U.S. Treasury Secretary Urges Allies to Step Up Pressure on Iran's Financial Networks — Reuters
On Tuesday, May 19, U.S. Treasury Secretary Scott Bessent called on international allies to take more decisive action to dismantle Iran’s financial networks.
This was reported by Reuters.
The official made the statement during his official remarks following the conclusion of the G7 finance ministers’ meeting in Paris.
The head of the U.S. Treasury Department clearly outlined Washington’s expectations of its foreign partners regarding countering common threats in the Middle East.
Bessent stated that allies must “fully support” the U.S. in its confrontation with Iran. He emphasized that the neutrality or passive stance of certain states only helps Tehran circumvent existing restrictions.
The U.S. Treasury Secretary outlined specific steps that European, Asian, and Middle Eastern countries must take to achieve tangible results.
“This will require, for example, that our European partners join the U.S. in taking action against Iran by identifying its financiers, exposing its front and shell companies, closing its bank branches, and dismantling its intermediaries. It will require those of you in the Middle East and Asia to root out Iran’s shadow banking networks,” he emphasized.
Washington is forced to rapidly adapt its own control methods, as the Iranian regime is constantly seeking new loopholes to conduct illicit transactions.
According to the minister, to make this more effective, the U.S. Department of the Treasury is modernizing its sanctions architecture because “adversaries adapt and innovate,” creating new shell companies.
Currently, the lion’s share of U.S. restrictive measures is based on adding violators to special blacklists.
Most U.S. Treasury sanctions are imposed on individuals, companies, and other organizations added to its Specially Designated Nationals List.
This list contains tens of thousands of individuals who are completely cut off from the dollar-based financial system and have their assets frozen. Anyone who conducts transactions with these entities risks being sanctioned themselves.
The reform of U.S. sanctions policy is designed to bring monitoring up to a higher technological level and facilitate the work of legitimate banking institutions.
“To improve outcomes in the area of national security, the Treasury Department is adapting our sanctions program to the demands of the 21st century. We are reviewing outdated and irrelevant lists to help financial institutions focus on the most complex schemes of terrorist financing and sanctions evasion,” Bessent said.
The U.S. Treasury Department warned of possible sanctions against foreign companies for cooperating with Iran
Iran has submitted a new proposal to the United States regarding the resolution of the situation surrounding the Strait of Hormuz and the cessation of hostilities. At the same time, Tehran is proposing to postpone nuclear negotiations to a later stage.
U.S. Secretary of State Marco Rubio stated that Iran continues to attempt to maintain control over the Strait of Hormuz. He emphasized that such approaches are unacceptable to the United States and underscored the importance of freedom of navigation in the region.
