Washington targets 10 individuals accused of moving large sums of cash for Hezbollah and reclassifies the group as an Iranian proxy.
WEB DESK: The United States has imposed new sanctions on a financial network accused of transferring large amounts of cash to Hezbollah, while Washington has also formally highlighted the Lebanese group’s role as an Iranian proxy.
The US Treasury Department’s Office of Foreign Assets Control (OFAC) announced on August 20 that it was designating 10 individuals allegedly involved in a network responsible for moving cash to Hezbollah.
According to US authorities, the network used couriers travelling on commercial flights between Lebanon, Türkiye, the United Arab Emirates and Iran to transfer potentially hundreds of millions of dollars between jurisdictions. The system allegedly allowed Hezbollah to obtain foreign currency outside the formal financial system and evade existing sanctions.
US targets Hezbollah’s financial channels
The sanctions are aimed at disrupting financial mechanisms that Washington says Hezbollah has used to access foreign currency and move funds internationally.
The US Treasury said the network relied on individuals travelling by air to physically transport large sums of cash, providing an alternative channel to conventional banking systems.
The latest action adds to a series of US measures targeting Hezbollah’s financial infrastructure. In June, the Treasury announced coordinated sanctions through the Terrorist Financing Targeting Center against five entities and 16 individuals linked to what it described as key components of Hezbollah’s financial system, including Al-Qard Al-Hassan and Bayt al-Mal.
Washington strengthens Hezbollah-Iran designation
Alongside the new sanctions, the United States has also re-designated Hezbollah to explicitly describe the group as operating in service of the Iranian regime under the command of Iran’s Islamic Revolutionary Guard Corps-Quds Force (IRGC-QF).
The move represents a change in the wording used by Washington to characterize Hezbollah’s relationship with Iran. The United States had already designated Hezbollah as a Foreign Terrorist Organization in 1997 and as a Specially Designated Global Terrorist in 2001.
The latest designation emphasizes Washington’s assessment that Hezbollah’s activities and financial operations remain closely connected to Iran’s security and military establishment.
Continued US pressure on Hezbollah finances
The new measures form part of a broader US campaign to restrict Hezbollah’s access to international financial networks.
In March, the Treasury sanctioned a network of individuals and companies led by Hezbollah financier Alaa Hassan Hamieh, saying the network had helped divert more than $100 million since 2020.
The Treasury also announced additional measures in June against Hezbollah-linked officials and business networks operating across Lebanon, Syria, Iraq and Oman. Washington said those networks were involved in raising funds, executing contracts and operating front companies for Hezbollah.
The latest sanctions come as the United States continues efforts to weaken Hezbollah’s financial capabilities and increase pressure on Iran and its regional partners.
The measures could further complicate Hezbollah’s ability to move funds through informal financial channels and international commercial networks, while adding pressure to Lebanon’s already sensitive financial and political environment.
