SKorea Imposes Santions on NKorea      09/08 05:40

   SEOUL, South Korea (AP) -- South Korea said Wednesday it will ban 
unauthorized financial dealings with Iran and impose other penalties as part of 
a U.S.-led campaign to enforce sanctions against the country over its disputed 
nuclear enrichment program.

   Seoul targeted 102 entities, including the Iranian Revolutionary Guard Corps 
and the Islamic Republic of Iran Shipping Lines, and 24 individuals for the 
sanctions, Foreign Ministry spokesman Kim Young-sun said.

   The measures prohibit unauthorized foreign exchange transactions with the 
targets of the measures, halt existing banking relations, and prohibit the 
opening of new branches or representative offices in South Korea, Kim said. The 
individuals are also banned from entering South Korea, Kim said.

   South Korea will also heavily penalize the Seoul branch of Bank Mellat, one 
of the 15 targeted Iranian banks, for violating laws on foreign exchange 
transactions, a government statement said, without elaborating.

   The Seoul branch of Bank Mellat has "facilitated hundreds of millions of 
dollars in transactions for Iranian nuclear, missile and defense entities," the 
statement said.

   Kim said the sanctions further reinforce United Nations resolution 1929 
against Iran, the latest in a series of measures taken by the international 
community in an effort to halt Iran's nuclear program.

   "South Korea expects Iran to join international efforts for nuclear 
nonproliferation and take steps to faithfully implement its obligations under 
the relevant U.N. Security Council resolutions," he said.

   The U.N. approved a fourth round of sanctions against Iran in early June 
over accusations that it is seeking to develop atomic weapons. Iran denies its 
nuclear program is militaristic in nature and says it has a right to conduct 
uranium enrichment for peaceful purposes.

   The U.S. also independently imposed new sanctions against Iran and has urged 
other countries to follow suit.

   So far, the European Union, Australia, Canada and Japan have joined the 
international campaign against Iran.

   Seoul has been cautious in taking action against Iran, trying to balance its 
diplomatic interests with the U.S., a key ally, and its economic interests with 
Iran.

   Iran is South Korea's third-largest trading partner in the Middle East, with 
two-way trade totaling nearly $10 billion last year, according to the Korea 
International Trade Association. It is also South Korea's fourth-biggest 
supplier of crude oil, accounting for 9.8 percent of its oil imports, according 
to the Korea National Oil Corp.

   Seoul said it will prohibit new investments and contracts that could enrich 
Iran's petroleum and gas industry, and called on South Korean companies to 
exercise "restraint and caution" in carrying out existing contracts.


(KA)