Analysis by PMOI/MEK
Iran, May 17, 2020—In recent days, the Iranian regime’s President Hassan Rouhani and members of his cabinet expressed optimism over the astonishing rise of Tehran Stock Exchange indicators. They spoke of the prosperity of the stock market and considered it as a proof of the baselessness of those who spoke of the public’s mistrust toward the regime’s economic and financial policies.
Rouhani said: “Some outsiders who are propagandizing that the Iranian people do not trust the establishment are lying and our economic situation, our stock market situation, proves that they are lying."
Previously, Ali Rabiei, spokesperson for Rouhani’s government, had also spoken about the vitality of the stock market and expressed his happiness that money and capital are going to the stock market instead of housing, coins, and currency markets. He claimed that amassing people's liquidity and pouring it into the stock exchange would lead to economic growth.
But it didn't take more than two weeks for this big government-run scam to come to an end. the regime’s own financial experts from both rivaling factions are talking about the big scam of the clerical regime that is stealing all the people's savings and assets, and they warn about these assets being stolen.
If the past is prelude, the regime’s aim is to loot people’s money and empty their pockets in order to compensate for the government’s budget deficit. The budget was predicated on selling 1.5 million oil barrels per day at $60 per barrel. But now, they are selling 50,000-70,000 barrels at a price below $10, and they’re not receiving the compensation in fiat.
On the other hand, all sources of currency earnings have reached zero, and the regime’s only source of income is to find new ways to loot the people. Previously, Rouhani's government was able to rake in huge profits by playing with the price of currency, suddenly increasing the U.S. dollar exchange rate by 4-5 times and looting up to three-quarters and even four-fifths of people's assets and the salaries of workers and employees. The regime used this money to offset its budget deficit and provide the funds needed for its terrorist activities and apparatus of domestic repression.
Rouhani's government is also looting people by raising the prices of services monopolized by the government, such as water and electricity, etc., and the increased prices of goods. Now, the regime is eyeing the stock market as a new channel to lay hands on the people’s wealth.
The Chairman of the Article 90 Parliamentary Commission said with these methods, the government has collected 5,500 trillion rials (approx. $36 billion) in two months.
The way it works is that the shares of companies and institutions that have gone bankrupt and are virtually negative in value are sold at exorbitant prices to buyers using deceitful advertisement methods. One of the regime’s economic experts talked about companies that have gone bankrupt. For instance, the share of one company that was filing for bankruptcy was worth 60 rials a piece, but through securities fraud methods, the shares were pumped to more than 60,000 rials in a short period of time, more than 100 times its actual value.
But this false growth, which is driven by the economic interests of regime officials and factions, will sooner or later lead to more poverty by squandering the money and capital of the people who have invested their funds in hopes of making a profit.
But for several days now, it seems, stock market indices have been declining and this trend is expected to continue.
The consequences of this situation are dire for the regime. Government officials compare the situation to that of credit institutions, except that if the number of victims then was about 100,000, this time the number of affected people will be in the millions. In previous cases, the regime could deny its connection with financial institutions, but this time, the government and Rouhani and regime supreme leader Ali Khamenei are officially behind this big scam. And this can trigger massive protests that will shake the regime’s foundations at one of its most vulnerable situations.