EU Court Upholds Freeze on Iranian Bank’s Assets

(CN) - The Court of First Instance upheld a decision to freeze Melli Bank's assets, because the bank is controlled by Iran, which the court says is involved in nuclear proliferation.

Melli Bank has a branch in Great Britain and is wholly owned by Bank Melli Iran, which is controlled by the Iranian government.

The Council of the European Union froze the bank's assets in 2008, declaring that the Iranian bank supported Iran's nuclear missile programs.

Europe's second-highest court heard and denied Melli Bank's challenge to that decision.

"There is ... danger," the court ruled, "that BMI may be in a position to lead Melli Bank to carry out prohibited transactions by putting pressure on its directors or other members of its staff."

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