Washington Expands Sanctions on Iran: Targeting Loyal Groups and 'Shadow Banks'

The U.S. administration continued its pressure policy on Tehran, as the U.S. Department of State listed four Iraqi groups loyal to Iran as "foreign terrorist organizations" on Wednesday.

The decision included the al-Nujaba Movement, the Sayyid al-Shuhada Brigades, the Ansar Allah al-Wafa Movement, and the Imam Ali Brigades. The department's statement said that "Iran provides support that enables these groups to plan, facilitate, or carry out attacks directly throughout Iraq."

The statement added that "these groups have previously launched attacks on the U.S. embassy in Baghdad and bases hosting U.S. and coalition forces." The department had previously classified all four of these groups on the list of specially designated global terrorists.

This action coincided with a separate step by the U.S. Treasury Department, which announced on Tuesday sanctions on Iranian financial intermediaries, and more than ten individuals and entities, for their role in facilitating financial transfers from oil revenues for the benefit of the Quds Force of the Revolutionary Guard and the Iranian Ministry of Defense.

A statement from the department on its website quoted the statement as saying: "These networks operate as 'shadow banks' to evade sanctions through front companies and cryptocurrencies, and their revenues are used to support armed groups and develop advanced weapons, including missiles and drones."

For his part, the Under Secretary of the Treasury for Terrorism and Financial Intelligence, John K. Hurley, stated: "Iranian entities rely on shadow banking networks to evade sanctions and move millions of dollars through the international financial system. Under President Trump's leadership, we will continue to disrupt these financial flows that fund Iran's weapon programs and its malign activities in the Middle East and beyond."

This action supports President Trump's National Security Presidential Memorandum No. 2, which mandates maximum pressure on Iran to cut funding to the regime and its agents and partners.

The department confirmed that "the United States is using all available tools to protect its national security interests and prevent the financing of terrorism."

It is noted that in recent months, the Office of Foreign Assets Control has listed more than 30 individuals and entities linked to Iran that have laundered billions of dollars through the international financial system via Iranian exchange offices and foreign companies operating as fronts under their control.