I don’t want to be a broken record on the subject of President Obama’s appalling $400 million cash payment to Iran. I am at a loss, however, to understand how the press — and not just the pro-Obama mainstream media — continues to accept at face value President Obama’s preposterous claim that the transaction had to be structured the way it was (U.S. dollars converted to foreign currency and shipped to Tehran) because the law forbids transferring U.S. dollars to Iran.
The regulations that Obama concedes applied to this transaction do not just forbid sending U.S. dollars to Iran; they forbid exactly what the president did. Specifically, they prohibit Americans from transferring any currency to Iran — including foreign currency. They also prohibit circumventing the ban on sending Iran U.S. dollars by having an intermediary launder the dollars into another asset — such as foreign currency — and then shipping that asset to Iran.
That is common sense. If it were not the case, anyone could get around the anti-terrorism sanctions that prohibit conducting financial transactions with Iran — sanctions the Obama administration swore up and down to Congress it would continue to enforce — by simply converting dollars into, say, euros and francs (like Obama did) and then transferring that foreign currency to Iran. Such transactions are against the law. If you tried to execute one, you could go to jail for a very long time — even if the assets you transferred to the world’s leading state sponsor of terrorism didn’t come close to $400 million in value.
The principal point of these sanctions is to squeeze the Iranian regime until it gives up terrorism sponsorship. Consequently, the regulations promulgated to enforce the sanctions prohibit transferring value to Iran. The sanctions are simply another iteration of federal law’s criminalization of material support for terrorism: You are forbidden to send the jihadist regime in Tehran dollars, foreign currency, tangible assets, services — anything of value.