-doomed-from-the-start-irans-politics-of-obstruction","status":"publish","type":"post","link":"https:\/\/www.ncr-iran.org\/en\/news\/nuclear\/why-instex-was-doomed-from-the-start-irans-politics-of-obstruction\/","title":{"rendered":"Why INSTEX Was Doomed from The Start: Iran&#8217;s Politics of Obstruction"},"content":{"rendered":"<p style=\"text-align: justify;\"><img decoding=\"async\" class=\"alignnone size-full wp-image-303856\" title=\"iran instex 1\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1.jpg\" alt=\"iran instex 1\" width=\"1000\" height=\"562\" srcset=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1.jpg 1000w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1-300x169.jpg 300w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1-768x432.jpg 768w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1-150x84.jpg 150w, https:\/\/www.ncr-iran.org\/en\/wp-content\/uploads\/2023\/03\/iran-instex-1-696x391.jpg 696w\" sizes=\"(max-width: 1000px) 100vw, 1000px\" \/><\/p>\n<p style=\"text-align: justify;\">On March 9, a joint statement by the UK, France, and Germany (known as the E3) <a target=\"_blank\" href=\"https:\/\/www.gov.uk\/government\/news\/the-10-instex-shareholder-states-have-decided-to-liquidate-instex-due-to-continued-obstruction-from-iran\" rel=\"noopener\">announced<\/a> the dissolution of Instrument in Support of Trade Exchanges (INSTEX), citing the Iranian regime\u2019s \u201ccontinued obstruction.\u201d<\/p>\n<p style=\"text-align: justify;\">INSTEX was a payment mechanism created by the European Union in 2019 to facilitate trade with Iran while bypassing U.S. sanctions. Although the U.S. did not sanction medication and food, this Special-Purpose Vehicle was supposed to help Tehran to have access to basic humanitarian needs. Despite their smoke and mirrors campaign blaming sanctions for nearly all of Iran\u2019s crises, the ruling fanatics were unhappy with the INSTEX, because they couldn\u2019t use it to fund their <a target=\"_blank\" href=\"https:\/\/www.ncr-iran.org\/en\/publications\/special-reports\/an-overview-of-irans-history-of-hostage-taking-and-how-western-appeasement-has-fueled-tehrans-terrorism\/\" rel=\"noopener\">oppressive and terrorist apparatus<\/a>.<\/p>\n<p style=\"text-align: justify;\">According to the E3\u2019s statement on March 9, \u201cFor political reasons, Iran has systematically prevented INSTEX from fulfilling its mandate. Iran only agreed to a single transaction, in early 2020, for the export of medical goods from Europe to Iran.\u201d The statement underlines that Tehran \u201cconsistently and deliberately blocked other proposals for transactions between the United Kingdom, Norway, the European Union and Iran.\u201d<\/p>\n<p style=\"text-align: justify;\">\u201cThis was born from a political determination to impede the use of <a target=\"_blank\" href=\"https:\/\/instex-europe.com\/about-us\/\" rel=\"noopener\">INSTEX<\/a> under any circumstance. Thus, the Iranian leadership has chosen to act against the interests of its people by refusing to cooperate on the export of medicine and other life-saving goods,\u201d the statement adds, further clarifying that the ruling theocracy had other goals than \u201cevading sanctions to help people.\u201d<\/p>\n<p style=\"text-align: justify;\"><strong>Why INSTEX failed? <\/strong><\/p>\n<p style=\"text-align: justify;\">In reaction to the INSTEX\u2019s liquidation by the European countries, the Iranian regime\u2019s Foreign Ministry Spokesperson, Naser Kanani, blamed the European powers for the SPV\u2019s failure and said that Tehran didn\u2019t need it. But despite the regime\u2019s blame game and self-boasting rhetoric, the facts on the ground reveal the opposite. The Iranian regime started acting against INSTEX from its very first days. And there is precedence for this behavior.<\/p>\n<p style=\"text-align: justify;\">In 2015, the clerical regime signed a nuclear deal with powers, formally known as the Joint Comprehensive Plan of Action <a target=\"_blank\" href=\"https:\/\/www.ncr-iran.org\/en\/news\/nuclear\/would-lifting-sanctions-and-negotiations-with-tehran-boost-irans-economy\/\" rel=\"noopener\">(JCPOA)<\/a>. The deal provides the regime with major sanctions relief and economic incentives. But the regime did not use it to revive Iran\u2019s bankrupt economy or address people\u2019s dire needs. Crushed under sanctions, the world\u2019s largest state sponsor of terrorism was seeking a way to fund its illicit activities.<\/p>\n<p style=\"text-align: justify;\">Sadly, Western powers\u2019 appeasement policy allowed the regime to give very little while receiving a lot. Besides, as <a target=\"_blank\" href=\"https:\/\/youtu.be\/ZMvqkmWFWsY\" rel=\"noopener\">regime officials later acknowledged<\/a>, they never abided by the JCPOA terms and coerced and deceived the world community into giving it more incentive packages. When the U.S. withdrew from the JCPOA, citing the regime\u2019s provocative actions, Tehran used the E.U.\u2019s weak approach to further blackmail them.<\/p>\n<div class=\"lyte-wrapper\" title=\"Iran&amp;#039;s cheating in nuclear deal &amp;amp; deceptive measures on cementing the Arak heavy water reactor\" style=\"width:853px;max-width:100%;margin:5px;\"><div class=\"lyMe\" id=\"WYL_ZMvqkmWFWsY\" itemprop=\"video\" itemscope itemtype=\"https:\/\/schema.org\/VideoObject\"><div><meta itemprop=\"thumbnailUrl\" content=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2FZMvqkmWFWsY%2Fhqdefault.jpg\" \/><meta itemprop=\"embedURL\" content=\"https:\/\/www.youtube.com\/embed\/ZMvqkmWFWsY\" \/><meta itemprop=\"duration\" content=\"PT1M59S\" \/><meta itemprop=\"uploadDate\" content=\"2021-02-26T07:39:33Z\" \/><\/div><div id=\"lyte_ZMvqkmWFWsY\" data-src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2FZMvqkmWFWsY%2Fhqdefault.jpg\" class=\"pL\"><div class=\"tC\"><div class=\"tT\" itemprop=\"name\">Iran&#039;s cheating in nuclear deal &amp; deceptive measures on cementing the Arak heavy water reactor<\/div><\/div><div class=\"play\"><\/div><div class=\"ctrl\"><div class=\"Lctrl\"><\/div><div class=\"Rctrl\"><\/div><\/div><\/div><noscript><a href=\"https:\/\/youtu.be\/ZMvqkmWFWsY\" rel=\"nofollow\"><img decoding=\"async\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2FZMvqkmWFWsY%2F0.jpg\" alt=\"Iran&amp;#039;s cheating in nuclear deal &amp;amp; deceptive measures on cementing the Arak heavy water reactor\" width=\"853\" height=\"460\" \/><br \/>Watch this video on YouTube<\/a><\/noscript><meta itemprop=\"description\" content=\"Jan 22, 2019-Interview of the head of the Atomic Energy Org. of Iran Ali Akbar Salehi: -This heavy water reactor, the heart of the reactor, is filled with cement. Doctor, what is the story? -I thank you for your kindness towards our viewers. The Arak reactor has a large hole which you are seeing. People are standing around it. This hole has calandria tubes leading into it where the fuel passes through. We had purchased similar tubes, but I could not announce it at the time. Only one person in Iran knew about it, and we only reported to the state\u2019s highest senior official [Khamenei]. No one else knew. Since our friends were in negotiations, we knew that the other party would go against their word one day. [Khamenei] had said to be careful and these people do not keep their word. So, we needed to carry out our measures with a certain awareness, meaning in addition to not severing any ties, we also needed to establish paths for a quick return if necessary. There were some tubes, with a diameter of two to three centimeters and three to four meters long. We had purchased the same number of similar tubes. They said fill those tubes with cement. And we did. -Did the IAEA instruct you to do so? -No, during the nuclear negotiations. We said fine, we will pour them with cement. However, we never said we had other tubes because if we did [the P5+1] would say pour them with cement, too. And now we have these tubes. They filled the hole of the reactor with cement using photoshop, and they keep on saying they filled the reactor with cement. This is the photoshopped version of that image.\"><\/div><\/div><div class=\"lL\" style=\"max-width:100%;width:853px;margin:5px;\"><\/div><\/p>\n<p style=\"text-align: justify;\">So, European powers initiated the INSTEX SPV, but that couldn\u2019t help Tehran for various reasons. First, one of the main conditions for Iran to use this mechanism was accepting the conventions of the Financial Action Task Force (FATF), an international body that monitors money laundering and terrorism financing activities.<\/p>\n<p style=\"text-align: justify;\">Iran\u2019s name <a target=\"_blank\" href=\"https:\/\/www.fatf-gafi.org\/content\/fatf-gafi\/en\/publications\/High-risk-and-other-monitored-jurisdictions\/Public-statement-june-2016.html\" rel=\"noopener\">was suspended<\/a> from the FATF blacklist following the JCPOA signing in 2015, with the condition that the regime would pass the necessary FATF convention to combat money laundering and terrorism financing.<\/p>\n<p style=\"text-align: justify;\">But the efforts proved to be in vain.\u00a0 The ruling theocracy refrained from ratifying the money laundering and anti-terrorism conventions because the country\u2019s economy is dominated by the terrorist Revolutionary Guards (IRGC). Some regime insiders considered ratifying FATF conventions as<a target=\"_blank\" href=\"https:\/\/www.tasnimnews.com\/fa\/news\/1399\/12\/11\/2461942\" rel=\"noopener\"> \u201cself-sanctioning.\u201d<\/a><\/p>\n<p style=\"text-align: justify;\">Therefore, the FATF placed the regime on its blacklist, as Tehran refused to join the Palermo and Counter Financing Terrorism (CFT) conventions against funding terrorism and money laundering, which could have ended the mullahs\u2019 support of their terrorist proxy groups such as Hezbollah.<\/p>\n<p style=\"text-align: justify;\"><strong>A failed experiment<\/strong><\/p>\n<p style=\"text-align: justify;\">Even joining the FATF couldn\u2019t help Iran\u2019s ruling kleptocracy due to its institutionalized corruption. The only time Tehran used INSTEX to import medications is a testament to this fact. In 2020, as Iranians were grappling with the Covid-19 pandemic, due to the regime\u2019s deliberate mismanagement of this crisis, roughly half a million lives perished.<\/p>\n<div class=\"lyte-wrapper\" title=\"Who&amp;#039;s to blame for the coronavirus outbreak? Sanctions or the Iranian regime?\" style=\"width:853px;max-width:100%;margin:5px;\"><div class=\"lyMe\" id=\"WYL_0ZJEuFgw-yc\" itemprop=\"video\" itemscope itemtype=\"https:\/\/schema.org\/VideoObject\"><div><meta itemprop=\"thumbnailUrl\" content=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2F0ZJEuFgw-yc%2Fhqdefault.jpg\" \/><meta itemprop=\"embedURL\" content=\"https:\/\/www.youtube.com\/embed\/0ZJEuFgw-yc\" \/><meta itemprop=\"duration\" content=\"PT1M11S\" \/><meta itemprop=\"uploadDate\" content=\"2020-04-07T15:02:09Z\" \/><\/div><div id=\"lyte_0ZJEuFgw-yc\" data-src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2F0ZJEuFgw-yc%2Fhqdefault.jpg\" class=\"pL\"><div class=\"tC\"><div class=\"tT\" itemprop=\"name\">Who&#039;s to blame for the coronavirus outbreak? Sanctions or the Iranian regime?<\/div><\/div><div class=\"play\"><\/div><div class=\"ctrl\"><div class=\"Lctrl\"><\/div><div class=\"Rctrl\"><\/div><\/div><\/div><noscript><a href=\"https:\/\/youtu.be\/0ZJEuFgw-yc\" rel=\"nofollow\"><img decoding=\"async\" src=\"https:\/\/www.ncr-iran.org\/en\/wp-content\/plugins\/wp-youtube-lyte\/lyteCache.php?origThumbUrl=https%3A%2F%2Fi.ytimg.com%2Fvi%2F0ZJEuFgw-yc%2F0.jpg\" alt=\"Who&amp;#039;s to blame for the coronavirus outbreak? Sanctions or the Iranian regime?\" width=\"853\" height=\"460\" \/><br \/>Watch this video on YouTube<\/a><\/noscript><meta itemprop=\"description\" content=\"April 7, 2020\u2014Iran\u2019s people are left helpless against the coronavirus. The regime claims sanctions are to blame. But sanctions have never targeted food and medicine. In 2019, the regime bought &#36;6.5 million in medicine via INSTEX. The regime refuses U.S. aid It has expelled Doctors Without Borders. The regime recently allocated \u20ac200 million to the IRGC Quds Force. But it allocated just &#36;35 million to confront COVID-19. Khomeini\u2019s tomb is worth over &#36;2 bn. The regime still spends millions of dollars on it every year, equal to 100,000 ventilator system. The regime has spent at least &#36;20 billion in Syria, equal to building 200 fully equipped hospitals with 1,000 beds. Are sanctions to blame for Iran\u2019s coronavirus crisis? You be the judge.\"><\/div><\/div><div class=\"lL\" style=\"max-width:100%;width:853px;margin:5px;\"><\/div><\/p>\n<p style=\"text-align: justify;\">The failure of INSTEX once again underlined that engaging in a dialogue with Tehran and providing it with incentive packages neither boosts Iran\u2019s economy nor persuades the regime to stop its malign activities. The clerical regime uses every penny to fund its terrorist apparatus. Iran\u2019s Central Bank reported that Tehran generated approximately $180 billion in oil export revenue in just 2018 and 2019. However, it remains unclear where these earnings were spent.<\/p>\n<p style=\"text-align: justify;\">The regime lacks legitimacy due to historical, political, religious, and social factors, with no popular base at home, and the recent nationwide uprising is a testament to this fact. So, Tehran requires a power source other than constituents and considers human rights violations, terrorism, and nuclear weapons as vital to its survival. It seeks sanctions relief without honoring any significant commitments. The mullahs will only retreat when facing a vexing choice for survival, not during deceptive negotiations.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On March 9, a joint statement by the UK, France, and Germany (known as the E3) announced the dissolution of Instrument in Support of Trade Exchanges (INSTEX), citing the Iranian [&#8230;]<\/p>\n","protected":false},"author":69,"featured_media":303856,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17],"tags":[217,1175],"class_list":{"0":"post-303855","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-nuclear","8":"tag-irans-nuclear-program","9":"tag-iran-nuclear"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Why INSTEX Was Doomed from The Start: Iran&#039;s Politics of Obstruction - 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