Hajj Hassan Tells Cabinet 'Red Line' Crossed as Banks Reportedly Suspend 2 Hizbullah MPs' Accounts

A Hizbullah minister warned during a cabinet session Thursday that a “red line” was crossed, after two Lebanese banks reportedly suspended three Hizbullah-linked accounts in conformity with a U.S. sanctions law.

“Two Lebanese banks have suspended the accounts of two Loyalty to Resistance bloc MPs and the account of the daughter of an ex-MP who was in the bloc,” MTV and LBCI reported.

Commenting on the banks' measures during the cabinet session, Industry Minister Hussein al-Hajj Hassan of Hizbullah warned that “a red line has been crossed” and that “the U.S. sanctions shall not pass,” the TV networks said.

Reciting an official statement after the session, Information Minister Ramzi Jreij said “following extensive discussions, the cabinet decided to task the prime minister with following up on the issue with the central bank governor in coordination with the finance minister who is in the picture of the contacts and the taken measures.”

“The cabinet will be informed of the developments when needed,” Jreij added.

Earlier in the day, Hizbullah's parliamentary bloc said that U.S. sanctions on banks that knowingly do business with the group could threaten Lebanon's financial sector, hinting that supporters may withdraw their money from local banks.

The bloc, known as Loyalty to the Resistance, also criticized Lebanon's central bank for saying it would abide by the U.S. law, which came into effect last month and which the Hizbullah lawmakers said violates Lebanon's sovereignty.

The bloc said the central bank and private banks would be participating in "a war of exclusion" against the group by upholding the law.

Central Bank governor Riad Salameh has said the bank will abide by the restrictions in the Hizbullah International Financing Prevention Act, which was signed into law in December.

The U.S. regulations say Washington will target those "knowingly facilitating a significant transaction or transactions for" Hizbullah or any individual, business or institution linked to the group.

Those under sanctions include Hizbullah leader Sayyed Hassan Nasrallah and top commander Mustafa Badreddine as well as some businessmen. The list also includes the group's al-Manar TV and al-Nour Radio.

Nasrallah said last year that his group won't be affected by the law because it doesn't deal with Lebanese or foreign banks. But a large network of social and educational organizations associated with Hizbullah provide services to its supporters and other Lebanese, and deal directly with the government.

When asked last month whether banks dealing with Hizbullah Cabinet ministers or legislators who get paid by the state would be affected, Central Bank Governor Salameh told The Associated Press that the law does not mention salaries.

Lebanese officials and lawyers say the impact of the law on the country's economy remains unclear.

U.S. Treasury officials are expected in Lebanon later this month to discuss its implementation.

Y.R.