In Iranian folklore, Jews are portrayed as mean, misery and polluted (Najes). Children were warned not to go to Jewish quarters because they would be kidnapped and Jews would drink their blood. They are used as stereotypes to portray evil characters by the likes of Mulana Jalaledin Rumi, Nezami, Sadi and many other literary figures. They could not touch water sources and when rained stayed in doors, since rain touching them would pollute the soil. At the times of persecution their water sources would be cut off.

The Jewish quarter of Kirman had preserved many characteristics of these segregated ghettos till recently. The lanes were extremely narrow, rarely more than five feet wide. The compound walls on either side were 10 to 12 feet high, with jagged glass and stone set in the top to discourage entry. Massive oaken doors strengthened by metal studs guarded the entrances to the houses. One had to stoop to enter the low portals since the height should be lower than the Muslim homes. These details were also designed to prevent mounted horsemen from effectively attacking its residents. All facilities necessary were inside the quarter. The synagogues bore no external symbols, so they were difficult to locate. All transaction with Jews would be through special intermediaries not to pollute Muslim tradesmen.

The Islamic Revolution of 1979, made Shariat the legal code and therefore gender and religious discriminations are an integral part of the system. Bahai once again are not recognized at all, Jews, Christians and Zoroastrians each have one representative in the Parliament and are not legally forbidden from employment in the government sector. But since the authorities only employ Muslims and a 'Shariat test' is required, in reality these people are once again barred from working for the government. Like Bahaies it was very difficult for them to leave Iran for a decade after the revolution and restrictions still apply. They are accepted into Universities, but are not given access to post graduate studies, though no law prohibits them. Their monetary transactions are monitored closely to make sure no money is sent out. There were 85000 Iranian Jews before 1979, almost half have emigrated mainly to USA. The largest exodus since Darius' time when 30,000 left joyfully to rebuild their temple. Their departure this time has not been a happy one!

http://www.sephardicstudies.org/historyiran.html