The U.S. Department of Treasury is ramping up its efforts to disrupt the shipping network of Iranian oil magnate Mohammad Hossein Shamkhani.

Shamkhani is considered one of the largest oil traders in Iran, and his company based out of Dubai has previously been accused of illegally selling billions of dollars of sanctioned Iranian and Russian oil across the globe. According to a July 14 release, the Treasury's Office of Foreign Assets Control (OFAC) imposed new sanctions against 50 individuals, entities and vessels with ties to Shamkhani and the Iranian regime.

“The Iranian regime survives on deception, and the Shamkhani network is one of its most profitable engines,” said Treasury Secretary Scott Bessent. “Treasury is shutting down the financial infrastructure that allows the regime to continue its threats to U.S. national security and global shipping.”

Among the individuals sanctioned by OFAC are Iranian nationals Hossein Ghorbani Zahed and Mohammad Reza Rahbar Madani, who allegedly work as primary financiers for Shamkhani's network by providing it with access to foreign currency and shell companies based in Iran. Zahed is also the beneficial owner of Golden Nest Group, a real estate company based in the British Virgin Islands and Dubai. OFAC also sanctioned a series of shipping companies and subsidiaries in Shamkhani's network, as well as a series of container vessels in his global fleet. 

As a result of OFAC's sanctions, any assets those individuals or companies hold under U.S. jurisdiction are now frozen, while U.S. businesses and financial institutions are prohibited from doing business with them. That could complicate the network's ability to finance shipments, charter vessels and maintain relationships with shipping companies that rely on access to the U.S. financial system.