Ties Between Iran, South Korea Shaken over Frozen Funds

The South Korean ambassador to Tehran announced the delivery of $1.2 million worth of medication to help Iran fight the coronavirus outbreak. Photo: South Korean Embassy's Twitter account
The South Korean ambassador to Tehran announced the delivery of $1.2 million worth of medication to help Iran fight the coronavirus outbreak. Photo: South Korean Embassy's Twitter account
TT
20

Ties Between Iran, South Korea Shaken over Frozen Funds

The South Korean ambassador to Tehran announced the delivery of $1.2 million worth of medication to help Iran fight the coronavirus outbreak. Photo: South Korean Embassy's Twitter account
The South Korean ambassador to Tehran announced the delivery of $1.2 million worth of medication to help Iran fight the coronavirus outbreak. Photo: South Korean Embassy's Twitter account

Relations between Iran and South Korea have been shaken over funds frozen because of US sanctions.

Iran called on Friday for South Korea to release billions of dollars in frozen funds.

“South Korea’s ban on Iran’s use of its central bank resources to buy basic goods, medicine and humanitarian items is in no way acceptable, and we expect the South Korean government to lift this restriction as soon as possible,” President Hassan Rouhani said, in remarks carried by state news agency IRNA.

He instructed the head of the Iranian central bank to follow up the matter through legal channels and international forums, IRNA said, according to Reuters.

Rouhani did not cite a figure for the frozen funds, but the news agency Borna quoted Hossein Tanhayi, head of the Iran-South Korea chamber of commerce, as saying between $6.5 billion and $9 billion belonging to Iran was blocked in South Korean banks.

“Iran intends to take legal action against this ..., but this is not an easy path and it is time-consuming,” Tanhayi said.

South Korea’s imports of Iranian oil have been zero since May 2019, when the United States revoked waivers which had allowed some countries to continue buying Iranian oil without falling foul of US sanctions.

The United States re-imposed sanctions on Iran in 2018 after President Donald Trump withdrew from a deal to lift them in return for curbs on Iran’s nuclear program. Tehran calls the US sanctions economic warfare.

The Iranian Foreign Ministry said in May that preliminary steps had been taken to set up a channel to allow Iran to use funds in South Korea to buy humanitarian goods. Weeks later South Korea’s Foreign Ministry said Seoul was sending $500,000 worth of medicine to Iran.



Huge Power Outage Paralyzes Parts of Spain and Portugal

This photograph shows a flamenco dress factory without light and workers during a massive power cut affecting the entire Iberian peninsula and the south of France, in Seville on April 28, 2025. (AFP)
This photograph shows a flamenco dress factory without light and workers during a massive power cut affecting the entire Iberian peninsula and the south of France, in Seville on April 28, 2025. (AFP)
TT
20

Huge Power Outage Paralyzes Parts of Spain and Portugal

This photograph shows a flamenco dress factory without light and workers during a massive power cut affecting the entire Iberian peninsula and the south of France, in Seville on April 28, 2025. (AFP)
This photograph shows a flamenco dress factory without light and workers during a massive power cut affecting the entire Iberian peninsula and the south of France, in Seville on April 28, 2025. (AFP)

A huge power outage hit large parts of Spain and Portugal on Monday, paralyzing traffic, grounding flights, trapping people in elevators and leaving power operators scrambling to restore power to millions of homes and businesses.

Some hospitals halted routine work and the two countries' governments convened emergency cabinet meetings, with officials initially saying a possible cyber-attack could not be ruled out. Outages on such a scale are extremely rare in Europe, and the cause could not immediately be established.

Reuters witnesses said power had started returning to the Basque country and Barcelona areas of Spain in the early afternoon, a few hours after the outage began. It was not clear when power might be more widely restored.

Hospitals in Madrid and Cataluna in Spain suspended all routine medical work but were still attending to critical patients, using backup generators. Several Spanish oil refineries were shut down and retail businesses shut.

The Bank of Spain said electronic banking was functioning "adequately" on backup systems, though residents also reported ATM screens had gone blank.

"I'm in a data center, and everything has gone off. All the alarms popped up, and now we're with the groups, waiting to find out what happened," said Barcelona resident and engineer Jose Maria Espejo, 40.

In a video posted on X, Madrid Mayor Jose Luis Martinez-Almeida urged city residents to minimize their journeys and stay where they were, adding: "It is essential that the emergency services can circulate."

In Portugal, water supplier EPAL said water supplies could also be disrupted, and queues formed at stores by people rushing to purchase emergency supplies like gaslights, generators and batteries.

The main Portuguese electricity utility, EDP, said it had told customers it had no forecast for when the energy supply would be "normalized", Publico newspaper said. It warned it could take several hours.

Parts of France also suffered a brief outage. RTE, the French grid operator, said it had moved to supplement power to some parts of northern Spain after the outage hit.

Play at the Madrid Open tennis tournament was suspended, forcing 15th seed Grigor Dimitrov and British opponent Jacob Fearnley off the court as scoreboards went dark and overhead cameras lost power.

TRAFFIC JAMS

Spanish radio stations said part of the Madrid underground was being evacuated. There were traffic jams in Madrid city center as traffic lights stopped working, Cader Ser Radio station reported.

Hundreds of people stood outside office buildings on Madrid’s streets and there was a heavy police presence around key buildings, directing traffic as well as driving along central atriums with lights, according to a Reuters witness.

One of four tower buildings in Madrid that houses the British Embassy had been evacuated, the witness added.

Local radio reported people trapped in stalled metro cars and elevators.

Portuguese police said traffic lights were affected across the country, the metro was closed in Lisbon and Porto, and trains were not running.

Lisbon's subway transport operator Metropolitano de Lisboa said the subway was at a standstill with people still inside the trains, according to Publico newspaper.

A source at Portugal's TAP Air said Lisbon airport was running on back-up generators, while AENA, which manages 46 airports in Spain, reported flight delays around the country.

Such widespread outages are unusual in Europe. In 2003 a problem with a hydroelectric power line between Italy and Switzerland caused a major outage across the whole Italian peninsula for around 12 hours.

In 2006 an overloaded power network in Germany caused electricity cuts across parts of the country and in France, Italy, Spain, Austria, Belgium, Netherlands and as far as Morocco.