The Obama administration has been bragging about the strength of the international coalition it has assembled against Iran and the “crippling sanctions” it has imposed on the Islamist regime. But the dirty little secret about the sanctions is they are riddled with loopholes. Not only has the Treasury Department issued thousands of exemptions to companies that wish to do business with Iran, but President Obama has also specifically granted permission to China and India to go on importing oil from it. Though the sanctions have caused pain to the ordinary Iranian, the government is still raking in more cash from oil sales than it did a decade ago before the sanctions took effect.
This gives some important context to the debate going on in Congress right now about the imposition of a new sanctions bill that takes aim at insurance companies that underwrite Iranian investments. The legislation is vital if a major loophole is to be closed that will make it even more difficult for Iran to conduct commerce. But lobbying from insurance companies that don’t wish to have their businesses impeded are working against the bill. Even more seriously, as the Washington Free Beacon reports, they’ve got Majority Leader Harry Reid on their side.



