The United States has filed civil forfeiture complaints seeking to seize more than $15 million allegedly connected to an Iranian oil distribution network accused of evading American sanctions and using the US financial system to support entities linked to Iran’s Revolutionary Guard.
According to the United States Department of Justice, the complaints were filed in the US District Court for the District of Columbia and target approximately $15.3 million that investigators say was tied to an international scheme involving the sale and shipment of Iranian petroleum in violation of US sanctions.
Authorities allege the funds were intended to facilitate violations of sanctions imposed under the International Emergency Economic Powers Act (IEEPA). The money is also alleged to have been linked to efforts to generate revenue benefiting Iranian entities including the National Iranian Oil Company and the Islamic Revolutionary Guard Corps along with its overseas arm, the IRGC Quds Force.
Both the IRGC and the IRGC-QF are designated as Foreign Terrorist Organizations by the United States.
US authorities allege that Mohammad Hossein Shamkhani operated a network of companies and intermediaries involved in selling and transporting Iranian oil while concealing its origin and the role of Iranian entities in the transactions.
Investigators say the network relied on a combination of shipping operations, front firms and financial channels to disguise the source of petroleum cargoes and facilitate international payments. The arrangement allegedly allowed Iranian oil to be sold in global markets despite sanctions restrictions.
The Office of Foreign Assets Control (OFAC), a division of the US Department of the Treasury, had earlier imposed sanctions on Shamkhani in July 2025. OFAC described him as the son of Ali Shamkhani, a senior political adviser to Iran’s Supreme Leader and a former head of Iran’s National Defense Council.
In its statement, OFAC characterised the operation as an extensive network involving vessels, shipping firms and front companies used to move billions of dollars in oil revenue across international markets.
According to the agency, the network comprised a fleet of vessels and management firms alongside front companies that sometimes presented themselves as legitimate financial services entities. These firms allegedly handled transactions linked to the global sale of Iranian and Russian crude oil and other petroleum products.
US authorities said the network’s operations frequently involved buyers in China and relied on multiple layers of corporate structures and shipping arrangements designed to obscure connections to the Shamkhani family, Iran and Russia.
Officials say the system employed complex methods to disguise ownership, shipping routes and financial flows associated with the oil trade.
Attorney General Pamela Bondi said the United States would not allow sanctioned entities to exploit the country’s financial system.
“Under President Trump’s leadership, we have ZERO tolerance for foreign actors using the US financial system to prop up our nation’s enemies,” Bondi said.
She added that the defendant was allegedly supporting the IRGC with millions of dollars in violation of US sanctions and that authorities were seeking accountability through legal action.
Assistant Attorney General Tysen A. Duva said the forfeiture complaints demonstrate efforts to prevent companies connected to Iran from using US financial institutions to conduct transactions linked to sanctioned activities.
“Today’s civil forfeiture complaints illustrate the Criminal Division’s steadfast mission to prevent Iranian-backed shadow companies from using the US financial system to support terrorist organizations, in violation of US sanctions against Iran,” Duva said.
According to investigators, about $12.97 million of the funds targeted in the case were intended for use by Wellbred Capital Pte Ltd and its subsidiary Wellbred Trading DMCC.
Authorities allege these companies were acquired and operated by Shamkhani and his associates in order to maintain a corporate identity that appeared independent of Iran while quietly supporting the oil distribution network.
Another $2.4 million was allegedly intended for Sea Lead Shipping Pte Ltd and its affiliate Sea Lead Shipping Agency India Pvt Ltd. Investigators say these companies were expected to provide shipping services for the oil transport operations linked to the network.
The forfeiture case forms part of broader US efforts to enforce sanctions on Iran’s energy sector and disrupt financial channels used to move revenues from the global sale of sanctioned petroleum.
