An examination of the statistics related to large-scale embezzlement in Iran reveals an ongoing upward trend throughout its history. This trend signifies that, most of the time, new instances of corruption are not only larger but also more widespread than their predecessors.
In one of the most significant embezzlements within a five-year span, over three trillion dollars of the Iranian people’s assets were embezzled. Speculations suggest that various officials and institutions within the regime were implicated in this historic looting. Despite claims by the Ebrahim Raisi government to have uncovered and addressed the financial corruption involving ‘Debsh Tea,’ a considerable portion of public opinion, understanding the corrupt nature of the regime, perceives no difference between the regime’s so-called reformists and principlists. This historical violation and corruption initiated in the previous government persists in the current administration.
Reviewing the statistics of large-scale embezzlement in Iran, we observe a consistent upward slope over time. This pattern results in shock within Iranian society each time a new embezzlement is revealed, despite the historical prevalence of such incidents in the regime.
The Debsh Agriculture and Industry Group received $3.730 billion in government-rated currency between 2018 and 2022 for importing tea and machinery. However, it sold its goods at approximately $2 billion higher in the open market. According to Zabihollah Khodayian, the head of the General Inspection Organization of the country, this company also imported low-quality Kenyan tea with the remaining funds at a cost of two dollars per kilo, despite having registered an order for first-class Indian tea worth $14 per kilo.
The report from the head of the General Inspection Organization reveals that nearly 80% of Iran’s tea imports were monopolized by this group. Notably, when the company imported low-quality Kenyan tea, the Food and Drug Organization of the Ministry of Health approved it, and customs permitted its entry through the green route, bypassing the required quality checks associated with other customs routes.
In the machinery import sector of this business group, connections with the Ministries of Agriculture Jihad and Industry, Mine, and Trade, as well as the Central Bank, are evident. This indicates that the company registered more orders than the country needed, and the Central Bank promptly allocated the requested currency with the approval of the Ministries of Industry, Mine, and Trade, and Agriculture Jihad. In contrast, other applicant companies are subject to conditions such as having a previous history of import for currency approval.
In essence, while none of the orders from other importers are confirmed, over 70% of the foreign currency for tea imports is allocated to Debsh Agriculture Company. This company, in coordination with the Ministries of Industry, Mine and Trade, Health, and Agriculture Jihad, the Central Bank, and customs, has a monopoly on 79% of tea imports to Iran.
The regime and its affiliated media now assert that this corruption is a consequence of the previous government’s performance. However, the report from Etemad newspaper and the General Inspection Organization reveals that at least 80% of this embezzlement occurred in the two years leading up to 2022.
The extensive financial corruption within Debsh Tea triggered widespread reactions among people, economic activists, and social media users. The most common theme in these reactions was the emphasis on organized corruption and the involvement of regime officials in this extensive embezzlement.
Following the revelation of massive financial corruption in Debsh Tea, many activists and media outlets compared its figures with essential budgets and expenses. To comprehend the scale of this corruption, we can compare it with some expenditures.
The figure for financial corruption in Debsh Tea surpasses three percent of the country’s budget, more than 43 percent of the total budget of the Environmental Protection Organization, over 80 percent of the total budget of the Ministry of Education, and more than 90 percent of the budget of the Ministry of Health in 2022. The amount received by this company is nearly equivalent to Iran’s construction budget in 2022. With this amount, one could purchase at least 10 Airbus planes, 5,000 Benz trucks, 150 ships, 20 trains, and nearly 4,000 electric buses.
The reaction of some social media users to the extent of financial corruption in Debsh Tea is worth considering, as they have pointed to the ‘corrupt structure’ of the regime. According to them, in such a structure, one should not be surprised by new figures and new corruption cases, as brand names and logos come and go, but what remains is the corrupt structure. The search to find its root leads us to the rulers, senior managers, and officials of the regime.
The looting of the assets of the Iranian people, in the form of receiving loans and preferential Nima currency by businessmen, exacerbates the financial constraints and the employment and income crisis of the middle class in Iranian society. This situation has pushed them below the poverty line, and ordinary people cannot even obtain a simple loan from the regime’s banks to start a small business or pursue a new life.
