Part Iran-Owned NYC 5th Avenue Office Tower Worth Up to $700 Million Cleared
****

for Seizure by U.S. Government****

September 17, 2013 2:10 pm 0 comments          ****

Author:****

Joshua Levitt****

http://www.algemeiner.com/2013/09/17/part-iran-owned-nyc-5th-avenue-office-tower-worth-up-to-700-million-cleared-for-seizure-by-u-s-government/
****

** **

****

** **

A 36-story Manhattan office tower part owned through a shell company by the*
***

Iranian government has been cleared for forfeiture to the U.S. government by
****

a federal judge, the Associated Press reported on Tuesday. The building is**
**

expected to fetch between $500 million and $700 million, the New York Daily*
***

News reported.****

** **

U.S. District Judge Katherine Forrest made the forfeiture finding in a case*
***

first brought by the U.S. government in 2008, ruling that the building is***
*

subject to forfeiture because revenue from it was secretly funneled to a****

state-owned Iranian bank, in violation of a U.S. trade embargo.****

** **

The U.S. government, on behalf of the Asset Forfeiture Unit and Terrorism***
*

and National Security Unit of the United States Attorney's Office, argued***
*

that the official owner, the Alavi Foundation, was partnered with a shell***
*

company controlled by Bank Melli, the state-owned bank of Iran. Because the*
***

Iranian government has been designated by the U.S. as a sponsor of****

international terrorism, its assets in the U.S. can be seized by the****

government to fund restitution to terror victims.****

** **

Judge Forrest agreed that monetary transfers by the shell company, Assa Co.,
****

to Bank Melli violated money laundering statutes.****

** **

"There is substantial, un-contradicted evidence that Assa is owned and****

controlled by Bank Melli, and that Bank Melli is wholly owned and controlled
****

by Iran," the judge said.****

** **

The Associated Press reported that the judge rejected Alavi's "core****

defense," because many of the Alavi board members who were involved in the**
**

creation of Assa as a front for Bank Melli in 1989 remained with or returned
****

to positions with Alavi after 1995, when Iran was designated as a sponsor of
****

terror.****

** **

"The Government argues that Alavi asserts a sort of collective amnesia," the
****

judge said. "The court finds the analogy apt and its reality implausible. No
****

rational juror could believe in such extraordinary amnesia."****

** **

The building, at 650 Fifth Avenue, was built in the 1970s on property****

acquired by a not-for-profit corporation formed in New York by then Iranian*
***

leader Shah Mohammad Reza Pahlavi, who was overthrown in 1979.****

** **

"The alleged money laundering occurred when the partnership, Alavi, and Assa
****

Corp. distributed the rent with the intent to conceal that it was meant for*
***

the benefit of the Iranian government and caused partnership funds to be****

transferred abroad," the judge wrote. "Having engaged in a money laundering*
***

violation, the entirety of the 650 Fifth Avenue Building (the business****

premises) and all of the associated bank accounts are subject to forfeiture*
***

- even if they were not used in the money laundering offense itself."****

** **

Prosecutors told the Daily News they believe the decision to be "the largest
****

real property forfeiture" in U.S. history. They intend to hand over the bulk
****

of any proceeds derived from the forfeiture to relatives of people who died*
***

in Iran-aided terror attacks, including 9/11 and the 1993 bombing of a****

Marine Corps barracks in Beirut that killed 241 U.S. servicemen, the Daily**
**

News said.****

** **

The decision is subject to a potential appeal, but if the forfeiture moves**
**

forward soon, the timing could generate substantial gains for terror****

victims, because of the rising prices of Manhattan office property in****

today's market, the Daily News reported.****

** **

Commercial real estate appraiser Dan Fasulo said the office tower could****

fetch up to $2,000 a foot, as much as the nearby General Motors Building,***
*

and could reach a total sale value of $700 million.****

** **

The building, at Fifth Avenue and 52nd Street, totals 380,000 square feet***
*

and leases retail space to Juicy Couture and Godiva.****

** **

==========================================****

(F)AIR USE NOTICE: All original content and/or articles and graphics in this
****

message are copyrighted, unless specifically noted otherwise. All rights to*
***

these copyrighted items are reserved. Articles and graphics have been placed
****

within for educational and discussion purposes only, in compliance with****

"Fair Use" criteria established in Section 107 of the Copyright Act of 1976.
****

The principle of "Fair Use" was established as law by Section 107 of The****

Copyright Act of 1976. "Fair Use" legally eliminates the need to obtain****

permission or pay royalties for the use of previously copyrighted materials*
***

if the purposes of display include "criticism, comment, news reporting,****

teaching, scholarship, and research." Section 107 establishes four criteria*
***

for determining whether the use of a work in any particular case qualifies**
**

as a "fair use". A work used does not necessarily have to satisfy all four**
**

criteria to qualify as an instance of "fair use". Rather, "fair use" is****

determined by the overall extent to which the cited work does or does not***
*

substantially satisfy the criteria in their totality. If you wish to use****

copyrighted material for purposes of your own that go beyond 'fair use,' you
****

must obtain permission from the copyright owner. For more information go to:
****

http://www.law.cornell.edu/uscode/17/107.shtml ****

** **

THIS DOCUMENT MAY CONTAIN COPYRIGHTED MATERIAL. COPYING AND DISSEMINATION IS
****

PROHIBITED WITHOUT PERMISSION OF THE COPYRIGHT OWNERS.****

** **

****

** **

** **

** **

** **


__._,_.___






__,_._,___

-- 
-- 
Thanks for being part of "PoliticalForum" at Google Groups.
For options & help see http://groups.google.com/group/PoliticalForum

* Visit our other community at http://www.PoliticalForum.com/  
* It's active and moderated. Register and vote in our polls. 
* Read the latest breaking news, and more.

--- 
You received this message because you are subscribed to the Google Groups 
"PoliticalForum" group.
To unsubscribe from this group and stop receiving emails from it, send an email 
to [email protected].
For more options, visit https://groups.google.com/groups/opt_out.

Reply via email to