Is Iran Winning the Iraq War?

In October, as part of its ongoing effort to isolate and sanction Iran, the Bush Administration announced sanctions against several Iranian banks, companies and individuals linked to the Iranian Revolutionary Guard Corps (IRGC) and its special operations unit, the Quds (Jerusalem) Force, for their "support for terrorism." The White House launched a worldwide effort to persuade other countries not to do business with the designees, including Iran's Bank Melli. "Bank Melli provides banking services to the IRGC and the Qods Force," said the Treasury Department. "Entities owned or controlled by the IRGC or the Qods Force use Bank Melli for a variety of financial services."

Buried deep in the State and Treasury Department documents compiled in support of the sanctions--unnoticed by the media--is the address of a Bank Melli branch in a country occupied by US troops: "Location: No. 111-27, Alley 929 District, Arasat Street, Baghdad, Iraq."

That a bank described by the United States as an Iranian facilitator of terrorism operates freely in the heart of Iraq's capital is ironic, to say the least, given the Bush Administration's near-declaration of war against Iran's involvement in Iraq. Citing evidence that Iran supplies arms, money, logistical help and training to Shiite militias and insurgents, hawks in the Administration, including Vice President Cheney, have suggested that US forces in Iraq may strike supply lines, training camps and weapons depots across the Iranian border, even at the risk of igniting all-out war. More