BIS has extended the denial of re-export privileges to Iran for Mahan Airways. The company may not directly or indirectly partipate or benefit from any transaction subject to EAR (Export Administration Regulations) for 180 days. It is also a violation of the EAR for any person to participate in a transaction subject to the EAR involving a denied party.
BIS explains their reasoning in a recent news release on their website:
Evidence obtained by BIS shows that Mahan Airways continues to disregard U.S. export controls. BIS evidence also shows that Mahan Airways has violated the Export Administration Regulations (EAR) and the TDO involving re-exports to Iran of U.S. origin aircraft and that such violations have been significant, deliberate and covert, and there is a likelihood of future violations.
For additional information view the BIS news release.
The EAR plays an important role in trade compliance, and the penalties for violating these regulations can range from denial of export privileges like the above to corporate fines and even imprisonment.
