US Treasury Department Imposes Sanctions on Iranian Oil Network Supporting Houthis

The US Treasury Department, through the Office of Foreign Assets Control (OFAC), announced sanctions on two individuals and five entities linked to an oil smuggling and money laundering network that funds the Houthis in Yemen.

This network operates through companies that import oil products into areas under Houthi control, generating hundreds of millions of dollars annually for the group, which are used to finance their destabilizing activities in the region, according to the ministry statement.

In a revealing disclosure, the statement pointed to an Iranian oil shipment coordinated through the network worth $12 million, confirming direct Iranian support for the Houthis through these illicit channels.

The sanctions were imposed under Executive Order 13224, which targets individuals and entities supporting terrorist groups, freezing all assets of the individuals and entities listed within US jurisdiction and prohibiting Americans from dealing with them.

The ministry also warned foreign financial institutions against supporting these entities, emphasizing that any support could expose those institutions to severe secondary sanctions.

This new US move comes as part of its ongoing efforts to combat terrorism financing and cut off support for armed groups in Yemen, reflecting increased pressure on the Houthi network and their supporters in the region.