Nazanin Zaghari-Ratcliffe smiles as she is flown out of Iran to end her six years of detention (Picture: Tulip Siddiq MP).
Nazanin Zaghari-Ratcliffe smiles as she is flown out of Iran to end her six years of detention (Picture: Tulip Siddiq MP/Twitter).
Iran

MOD settles £400m Iranian debt as Nazanin Zaghari-Ratcliffe is released

The debts resulted from contracts signed by an MOD-owned company and the government in Tehran before the country's revolution.

Nazanin Zaghari-Ratcliffe smiles as she is flown out of Iran to end her six years of detention (Picture: Tulip Siddiq MP).
Nazanin Zaghari-Ratcliffe smiles as she is flown out of Iran to end her six years of detention (Picture: Tulip Siddiq MP/Twitter).

The Ministry of Defence (MOD) has settled an outstanding £400m debt owed by the UK to the regime in Tehran.

It comes as British-Iranian Nazanin Zaghari-Ratcliffe's six-year ordeal in Iran is over after she was released from detention and flown out of the country.

Defence Secretary Ben Wallace confirmed the release of funds totalling £393.8m, owed by the MOD-owned company International Military Services Limited.

The debts were the result of unfulfilled contracts – a cancelled order of Chieftain tanks – signed between the company and the government in Tehran before the country's revolution in 1979.

Despite pre-payments, Britain still owed a debt, confirmed by the UK courts and International Court of Arbitration.

According to a statement made by Mr Wallace, the British government will work to ensure the repaid funds can only be used in line with "sanctions, and domestic counterterrorism and anti-money laundering legislation, for example to purchase humanitarian goods."

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