Hezbollah has ‘taken hostage’ the Lebanese people’s future: Israeli statement on Hariri verdict

JERUSALEM (Reuters) – Israel’s foreign ministry reacted to the verdict in the case of former Lebanese Prime Minister Rafik al-Hariri’s assassination by saying Hezbollah had “taken hostage” the future of the Lebanese people.

“The ruling of the tribunal that investigated the murder of Prime Minister Hariri and which was made public today is unequivocal. The Hezbollah terrorist group and its personnel were involved in the murder and in obstructing the investigation,” an Israeli Foreign Ministry spokesperson said in a statement.

“Hezbollah has taken hostage the future of the Lebanese in the service of foreign interests. The countries of the world must take action against this terrorist group in order to assist Lebanon in liberating itself from this menace.

“Hezbollah’s military build-up, its efforts to set up a precision-guided missile arsenal, and its actions endanger the entire region.”

(Reporting by Dan Williams and Stephen Farrell)

World must not play politics with Lebanon’s pain, Iran says

By Maher Chmaytelli

BEIRUT (Reuters) – The global community should help Lebanon rather than impose its will on the country, Iran’s foreign minister said while in Beirut on Friday, following the catastrophic blast at the city’s port that killed 172 people and pushed the government to resign.

Iran backs Lebanon’s powerful armed movement Hezbollah, which along with its allies helped form the outgoing government. The United States classifies Hezbollah as a terrorist group.

Mohammed Javad Zarif was speaking after meeting President Michel Aoun, who had earlier met with U.S. and French officials in a flurry of Western diplomacy that has focused on urging Lebanon to fight corruption and enact long-delayed reforms to unlock foreign financial aid to tackle an economic crisis.

“There should be international efforts to help Lebanon, not to impose anything on it,” Zarif said in televised comments.

He earlier remarked that the Lebanese people and their representatives should decide on the future of Lebanon. “It is not humane to exploit the pain and suffering of the people for political goals,” he said.

Lebanese had been staging angry protests against a political elite blamed for the country’s many woes even before the Aug 4. blast, which injured 6,000, damaged swathes of the Mediterranean city and left 300,000 homeless. Some 30 people remain missing.

The explosion sharply deepened anger at the authorities.

“We can’t live like this. The West has to pressure our leaders to save us,” said Iyaam Ghanem, a Beirut pharmacist.

U.S. Under-Secretary of State for Political Affairs David Hale and French Defense Minister Florence Parly met separately with Aoun on Friday.

Parly in televised remarks later called for the formation of a government capable of taking “courageous decisions”.

CALLS FOR JUSTICE

Hale said on Thursday the United States’ FBI would join a probe into the blast at a hangar in the port where highly-explosive material detonated in a mushroom cloud. Hale called for an end to “dysfunctional governments and empty promises”.

International humanitarian aid has poured in but foreign states have linked any financial assistance to reform of the Lebanese state, which has defaulted on its huge sovereign debts.

Zarif said Tehran and private Iranian companies were ready to help with reconstruction and rehabilitating Lebanon’s electricity sector, which is a chief target of reform.

France’s navy helicopter carrier Tonnerre docked at the port, where authorities say more than 2,000 tonnes of ammonium nitrate had been stored for years without safety measures.

Aoun told Hale that Beirut needed help to “understand the circumstances” under which the nitrate shipment was brought into the port and unloaded, an official statement said.

Aoun has said the probe would look into whether the cause was negligence, an accident or “external interference”.

Victims and their representatives told reporters that only an independent probe would deliver justice, appealing to the U.N. Security Council for an international investigation and the referral of the blast to an international court.

“Is it acceptable that people find their homes shattered, their families killed, their hopes and their dreams killed, with no justice,” said Paul Najjar, whose three-year-old daughter Alexandra died in the blast.

State news agency NNA said questioning of some ministers due on Friday had been postponed as the judge appointed for the task said he did not have authority to question government ministers.

The cabinet resignation has fueled uncertainty. Agreement on a new government will likely be very difficult in a country with deep factional rifts and a sectarian power-sharing system.

Senior Christian cleric Maronite Patriarch Bechara Boutros Al-Rai, who wants Beirut kept out of regional conflicts, said a new Lebanon was being “cooked in kitchens” of foreign countries, which he did not name, to serve the interest of politicians.

(Reporting by Maher Chmaytelli, Michael Georgy and Beirut and Dubai bureaus; Writing by Ghaida Ghantous; Editing by Gareth Jones, William Maclean)

Lebanon’s cabinet under pressure as ministers quit and anger grows over Beirut blast

By Michael Georgy

BEIRUT (Reuters) – Lebanon’s cabinet faced rising pressure on Monday to step down after a devastating blast that has stirred angry anti-government protests and resignations of several ministers, with the justice minister the latest to go and the finance minister set to quit.

The Aug. 4 port warehouse detonation of more than 2,000 tonnes of ammonium nitrate killed at least 158 people, injured over 6,000 and wrecked swathes of the Mediterranean city, compounding months of political and economic meltdown.

The cabinet, formed in January with the backing of the powerful Iranian-backed Hezbollah group and its allies, was due to meet on Monday, with many ministers wanting to resign, ministerial and political sources said.

The information and environment ministers quit on Sunday as well as several lawmakers, and the justice minister followed them out the door on Monday.

Finance Minister Ghazi Wazni, a key negotiator with the IMF over a rescue plan to help Lebanon exit a financial crisis, prepared his resignation letter and brought it with him to a cabinet meeting, a source close to him and local media said.

“The entire regime needs to change. It will make no difference if there is a new government,” Joe Haddad, an engineer, told Reuters. “We need quick elections.”

Prime Minister Hassan Diab said on Saturday he would request early parliamentary elections.

Lebanon’s president had previously said explosive material was stored unsafely for years at the port. He later said the investigation would consider whether the cause was external interference as well as negligence or an accident.

Beirut’s governor said many foreign workers and truck drivers remained missing and were assumed to be among the casualties, complicating efforts to identify the victims.

FED UP WITH CORRUPTION, MISMANAGEMENT

Anti-government protests in the last two days have been the biggest since October when demonstrators took to the streets over an economic crisis rooted in endemic corruption, waste and mismanagement. Protesters accused the political elite of exploiting state resources for their own benefit.

Eli Abi Hanna’s house and his car repair shop were destroyed in the blast.

“The economy was already a disaster and now I have no way of making money again,” he said. “It was easier to make money during the civil war. The politicians and the economic disaster have ruined everything.”

Some Lebanese doubt change is possible in a country where sectarian politicians have dominated since the 1975-90 conflict.

“It won’t work, it’s just the same people. It’s a mafia,” said Antoinette Baaklini, an employee of an electricity company that was demolished in the blast.

Workers picked up fallen masonry near the building where wall graffiti mocked Lebanon’s chronic electricity crisis: “Everyone else in the world has electricity while we have a donkey.”

“It will always be the same. It is just a political game, nothing will change,” said university student Marilyne Kassis.

An emergency international donor conference on Sunday raised pledges worth nearly 253 million euros ($298 million) for immediate humanitarian relief.

But foreign countries demand transparency over how the aid is used, wary of writing blank checks to a government perceived by its own people as deeply corrupt. Some are concerned about the influence of Shi’ite movement Hezbollah, which is designated as a terrorist group by the United States.

Iranian Foreign Ministry spokesman Abbas Mousavi told a televised news conference on Monday that countries should refrain from politicizing the Beirut port blast. He called on the United States to lift sanctions against Lebanon.

Lebanese, meanwhile, are struggling to come to terms with the scale of losses. Entire neighborhoods were destroyed.

“It is very sad. We are burying people every day. Forty percent of my church have lost their businesses,” said a priest.

(Additional reporting by Beirut bureau Writing by Ghaida Ghantous; Editing by Mark Heinrich)

Beirut reels from huge blast as death toll climbs to at least 135

By Samia Nakhoul and Ellen Francis

BEIRUT (Reuters) – Lebanese rescue teams pulled out bodies and hunted for missing in the wreckage of buildings on Wednesday as investigations blamed negligence for a massive warehouse explosion that sent a devastating blast wave across Beirut, killing at least 135.

More than 5,000 other people were injured in Tuesday’s explosion at Beirut port, Health Minister Hamad Hassan said, and up to 250,000 were left without homes fit to live in after shockwaves smashed building facades, sucked furniture out into streets and shattered windows miles inland.

Hassan said tens of people remained missing. Prime Minister Hassan Diab declared three days of mourning from Thursday.

The death toll was expected to rise from the blast, which officials blamed on a huge stockpile of highly explosive material stored for years in unsafe conditions at the port.

The explosion was the most powerful ever to rip through Beirut, a city still scarred by civil war that ended three decades ago and reeling from an economic meltdown and a surge in coronavirus infections. The blast rattled buildings on the Mediterranean island of Cyprus, about 100 miles (160 km) away.

President Michel Aoun said 2,750 tonnes of ammonium nitrate, used in fertilizers and bombs, had been stored for six years at the port without safety measures, after it was seized.

In an address to the nation during an emergency cabinet session, Aoun said: “No words can describe the horror that has hit Beirut last night, turning it into a disaster-stricken city”.

He said the government was “determined to investigate and expose what happened as soon as possible, to hold the responsible and the negligent accountable.”

An official source familiar with preliminary investigations blamed the incident on “inaction and negligence”, saying “nothing was done” by committees and judges involved in the matter to order the removal of hazardous material.

The cabinet ordered port officials involved in storing or guarding the material since 2014 to be put under house arrest, ministerial sources told Reuters. The cabinet also announced a two-week state of emergency in Beirut.

‘COLLAPSE OF LEBANON’

Ordinary Lebanese, who have lost jobs and watched savings evaporate in Lebanon’s financial crisis, blamed politicians who have overseen decades of state corruption and bad governance.

“This explosion seals the collapse of Lebanon. I really blame the ruling class,” said Hassan Zaiter, 32, a manager at the heavily damaged Le Gray Hotel in downtown Beirut.

The health minister said the death toll had climbed to 135, as the search for victims continued after shockwaves from the blast hurled some of the victims into the sea.

Relatives gathered at the cordon to Beirut port seeking information on those still missing. Many of those killed were port and custom employees, people working in the area or those driving nearby during the Tuesday evening rush hour.

The Red Cross was coordinating with the Health Ministry to set up morgues as hospitals were overwhelmed. Health officials said hospitals were struggling with the big influx of casualties and were running out of beds and equipment to attend to the injured and those in critical condition.

Beirut’s Clemenceau Medical Center was “like a slaughterhouse, blood covering the corridors and the lifts,” said Sara, one of its nurses.

Beirut Governor Marwan Abboud told Al Hadath TV that collective losses after the blast might reach $10 billion to $15 billion, saying the estimate included both direct and indirect losses related to business.

“This is the killer blow for Beirut, we are a disaster zone,” said Bilal, a man in his 60’s, in the downtown area.

Offers of international support poured in. Gulf Arab states, who in the past were major financial supporters of Lebanon but recently stepped back because of what they say is Iranian meddling, sent planes with medical equipment and other supplies.

Turkey said it would send 20 doctors to Beirut to help treat the injured, as well as medical and relief assistance, Iraq pledged fuel aid while Iran offered food and a field hospital.

Iranian Supreme Leader Ayatollah Ali Khamenei said in a tweet: “We sympathize with the dear Lebanese citizens and stand by them in the painful tragedy of the Beirut port explosion…Patience in the face of this incident will be a golden leaf of honor for Lebanon.”

The United States, Britain, France and other Western nations, which have been demanding political and economic change in Lebanon, also offered aid. Germany, the Netherlands and Cyprus offered specialized search and rescue teams.

Two French planes were expected to arrive on Thursday with 55 rescuers, medical equipment and a mobile clinic. French President Emmanuel Macron will also visit Lebanon on Thursday. Other Arab and European countries are sending doctors, mobile hospitals and equipment.

‘CATASTROPHE’

For many it was a dreadful reminder of the 1975-1990 civil war that tore the nation apart and destroyed swathes of Beirut, much of which had since been rebuilt.

“This is a catastrophe for Beirut and Lebanon.” Beirut’s mayor, Jamal Itani, told Reuters while inspecting damage.

Officials did not say what caused the initial blaze at the port that set off the blast. A security source and media said it was started by welding work being carried out on a warehouse.

Taxi driver Abou Khaled said ministers “are the first that should be held accountable for this disaster. They committed a crime against the people of this nation with their negligence.”

The port district was left a tangled wreck, disabling the nation’s main route for imports needed to feed a nation of more than 6 million people.

Beirut Governor Abboud said amounts of available wheat were currently limited and he reckoned a crisis might develop without international intervention.

Lebanon had already been struggling to house and feed refugees fleeing conflict in neighboring Syria and has no trade or other ties with its only other neighbor Israel.

“On a scale, this explosion is scaled down from a nuclear bomb rather than up from a conventional bomb,” said Roland Alford, managing director of British explosive ordnance disposal firm Alford Technologies. “This is huge.”

The blast prompted the Special Tribunal for Lebanon on Wednesday to postpone its verdict in the trial over the 2005 bombing that killed ex-Prime Minister Rafik al-Hariri to Aug. 18. The tribunal’s decision had been expected this Friday.

The U.N.-backed court put on trial four suspects from the Iranian-backed Shi’ite Muslim group Hezbollah. Hariri and 21 others were killed by a big truck bomb in another area of the Beirut waterfront, about 2 km (about one mile) from the port.

(Reporting by Ayat Basma, Samia Nakhoul, Ellen Francis, Ghaida Ghantous, Alaa Swilam and Omar Fahmy; Additional reporting by Reuters bureaus; Writing by Tom Perry and Dominic Evans Editing by Edmund Blair and Mark Heinrich)

Crisis-weary Lebanon braces for Hariri tribunal verdict

By Tom Perry

BEIRUT (Reuters) – Fifteen years after a truck bomb killed Lebanon’s former Sunni leader Rafik al-Hariri in Beirut, triggering regional upheaval, a U.N.-backed court trying four suspects from Shi’ite Hezbollah delivers a verdict on Friday that could shake the country again.

The defendants, members of the powerful Iran-backed group, have been tried in absentia on charges of planning and arranging the 2005 bombing which killed the former prime minister who spearheaded Lebanon’s reconstruction after its long civil war.

Hariri’s assassination prompted mass protests in Beirut and a wave of international pressure which forced Syria to end its 29-year military presence in Lebanon after the U.N. investigator linked it with the bombing.

The assassination also inflamed political and sectarian tensions inside Lebanon and across the Middle East, particularly when investigators started probing potential Hezbollah links to the death of a politician who was backed by the West as well as Sunni Gulf Arab states opposed to Tehran.

Hezbollah, which is both a political party in Lebanon’s government and a heavily armed guerrilla group, denies any role in Hariri’s killing and dismisses the Netherlands-based tribunal as politicized.

Few expect the defendants to be handed over if convicted, but any guilty verdicts could pose a problem to the government and deepen rifts unresolved since the 1975-1990 civil war. The country is already reeling from the worst economic crisis in decades and a deepening COVID-19 outbreak.

Hezbollah has been designated a terrorist organization by the United States, Canada, Germany, Britain, Argentina and Honduras as well as the Sunni Muslim Gulf Cooperation Council (GCC), which includes Saudi Arabia, the UAE, Bahrain and Kuwait. The EU classifies Hezbollah’s military wing as a terrorist group, but not its political wing.

Hariri’s supporters, including his son Saad who subsequently also served as prime minister, say they are not seeking revenge or confrontation, but that the court verdict must be respected.

“We… look forward to August 7 being a day of truth and justice for Lebanon and a day of punishment for the criminals,” Saad Hariri said last week.

“AVOIDING STRIFE”

Hariri stepped down as prime minister in October after failing to address demands of protesters demonstrating against years of corruption by a ruling elite which has driven Lebanon to its current financial crisis.

His successor Hassan Diab, backed by Hezbollah and its allies, says the country must avoid further turmoil over the tribunal verdicts. “Confronting strife is a priority,” Diab tweeted last week.

In the Feb. 14, 2005 bombing, a truck laden with 3,000 kg of high-grade explosives blew up as Rafik Hariri’s motorcade passed Beirut’s waterfront Saint Georges hotel, killing him and 21 other people and leaving a huge crater in the road.

Salim Jamil Ayyash, Hassan Habib Merhi, Assad Hassan Sabra and Hussein Hassan Oneissi are charged with conspiracy to commit a terrorist attack. Ayyash is charged with committing a terrorist act, homicide and attempted homicide.

Prosecutors said data culled from telephone networks showed that the defendants called each other from dozens of mobile phones to monitor Hariri in the months before the attack and to coordinate their movements on the day itself.

The men have not been seen in public for years.

Hezbollah has often questioned the tribunal’s integrity and neutrality, saying its work had been tainted by false witnesses and reliance on telephone records that Israeli spies arrested in Lebanon could have manipulated.

“It is Hezbollah’s right to have doubts about the court, which transformed into political score-settling far from the truth,” said Salem Zahran, an analyst with links to Hezbollah leaders. Any verdict “has no value” to the group, he said.

Nabil Boumonsef, deputy editor-in-chief of Lebanon’s An-Nahar newspaper, said neither Saad Hariri nor Hezbollah chief Sayyed Hassan Nasrallah wanted to escalate tensions.

But he expected Hariri to call for the defendants to be handed over if found guilty – which would leave Hezbollah on the defensive politically despite its military strength. If the group refused to surrender them it could put the government which it helped put together in difficulty.

As it tries to tackle the deep economic crisis, a guilty verdict could also jeopardise Lebanon’s efforts, which have been supported by France, to win international aid.

“France… will have to take a position on Hezbollah after the verdict comes out on Aug. 7,” Boumonsef said.

France hosted a donor meeting in Paris in 2018 when Beirut won more than $11 billion in pledges for infrastructure investment. Foreign Minister Jean-Yves Le Drian told Lebanese leaders in Beirut last month that Paris was ready to mobilize international support if Lebanon moved ahead with reform.

(Writing by Dominic Evans; editing by Philippa Fletcher)

Hezbollah leader says Israel turns attention to hitting missile-making sites in Syria

BEIRUT (Reuters) – Hezbollah leader Sayyed Hassan Nasrallah said on Wednesday that Israel is now concentrating its attacks in Syria on missile-manufacturing sites.

Israel has conducted many raids inside Syria since the start of the civil war in 2011. It sees the presence of Hezbollah and its ally Iran there as a strategic threat.

The heavily armed Lebanese Shi’ite movement has played a vital role in the war, helping Syrian President Bashar al-Assad reclaim much of the country.

In rare comments on Israeli attacks in Syria, Nasrallah said that with Assad firmly in control, Israel has turned its attention more recently to striking Syrian targets for precision missile manufacturing seen as a threat.

He denied that Israeli airstrikes have pushed either Hezbollah or Iran to retreat from Syria, calling Israel’s insistence that they have done so “imaginary victories”.

Israeli Defense Minister Naftali Bennett said in April that the Israeli military was working to drive Tehran out of Syria.

(Reporting by Laila Bassam; Additional reporting by Rami Ayyub; Writing by Eric Knecht; Editing by Jon Boyle and Angus MacSwan)

As protests rock Baghdad and Beirut, Iran digs in

As protests rock Baghdad and Beirut, Iran digs in
BEIRUT/BAGHDAD (Reuters) – As governments in Iraq and Lebanon stagger and stumble under huge waves of popular protest, powerful factions loyal to Iran are pushing to quash political upheaval which challenges Tehran’s entrenched influence in both countries.

Lebanon’s Prime Minister Saad al-Hariri has resigned and the government of Iraq’s Prime Minister Adel Abdul Mahdi has been pushed to the brink of collapse.

Both governments have enjoyed backing from the West. But they have also relied on the support of political parties affiliated with powerful Iran-backed Shi’ite armed groups, keeping allies of Tehran in key posts.

That reflects the relentless rise of Iranian influence among Shi’ite communities across the Middle East, since Tehran formed the militant group Hezbollah in Lebanon in 1982 and after Saddam Hussein was toppled in Iraq in 2003.

Both Iraq and Lebanon have government systems designed to end sectarian conflict by guaranteeing a share of power to parties that represent different communities. In both countries, leading Shi’ite groups are closely associated with Iran, and have held on to weapons outside the official security forces.

Protesters are now challenging those power structures, which Iraqis and Lebanese blame for corruption, the dire state of public services and the squandering of national wealth, which Iraq brings in from oil and Lebanon from foreign backing.

WHO IS BEHIND THE PROTESTS?

Unusually in both countries where sectarian parties have previously dominated politics, most protesters are not linked to organized movements. In both countries they have called for the kind of sweeping change seen in the 2011 Arab uprisings, which brought down four Arab leaders but bypassed Lebanon and Iraq.

In Lebanon, demonstrations flared in late September against bad economic conditions as the country grappled with a deepening financial crisis. Nationwide protests broke out two weeks later against government plans to raise a new tax on calls using popular mobile phone software such as WhatsApp.

In Iraq, demonstrations began in Baghdad and quickly spread to the southern Shi’ite heartland.

WHAT IS AT STAKE?

In Iraq, the protests have taken place on a scale unseen since Saddam’s overthrow, with sweeping demands for change. The authorities have responded with a violent crackdown which left more than 250 people dead, many killed by snipers on rooftops firing into crowds.

“The fact that you were seeing that level of mobilization makes the protests more dangerous in the perception of the political elite,” said Renad Mansour, Iraq analyst at London-based Chatham House.

The mainly Iran-backed militias view the popular protests as an existential threat to that political order, Mansour said.

In Lebanon, the demonstrations come at a time of economic crisis widely seen as the worst since the 1975-1990 civil war. If Hariri’s resignation prolongs the political paralysis it will jeopardize prospects of rescue funding from Western and Gulf Arab governments.

HOW HAVE IRAN’S ALLIES RESPONDED?

Hezbollah leader Sayyed Hassan Nasrallah initially addressed the Lebanon protesters sympathetically, echoing Hariri’s conciliatory stance, before changing tone and accusing foreign powers of instigating the unrest. People loyal to Hezbollah and the Shi’ite movement Amal attacked and destroyed a protest camp in Beirut.

Hariri announced his resignation shortly afterwards despite pressure from Hezbollah, widely seen as the most powerful player in Lebanon, not to concede to the protests.

In the absence of an obvious replacement for Hariri, Hezbollah, which is under U.S. sanctions, faces a predicament. Although Hezbollah and its allies have a majority in parliament, they cannot form a government on their own because they would face international isolation, said Nabil Boumonsef, a commentator with Lebanon’s an-Nahar newspaper.

“It would be the quickest recipe for financial collapse. The whole world will be closed to them.”

In Baghdad, Abdul Mahdi’s government was saved for now after apparent Iranian intervention. Reuters reported this week that Qassem Soleimani, the head of the elite Quds force of Iran’s Revolutionary Guards, which sponsors Tehran’s allies abroad, flew to Baghdad for a secret meeting at which a powerful Shi’ite party agreed to keep the prime minister in office.

Iraqi security officials have said that snipers who shot down from rooftops at crowds last month were deployed by Iran-backed militias.

WHAT ARE THE LIMITS OF IRANIAN INFLUENCE?

While Shi’ite militia forces project unambiguous power, Iran’s political weight is often deployed behind the scenes.

In Lebanon, a longstanding accord on power-sharing means no single confession can dominate state institutions. For all its prominence, Hezbollah picked only three ministers in Hariri’s last cabinet.

“A winner-takes-all mentality just does not work in Lebanon,” said Nadim Houry, executive director of the Arab Reform Initiative, who said Hezbollah may have miscalculated by employing “scare tactics” against the protesters.

“This goes against the grain of Lebanese politics. They are going to have to compromise.”

In Iraq too “Iran has more influence than any other country … but it doesn’t have control over what happens there,” says Crisis Group’s Iran project director Ali Vaez.

WHAT IS THE INTERNATIONAL RESPONSE?

In Iraq it is too early to say. Tehran’s main rival, the United States, has so far kept mostly quiet on the protests, probably waiting to see the outcome.

In Lebanon, which urgently needs outside funding to keep its economy afloat, Tehran’s international foes have used their financial clout to challenge its influence more directly. Before he quit, Hariri failed to convince foreign donors to release $11 billion in aid pledged last year, in part because of Hezbollah’s prominence.

Wealthy Sunni Gulf Arab states, engaged in a proxy conflict with Iran across the region, had long funded Beirut, but Saudi Arabia cut back support sharply three years ago, saying Hezbollah had “hijacked” the Lebanese state.

Gulf Arab countries and the United States have coordinated moves against Iranian-linked targets with sanctions on 25 corporations, banks and individuals linked to Iran’s support for militant networks including Hezbollah.

“Gulf Arab states are bound by sanctions. Hezbollah are an integral part of the (Lebanese) government,” a Gulf source said. “Nobody has given up on Lebanon” but “the system is broken… Improvements need to be seen on several fronts, including fiscal discipline.”

Two U.S. officials said this week that President Donald Trump’s administration is withholding $105 million in security aid for Lebanon.

(Reporting by Reuters correspondents in Baghdad, Beirut and Dubai; writing by Dominic Evans; Editing by Samia Nakhoul and Peter Graff)

Seven countries issue Iran-related sanctions on 25 targets

Seven countries issue Iran-related sanctions on 25 targets
WASHINGTON (Reuters) – The United States and six other countries imposed sanctions on Wednesday on 25 corporations, banks and people linked to Iran’s support for militant networks including Hezbollah, the U.S. Treasury Department said in a statement.

The targets were announced by the Terrorist Financing Targeting Center (TFTC) nations – which also include Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates – as Treasury Secretary Steve Mnuchin was on a Middle East trip to finalize details of an economic development plan for the Palestinians, Jordan, Egypt and Lebanon.

All 25 targets were previously sanctioned by the United States.

“The TFTC’s action coincides with my trip to the Middle East, where I am meeting with my counterparts across the region to bolster the fight against terrorist financing,” Mnuchin said in the Treasury statement.

In Jerusalem on Monday, Mnuchin said the United States would increase economic pressure on Iran over its nuclear program, making the pledge during a Middle East trip that includes visits to U.S. allies Israel and Saudi Arabia.

Sanctions reimposed on Tehran by President Donald Trump after he withdrew the United States from world powers’ 2015 nuclear pact with Tehran have dried up Iranian oil revenues and cut Iranian banks’ ties to the financial world.

Twenty-one of the targets announced Wednesday comprised a vast network of businesses providing financial support to the Basij Resistance Force, the Treasury said.

It said shell companies and other measures were used to mask Basij ownership and control over multibillion-dollar business interests in Iran’s automotive, mining, metals, and banking industries, many of which have operate across the Middle East and Europe.

The four individuals targeted were Hezbollah-affiliated and help coordinate the group’s operations in Iraq, it said.

(Reporting by Doina Chiacu and Daphne Psaledakis; editing by Jonathan Oatis)

Prime Minister Hariri resigns as Lebanon crisis turns violent

Prime Minister Hariri resigns as Lebanon crisis turns violent
BEIRUT (Reuters) – Saad al-Hariri resigned as Lebanon’s prime minister on Tuesday, declaring he had hit a “dead end” in trying to resolve a crisis unleashed by huge protests against the ruling elite and plunging the country deeper into turmoil.

The move by the leading Sunni politician points to rising political tensions that may complicate the formation of a new government able to tackle Lebanon’s worst economic crisis since its 1975-90 civil war.

The resignation of Hariri, who has been traditionally backed by the West and Sunni Gulf Arab allies, raises the stakes and pushes Lebanon into an unpredictable cycle. Lebanon could end up further under the sway of the Iranian-backed Hezbollah, making it even harder to attract badly-needed foreign investment.

It also defies Hezbollah, which had wanted him to stay on. Hariri is seen as the focal point for Western and Gulf Arab aid to Lebanon, which is in dire need of financial support promised by these allies.

Hariri addressed the nation after a mob loyal to the Shi’ite Muslim Hezbollah and Amal movements attacked and destroyed a protest camp set up by anti-government demonstrators in Beirut.

It was the most serious strife on the streets of Beirut since 2008, when Hezbollah fighters seized control of the capital in a brief eruption of armed conflict with Lebanese adversaries loyal to Hariri and his allies.

Lebanon has been paralyzed by the unprecedented wave of protests against the rampant corruption of the political class.

“For 13 days the Lebanese people have waited for a decision for a political solution that stops the deterioration (of the economy). And I have tried, during this period, to find a way out, through which to listen to the voice of the people,” Hariri said.

“It is time for us to have a big shock to face the crisis,” he said. “To all partners in political life, our responsibility today is how we protect Lebanon and revive its economy.”

President Michel Aoun, a political ally of Hezbollah, could now either accept Hariri’s resignation and begin consultations toward forming a new government, or ask him to rethink.

It took nine months to form the Hariri coalition cabinet that took office in January.

Some demonstrators vowed to stay in the street.

Protester Tarek Hijazi said the resignation was “a first step in building a patriotic democratic country, on the road to achieving the demands of the Oct. 17 uprising”.

The turmoil has worsened Lebanon’s acute economic crisis, with financial strains leading to a scarcity of hard currency and a weakening of the pegged Lebanese pound. Lebanese government bonds tumbled on the turmoil.

TENTS ON FIRE

On the streets of Beirut, black-clad men wielding sticks and pipes attacked the protest camp that has been the focal point of countrywide rallies against the elite.

Sayyed Hassan Nasrallah, head of the heavily armed, Iran-backed Hezbollah, said last week that roads closed by protesters should be reopened and suggested the demonstrators were financed by its foreign enemies and implementing their agenda.

Smoke rose as some of the protester tents were set ablaze by Hezbollah and Amal supporters, who earlier fanned out in the downtown area of the capital shouting “Shia, Shia” in reference to themselves and cursing anti-government demonstrators.

“With our blood and lives we offer ourselves as a sacrifice for you Nabih!” they chanted in reference to Parliament Speaker Nabih Berri, head of the Amal Movement. “We heed your call, we heed your call, Nasrallah!” they chanted.

Security forces did not initially intervene to stop the assault, in which protesters were hit with sticks and were seen appealing for help as they ran, witnesses said. Tear gas was eventually fired to disperse the crowds.

Hariri did not refer to the violence in his address but urged all Lebanese to “protect civil peace and prevent economic deterioration, before anything else”.

France, which has supported Hariri, called on all Lebanese to help guarantee national unity.

LEBANESE POUND UNDER PRESSURE

Lebanon’s allies last year pledged $11 billion in financing to help it revive its economy, conditional on reforms that Hariri’s coalition government has largely failed to implement.

But there has been no sign of a rush to help.

A senior U.S. State Department official said last week this was not a situation where the Lebanese government should necessarily get a bailout, saying they should reform first.

Banks were closed for a 10th day along with schools and businesses.

Hariri last week sought to defuse popular discontent through a batch of reform measures agreed with other groups in his coalition government, including Hezbollah, to – among other things – tackle corruption and long-delayed economic reforms.

But with no immediate steps toward enacting these steps, they did not placate the demonstrators.

Central bank governor Riad Salameh called on Monday for a solution to the crisis in just days to restore confidence and avoid a future economic meltdown.

A black market for U.S. dollars has emerged in the last month or so. Three foreign currency dealers said a dollar cost 1,800 pounds on Tuesday, weakening from levels of 1,700 and 1,740 cited on Monday.

The official pegged rate is 1,507.5 pounds to the dollar.

“Even if the protesters leave the streets the real problem facing them is what they are going to do with the devaluation of the pound,” said Toufic Gaspard, an economist who has worked as an adviser to the IMF and to the Lebanese finance minister.

“A very large majority of the Lebanese income is in the Lebanese pound, their savings are in the Lebanese pound and their pension is in Lebanese, and it is certain it has already started to devalue,” he said.

(Reporting by Eric Knecht, Laila Bassam, Ellen Francis, Tom Perry, Lisa Barrington, Samia Nakhoul and Reuters TV; Writing by Tom Perry; Editing by Mark Heinrich)

Netanyahu: Israel ready for any scenario after Hezbollah clash

Israeli Prime Minister Benjamin Netanyahu looks on as he arrives to review an honor guard with his Ethiopian counterpart Abiy Ahmed during their meeting in Jerusalem September 1, 2019. REUTERS/Ronen Zvulun

By Ari Rabinovitch and Ellen Francis

JERUSALEM/BEIRUT (Reuters) – Prime Minister Benjamin Netanyahu said on Sunday that Israel was prepared for any scenario after a cross-border clash with Lebanon’s Hezbollah, but neither side seemed eager for another conflict.

Israel’s military said anti-tank missiles from Lebanon targeted an army base and vehicles. It responded with fire into southern Lebanon, after a week of growing tension raised fears of a new war with long-time enemy Hezbollah.

The Iran-backed Hezbollah movement said its fighters destroyed an Israeli military vehicle, killing and wounding those inside. Israel said there were no casualties.

Netanyahu, whose re-election campaign ahead of a poll less than three weeks away could have been complicated by war in the north, signaled business as usual after the hostilities erupted along the frontier with Lebanon.

The Israeli leader kept to his regular schedule, commenting on the security situation, in Hebrew only, at the start of a meeting with Honduras’ visiting president, and did not take questions from reporters.

“We were attacked by a few anti-tank missiles. We responded with 100 shells, aerial fire and various measures. We are in consultations about what’s to come,” Netanyahu said.

“I have given instructions to be prepared for any scenario, and we will decide on what’s next depending on how things develop,” he said, almost dismissively, in a departure from his usually much tougher language toward Israel’s enemies.

“I can make an important announcement – we have no casualties, no wounded, not even a scratch.”

The U.N. peacekeeping force on the frontier said calm had returned to the region at night. The United Nations Interim Force in Lebanon (UNIFIL) also said it had urged both sides to “exercise utmost restraint to prevent any further escalation.”

The two sides fought a month-long war in 2006 after Hezbollah captured two Israeli soldiers in a cross-border raid.

Israel has been on alert for a confrontation with Hezbollah for the past week after two drones crashed in Beirut’s southern suburbs, with one of them exploding. Security officials in the region have described the target as linked to precision-guided missile projects.

Any new war between Israel and Hezbollah would raise the risk of a wider conflict in the Middle East, where Iran has defied U.S. attempts to force it to renegotiate a 2015 nuclear deal it reached with world powers.

At the same time, Israel is alarmed by Tehran’s growing influence in the region through militia allies such as Hezbollah in countries such as Syria.

In Iraq, powerful Iranian-backed militias have blamed a series of recent blasts at their weapons depots on Israel and the United States.

Hezbollah said the operation on Sunday was carried out by a unit named after two of its fighters who were killed by an Israeli airstrike inside Syria last week.

An Iranian security official was cited as saying the Hezbollah attack on Sunday was “a reciprocal measure”.

Hezbollah leader Hassan Nasrallah said on Saturday night that field commanders were ready to respond to last week’s drone attack, which he blamed on Israel. But like Netanyahu, Nasrallah has not indicated Hezbollah was seeking full-scale war.

Amid the threats, Israel had moved extra forces into the border region, which was largely quiet since the 2006 war.

Without claiming responsibility for the Beirut drone attack, the Israeli military has published what it said were details about an extensive Iranian-sponsored campaign to provide Hezbollah with the means to produce precision-guided missiles.

Such missiles could potentially pose a counter-balance to Israel’s overwhelming military force in any future war, with the capacity to home in on and knock out core infrastructure sites.

Nasrallah says Hezbollah has enough of the missiles, dismissing claims that it has factories to produce the weapons.

(Writing by Michael Georgy; Editing by Jane Merriman and Mark Potter)