Washington: A top US Congressman is pushing legislation that would sanction any country, including India, which finalises energy deals with Iran. If eventually signed into law by President George W. Bush, it would create a stumbling block for the India-Iran gas pipeline at a time when India needs congressional support for its civilian nuclear deal with the US.

Congressman Tom Lantos plans to introduce the bill on Thursday. His spokeswoman pointed out that the California Democrat was never in favour of the India-Pakistan-Iran gas pipeline. "Any further progress on the pipeline would send the wrong signal at the wrong time," Lynne Weil told The Tribune.

US laws ban domestic oil and gas companies from investing in Iran's energy sector. These laws also prohibit foreign oil companies from investing more than $20 million annually in Iran. US presidents have been reluctant to impose sanctions on firms that are based in countries allied to Washington. Lantos' bill - the Iran Counter-Proliferation Act of 2007 - seeks to strip the President of his authority to waive sanctions against foreign companies that invest in Iran's energy sector. It will also declare the Iranian Revolutionary Guard Corps a terrorist group.

Lantos, who is the chairman of the House Committee on Foreign Affairs, said on Tuesday, "Until now, abusing its waiver authority and other flexibility in the law, the Executive Branch has never sanctioned any foreign oil company which invested in Iran. Those halcyon days for the oil industry are over."

"If Dutch Shell moves forward with its proposed $10 billion deal with Iran, it will be sanctioned. If Malaysia moves forward with a similar deal, it too will be sanctioned. The same treatment will be accorded to China and India should they finalise deals with Iran," he said at a full committee hearing on "The Iranian Challenge."

Bush Administration officials privately oppose the measure.

Lisa Curtis at the Heritage Foundation said Lantos' bill "would likely give pause to Indian plans to move forward with negotiations on the proposed India-Iran-Pakistan gas pipeline."

In the past, Indian government officials may have not taken Washington's statements of concern on the pipeline issue seriously because of US lack of enforcement of sanctions contained in the Iran Sanctions Act of 1996, she said.

"Congressman Lantos' bill demonstrates, however, the direction US policy is heading regarding sanctions enforcement on companies that invest in Iran's oil and gas industries and would need to be taken into account by both India and Pakistan," she added.

Mindful of US opposition to the gas pipeline, India has been treading carefully so as not to derail a civilian nuclear agreement with the United States. The International Oil Daily reported this week that India and Pakistan may have found a way to circumvent possible US sanctions and build the long-projected $7 billion, 2,100-km gas pipeline.

"Setting up an international consortium in the usual way - comprising state companies from the three countries plus international firms - for the construction and operation of the project could be a nonstarter because of mounting political and legal opposition from the US," the daily notes. Instead the three countries will each lay only the section of pipeline that crosses their territory, an Indian Petroleum Ministry official told International Oil Daily.

With the three countries separately constructing the pipeline on their own land, the project would be protected from US sanctions and may even enable American consultants and contractors to participate in parts of the project, the official said.

Dubai, March 8
Uproar among the Indian community in the UAE over the sale of bath towels bearing the image of India's national flag has led Unilever Arabia to withdraw all such towels from the local market.

An objection was also raised by the Indian consulate which asked the company to withdraw the promotional product with immediate effect.

The towels with the Indian Tricolour were being distributed free along with other consumer products in leading supermarkets here and in the northern emirates. The product was aimed at raising the excitement for the upcoming Cricket World Cup.

''If we have inadvertently offended any one, we apologise,'' said Rola Tassabeji, corporate communications manager for Unilever, West Asia. Unilever Arabia told the Gulf News that it never intended to offend anyone and confirmed that the consulate had raised concerns over the use of the image of the Indian flag.

''Although Unilever Arabia had received permission to run this type of promotion locally, we have decided to respond to the Indian consulate's concerns by removing from stores all promotional items carrying the image of the Indian flag,'' she added. — UNI

Islamabad, March 8
The United Nation High Commissioner for Refugees will facilitate voluntary return of about 250,000 Afghan refugees to their country in 2007.

A spokesman for the refugee agency told Dawn that currently there are 2.4 million Afghan refugees living in Pakistan while 2.18 million of them had been issued proof of registration cards and they are allowed to stay in Pakistan for three years. It is, however, in their interest to return willingly within this period for which the UNHCR will provide an assistance package on their landing in Afghanistan. According to a decision of the Pakistan government, after April 15, Afghans without registration cards will be considered illegal immigrants and dealt according to local laws.

Pakistan has been stressing on the Afghan refugees to return and warned that it might use force if voluntary return was obstructed.

Refugees possessing registration cards have been asked to approach the UNHCR for their safe return to their country from April 16 and November 15, 2007.

Referring to their settlement in Afghanistan, the spokesman said the Afghan government has planned to set up about 50 to 100 small towns for the returnees.

— By arrangement with The Dawn