The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced new sanctions against Iranian officials and entities involved in violent repression and corruption. Among those targeted is Eskandar Momeni Kalagari, Iran’s Minister of the Interior, who oversees the Law Enforcement Forces (LEF), a group held responsible for the deaths of thousands of peaceful protestors.
Babak Morteza Zanjani, an Iranian investor previously convicted for embezzling billions from Iran’s National Oil Company, was also sanctioned. According to OFAC, Zanjani was released from prison to assist the regime in laundering money and has provided financial backing for projects that support both the Islamic Revolutionary Guard Corps (IRGC) and broader regime activities.
For the first time, OFAC has designated two digital asset exchanges—Zedcex Exchange, Ltd. and Zedxion Exchange, Ltd.—linked to Zanjani for operating within Iran’s financial sector. These UK-registered exchanges have processed large sums associated with IRGC-linked entities. Since August 2022, Zedcex has handled over $94 billion in transactions.
“Rather than build a prosperous Iran, the regime has chosen to squander what remains of the nation's oil revenues on nuclear weapons development, missiles, and terrorist proxies around the world,” said Secretary of the Treasury Scott Bessent. “President Trump stands with the people of Iran and has ordered Treasury to sanction members of the regime. Treasury will continue to target Iranian networks and corrupt elites that enrich themselves at the expense of the Iranian people. This includes the regime's attempts to exploit digital assets to evade sanctions and finance cybercriminal operations. Like rats on a sinking ship, the regime is frantically wiring funds stolen from Iranian families to banks and financial institutions around the world. Rest assured, Treasury will act.”
These actions are being taken under several executive orders addressing human rights abuses by Iran’s government (E.O. 13553), counterterrorism measures (E.O. 13224), and targeting Iran’s financial sectors (E.O. 13902). The move aligns with National Security Presidential Memorandum 2 (NSPM-2), which supports ongoing economic pressure on networks used by Iran for shadow banking, money laundering, and sanctions evasion.
Other senior officials designated include Majid Khademi of IRGC Intelligence Organization; Ghorban Mohammad Valizadeh, commander of IRGC’s Seyyad al-Shohada Corps in Tehran province; Hossein Zare Kamali, IRGC commander in Hamadan province; Hamid Damghani, IRGC commander in Gilan province; and Mehdi Hajian, LEF commander in Kermanshah province. These individuals are accused by OFAC of organizing or overseeing security forces responsible for violence against demonstrators across multiple provinces.
The United States reiterated its support for internet freedom in Iran during ongoing protests and internet blackouts by highlighting general license GL D-2 that facilitates access to online communications tools under U.S regulations (31 CFR § 560.540). The government stated it would continue processing related requests for guidance or licenses quickly.
As a result of these sanctions, all property belonging to designated individuals or entities within U.S jurisdiction is blocked and must be reported to OFAC. U.S persons are generally prohibited from conducting transactions involving these parties unless authorized by OFAC or exempted by law.
OFAC warned that violations could lead to civil or criminal penalties for both domestic and foreign persons engaged in unauthorized transactions with sanctioned parties. Financial institutions may also face exposure if they conduct business with blocked individuals or organizations.
The agency emphasized that while it actively adds persons to its Specially Designated Nationals (SDN) List as part of enforcing sanctions policy, there is also a process available for seeking removal if circumstances change.
