US Treasury imposes new sanctions on Iran

US Treasury Department slaps sanctions on Iranian paramilitary group and a network of businesses that were providing it with financing.

Elad Benari ,

US Treasury Secretary Steven Mnuchin
US Treasury Secretary Steven Mnuchin

The US Treasury Department on Tuesday slapped sanctions on an Iranian paramilitary group along with a network of businesses that were providing it with financing, AFP reported.

In announcing the sanctions, the Treasury said a network of more than 20 businesses known as the Bonyad Taavon Basij was financing the Basij Resistance Force, a component of Iran's Islamic Revolutionary Guard Corps (IRGC).

It also accused the hardline militia of sending child soldiers to Syria in support of President Bashar Al-Assad's regime.

"The international community must understand that business entanglements with the Bonyad Taavon Basij network and IRGC front companies have real world humanitarian consequences," said Treasury Secretary Steven Mnuchin.

"This helps fuel the Iranian regime's violent ambitions across the Middle East," he added.

The Basij, a paramilitary force formed soon after the 1979 revolution, is one of the Iranian regime's primary enforcers of internal security with branches in every province and city of Iran, according to the US Treasury.

"In addition to its involvement in violent crackdowns and serious human rights abuses in Iran, the Basij recruits and trains fighters ... including Iranian children, who then deploy to Syria to support the brutal Assad regime," said the Treasury statement.

It added that in addition to Iranians, the militia recruited Afghan immigrants to Iran through coercion, some of whom had fled to Europe as a result, as well as Pakistani nationals.

The Bonyad Taavon Basij is said to provide the Basij militia social welfare services, including housing and financial support, and manages economic activities by funding small companies.

"Bonyad Taavon Basij has expanded its reach into Iran's economy by establishing several investment firms through its financial and investment offshoot Mehr Eqtesad Bank," the Treasury statement said.

Among the other companies singled out in Tuesday’s sanctions was Iran Tractor Manufacturing Company (ITMC), the largest tractor manufacturer in the Middle East and North Africa which predates the Iranian revolution, that generates millions of dollars in profit for the investment firms that represent the Basij.

Also targeted was Iran's Zinc Mines Development Company, described as the country's "preeminent, multibillion-dollar zinc and lead mining and processing holding company."

Commenting on the sanctions, Israel's Ambassador to the UN, Danny Danon, urged the world to follow suit.

"Iran's terrorism and human rights violations could be stopped by imposing suffocating economic sanctions. The world must unite together with Israel and the United States, and stand against Iran to prevent Iranian money from reaching Iran's terrorist proxies," he said.

The sanctions are the latest to have been imposed by Washington on Tehran since President Donald Trump withdrew in May from the 2015 nuclear deal between Iran and world powers.

In August, Trump signed an executive order officially reinstating US sanctions against Iran. Additional US sanctions targeting Iran's oil and shipping industries will go into effect on November 4.

Last September, the US Treasury Department announced new sanctions targeting 11 companies and individuals accused of aiding Iran's Revolutionary Guards or cyber attacks on US banks.

The Islamic Republic has promised a “crushing” response if the United States designates the Revolutionary Guards as a terrorist group.