Britain's Supreme Court has ruled that sanctions should not have been imposed on Iran’s biggest private bank over its alleged links to Iran's nuclear weapons program.
The court ruled that Bank Mellat had been arbitrarily, irrationally, and disproportionately singled out for punishment and that the sanctions should be quashed.
The ruling means that the bank can now sue the British government for damages.
The U.S. Treasury Department criticized the ruling as mistaken and warned that Bank Mellat remains under U.S. sanctions.
The European Union’s General Court earlier overturned sanctions on Bank Mellat, saying governments had not provided enough information to support the assertion that the bank assisted Iran’s nuclear program.
That decision has been appealed by the EU to the European Court of Justice.
The court ruled that Bank Mellat had been arbitrarily, irrationally, and disproportionately singled out for punishment and that the sanctions should be quashed.
The ruling means that the bank can now sue the British government for damages.
The U.S. Treasury Department criticized the ruling as mistaken and warned that Bank Mellat remains under U.S. sanctions.
The European Union’s General Court earlier overturned sanctions on Bank Mellat, saying governments had not provided enough information to support the assertion that the bank assisted Iran’s nuclear program.
That decision has been appealed by the EU to the European Court of Justice.