United States expands sanctions against Iran's financial networks

The United States Department of the Treasury has expanded its sanctions against Iran through a campaign known as ‘Operation Economic Outcast’. The measures aim to sever financial lifelines that support Iran’s military and proxy activities by targeting international financial networks, oil export mechanisms, and shadow banking operations.

As part of this expansion, the U.S. imposed Iran-related sanctions on Russia’s VTB Bank. Officials accused the bank of establishing correspondent banking ties with sanctioned Iranian lenders, opening offices in Iran, and creating a settlement system for rials and roubles to facilitate the movement of frozen Iranian assets.

Additionally, the Treasury targeted an Iranian financier linked to Supreme Leader Mojtaba Khamenei, along with 13 other individuals and entities. These designations include several exchange houses and front companies alleged to be part of a network of middlemen used to mask transactions and evade sanctions. The U.S. government also highlighted efforts to disrupt Iraqi banking services and other opaque corporate structures used to facilitate currency conversion and money transfers for sanctioned parties.