Iran is blocking letters of credit (L/Cs) for companies from South Korea, Britain, Argentina and the Czech Republic, according to newspaper reports in those countries.

All four countries last month voted for a resolution at the International Atomic Energy Agency (IAEA) finding Teheran in 'non-compliance' with the nuclear non-proliferation treaty.

British punishment

Britain's Daily Telegraph describes how Iran is 'punishing' Britain with an undeclared ban on imports, not only because of the nuclear issue, but also because Teheran says British forces have been involved in a series of bombings near the southern border with Iraq.

"Some companies have reported difficulties even though the Iranian ministry of commerce says there are no new restraints," the newspaper quotes a Foreign Office spokesman as saying. "We are looking into this and we will be discussing the situation with British companies and the Iranian authorities," he added.

Privately, however, the Daily Telegraph says British officials are certain a ban is in force, with British goods held up at customs and the Iranian authorities declining applications for L/Cs for British imports.

Korea targeted

A similar policy has affected goods from IAEA board member South Korea according to the Seoul Times.

It says that Iran is blocking L/Cs and reports that South Korea's Vice Foreign Minister Lee Kyu-hyung is heading for Iran to meet Iranian government leaders to demand that its restrictions on imports from South Korea be lifted immediately.

Commercial concerns

Private businesses in Iran, particularly those importing from countries against which the authorities appear to be taking action, are reported to be concerned about the restrictions.

Iran's presidential chief of staff however declined to confirm the import bans but implied that Iran was prepared to intervene in commercial relations for political reasons. "Political relations and views definitely have an impact on economic relations," Gholamhossein Elham told the semi-official ISNA news agency.

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