The Iran (Restrictive Measures) (Overseas Territories) Order 2012

Restrictions on financial services

Supply of financial messaging services to a designated person

37.  A person (“P”) commits an offence if P supplies specialised financial messaging services which are used to exchange financial data to a designated person if P knows, or has reasonable cause to suspect, that P is supplying such a service to a designated person.

Sale or purchase of Iranian bonds

38.—(1) A person (“P”) commits an offence if P sells or purchases (directly or indirectly) Iranian public or public-guaranteed bonds issued after the date on which this Order comes into force to or from a person, entity or body falling within paragraph (4) if P knows or has reasonable cause to suspect that the sale or purchase is to or from such a person, entity or body.

(2) A person (“P”) commits an offence if P provides brokering services with respect to Iranian public or public-guaranteed bonds issued after the date on which this Order comes into force to a person, entity or body falling within paragraph (4) if P knows or has reasonable cause to suspect that the services are being provided to such a person, entity or body.

(3) A person (“P”) commits an offence if P assists a person, entity or body falling within paragraph (4) to issue Iranian public or public-guaranteed bonds, by providing—

(a) brokering services,

(b) advertising, or

(c) any other service with respect to such bonds,

if P knows or has reasonable cause to suspect that P is assisting such a person, entity or body.

(4) The following persons, entities and bodies fall within this paragraph—

(a) the State of Iran or its Government,

(b) public bodies, corporations and agencies of the Government of Iran,

(c) any bureaux de change, credit or financial institution domiciled in Iran,

(d) any branch or subsidiary, wherever located, of a bureaux de change, credit or financial institution domiciled in Iran,

(e) any bureaux de change, credit or financial institution that is not domiciled in Iran, but is controlled by a person or entity domiciled in Iran,

(f) a person, entity or body acting on behalf of or at the direction of a legal person, entity or body falling within sub-paragraph (a), (b), (c), (d) or (e),

(g) a legal person, entity or body owned or controlled by a person, entity or body falling within sub-paragraph (a), (b), (c), (d), (e) or (f).

Credit and financial institutions: accounts and correspondent banking relationships

39.—(1) A credit or financial institution (“P”) commits an offence if P—

(a) opens a new bank account,

(b) establishes a new correspondent banking relationship, or

(c) establishes a new joint venture,

with a person, entity or body falling within article 38(4) if P knows or has reasonable cause to suspect that the account, relationship or venture is with such a person, entity or body.

(2) P commits an offence if P—

(a) opens a new representative office in Iran, or

(b) establishes a new branch or subsidiary in Iran.

(3) P commits an offence if P authorises the opening of a representative office or the establishment of a branch or subsidiary in the Territory of a credit or financial institution domiciled in Iran or of any credit or financial institution falling within article 38(4).

(4) P commits an offence if P grants an authorisation for taking up and pursuing the business of a credit institution, or for any other business requiring prior authorisation, by a representative office, branch or subsidiary of a credit or financial institution domiciled in Iran or of any credit or financial institution falling within article 38(4) if the representative office, branch or subsidiary was not in operation before the date on which this Order comes into force.

Agreements

40.  A person (“P”) commits an offence if P concludes an agreement for, or on behalf of, a person, entity or body falling within article 38(4) which relates to the opening of a representative office or the establishment of a branch or subsidiary in the Territory if P knows or has reasonable cause to suspect that the agreement is for, or on behalf of, such a person.

Acquisition or extension of ownership interest

41.  A credit or financial institution (“P”) commits an offence if P allows a person, entity or body falling within article 38(4) to acquire or extend a participation, or acquire any other ownership interest in P.

Insurance and reinsurance

42.—(1) A person (“P”) commits an offence if P provides insurance or reinsurance, or brokers the provision of insurance or reinsurance, to—

(a) the State of Iran or its Government, or its public bodies, corporations or agencies,

(b) an Iranian person, entity or body other than a natural person, or

(c) a natural person or a legal person, entity or body acting on behalf of or at the direction of a legal person, entity or body referred to in sub-paragraph (a) or (b),

if P knows or has reasonable cause to suspect that the insurance or reinsurance is being provided to such a person, entity or body.

(2) Paragraph (1) applies to the extension or renewal of an insurance or reinsurance agreement concluded before the date on which this Order comes into force (except where there is a prior contractual obligation on the part of the insurer or reinsurer to accept an extension or renewal of a policy), but, subject to articles 28 to 31, does not apply to compliance with an insurance or reinsurance agreement concluded before that date.

(3) Paragraph (1) does not apply to the provision or brokering of compulsory or third party liability insurance or reinsurance to Iranian persons, entities or bodies based in the Territory, or to the provision of insurance for Iranian diplomatic or consular missions in the Territory.

(4) Paragraph (1)(c) does not apply to the provision of—

(a) insurance or the brokering of insurance, including health and travel insurance, to individuals acting in their private capacity, except for persons listed in Annexes VIII and IX of the Council Regulation, or

(b) reinsurance relating to insurance falling within sub-paragraph (a).

(5) Paragraph (1)(c) does not prevent the provision of insurance or reinsurance or the brokering of insurance to the owner of a vessel, aircraft or vehicle which is chartered by a person, entity or body referred to in paragraph (1)(a) or (b), provided that the person, entity or body to which it is chartered is not a designated person.

(6) For the purposes of paragraph (1)(c), a person, entity or body does not act at the direction of a person, entity or body referred to in paragraph (1)(a) or (b) where the direction is for the purposes of docking, loading, unloading or safe transit of a vessel or aircraft temporarily in Iranian waters or airspace.