The United States has imposed fresh sanctions on a network accused of smuggling Iranian oil disguised as Iraqi oil and targeting a Hezbollah-linked financial institution. The Treasury Department announced these actions on Thursday, aiming to cut off key revenue sources fueling Iran’s regional influence and militant support.
According to officials, the sanctioned network is operated by Iraqi-British businessman Salim Ahmed Said. Since 2020, his companies have allegedly bought and exported Iranian oil blended with Iraqi oil, using fake documentation to bypass U.S. sanctions. The disguised oil was sold mainly to Western buyers via Iraq or the UAE.
Treasury Secretary Scott Bessent stated that the U.S. would continue to disrupt Iran’s access to financial resources, which support destabilizing activities across the Middle East. This move follows a June 22 U.S. airstrike on three Iranian nuclear facilities, including the heavily fortified Fordow plant, which officials claim set back Iran’s nuclear program by up to two years.
The sanctioned UAE-based company, VS Tankers—formerly AISSOT—was identified as a key player in the smuggling operation. Though Said avoids formal ties to the firm, Treasury said it operates for the benefit of the Iranian government and the Islamic Revolutionary Guard Corps (IRGC), a group designated as a terrorist organization by the U.S.
In addition to oil smuggling networks, the U.S. also sanctioned multiple vessels allegedly used in covert oil deliveries and several officials tied to the Hezbollah-controlled financial group Al-Qard Al-Hassan. These individuals were involved in financial transactions that masked millions of dollars intended to support Hezbollah’s operations.
While the Iranian mission in New York has yet to respond, VS Tankers has denied all accusations and vowed to pursue legal action. Meanwhile, nuclear-related talks between the U.S. and Iran are expected to take place in Oslo next week, signaling a tense diplomatic environment ahead.