U.S. Urges Panama To Remove Flags From Sanctioned Iranian Vessels

On Wednesday, a US special envoy urged Panama to stop Iran’s vessels from flying the country’s flag, which permits Tehran to evade Washington’s sanctions. This relatively small Central American nation is a world leader when it comes to offering flags of convenience that permit shipping majors to register vessels in nations with which they have no connection—for a fee as well as freedom from oversight.

Iran and its actors related to Iran are striving to evade the sanctions in Panama. They are trying hard to abuse the flag registry of Panama, mentioned Abram Paley, the US deputy special envoy for Iran.

Paley was visiting the country to ensure that Panama’s shipping registry and jurisdiction weren’t abused by entities attempting to evade the sanctions on Iran. Per the Panama Maritime Authority, the nation has registered 8,540 vessels, some 16% of the worldwide fleet. Washington further suspects that Iran uses some to transport oil or derivatives to bypass the sanctions.

Iran has been under US sanctions since Washington’s 2018 withdrawal via a landmark nuclear pact. Per Paley, at least six vessels flying Panama’s flag have violated the January sanctions. The US government has accused Iran of financing Yemeni Houthi rebels as well as other institutions like Hamas and Hezbollah with the revenue it gets from oil sales.

Specialists say that rogue vessel owners fly the flag of convenience to bypass environmental regulations and labour laws and conceal who owns a particular vessel. The government of Panama is likely to continue collaborating based on domestic laws and international obligations, per Paley.

Reference: The Press

U.S. Urges Panama To Remove Flags From Sanctioned Iranian Vessels appeared first on Marine Insight – The Maritime Industry Guide

Source: Maritime Shipping News