Court of Audit Confirms Complete Dismissal of Valiollah Seif from Service

The official news agency of Iran's judiciary reported the confirmation of the "dismissal from service" of Valiollah Seif, the former head of the Central Bank of Iran, stating that he "cannot even be an advisor to Hassan Rouhani" for this reason. The Court of Audit announced in October of this year that the prosecutor of this court had found the "violations" of the Central Bank to be established and ruled for the dismissal of the head of the Central Bank and his deputies in Bahman 1396 (January-February 2018). Following Seif's objection, this ruling was reviewed again in the appellate stage of the Court of Audit and, according to the official news agency of the judiciary, was confirmed again on 29 Aban 1402 (November 20, 2023). Seif, who was dismissed from his position on August 3 due to severe fluctuations in Iran's currency market, was appointed as an "advisor to the President on monetary and banking affairs" in September of the same year. On October 2 of this year, Gholamhossein Mohseni Ejei, the spokesperson for the judiciary, announced that Valiollah Seif had been banned from leaving the country and was under "investigation." He had previously stated that after the arrest of Ahmad Iraqi, the former deputy for currency affairs, Seif's involvement in the currency market turmoil had also come to light, and that some financial institutions had filed complaints against him, leading to an open case against him in this regard. Seif himself had reported in Azar 1396 (November-December 2017) that in disputes between the Central Bank and unauthorized financial institutions, courts had ruled in favor of these institutions in some cases. According to Mizan, "Given the confirmation of Seif's dismissal ruling in the appellate stage, he cannot be an advisor to Hassan Rouhani on monetary and banking affairs." Recently, Seif defended his actions during his management of the Central Bank in an interview, stating that the Central Bank was "merely the executor of government resolutions and could not have independent policymaking from government resolutions." Seif told Donya-e-Eqtesad newspaper that it was "predictable for the Central Bank that 1396 (2017-2018) would be a difficult year, especially the second half accompanied by an increase in the exchange rate," and that "necessary warnings had been given to the government and other officials, but there was insistence on maintaining the exchange rate within a specific range." The former head of the Central Bank believes that the government did not respond to these warnings as the Central Bank had expected. According to Valiollah Seif, he intended to present the Central Bank's position on various issues transparently and candidly, which sometimes led to disagreements with Hassan Rouhani. Alongside the rise in the exchange rate, gold coins, cars, and household appliances, Seif attributed the increase in gold coin prices in the market to "psychological issues" and "exaggeration of certain matters." These statements by Seif and his overall performance regarding exchange rate control have been criticized not only by official conservative figures and some members of parliament but also by social media users, putting pressure on Rouhani's government for this reason.