WSJ: U.A.E. Banks Cut Ties To Iranian Banks Blacklisted By U.S. - WSJ.com

Banks in the United Arab Emirates have curtailed financial dealings with a handful of Iranian banks blacklisted by the U.S. Treasury, officials here said, drying up one of Iran's financial lifelines as international sanctions continue to aim at curbing Tehran's nuclear ambitions.

Washington has pushed many of Iran's Persian Gulf neighbors to end financial access to Tehran's banks. The U.A.E.'s move is especially significant since Dubai has in recent years been an important re-export hub for Iranian importers, prohibited by previous sanctions from importing goods directly from the U.S. and elsewhere.

Stuart Levey, the U.S. Treasury's point man on sanctions, traveled in late August to the U.A.E., Bahrain and Lebanon to meet with officials and explain Washington's new financial-sanctions law.