Bill: Ban contact with firms working in Iran

Ynetnews

At least 30 MKs on board with Economics Committee chairman's bill proposing to prohibit Israeli companies, citizens from maintaining contact with companies which trade in weapons, energy fields with Islamic Republic.

Chairman of the Knesset's Economics Committee MK Carmel Shama (Likud) submitted a bill Monday banning Israeli organizations and private citizens from engaging in business contact with Iran or companies that trade with it, directly or indirectly, in the fields of weapons and energy.

The bill, which will be presented to the Ministerial Committee on Legislative Affairs early next week, has already earned the support of 30 MKs from all Knesset factions.

Shama explained the basis for the bill: "Former British Prime Minister Tony Blair called his country to 'take its head out of the sand' this week and prepare for a conflict with Iran. Our own Prime Minister Benjamin Netanyahu noted last week that the world's main concern is Iran. The US and Europe prohibit any contact with companies working in Iran, but strangely Israel, which supports boosting financial pressure on the Islamic Republic, has yet to legislate such a law."

The MK further added that the bill aims to prevent a situation similar to that noted two months ago when outgoing Industry, Trade and Labor Minister Binyamin Ben-Eliezer ordered to freeze a contract between the Israel Electripc Corporation and a Danish company which was found to be trading with Iran.

Among the MKs who endorse the new bill are Nachman Shai, Eitan Cabel, Otniel Schneller, David Rotem and Alex Miller.

Punishment: 1 year in prison

According to the bill, any Israeli citizen or company owner found to be engaging in business contact with Iranian bodies will be sentenced to one year in prison and a NIS 5 million ($1.39 million) fine or three times the expected profit from the deal.

The bill aims to prevent oil and gas companies with Iranian ties entering the Israeli drilling market. It targets small companies, some of which drill in Iran and are currently able to obtain a license to drill in Israel.

"This is a very important bill. There is a growing trend of mega European companies halting business in Iran and it is unthinkable that Israel be any different," Michele Gur Arie, director of the Israel lobby in Europe said. "Israel is currently shooting itself in the leg. There is talk in Europe that there are Israeli companies that trade with Iran via third parties and this disrupts the promotion and enforcement of the sanctions."