Financial Crime World

US Imposes Sanctions on Iranian Exchange Houses and Companies

The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has imposed sanctions on several Iranian exchange houses, companies, and individuals for their involvement in supporting the Islamic Revolutionary Guard Corps (IRGC) Oil Command and MODAFL Supply Division.

Designated Entities and Individuals

  • Siavash Nourian & Co. Exchange, also known as Nourian Exchange, owned by Siavash Nourian, which facilitated foreign currency activities worth tens of millions of dollars on behalf of the IRGC Oil Command and MODAFL Supply Division between August and November 2023.
  • Kumu Limited, City Base Group Limited, and Net Trading Co. Limited, three shell companies based in Hong Kong controlled by Nourian Exchange, which conducted foreign currency transfers on behalf of the IRGC Oil Command and MODAFL Supply Division.
  • Seyyed Reza Mir Mohammad Ali, a key confidant of the MODAFL Supply Division and CEO of Iran-based Atropars Company, also known as Atropars Exchange, used by the MODAFL Supply Division to conduct financial activities outside of Iran.

Sanctions Provisions

  • The sanctions prohibit all US persons or entities from engaging in any transactions with the designated individuals and entities.
  • A freeze is imposed on their assets within US jurisdiction.
  • The designations are made under Executive Order 13224, which targets terrorists and those who provide support to them.

Statement by a Senior Treasury Department Official

“This action demonstrates our commitment to disrupting the IRGC Oil Command’s illegal activities and preventing the flow of funds that support terrorism. We will continue to use all available tools to disrupt the financial networks of terrorist organizations and their supporters.”

Penalties for Non-Compliance

  • The sanctions also impose penalties on any person or entity that provides material assistance, sponsorship, or support to the designated individuals and entities.

For More Information

For more information on the designations and sanctions, please visit OFAC’s website at www.treasury.gov/ofac.