U.S cracks down on Iranian money laundering network, imposes sanctions on 30 entities

The U.S Treasury Department has announced sanctions against more than 30 individuals and companies accused of helping Iran evade sanctions and launder billions from oil and petrochemical sales to fund its nuclear and missile programs.

The sanctioned network operated a “shadow banking” system, involving front companies in Hong Kong and the United Arab Emirates to bypass existing sanctions and obscure the origin of oil proceeds.

The sanctions freeze any US-based assets of the targeted entities and bar US citizens from doing business with them.

These measures also complicate the ability of those sanctioned to operate internationally, especially in transactions involving US dollars.

The US is engaged in negotiations with Tehran over Iran’s nuclear program, with President Donald Trump aiming to prevent Iran from developing nuclear weapons .

Washington and Tehran have differing views on Iran’s nuclear activities, with Tehran insisting its nuclear activities are purely for civilian purposes.

Trump has warned that military action remains on the table if diplomacy fails.