The Latest from Iran (18 January): Challenging Khamenei

Nikahang Kowsar draws inspiration from the victory of Ashgar Farhad's film at the Golden Globes Awards to suggest a remake, "Supreme and Mahmoud: A Separation"

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1940 GMT: Currency Watch. Suddenly the Iranian Rial has plummeted on the leading currency site Meshgal. It has fallen 3.5% in a few hours to a record low of 18200:1 vs. the US dollar.

Before the Central Bank and authorities intervened in recent weeks --- through an "ordered" rate, attempted arrests of street traders, and blocks on websites including Mesghal --- the low point for the Rial was 17800:1.

1520 GMT: Currency Watch. ISNA reports that foreign exchange offices have stopped the sale of US dollars, even by phone, for fear of being closed down for not adhering to the "ordered" rate of the Central Bank.

The Central Bank's command was for 14000 Iranian Rials to 1 US $, but the rate on the streets is 17500:1.

1510 GMT: The Battle Within. Far more interesting than the standard banter between Tehran and the "West" over nuclear talks is this twist from conservative MP Ali Motahari,who been criticising the President and, implicitly, the Supreme Leader....

Modifying the line in State media that a recent message from President Obama to Ayatollah Khamenei threatened Tehran over any blockage of waters off Iran's coast, Motahari told Fars, “In this letter, they said the closure of the Strait of Hormuz is a red line as well as asking for direct talks with Iran....[Obama] has announced readiness to hold negotiations and resolve mutual problems.”

So is Motahari supporting the regime line, as put out by Foreign Minister Salehi, that nuclear discussions are imminent? Or is he indicating that someone within the system has been holding back the full truth about the Obama letter and that the US is more conciliatory than often portrayed in State media?

1455 GMT: Nuclear Watch. Back from a break to find Foreign Minister Ali Akbar Salehi telling reporters, during a visit to Turkey, "Negotiations are going on about venue and date [for talks on Iran's nuclear programme. We would like to have these negotiations. Most probably, I am not sure yet, the venue will be Istanbul. The day is not yet settled, but it will be soon."

A spokesman for European foreign policy chief Catherine Ashton, representing the 5+1 Powers (US, UK, France, China, Germany, Russia) denied Salehi's claim, "There are no negotiations under way on new talks. We are still waiting for Iran to respond to the substantive proposals the High Representative (Ashton) made in her letter from October."

A British Foreign Office spokesman went even farther: "There are no dates or concrete plans because Iran has yet to demonstrate clearly that it is willing to respond to Baroness Ashton's letter and negotiate without preconditions. Until it does so, the international community will only increase pressure on it through further peaceful and legitimate sanctions,"

1140 GMT: Economy Watch. After a meeting on Tuesday, Central Bank head Mahmoud Bahmani and Minister of Economy Shamseddin Hosseini have made new promises to fix a single rate for the Iranian Rial vs. the dollar and to allow industry to exchange currency at the "official" rate, under which the Rial is more than 50% stronger than on the open market.

The assurances may not be enough, however --- Radio Farda reports that some Iranian media are now speaking of a "dollarised" economy.

1020 GMT: Currency Watch. Gold prices have risen sharply again this morning reaching 785,000 Toman (about $450) for old coin and 755,000 to 775,000 Toman (about $435-$445) for new coin.

Gold prices, amidst Iran's currency crisis, have increased by more than 20% in a week.

1000 GMT: Economy Watch. Former Minister of Trade Masoud Mirkazemi has launched a stinging attack on the Government --- noting that that people suffer from harsh sanctions, inflation and unemployment, he said that the budget deficit and support payments for subsidy cuts have made the situation worse.

Mirkazemi asked, "How can Government start the second phase of subsidy cuts although the first have not been fully implemented and when the price rise of sources of energy does not cover expenditure (on support payments)?"

Turning to issues of finance and currency, Mirkazemi says debts of banks to the Central Bank were up by 95%, with the Government failing to control lending and the amount of cash in the economy. He continued that investment was down because of instability, with money, with people losing confidence in Government and the Central Bank.

0950 GMT: Political Prisoner Watch. Sheys Amani, an executive member of the Union of Free Workers of Iran, was arrested on Monday at the Sanadaj courthouse, as he was following up the cases of detained workers Sharif Saedpanah and Mozafar Salehnia, who were arrested two weeks ago.

Families of the two detained workers and supporters gathered in front of the intelligence office to call for their release. As Amani met with the authorities to clarify the charges, he was arrested.

Amani is an employee at a textile mill in Kurdistan and the workers’ representative for several years. He was arrested four years ago, Amani and the executive committee of the Free Workers Union were arrested for organising a ceremony for International Workers Day and was sentenced to 2 1/2 years in jail. The sentence was overturned after widespread protests during a visit to Sanandaj by the head of judiciary, Ayatollah Shahroudi. However, the Sanandaj Justice Department recently told Amani that the judiciary has decided to carry out the prison sentence.

0819 GMT: Nuclear Watch. Speaking at a memorial for the “martyrs of Iran’s nuclear industry", 1st Vice President Mohammad Reza Rahimi has promised “remarkable measures" to protect scientists. He said that Iran had "proper ways and mechanisms for giving [the US, Britain, and Israel] a response" to their alleged support of assassinations.

Five Iranian scientists, including Mostafa Ahmadi Roshan last week, have been killed in the last two years.

0814 GMT: CyberWatch. Minister of Communications and Technology Reza Taghipour has denied that the creation of a national Intranet will detach Iranians from the Worldwide Web: “The National Information Network will in no way take the place of internet. The internet will be provided as a service as before and will remain alongside the National Information Network, and whoever needs that service can avail themselves of it.”

Critics have claimed that the “Halal (Clean) Internet” is an effort to control access to websites amidst continuing regime concern over dissent.

Taghipour said that, to protect the privacy of Iranian internet users, non-governmental organizations are developing domestic search engines that people can use through the National Information Network.

Iranian officials have claimed that search engines like Google are a “spying tool".

0804 GMT: Religion Watch. In an open letter to the Supreme Leader, Sunni MPs have demanded an end to religious discrimination and restrictions and requested a permit to build a mosque in Tehran.

0751 GMT: Elections Watch. Conservative MP Hossein Fadayi has asserted that polls show participation in March's Parliamentary elections will be more than 60%.

Reformist MP Mohammad Reza Tabesh, who is standing for election despite calls not to participate, has denied that there will be a boycott; however, he said that presenting a reformist list would have been "political suicide under current conditions".

0741 GMT: Challenging the Supreme Leader. Following up our opening item on the challenge to Ayatollah Khamenei (see 0520 GMT)....

Conservative MP Ali Motahari, who has been condemning the move of the Islamic Republic towards "Constitutional dictatroship", has defended former Revolutionary Guards commander Hossein Alaei, who has warned the Supreme Leader of the consequences of repression. Motahari asked, "Is everything right in nezam [the Iranian system] because of the adjective 'Islamic'? Are reforms meaningless and impossible?"

0731 GMT: Proper Education. Minister of Education Hamidreza Gadzhibabai announced on Monday that Iran will soon publish separate school textbooks for boys and girls --- given gender segregation in the system, "education, training, and textbooks should be adjusted accordingly. "In the next year, comprehensive education reforms will occur in all fields, including teachers, classes, books, and teaching methods."

Fazlali criticized mixed universities, saying that allowing male and female students in the same classes is like "putting meat in front of a cat". In 2009, the Supreme Leader's represenative at the Khajeh Nasir Toosi University of Technology, Hojatoleslam Nabiollah Fazlali, introduced segregated education on campuses.

0624 GMT: Currency Watch. The rates on the key website Mesghal have finally moved after six days, and the shift is significant: the Iranian Rial is now at 17400:1 vs. the US dollar.

Since last Thursday, with many foreign exchange offices suspending business, Mesghal was posting the rate of 16950:1.

The price of gold also continues to rise to record levels --- old coin is at 760,000 Toman (about $425) and new coin is at 755,000 Toman (about $420).

0620 GMT: Economy Watch. The Tehran Stock Exchange has fallen sharply, losing 210 points after the Government has refused any further increase in interest rates.

The Central Bank, amidst the fall in the Iranian currency, has proposed raising the rate to 21%.

0520 GMT: A quiet start in Iran today. State media are playing up international support for Tehran --- Press TV highlights a phone call between Russian and Venezuelan leaders "Chavez, Putin Censure Meddling in Iran", while IRNA proclaims, "NAM [Non-Aligned Movement] Condemns America for Violating Iran Airspace". The US press is fixated on whether there will be war, from this morning's headlines to the proclamation in the leading journal Foreign Affairs by Colin Kahl, "Not Time to Attack Iran".

Our attention is on a series of developments over the last week which constitute a challenge, sometimes indirect but quite pointed, to the authority of the Supreme Leader. The furour over former Revolutionary Guards commander Hossein Alaei's article, which warned Ayatollah Khamenei about repression through an allegory with the Shah, has only grown with the regime's attacks against Alaei. Current MP Ali Motahari, fighting an Ahmadinejad force which wants to prevent him from standing in March's elections, has extended his criticism --- without naming the Supreme Leader, he is now referring to "Constitutional dictatorship".

And former MP Emad Afrough has gone beyond He Who Must Be Named, using an interview on State TV to insist that people must be allowed to question the Supreme Leader and to dismiss him if his answers are not adequate.