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Tanzania Deregisters 36 Iranian Ships that Were Reflagged

Tanzania deregisters 36 Iranian ships after a Dubai-based shipping agent reflags them with the Tanzanian flag.
By Elad Benari
First Publish: 8/12/2012, 5:36 AM

Iranian President Mahmoud Ahmadinejad
Iranian President Mahmoud Ahmadinejad
Flash 90

Tanzania said on Saturday that a shipping agent based in Dubai had reflagged 36 Iranian oil tankers with the Tanzanian flag without the country's knowledge and approval, Reuters reported.

According to the report, Tanzania said it was now in the process of de-registering the vessels after an investigation into the origin of the ships concluded they were originally from Iran.

Tanzania launched an investigation last month over accusations that it had reflagged oil tankers from Iran and asked the United States and European Union to help it verify the origin of the tankers flying the east African country's flag.

A report with the investigation's findings was discussed in the House of Representatives of Zanzibar, a semi-autonomous part of Tanzania late on Friday, and the minutes of that debate were seen by Reuters on Saturday.

Reflagging ships masks their ownership, which could make it easier for Iran to obtain insurance and financing for the cargoes, as well as find buyers for the shipments without attracting attention from the United States and European Union.

The National Iranian Tanker Company (NITC) changed the names and flags of many of its oil tankers ahead of the EU ban, part of sweeping economic measures aimed at pressuring Tehran to end its nuclear program.

That included swapping Maltese and Cypriot flags for Tuvalu and Tanzanian ones, Reuters noted.

The ships flying Tanzania's flag were re-flagged by Zanzibar, which has claimed it was misled by its Dubai-based agent, Philtex, and would end its contract with that firm.

“The government has thoroughly investigated this issue and established that the Zanzibar Maritime Authority (ZMA) through our Dubai-based agent, Philtex, registered 36 Iranian crude oil tankers and containership vessels to fly the Tanzanian flag,” Zanzibar Vice President Seif Ali Iddi was quoted as having told the assembly.

“The Zanzibar government is in the process of de-registering the ships and also terminating its agency contract with Philtex after establishing the truth that these (Iranian) ships are flying the Tanzanian flag,” he added.

Howard Berman, the ranking member of the U.S. House Committee on Foreign Affairs, had accused Tanzania of reflagging at least six and possibly as many at 10 tankers, saying it was helping Iran evade U.S. and European Union sanctions aimed at pressuring Tehran to curb its nuclear program.

He said Tanzania could face U.S. sanctions for the practice.

Berman has also asked the small South Pacific island nation Tuvalu to stop reflagging Iranian oil tankers and warned its government of the risks of running afoul of U.S. sanctions.

The United States warned the maritime industry several weeks ago that Iranian ships were still using other countries’ flags in an attempt to evade Western sanctions against the country.

Sierra Leone is the latest country to revoke its flag for a vessel controlled by the Islamic Republic of Iran Shipping Lines (IRISL), which is on the U.S. blacklist for its involvement in Iran's weapons program.

Telecommunications giant Inmarsat confirmed last week that it provided satellite communications services to Iranian oil tankers and other vessels, despite the international sanctions against Tehran.

The admission is contained in an official letter sent from Rich Harris, Senior Vice President of the London-based Inmarsat, to Shurat HaDin, an Israeli NGO that specializes in anti-terrorist "lawfare."