Israel Discount Bank (TASE: DSCT) disclosed in its financial report for the first quarter that a review found that, “A number of accounts handled by Israel Discount Bank of New York belonged to Iranian citizens, and that a number of transfers by these accounts were made to Iranian residents.”
The bank hired external advisors to investigate the matter, and notified the Department of the Treasury - Office of Foreign Assets Control (OFAC) of the findings. The report said, “Discount Bank New York could be liable to a fine of up to $1 million over this matter.”
Ironically, Likud chairman MK Benjamin Netanyahu told “The Wall Street Journal” that he supports divestment from Iran. The paper says, “Netanyahu believes Americans across the political spectrum could unite behind the principle that ‘a regime that promotes genocide cannot receive American taxpayers' savings . . . through European intermediaries.’ And the idea is catching on.
“The big prize, of course, is California, whose $247 billion pension fund is the nation's biggest. ‘I spoke to Gov. [Arnold] Schwarzenegger on this a few weeks ago,’ Netanyahu says. "He said he'd look into it. I'm going to call him, possibly before I leave tonight.’ On Tuesday an official from the Israeli Embassy in Washington emailed me that Netanyahu "did get in touch with Governor Schwarzenegger yesterday. . . . The Governor was aware of the divestment bill and said that it may get passed by the end of the summer’."
Published by Globes [online], Israel business news - www.globes.co.il - on May 28, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007