By Pishtaz | 2024-08-21

The United States on August 15 issued new sanctions targeting Houthi and Hizbullah trade networks, in an effort to clamp down on revenue sources for the two Iranian regime-backed groups.

The sanctions target several companies, individuals and vessels for their involvement in the shipment of Iranian commodities, including oil and liquefied petroleum gas (LPG), to Yemen and the United Arab Emirates (UAE), the US Treasury said.

These shipments were conducted on behalf of Iran-based Houthi financial facilitator Said al-Jamal's network, which the Islamic Revolutionary Guard Corps Quds Force (IRGC-QF) backs.

The revenue from al-Jamal's network helps finance the Houthis' targeting of Red Sea shipping and civilian infrastructure, which has imperiled both the region and the international community.

"Today's action underscores our continued commitment to disrupting Iran's primary source of funding to its regional terrorist proxies like Lebanese Hizbullah and the Houthis," said Treasury official Bradley T. Smith.

Targeting al-Jamal network

The Treasury is blocking the Ohar, previously called the Artura, a sanctioned vessel that shipped goods for al-Jamal.

The sanctioned entities include Palau-flagged LPG tankers LPG OM and Raha Gas, owned by Marshall Islands-registered companies KDS Shipping Limited and Arafat Shipping Company, respectively, which have been linked to illicit shipments for al-Jamal.

The Raha Gas, captained by sanctioned Indian national Arif Ibrahim Khot, carried shipments of millions of dollars of LPG falsely identified as originating from the UAE. It delivered them to Yemen.

UAE-based ONX Trading FZE facilitated illicit payments related to al-Jamal's operations.

Additionally, the Palau-flagged product tanker Divine Power, owned and operated by Marshall Islands-registered DP Shipping Limited, shipped millions of dollars' worth of fuel oil to the UAE.

The tanker engaged in a ship-to-ship transfer with US-sanctioned Mehle to facilitate a shipment of fuel on behalf of the network.

Malaysia-based Transmarine Navigation provided forged documents for the US-sanctioned tanker Dawn II, falsely identifying the commodities on board as of Malaysian, not Iranian, origin.

Transmarine helped transport Iranian commodities aboard the US-sanctioned Reneez on behalf of al-Jamal.

UAE-based KFD General Trading LLC has similarly aided the network in arranging a shipment of commodities to China.

Hizbullah LPG shipments

In addition to targeting al-Jamal's network, the US Treasury designated Hong Kong-based Kai Heng Long Global Energy Limited for its role in shipping Iranian LPG worth tens of millions of dollars for Hizbullah.

Kai Heng Long is the ship manager, operator and owner of the Eswatini-flagged LPG tanker Fengshun, formerly known as the Venus 7, as well as the São Tomé and Príncipe-flagged LPG tankers Victoria and Lady Liberty and the Panama-flagged LPG tanker Parvati, all of which shipped Iranian LPG.

The Hizbullah-controlled Talaqi Group used the Fengshun and Victoria to ship LPG worth tens of millions of dollars from Iran to China.