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US Imposes Sanctions on UAE Company for Internet Censorship

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In an unprecedented move, the United States has imposed sanctions on a company based in the United Arab Emirates (UAE) for its role in enforcing internet censorship.

The sanctions target the Iranian technology firm ArvanCloud, along with two employees and its subsidiary based in the UAE, for assisting Tehran in implementing internet censorship in Iran as part of the government’s crackdown on domestic protests.

The US Department of the Treasury stated that ArvanCloud has a close relationship with Iranian intelligence agencies, and its executive directors have ties to senior officials in the Iranian government.

The department stated that the Iranian government has consistently used internet restrictions and throttling to suppress opposition, monitor Iranian citizens, and punish them for exercising their freedom of expression and assembly online and offline.

It further highlighted that ArvanCloud played a significant role in developing Iran’s “National Internet Infrastructure,” a controlled version of the internet operated by the government, and openly agreed to assume surveillance responsibilities on behalf of the government.
This allows Iranian authorities to control and monitor incoming and outgoing traffic and data.

The death of Iranian Kurdish woman Mahsa Amini in September inside a morality police station sparked widespread protests for months, posing one of the boldest challenges to Iranian religious leaders in decades.

Brian Nelson, Deputy Assistant Secretary for Terrorism and Financial Intelligence at the Department of the Treasury, stated in the release, “The United States is committed to holding accountable those who seek to undermine freedom of expression and suppress opposition.”

The Treasury Department identified the targeted individuals as Boya Berhesinaloo and Farhad Fatemi, the co-founders of ArvanCloud. The sanctions also extend to the company “ArvanCloud Global Technologies,” a subsidiary based in the UAE.

The sanctions block all assets subject to US jurisdiction for the individuals and entities involved.

Engaging in certain transactions with them may lead to “secondary sanctions,” through which the United States can punish non-US individuals and entities.

International sanctions have been periodically imposed on companies and business people in the UAE due to the ongoing trade alliance between Abu Dhabi and Iran, with Tehran’s assistance circumventing international sanctions.

Last July, the US Treasury Department imposed sanctions on a network of companies in the UAE and Hong Kong, accusing them of aiding in delivering and selling Iranian petroleum and petrochemical products to East Asia.

The sanctions targeted a network of companies in the UAE and Hong Kong that were implicated in facilitating the delivery and sale of Iranian petroleum and petrochemical products to East Asia to exert further pressure on Tehran. At the same time, Washington seeks to revive the 2015 Iranian nuclear agreement.