Ankara: Turkiye has revoked the operating licence of Iran’s Bank Mellat branch in Istanbul, according to a decision published in the Official Gazette on Saturday, September 19, Reuters reported.
The Banking Regulation and Supervision Agency (BDDK) took the decision at a meeting on Friday, September 18, under a provision of Turkiye’s banking law that allows a bank’s licence to be withdrawn if its continued operations are considered a risk to depositors’ rights or the security and stability of the financial system.
The notice did not give a specific reason for the action beyond citing the banking law provision. It did not refer to US sanctions or identify any operational problems at Bank Mellat.
The decision comes amid growing US pressure on financial institutions and companies linked to Iran. It was announced 15 days after the US Treasury Department sanctioned Turkiye-based Golden Global Investment Bank and two of its subsidiaries on Thursday, September 4, over alleged links to Iran.
The Treasury has also said Turkiye and Oman agreed to suspend flights by Iranian airline Mahan Air following discussions over compliance with US measures against Iran. Mahan Air, which has been under US sanctions for years, subsequently announced that it would suspend flights to Turkiye and Oman from Monday, September 21, until further notice.
Washington has been targeting financial networks that it says help Tehran circumvent sanctions and maintain access to international markets.
Bank Mellat, headquartered in Tehran, has operated in Turkiye since the early 1980s. It has its main branch in Istanbul and branches in Ankara and Izmir, facilitating trade and financial ties between the two countries.
The Iranian lender has previously faced sanctions from the United States and other Western governments over allegations linked to Iran’s nuclear programme. Washington designated Bank Mellat for sanctions in 2007.
The latest action follows other US measures targeting Iran’s international economic links. On Tuesday, September 8, the US Treasury imposed sanctions on 36 targets linked to Iran’s aviation sector, including Iranian airlines and foreign companies accused of supporting the sector.
