Using Al-Aqsa Flood Op. as excuse, Biden may re-freeze Iran’s $6bln

By Al Mayadeen English
Source: Bloomberg
12 Oct 2023 05:19
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Some Republican and Democrat Congress members call for the freeze to be reinstated as the Biden administration is considering the option.

US President Joe Biden speaks during a roundtable with Jewish community leaders in the Indian Treaty Room on the White House complex in Washington, Wednesday, Oct. 11, 2023 (AP)

Bloomberg reported that officials from US President Joe Biden's administration are considering the possibility of re-imposing a freeze on $6 billion in Iranian oil money that had been released as part of a prisoner exchange deal.

The suggestion comes amid growing criticism from both sides of the political aisle following Operation Al-Aqsa Flood the Palestinian Resistance launched on Saturday against the Israeli occupation.

On Wednesday, a US official stated that intelligence agencies have yet to find evidence suggesting that Iran allegedly directed the operation, which resulted in the deaths of at least 1,200 Israeli settlers and the taking of captives, including American citizens.

However, there is a belief within these US agencies that Iran allegedly had prior knowledge of the Palestinian Resistance's intentions to carry out the operation, Bloomberg indicated citing the official.

The US unfroze the $6 billion last month as part of a deal to release five Americans detained in Iran. Some members of Congress, both Republicans and Democrats, have called for the freeze to be reinstated, and the administration is considering this option.

US Treasury Secretary Janet Yellen mentioned on Wednesday that the Biden administration is not ruling out the possibility of imposing new sanctions on Iran, keeping all options open, although no proof was provided to prove the US claims.

John Kirby, the spokesperson for the National Security Council, noted on Tuesday that the $6 billion could be "re-frozen" at any time since it has not been allocated or spent and is currently held in a Qatari bank.

This comes although, on Monday, Kirby confirmed that there is no hard evidence pointing to Iran's involvement in Operation Al-Aqsa Flood.

"We haven't seen hard, tangible evidence that Iran was directly involved in participating in or resourcing, planning, these sorts of complex attacks that Hamas pulled off over the weekend," he said

The release of the $6 billion as part of the prisoner exchange has become a major point of contention in Congress.

Senate Minority Leader Mitch McConnell, who is co-sponsoring a measure to re-freeze the funds, claimed that the connection between resources, training, and weapons from Tehran to fighters in the Middle East is evident.

Furthermore, the debate has also become a campaign matter for Democratic incumbents in swing states or states that supported former President Donald Trump in the 2020 election.

Four candidates, including the chairman of the Senate Banking Committee, have expressed their support for keeping the assets frozen until Iran's alleged role in the Resistance's operation against the Israeli occupation is clarified.

This comes in light of a report by The Wall Street Journal claiming that Iran allegedly played a role in Operation Al-Aqsa Flood.

The Wall Street Journal report on Sunday, citing high-ranking sources in Hamas and Hezbollah, claimed that Iran's Islamic Revolution Guard Corps (IRGC) allegedly helped Hamas plan the operation and that Iran had greenlit Hamas' actions during a meeting in Beirut on October 2.