Latest round of US Treasury Department sanctions targets ships linked to Houthis, Hezbollah
The US Department of the Treasury’s Office of Foreign Assets Control (OFAC) has again sanctioned 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 on behalf of the network of Iran-based, Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF) backed Houthi financial official Sa’id al-Jamal.
OFAC is also updating the Specially Designated Nationals and Blocked Persons List (SDN List) entry for the sanctioned vessel Artura, which was responsible for shipping commodities for Sa’id al-Jamal, to reflect the changing of its name to OHAR.
OFAC said the revenue from al-Jamal’s network helps finance the Houthis’ reckless targeting of shipping in the Red Sea and civilian infrastructure, which has led to grave consequences for both the region and the international community.
In addition to today’s action targeting the network of Sa’id al-Jamal, OFAC is also designating Hong Kong-based Kai Heng Long Global Energy for its role in shipping Iranian LPG worth tens of millions of dollars for Lebanese Hezbollah, and identifying as blocked property four vessels the company owns and manages.
Sa’id al-Jamal and his network rely on a host of shipping companies, vessels, and facilitators to enable the sale and shipment of Iranian commodities, including oil and petroleum products, in order to generate revenue for the Houthis and the IRGC-QF.
Houthi shipping
The Palau-flagged LPG tanker LPG Om, which is owned and operated by Marshall Islands-registered KDS Shipping, has carried multiple shipments on behalf of Sa’id al-Jamal. Similarly, the Palau-flagged LPG tanker Raha Gas, owned by Marshall Islands-registered Arafat Shipping Company, has shipped millions of dollars of LPG falsely identified as having loaded in the UAE to Yemen on behalf of the al-Jamal network.
Indian national Arif Ibrahim Khot, captain of Raha Gas, directed the LPG shipment to Yemen. Houthi-affiliated and UAE-based ONX Trading has facilitated illicit payments related to the al-Jamal network’s shipping operations.
Additionally, the Palau-flagged product tanker Divine Power, which is owned and operated by Marshall Islands-registered DP Shipping, has shipped millions of dollars’ worth of fuel oil to the UAE on behalf of al-Jamal’s network.
Divine Power engaged in a ship-to-ship (STS) transfer with the US-sanctioned Mehle to facilitate a shipment of fuel on behalf of the network. Mehle was sanctioned on January 12, 2024 for its role in shipments on behalf of Sa’id al-Jamal.
Sa’id al-Jamal’s network relies on a variety of foreign shipping agents to facilitate shipments overseas. Malaysia-based Transmarine Navigation provided forged documents for the US-sanctioned Dawn II, falsely showing the commodities on board were of Malaysian rather than Iranian-origin
Transmarine was also involved in the transportation of Iranian commodities aboard the US-sanctioned Reneez on behalf of Sa’id al-Jamal. UAE-based K F D General Trading has similarly aided the al-Jamal network in arranging a shipment of Iranian commodities to the People’s Republic of China (PRC).
Hezbollah LPG shipments
Hong Kong-based Kai Heng Long Global Energy is the ship manager, operator, and registered owner of the Eswatini-flagged LPG tanker Fengshun, formerly known as Venus 7, as well as the São Tomé and Príncipe-flagged LPG tanker Victoria, the São Tomé and Príncipe-flagged LPG tanker Lady Liberty, and the Panama-flagged LPG tanker Parvati, all of which shipped Iranian LPG.
The Lebanese Hizballah-controlled Talaqi Group used Fengshun and Victoria to ship LPG worth tens of millions of dollars from Iran to the PRC. In early July 2024, Fengshun conducted an STS transfer with Victoria in Singapore, which ultimately delivered the cargo to the PRC.
