US Imposes New Sanctions on Iran Targeting Shadow Banking and Oil Networks
The US announced new sanctions targeting 16 individuals and 10 entities to disrupt Iran's shadow banking and military financing. Treasury Secretary Scott Bessent stated, 'The noose is tightening around Iran's economy'. Part of Operation Economic Outcast, the action targets an Iraqi bank, offshore entities, and oil intermediaries.
The United States has announced a new round of Iran-related sanctions targeting 16 individuals and 10 entities, with the US Treasury Department aiming to dismantle Tehran's international financial networks, shadow banking operations, and funding channels for military and regional proxy groups. The measures were announced on Thursday local time as Washington escalates economic pressure on Tehran amid an ongoing standoff and regional disruptions.
Treasury Secretary Statement on Financial Lifelines
US Treasury Secretary Scott Bessent stated that the administration will continue targeting Iran's financial lifelines until the leadership can no longer sustain its activities. Donald Trump Reverses Proposal to Livestream Fort Hood Shooter Nidal Hasan's Execution.
The Noose Is Tightening Around Iran's Economy
The noose is tightening around Iran’s economy, and not even Iran’s so-called allies can save it. The Department of the Treasury will not relent until the Iranian regime’s coffers are empty and every remaining financial lifeline sustaining its war machine has been severed.
— Treasury Secretary Scott Bessent (@SecScottBessent) October 15, 2026
Addressing the crackdown, Treasury Secretary Scott Bessent said: “The noose is tightening around Iran's economy, and not even Iran's so-called allies can save it. The Department of the Treasury will not relent until the Iranian regime's coffers are empty and every remaining financial lifeline sustaining its war machine has been severed.”
Operation Economic Outcast and Targeted Networks
The latest action was carried out under "Operation Economic Outcast," an initiative launched by Bessent on August 24 to disrupt the networks Iran uses to generate revenue, evade sanctions, and transfer funds abroad.
Treasury Disrupted Iran's Efforts To Infiltrate the International Financial System
Today, as part of Operation Economic Outcast, Treasury disrupted Iran’s efforts to infiltrate the international financial system through an Iraqi bank that also supports Iran’s terrorist proxy militia groups. By dismantling these institutions—including offshore banks and shadow financiers that have moved hundreds of millions of dollars through shell companies and foreign‑exchange specialists across the Middle East and Asia—Treasury is severing critical revenue streams that sustain Iran’s military and proxy forces.
https://t.co/oQnsonnczK
— Treasury Department (@USTreasury) October 15, 2026
According to the Treasury Department: “Today, as part of Operation Economic Outcast, Treasury disrupted Iran's efforts to infiltrate the international financial system through an Iraqi bank that also supports Iran's terrorist proxy militia groups. By dismantling these institutions—including offshore banks and shadow financiers that have moved hundreds of millions of dollars through shell companies and foreign‑exchange specialists across the Middle East and Asia—Treasury is severing critical revenue streams that sustain Iran's military and proxy forces.”
Among the primary targets is the Iraq-based International Development Bank for Investment and Finance (IDB), accused of providing financial facilitation and US dollar access to Iran and maintaining links with Iran-aligned militias in Iraq. Additional targets include offshore banks such as Jazireh International Bank Company and Chabahar International Bank Overseas Company.
Oil Intermediaries and International Entities
The sanctions also designate individuals and companies involved in oil sales and currency exchange networks. This includes Iranian national Sayyed Ruhollah Razavi, accused of operating as an oil intermediary to sell Iranian oil and repatriate funds through clandestine banking networks on behalf of the National Iranian Oil Company. Additionally, the US Department of State designated Cuba-based Banco Internacional de Comercio S.A. (BICSA) for operating in Cuba's financial sector and providing services to Iran-based Karafarin Bank. The Treasury Department warned that any entities facilitating money laundering or sanctions evasion on behalf of Iran risk losing access to the US financial system.
(The above story first appeared on LatestLY on Oct 16, 2026 08:01 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
