Reza Zarrab Claims He Paid Bribe for Release from Turkish Prison

Reza Zarrab, an Iranian-Turkish businessman who was arrested in the United States for allegedly helping to circumvent sanctions against Iran, testified in the fourth court session in New York that he had paid a bribe to be released from prison in Turkey in the winter of 2014. Zarrab testified on December 4 that he had bribed officials in February 2014 and was released from Turkish prison. He did not disclose the amount of the bribe or the identity of the recipient. The Turkish government has not yet reacted to these statements, although its president had previously stated that American courts 'can never judge our country.' As Zarrab continued his testimony in New York, following reports of his cooperation with prosecutors, the court held its fourth session. This Iranian-Turkish businessman accused the current president of Turkey last Thursday of having 'issued a permit to circumvent U.S. sanctions against Iran.' Zarrab claims he collaborated with the state bank 'Halk' to advance the interests of the Iranian government while sanctions were in place, and this collaboration continued both before his arrest in 2013 and after his release, until he was ultimately arrested in the United States in 2016. Mehmet (Muhammad) Hakan Atilla, a former executive of Halkbank, is the only other person in this case who has been arrested in the U.S. Zarrab stated in court that Atilla continued his actions to circumvent sanctions after the Turkish government ended corruption cases in the country and released this bank executive. Atilla has denied these allegations. Halkbank has also stated that all of its financial transactions were conducted in accordance with Turkish domestic laws and international regulations. Atilla's lawyer accused prosecutors in a letter to Judge Richard Berman of improperly delaying the submission of evidence that could have helped his client. According to Atilla's lawyer, this evidence shows that Zarrab has become inclined to lie in exchange for leniency in the final ruling. Atilla's lawyers have stated that Zarrab claimed in a phone call last year, 'You must confess to crimes you did not commit' to reduce the severity of the punishment. A summary of the phone call from December 2 (three days ago) has been provided to the lawyers. The prosecution has not reacted to these statements. One of Zarrab's lawyers responded to these remarks, stating that his client 'is aware of his obligations to provide completely truthful testimony.' The U.S. prosecution has accused Reza Zarrab, born in Iran, of helping the Iranian government and entities transfer hundreds of millions of dollars in assets to circumvent sanctions between 2010 and 2015. According to the U.S. prosecution, he and Mehmet Hakan Atilla laundered Iran's oil and gas revenues, which violates U.S. sanctions. In addition to these two individuals who have been arrested in the U.S., seven others are also accused in this case. Zarrab is currently present in court as a witness after agreeing to cooperate with prosecutors. The Turkish government claims that this trial is an action by the U.S. to weaken Turkey and its economy. Ankara has repeatedly emphasized that this case is 'a clear conspiracy' by supporters of Fethullah Gülen, a critic of Erdoğan, whom Ankara accuses of orchestrating last year's failed coup. Gülen has denied these allegations.