The Justice Department (DOJ) confirmed on Sept. 8 that in April, the United States seized a shipment of crude oil from the Islamic Revolutionary Guard Corps (IRGC), a designated foreign terrorist organization.
In confirming the confiscation, the department also announced its first criminal resolution involving the illicit sale and transport of Iranian oil, which is a violation of U.S. sanctions.
“This is the first-ever criminal resolution involving a company that violated sanctions by facilitating the illicit sale and transport of Iranian oil and comes in concert with a successful seizure of over 980,000 barrels of contraband crude oil,” the announcement reads.
US Seizes Sanctioned Oil
Unsealed court documents show that in April, the United States seized from the tanker Suez Rajan contraband cargo that was allegedly being sold by the IRGC to China.
On April 19, the vessel’s owner, Suez Rajan Ltd., pleaded guilty to conspiring to violate the International Emergency Economic Powers Act (IEEPA) in smuggling the sanctioned Iranian crude oil. Under a plea agreement, the company agreed to pay a $2.4 million fine and face three years of corporate probation.
Greek shipper Empire Navigation, the operating company of the Suez Rajan, agreed to cooperate and transport the Iranian oil to the United States at its own expense, a task that has since been completed.
“The contraband cargo is now the subject of a civil forfeiture action in the U.S. District Court for the District of Columbia,” the DOJ stated. “The United States’ forfeiture complaint alleges that the oil aboard the vessel is subject to forfeiture based on U.S. terrorism and money laundering statutes.”
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