Panama Dismisses Claims of Ship Registry Involvement in Iran Sanctions Breach

According to a recent publication by the Panama Maritime Authority (AMP), the Panamanian government has firmly rejected allegations regarding its involvement in enforcing international sanctions against Iran, labeling claims from a U.S.-based advocacy group as “misleading.”

In response to comments made by Mark D. Wallace, Executive Director of United Against Nuclear Iran (UANI), Panamanian officials clarified that they are committed to maintaining the integrity of their ship registry. wallace had criticized Panama for not adequately preventing its maritime registry from being exploited to bypass sanctions.

The AMP oversees Panama’s maritime operations and has taken critically important steps as 2019, removing over 650 vessels from its registry. These actions align with the UN Convention on the Law of the Sea (UNCLOS) and reflect Panama’s dedication to combating terrorism financing and illegal fishing practices.

Panama emphasized its collaborative efforts with U.S. authorities on maritime security matters. The AMP frequently engages with representatives from the U.S. Embassy in Panama and maintains open lines of communication with officials at the U.S. Department of State concerning shared security interests related to ship registration.

Additionally, Panama highlighted its commitment to international cooperation through various agreements, including an August 2019 Memorandum of Understanding (MOU) known as the “Registry Information Sharing Compact” (RISC).This pact involves several nations such as Liberia and Vanuatu, ensuring that if one contry’s ship registry cancels or refuses registration due to sanctionable activities, it must promptly notify other member countries about relevant details.

Following this MOU, Resolution No. 106-048-DGMM was enacted on August 19,2019,imposing penalties on any panamanian-flagged vessel that intentionally disables critical tracking systems like Long-Range Identification and Tracking (LRIT) or Automatic Identification System (AIS).

To further enhance oversight over possibly hazardous maritime operations, stricter regulations have been introduced for oil transfers between ships under Panamanian flags—aimed at curbing attempts to evade sanctions or engage in illicit activities.

These measures are part of broader reforms initiated by Executive Decree No.512 in October 2024 which empowers AMP to deregister vessels whose owners appear on international sanctions lists; since then, more than 214 ships totaling over 12 million gross register tons have been removed from national records.

The AMP routinely conducts checks ensuring compliance with international maritime standards set forth by organizations like the International Maritime Institution (IMO). These assessments include thorough background investigations based on reports from entities such as the UN Security Council Panel of Experts.

Should any vessel violate national laws or global regulations during these inspections, it may face fines or administrative penalties—and could ultimately be expelled from Panama’s ship registry altogether.

The government reiterated its commitment not only to uphold global maritime laws but also actively work alongside U.S. authorities in safeguarding against misuse within their Ship Registry system while continuing efforts against terrorism financing and illegal fishing practices.