US SANCTIONS ALL REMAINING IRANIAN AIRLINES, WARNS GLOBAL FINANCIAL SYSTEM

The United States has sanctioned all remaining active Iranian airlines in a sweeping new enforcement action targeting the aviation networks Washington says help Iran move weapons, personnel and illicit cargo.

The US Treasury Department’s Office of Foreign Assets Control, OFAC, announced sanctions against 36 targets on September 8 under its Operation Economic Outcast, extending pressure beyond Iranian carriers to foreign intermediaries, front companies and procurement networks accused of helping Iran acquire US-origin aircraft and sensitive technology.

The action also targets third-country companies supporting Mahan Air, which the US says has been involved in proliferation activity, terrorist-linked flight operations and the illicit procurement of US-origin aircraft.

At the same time, the Financial Crimes Enforcement Network, FinCEN, issued an alert urging financial institutions to identify and report suspicious activity linked to procurement networks supporting Iran’s aviation industry.

Treasury also suspended three Iran-related aviation authorisations covering areas including overflights and the use of US-origin or US-controlled commercial aircraft by non-US airlines flying into Iran. Safety-related requests will be considered separately on a case-by-case basis.

The latest action builds on sanctions imposed in April and July against entities and individuals servicing Mahan Air and follows an August 24 determination that designated Iran’s aviation sector for sanctions purposes.

For banks, insurers, aircraft lessors, logistics companies and other businesses with exposure to aviation trade, the move raises immediate sanctions-screening and supply-chain due diligence risks. Treasury specifically warned that companies providing aircraft transfers, cargo services, sales-agent support or other assistance to sanctioned Iranian airlines could face severe consequences

The action demonstrates Washington’s broader strategy of targeting not only sanctioned entities themselves, but the financial, commercial and procurement networks that allow them to continue operating.