Millions of cash transfers: Iran refrains from controversial money transport from Germany

The European-Iranian Commercial Bank (EIHB) wants to report that its plan to fly 300 million euros in cash from Germany to Teheran, at least for the time being, will not continue. According to information from the "Süddeutsche Zeitung", NDR and WDR, the Iranian state-owned Hamburger Geldhaus informed the Federal Financial Supervisory Authority (Bafin) in Bonn. In the meantime, the federal government has been informed about the decision of the bank. Ministers involved did not want to comment on the case, according to the report. The bank also left a request unanswered.

The intended cash transfer reported by the EIHB to the Customs in June had employed the highest levels of government and threatened to grow into a foreign policy crisis: the US government had urged the Chancellery and the State Department not to release the notes. There was evidence that Teheran's money would be used to help terrorist groups, the US Ambassador in Berlin, Richard Grenell, warned.

According to the report, the Federal Office for the Protection of the Constitution received relevant information, but German intelligence agencies did not see it as providing clear evidence. It is plausible that the Iranians claim that they need the money for business travelers because they no longer have access to credit cards.

Proceeds from Iranian-Indian oil transactions were booked in Hamburg

In addition, the Federal Government is endeavoring to maintain the US-terminated nuclear agreement with Iran and to protect European commercial transactions from imminent US sanctions. Despite these efforts, more and more large German companies are withdrawing from Iran. The country has several threats to terminate the agreement.

To refuse to disburse a Iranian credit stored in Germany in this situation was considered politically difficult.

The withdrawal of the proposed export appears to be related to an ongoing Bafin audit at the EIHB, the three media reported. The bank must demonstrate that it complies with all precautionary measures for the prevention of money laundering and terrorist financing. Since Iran is on a list of so-called high-risk states of the international Financial Action Task Force, this evidence seems difficult to provide, the report said.

The € 300 million is part of a billion that has accumulated in the accounts of EIHB; the proceeds from Iranian-Indian oil transactions have been booked in Hamburg for years.