An Israeli company has been selling Iran Internet-monitoring equipment through a distributor in Denmark, Bloomberg news agency reported on Friday. The report cites Israeli and Danish business partners of an Iranian man named Hossein, to whom the equipment was sent.

According to the report, the company, Allot Communications Ltd, sent the surveillance equipment to a Danish distributor, RanTek A/S, which repackaged the gear and shipped it to Iran. Trade with Iran is prohibited under Israeli law.

Open gallery view A mother watches her daughter, who is in class at Pishtaz School, from home via the internet, in Tehran October 19, 2011. Credit: Reuters

The report claims three former employees for Allot said it was well known inside the company that the equipment was headed for Iran. Officials at Allot told Bloomberg they have no knowledge of products sent to Iran.

NetEnforcer, the product sold to Iran conducts "deep packet inspection" of Internet networks, and has commercial uses such as optimizing traffic. Yet the software can be used to intercept personal emails and other private data, or to prevent people from using the Web. According to the report, "deep packet inspection" technology was used in Tunisia to arrest dissidents.

Bloomberg quotes Jay Kalish, executive director of investor relations at Allot, as saying that "we do not authorize any sales to Iran." He said that if products were sent to Iran that would constitute a breach of contract.

The Danish company RanTek did not respond to Bloomberg's requests for comments.

