July 15, 2015

Fortune quotes Ed Wilson on what Iran deal means for financial services sector

1 min

Venable partner Ed Wilson was quoted in a July 15, 2015 Fortune article on what the recent agreement with Iran aimed at curtailing the country's nuclear program means for the financial services sector. Under the deal, only sanctions enacted because of Iran's nuclear program will be scaled back leaving others for terrorism, missile development and human rights violations in place. Additionally, the U.S. Treasury's Office of Foreign Assets Control (OFAC) said the U.S. would only scale back secondary sanctions applying to third-country parties and not U.S. firms.

According to Wilson, any benefits for the financial services sector will be slowly realized because "it will take time and resources" for restrictions to be lifted U.S. businesses. Wilson cautioned, "even if this deal is implemented according to the Obama Administration's wishes, sanctions put in place against Iran as punishment for its involvement in terrorist activities will remain in place." He added that "the penalties the U.S. government has leveled against banks in recent years, like the whopping $9 billion BNP Paribas paid in 2014 for helping Iran violate sanctions, far outstrips any profits to be made in the country, and that we will see a the financial services industry only cautiously wade back into Iran."