Two decisions have been handed down by the European Court of Justice regarding appeals  brought by the European Council in respect of General Court judgments annulling the  listings of two companies on the EU sanctions list. In Council v Fulmen & Fereydoun  Mahmoudian, the applicant had allegedly been involved in the installation of electrical  equipment on the Qom/Fordoo site in breach of Iran sanctions. The ECJ upheld the  General Court’s decision on the basis that insufficient evidence had been adduced by the  Council to show that the applicant had been involved in the installation.

In Council v Manufacturing Support & Procurement Kala Naft, the applicant was alleged to  have sold equipment for the oil and gas sector which could be used for Iran’s nuclear  programme. The ECJ set aside the General Court’s annulment on various grounds including that Article 7(2)(a) of Regulation No 423/2007, which prohibits “engagement in,  direct association with or the provision of support for, Iran’s proliferation-sensitive nuclear  activities”, covers the “procurement of or trade in goods and technology linked to the gas  and oil industry in Iran”. 

The judgment of Council v Fulmen & Fereydoun Mahmoudian 

The judgment of Council v Manufacturing Support & Procurement Kala Naft