U.K. Supreme Court Ruling for Bank Mellat Will Not Weaken Iran Sanctions, Say Legal, Banking Sources

By Vanya Dragomanovich

The United Kingdom's Supreme Court decision in favor of Bank Mellat, Iran's largest private bank, will not weaken overall sanctions on Iran, U.K. legal and banking sources said. The June 19 U.K. ruling overturning HM Treasury's blacklisting of the bank follows a similar decision for Bank Mellat by the European General Court this January. However, overriding legislation still in place and a tough set of sanctions imposed by the European Union are likely to prevent EU financial institutions from dealing with Iranian banks except in limited or special circumstances. "Banks and other financial institutions must continue to abide by the...