Bank Mellat Sues U.K. Government for $4 Billion Over Trading Ban

Bank Mellat sued the British government for as much as $4 billion after the U.K.’s top court said last year sanctions against the Iranian lender were illegal.

Bank Mellat won its case at the Supreme Court in June, overturning a ban from operating in the U.K. The Tehran-based lender has also been the subject of sanctions in Europe, the U.S. and South Korea over allegations it helped finance the development of nuclear weapons in Iran.

The U.K. ban was “unlawful and irrational” and caused significant damage, Sarosh Zaiwalla, Bank Mellat’s lawyer, said in a phone interview today.

The lawsuit was filed on Feb. 7, according to court filings.

The case is: Bank Mellat v. Her Majesty’s Treasury, High Court of Justice, Queen’s Bench Division, HQ14X00525

Before it's here, it's on the Bloomberg Terminal.