The U.S. Treasury Department announced sanctions on Friday targeting a network accused of smuggling Iranian-origin liquefied petroleum gas to South and East Asia through front companies and deceptive shipping practices.
According to Treasury, the network used front companies in the United Arab Emirates and China, foreign bank accounts and Iran’s “shadow fleet” of tankers to move millions of barrels of LPG while concealing its Iranian origin and evading U.S. sanctions. Officials said some shipments were falsely marketed as Omani LPG.
The sanctions, imposed under Executive Order 13902, target entities operating in Iran’s petroleum and financial sectors. Treasury said the action is part of its broader “Economic Fury” campaign aimed at disrupting Tehran’s oil exports, sanctions-evasion networks and access to the international financial system.
“Treasury will continue to sever Iran’s shadow fleet, shadow banking networks and access to global trade,” Scott Bessent, U.S. treasury secretary, stated.
The latest action targets a network of companies and vessels involved in transporting Iranian LPG, including entities based in the Marshall Islands, the UAE and China. Treasury also sanctioned the Iranian exchange house Mehrdad Geramian Nik and Partners Co. and its leadership for allegedly “moving hundreds of millions of dollars in foreign currency on behalf of sanctioned Iranian banks.”
Tommy Pigott, spokesman for the U.S. State Department, stated that the United States will continue to pursue individuals and entities that help Iran evade sanctions, including foreign companies and financial institutions.
“We call on the international community to join us in enforcing these measures and preventing Iran from accessing resources that fuel terrorism, weapons proliferation and instability across the region,” he said.
