Hong Kong authorities have arrested a Maltese-flagged Iranian-owned ship that has been blacklisted by the US as part of sanctions to deter Iran from developing nuclear power, reports the South China Morning Post.
The 79,000-ton cargo ship Decretive has been lying off Lamma Island with no cargo on the weather deck, but with crew still aboard. Hong Kong authorities made the arrest after four European banks, led by the Germany's HSH Nordbank, made claims of US$268 million in loan defaults.
The US imposed new sanctions against Tehran earlier this week, adding more Iranian companies to its financial blacklist. These include Moallem Insurance, which provides marine insurance for vessels of Islamic Republic of Iran Shipping Lines (IRISL), a primary target of the sanctions.
IRISL was formerly the Decretive's shipping manager and a guarantor of loans that funded the ship's construction in 2008.
The Decretive is one of five vessels linked to IRISL that European banks want seized as part of loan foreclosure proceedings, according to an insider familiar with the case, said the report, adding that another ship, the Maltese-flagged 42,000-ton Dandle was arrested in Malta last month.
The ship's nominal owner, Malta-based Sixth Ocean, and shipping manager Hafiz Darya Shipping, have been designated by the US as front companies for IRISL.
Such arrests of IRISL ships have occurred in Singapore, most recently when Credit Agricole Corporate and Investment Bank claimed debts of $210 million. The three German-flagged containerships - the Sabalan, Sahand and Tuchal - were held in September on a warrant issued by Singapore's High Court. IRISL is fighting to prevent the auctioning of these ships, said the report.
The United Nations Security Council passed a resolution in March calling on member states to inspect cargo to and from Iran on ships operated by IRISL when there was suspicion that prohibited goods were being carried.
American Shipper reported that the US Treasury Department has been attacking financial services dealing with IRISL by adding the carrier's vessel insurer to the list of sanctioned Iranian entities.
Said a US Treasury statement: "IRISL has been increasingly isolated from the international financial system and has in turn engaged in deceptive behaviour to evade the impact of sanctions and increased scrutiny of its activities - including by relying on an expansive network of front companies, falsifying shipping documents, changing the nominal ownership of vessels, and repainting ships, all to hide the affiliation of vessels with IRISL."
Thus, IRISL has been unable to maintain adequate insurance. Britain froze all business ties with IRISL under anti-terrorism law in 2009, thus denying the shipping line insurance from British underwriters.
The 79,000-ton cargo ship Decretive has been lying off Lamma Island with no cargo on the weather deck, but with crew still aboard. Hong Kong authorities made the arrest after four European banks, led by the Germany's HSH Nordbank, made claims of US$268 million in loan defaults.
The US imposed new sanctions against Tehran earlier this week, adding more Iranian companies to its financial blacklist. These include Moallem Insurance, which provides marine insurance for vessels of Islamic Republic of Iran Shipping Lines (IRISL), a primary target of the sanctions.
IRISL was formerly the Decretive's shipping manager and a guarantor of loans that funded the ship's construction in 2008.
The Decretive is one of five vessels linked to IRISL that European banks want seized as part of loan foreclosure proceedings, according to an insider familiar with the case, said the report, adding that another ship, the Maltese-flagged 42,000-ton Dandle was arrested in Malta last month.
The ship's nominal owner, Malta-based Sixth Ocean, and shipping manager Hafiz Darya Shipping, have been designated by the US as front companies for IRISL.
Such arrests of IRISL ships have occurred in Singapore, most recently when Credit Agricole Corporate and Investment Bank claimed debts of $210 million. The three German-flagged containerships - the Sabalan, Sahand and Tuchal - were held in September on a warrant issued by Singapore's High Court. IRISL is fighting to prevent the auctioning of these ships, said the report.
The United Nations Security Council passed a resolution in March calling on member states to inspect cargo to and from Iran on ships operated by IRISL when there was suspicion that prohibited goods were being carried.
American Shipper reported that the US Treasury Department has been attacking financial services dealing with IRISL by adding the carrier's vessel insurer to the list of sanctioned Iranian entities.
Said a US Treasury statement: "IRISL has been increasingly isolated from the international financial system and has in turn engaged in deceptive behaviour to evade the impact of sanctions and increased scrutiny of its activities - including by relying on an expansive network of front companies, falsifying shipping documents, changing the nominal ownership of vessels, and repainting ships, all to hide the affiliation of vessels with IRISL."
Thus, IRISL has been unable to maintain adequate insurance. Britain froze all business ties with IRISL under anti-terrorism law in 2009, thus denying the shipping line insurance from British underwriters.