Companies based in the Emirates that supply technology to Iran and Syria risk falling foul of sanctions introduced by Washington this week.
The sanctions are intended to prevent telecommunications operators and government entities in both countries from using devices to commit violations against their citizens.
But they also cover anyone who has "sold, leased or otherwise provided, directly or indirectly, goods, services, or technology to Iran or Syria" likely to be used for such wrongdoing.
As an important re-exporter of software and electronics in the region, UAE distributors and resellers could be affected by the sanctions, said Rakesh Bohra, the chief executive of Trinity Infotech, a reseller based in Dubai of computers, cables and other devices from US companies including Hewlett-Packard, Dell and Apple.
"I do keep track of my buyers and all sellers need to do the same and screen their customers. But if someone has a mind to do wrong all it takes is removing a chip from a unit, and that can be difficult to stop," said Mr Bohra, who is also the public relations secretary of the Dubai Computer Group, which represents traders and sellers of IT goods.
Announcing the sanctions on Monday, the US president Barack Obama said the actions were intended to target the governments of Syria and Iran "and those who abet them, for using technologies to monitor, target and track its citizens for violence".
"These technologies should be in place to empower citizens, not to repress them," he said.
Specific targets include Iran's Islamic Revolutionary Guard, Syria's general security directorate and its chief Ali Mamluk, in addition to Syriatel, Syria's state-controlled mobile operator. Datak Telecom, an Iranian internet firm, is also listed.
Six of the seven targets are already subject to US sanctions as Washington seeks to isolate the regimes in Damascus and Tehran.
The US measures freeze any assets or property in the US controlled by companies or entities found guilty of breaking the sanctions.
The move comes as concerns build about the regimes of both countries using devices to spy on dissidents or stop internet access.
Equipment from several US-based technology manufacturers has reportedly been used to facilitate surveillance and internet blocking in Syria.
The US commerce department took action against Info Tech, a company based in Ras Al Khaimah, in December after it supplied Syria with internet-filtering devices made by Blue Coat Systems, a Web-security firm in California. Info Tech was banned from receiving or transferring items that fall under US export control laws.
Hewlett-Packard (HP) equipment worth more than US$500,000 (Dh1.83bn) was used to monitor emails and Web usage in Syria, Bloomberg News reported in November.
HP, the world's largest computer maker, said it was investigating this allegation.
"Compliance with US and international trade laws are of the highest priority for HP and we are thoroughly investigating these recent allegations," said a spokesman for the company.
Most of the hardware and software that can be used for surveillance and internet blocking originates in the West, said one technology investor based in the UAE.
"The same technology is probably being used in other countries, aside from Iran and Syria," said the investor, who did not wish to be named.
Resellers of such equipment are legally obliged to specify where goods are being sold, he added. "Even as a reseller you're forced to define the end customer - especially for larger pieces of equipment."
bflanagan@thenational.ae
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