US targets German-based Iranian bank

The US government enacted sanctions Tuesday against a Germany-based bank accused of helping Iran evade international sanctions and supporting its nuclear and missile activities, dpa reported.

Europaeisch-Iranische Handelsbank (EIH), headquartered in Hamburg, has provided services to other Iranian banks already under sanctions, and has handled billions of dollars in transactions on behalf of the Iranian government and entities involved in its nuclear and missile programmes, the Treasury Department said.

The sanctions cut off the EIH from the US financial system and is the latest effort by the United States to pressure Iran under UN Security Council sanctions adopted in June. The West suspects Iran of trying to develop nuclear weapons - allegations Tehran rejects.

"As one of Iran's few remaining access points to the European financial system, EIH has facilitated a tremendous volume of transactions for Iranian banks previously designated for proliferation," Treasury Undersecretary Stuart Levey said.

In August the Treasury Department designated 13 firms in Europe under the sanctions, including nine in Germany.