The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced new sanctions targeting Iran's so-called shadow fleet, a group of vessels and companies accused of helping Iran export petroleum products in violation of existing sanctions. The action, taken under Executive Order 13902, designates 29 vessels and their associated management firms that have reportedly transported hundreds of millions of dollars’ worth of Iranian petroleum products.
Among those targeted is Hatem Elsaid Farid Ibrahim Sakr, an Egyptian businessman whose companies are linked to seven of the sanctioned vessels and several shipping firms. According to OFAC, Sakr’s UAE-based companies have been involved in moving large quantities of Iranian petroleum products in coordination with entities tied to Iran’s Ministry of Defense.
“Treasury will continue to deprive the regime of the petroleum revenue it uses to fund its military and weapons programs,” said John K. Hurley, Treasury Under Secretary for Terrorism and Financial Intelligence. “As President Trump has said repeatedly, the United States will not allow Iran to have a nuclear weapon.”
Since President Trump resumed office, his administration claims to have sanctioned more than 180 vessels associated with Iranian oil exports, aiming to increase costs for exporters and reduce Iran’s oil revenue.
The list includes ships flagged in Palau, Panama, Cook Islands, Barbados, Jamaica, and other jurisdictions. Many are owned by companies registered in locations such as the United Arab Emirates, Panama, Marshall Islands, India, British Virgin Islands, Liberia, and others. Some vessels reportedly made port calls in Yemen at locations controlled by Houthi forces.
OFAC stated that these actions are part of a broader campaign to enforce maximum economic pressure on Iran’s petroleum sector as outlined in National Security Presidential Memorandum 2 (NSPM-2). The measures block all property and interests belonging to designated persons within U.S. jurisdiction or control by U.S. persons.
The sanctions mean that any entities owned 50 percent or more by blocked individuals or organizations are also subject to blocking measures. U.S. regulations generally prohibit transactions involving blocked property unless specifically authorized or exempted by OFAC.
Violations may result in civil or criminal penalties for both U.S. and foreign persons. Financial institutions and others could also face sanctions if they engage in certain activities with designated entities or individuals.
OFAC emphasized that while it maintains the authority to designate individuals or organizations on its Specially Designated Nationals (SDN) List, there is also a process for removal from the list if warranted by changes in behavior or circumstances.
More details about today’s designations can be found through official OFAC channels.
