Friday, July 28, 2006

Bilateral Trade: U.S set to file sanctions against two Indian companies

The Bush administration is to impose sanctions on two Indian firms for missile-related transactions with Iran, US officials said on Thursday.

Under terms of the US Iran-Syria Non-proliferation Act, one official said, "we are going to report to Congress about transactions by two private Indian companies with Iran."

He and another official declined to identify the firms but one official said the transfers involve "dual-use items related to missiles."

The officials did not specify the exact sanctions to be imposed but based on previous cases, the companies could be barred from receiving US government contracts, assistance or military trade as well as certain controlled goods which have both civilian and military purposes.