State Dept Imposes CISADA Financial Sanctions on 3 Cos, for a Total of 6
The State Department announced that on January 12, 2012, Secretary of State Clinton imposed sanctions on three companies under the Iran Sanctions Act (ISA), as amended by the Comprehensive Iran Sanctions, Accountability, and Divestment Act (CISADA), for conducting business with Iran’s energy sector. These three firms are Zhuhai Zhenrong Company (Zhenrong), Kuo Oil (S) Pte. Ltd. (Kuo), and FAL Oil Company Limited (FAL). According to a recently updated OFAC list of companies sanctioned under ISA as amended by CISADA, these three firms join three others whose sanctions involve a prohibition on U.S. financial institutions making certain loans or credits to the firms.
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(Zhenrong is based in China, and is the largest supplier of refined petroleum product to Iran. Kuo Oil is based in Singapore; and FAL Oil is an independent oil and bunker trader in the Arab Gulf Region.)
According to the State Department, CISADA is a law that makes sanctionable certain activities in Iran’s energy sector, including the provision of refined petroleum products to Iran, and is designed to maintain pressure on the Government of Iran to comply with its international nuclear obligations. The European Union, Japan, the Republic of Korea, Canada, and Australia have also adopted their own sanctions that target Iran's energy sector.
(See ITT's Online Archives 11111502 for summary of OFAC describing its CISADA sanctions against 7 firms.)
Subsequent State Dept Federal Register notice (FR Pub 01/27/12) available here. Subsequent OFAC notice (FR Pub 02/15/12) available here.