Iran declares Ayandeh Bank bankrupt amid sanctions
Iran shut down Ayandeh Bank and transferred its operations to state-owned Melli Bank after the private lender incurred losses totaling $5.2 billion. The central bank ordered the takeover and promised depositors could withdraw their funds from the 270-branch network that served customers across the country.
Police monitored long lines of concerned account holders outside a former Ayandeh branch in Tehran on Saturday as Melli Bank completed the absorption. Economy Minister Ali Madanizadeh told customers on Thursday that they had no reason to worry about their savings.
The United Nations reimposed severe economic restrictions on Iran in September after diplomatic efforts to restart nuclear negotiations collapsed. Israeli and American forces attacked Iranian nuclear sites in June, ending talks that began months earlier.
The measures restore penalties suspended in 2015 when Tehran accepted limits on its atomic program under an agreement brokered by then-President Barack Obama. Washington had already reimposed heavy sanctions after President Donald Trump abandoned the accord in his first term.
