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US seeks forfeiture of $61M in crypto tied to alleged Iranian oil laundering
A civil complaint describes alleged oil-sale proceeds routed through crypto accounts, but the claims remain unproven
US prosecutors filed a civil complaint on September 14 seeking to forfeit approximately $61 million in cryptocurrency they allege came from black-market sales of sanctioned Iranian oil. The Justice Department announcement says the proceeds were intended to benefit the Iranian government and military components, including the Islamic Revolutionary Guard Corps. These are allegations, not findings by a court.
How prosecutors say the transfers worked
Prosecutors allege that Chinese companies Blessed Trust and Hexa Whale used trading accounts at the UAE-based cryptocurrency exchange Binance to convert money into crypto and move proceeds from Iranian oil sales. The Justice Department says their clients included companies in China’s petroleum sector.
The complaint also describes a group of unhosted crypto addresses called ‘Entity A’ that allegedly received and distributed more than $1.5 billion in oil-sale proceeds. Prosecutors say some funds went to IRGC-related money services businesses, crypto addresses and an Iranian exchange. The $1.5 billion describes the wider alleged flow, not the amount targeted in this forfeiture action.
What the $61 million action means
The Justice Department says it seized and seeks to forfeit more than $61 million in cryptocurrency. Filing a civil complaint does not establish that the assets are forfeitable. The agency says the allegations remain unproven until a court awards a judgment in favor of the United States.