Washington has launched a major crackdown on Iran’s shadowy oil trade, filing court actions to forfeit over $15.3 million linked to illicit petroleum sales. U.S. authorities accuse the network of exploiting the global financial system to bypass sanctions, funneling funds to Iran’s Revolutionary Guard Corps (IRGC) and its elite Quds Force.
The U.S. Department of Justice revealed civil forfeiture complaints filed in the U.S. District Court for the District of Columbia. Prosecutors claim the seized funds supported a sophisticated operation selling and shipping Iranian oil in violation of sanctions under the International Emergency Economic Powers Act (IEEPA). This money allegedly bolstered the National Iranian Oil Company, IRGC, and IRGC-Quds Force—both designated as foreign terrorist organizations by Washington.
At the center is Mohammad Hossein Shamkhani, son of Ali Shamkhani, a top advisor to Iran’s Supreme Leader and former head of Iran’s National Defense Council. U.S. Treasury’s Office of Foreign Assets Control (OFAC) sanctioned Shamkhani in July 2025 for orchestrating a vast web of ships, shipping firms, and front companies. This network raked in billions by selling Iranian and Russian crude, primarily to China, while masking origins through fake entities and deceptive shipping tactics.
Investigators uncovered how the group used shell companies like Welbred Capital Private Limited and Sea Lead Shipping to launder transactions. Of the total, $12.97 million was destined for Welbred entities, while $2.4 million targeted Sea Lead operations—both allegedly controlled by Shamkhani’s allies to obscure Iranian ties.
U.S. Attorney General Pamela Bondi vowed zero tolerance: ‘We will not allow our financial system to aid sanctioned terror groups.’ Assistant AG Tyson A. Duva added that such networks exploit U.S. banks to enrich themselves and terror outfits, but justice will prevail. This action underscores America’s relentless pursuit of sanction evaders, disrupting Iran’s economic lifelines and terror financing.