The IRGC-affiliated Fars News’s publication of such a controversial interview is significant given that Daghighi is accusing the President and his ally Esfandiar Rahim Mashaei—already criticized by conservatives for allegedly attempting to de-clericalize the regime—of usurping the Supreme Leader’s authority to fund Iran’s clerics. The Ahmadinejad administration is angering apparently powerful members of the Islamic Revolutionary Guards Corps (IRGC) by distributing undisclosed sums of money to buy the political allegiance of members of the clergy.

An increase in food and energy prices, resulting from the continued phasing out of government subsidies, will hurt middle class consumers most directly. Concurrently, a likely rise in factory shutdowns due to high energy costs will increase unemployment among the working class. As energy prices increase, labor unrest could intensify as factories are shut down or wage payments are delayed.

The Majlis Committee’s hint of reticence differs from favorable statements made by President Ahmadinejad and Foreign Minister Ali Akbar Salehi. Ahmadinejad’s opponents in the Majlis may be concerned that normalizing relations with Egypt would strengthen the President’s political standing at home. Moreover, regional developments could complicate the normalization process.

PERSIAN NEWS TRACKER

April 13

The generally moderate Tabnak News’s harsh tone towards the Bahraini monarchy illustrates Iranian public resentment over what it deems to be persecution of Shi’ites. Bahrain’s ruling to expel Bahraini citizens of Iranian descent will feed into that perception.

April 13

The Iranian Government’s announcement likely is in response to the Mujahedin-e Khalq’s (MEK) April 7 report that it had located what the exile group claims are two secret factories—one in Karaj, northwest of Tehran, and another in Sahfizadeh, near Qazvin—producing centrifuge parts for Iran’s...

April 13

The Iranian government’s attempt to delegitimize the Syrian protests in the same fashion that it has with its own democracy movement reflects Tehran’s heightened concern about instability in an ally country. Moreover, there are indications that Iran could be escalating its efforts to aid the regime in Damascus.

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"In a retaliatory move, we have stopped providing fuel to European aircraft."
 
—Vice-President Mohammad Reza Rahimi, responding to instances of British, German, and United Arab Emirati refusal to fuel Iranian passenger planes.

WEEK IN REVIEW

Head of Mousavi Office Hamid Mohseni Receives 5-Year Suspended Sentence
April 30
The head of Mir Hossein Mousavi’s office, Hamid Mohseni, received a five-year suspended sentence for his opposition activities.
Iran Calls on Saudi Arabia to Pull Forces Out of Bahrain
April 1
The Iranian Parliament’s National Security and Foreign Policy Commission called on Saudi Arabia not to follow U.S. policy and to pull its troops out of Bahrain.
Iran Arrests 7 at Funeral of Opposition Leader’s Father
March 31
Several people were arrested during funeral services for the father of opposition leader Mir Hossein Mousavi.
Kuwait to Oust Iranian Envoys
March 31
Amidst increased tensions between Iran and its Persian Gulf neighbors, Kuwait announced that it is ousting a number of Iranian diplomats to protest an Iranian spy ring that...
Iran Strongly Refutes Kuwait’s Charges of Espionage
March 31
A source in Iran’s Foreign Ministry refuted Kuwait’s charges of Iranian spying as “unfounded and baseless.”
U.S. Presses Germany to Block Indian Oil Payments to Iran
March 31
Despite U.S. pressure on India and Germany, India decided to continue paying Iran for oil through Germany’s Hamburg-based Europäisch-Iranische Handelsbank (EIH).
Exiled Iranian Religious Scholar Calls for Debate on Nuclear Safety
March 31
As Japan continued to deal with its post-tsunami nuclear crisis, Hassan Yousefi Eshkevari, a prominent exiled Iranian religious scholar, questioned earthquake-prone Iran’s...
Bahrain’s Shiite Opposition Urges Iran Not To “Meddle”
March 30
Ali Salman, a leader of Bahrain’s Shiite opposition group, urged Iran not to meddle in Bahrain’s internal politics, warning that the country should not be used as part of a...
Iran Jails Nuclear Scientist Shahram Amiri
March 30
Iran Jails Nuclear Scientist Shahram Amiri reported that Shahram Amiri, the nuclear scientist who was at the center of last year’s U.S.-Iran spy controversy, has been...
U.S. Penalizes Belarusian Firm under Sanctions Law
March 30
Invoking the U.S. Congress’s 2010 Comprehensive Iran Sanctions, Accountability and Divestment Act, the U.S. penalized a Belarusian firm for conducting business with Iran.
Kuwait Condemns Three to Death in Iran Spy Ring
March 30
Kuwait sentenced two Iranian nationals and one Kuwaiti national to death under charges of spying for Iran.
Hong Kong Passes Iran Sanctions Law, Freezes Iran Shipping Lines’ Assets
March 30
Hong Kong announced that it has imposed asset freezes and travel bans on Islamic Republic of Iran Shipping Lines (IRISL) for allegedly helping Iran’s weapons program.
Iran to Invest $90 Billion in Gas, Oil Projects
March 30
Iranian Oil Minister Massoud Mirkazemi announced that Iran will be investing $90 billion in the country's South Pars oil and gas field.
Iranian Opposition Leaders Denied Visits from Children
March 29
Green Movement outlets reported that the Iranian government has blocked the children of Mir Hossein Mousavi and Zahra Rahnavard from visiting their parents, who remain under...
Egyptian Foreign Minister Says Iran is Not Enemy State
March 29
Egyptian Foreign Minister Nabil El-Araby said that Iran has historical connections with his country and is not an enemy state.
FBI Probes Comodo Web Security Breach
March 29
The FBI announced that there is an ongoing investigation into how the self-proclaimed “comodohacker,” a pro-regime cryptanalyst in Iran, was able to obtain fraudulent digital...
U.S. Court Backs Iran in Dispute over Assets
March 29
The 7th Circuit Court of Appeals overturned a lower court’s ruling, which would have allowed for Persian antiquities to be auctioned off as payment for victims of a 1997...
New Iran Group to Press White House on Democracy
March 29
The Progressive Policy Institute and Freedom House are launching the Iran Strategy Task Force with the aim of focusing U.S. foreign policy on furthering Iranian democracy.
U.S. Official Says Iran Regime's Fate in Iranian Hands
March 29
Robert Einhorn, the State Department’s special adviser for non proliferation and arms control, said that the fate of Iran is in the hands of its own people, and that the U.S...
Hacker in Iran Claims Responsibility for Attack
March 28
A 21-year-old software engineering student in Iran, calling himself “comodohacker,” claimed responsibility for the recent cyber attack on a U.S. security company that could...
Prominent Conservative Cleric Refuses to Retract Criticism of Regime
March 28
Grand Ayatollah Vahid Khorasani, who in February 2011 criticized the Iranian regime’s incarceration of political activists, announced that he refuses to take back his...
Repeated Attacks against Police in Northwest Iran
March 27
Unidentified gunmen fired on a police vehicle in Sanandaj, the capital of Iran’s Kurdistan province, injuring several officers. The incident occurred three days after two...

SPECIAL REPORTS

On February 20, President Ahmadinejad submitted a Budget Law to the Iranian parliament that would expand significantly the Islamic Republic’s budget for the year 1390 [March 21, 2011 to March 21, 2012]. The budget also will increase the Iranian government’s reliance on oil revenue by basing its funding on a projected $80 per barrel of oil. Moreover, the President’s budget indicates his willingness to forego privatization of the economy in order to expand his power base by shoring up state-...