“Iran increasingly turning to buyers in East Asia to sell its petrochemical and petroleum products, in violation of U.S. sanctions,” mentioned Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian E. Nelson. “The United States remains focused on targeting Tehran’s sources of illicit revenue, and will continue to enforce its sanctions against those who wittingly facilitate this trade.”
Today’s motion was taken pursuant to Executive Order (E.O.) 13846 and follows OFAC’s November 17, 2022 designation of 13 corporations within the UAE and Hong Kong for facilitating the sale of Iranian petrochemicals and petroleum merchandise to patrons in East Asia on behalf of Triliance and sanctioned Iranian petrochemical dealer Persian Gulf Petrochemical Industry Commercial Co. (PGPICC), in addition to on behalf of NIOC and its advertising arm, Naftiran Intertrade Company Ltd. (NICO).
Iranian Petrochemical Producers
OFAC is designating Iranian petrochemical producer Amir Kabir Petrochemical Company (AKPC), a serious polyethylene producer. Triliance has bought tens of millions of {dollars}’ value of low density polyethylene (LDPE) produced by AKPC for cargo to patrons within the People’s Republic of China (PRC). OFAC can be including Simorgh Petrochemical Company, a totally owned subsidiary of AKPC, to the List of Specially Designated Nationals and Blocked Persons (“SDN List”).
OFAC is designating AKPC pursuant to E.O. 13846 for, on or after November 5, 2018, having materially assisted, sponsored, or supplied monetary, materials, or technological help for, or items or companies to or in help of, Triliance. OFAC is including Simorgh Petrochemical Company to the SDN List for being owned within the mixture, instantly or not directly, 50 % or extra by AKPC.
OFAC can be taking motion towards 4 subsidiaries of Iran’s Marun Petrochemical Company, which OFAC designated on June 16, 2022 for its position in supplying tens of millions of {dollars}’ value of petrochemicals to Triliance. Iran-based Laleh Petrochemical Company, Marun Tadbir Tina Company, Marun Sepehr Ofogh Company, and Marun Supplemental Industries Company, every of which function in several capacities throughout the petrochemical and industrial sectors, are majority- or totally owned by Marun Petrochemical Company.
OFAC is including Laleh Petrochemical Company, Marun Tadbir Tina Company, Marun Sepehr Ofogh Company, and Marun Supplemental Industries Company to the SDN List for being owned within the mixture, instantly or not directly, 50 % or extra by Marun Petrochemical Company.
Triliance Network Enablers
Since late 2021, Singapore-based Asia Fuel PTE. Ltd. (Asia Fuel) has facilitated the cargo of petroleum merchandise value tens of millions of {dollars} to prospects in East Asia. Asia Fuel additionally organized to pay storage charges on behalf of Triliance to accommodate petroleum merchandise in a Malaysia-based floating storage vessel.
Sense Shipping and Trading SDN. BHD. (Sense Shipping) is a Kuala Lumpur, Malaysia-based entrance firm for Triliance that has facilitated Triliance’s cargo of tens of hundreds of metric tons of petrochemicals to international prospects. Sense Shipping beforehand operated below the title Eastchem Shipping SDN. BHD.
Singapore-based Unicious Energy PTE. Ltd. serves an essential position in Triliance’s community, coordinating tens of millions of {dollars} in petroleum-related funds for different corporations throughout the community and aiding Triliance in its sale of a whole bunch of tens of millions of {dollars} of petroleum merchandise.
OFAC is designating Asia Fuel PTE. Ltd., Sense Shipping and Trading SDN. BHD., and Unicious Energy PTE. Ltd., pursuant to E.O. 13846 for, on or after November 5, 2018, having materially assisted, sponsored, or supplied monetary, materials, or technological help for, or items or companies to or in help of, Triliance, an individual included on the SDN List whose property and pursuits in property are blocked pursuant to part 1(a) of E.O. 13846.
Sanctions Implications
As a results of in the present day’s motion, all property and pursuits in property of those targets which might be within the United States or within the possession or management of U.S. individuals should be blocked and reported to OFAC. In addition, any entities which might be owned, instantly or not directly, 50 % or extra by a number of blocked individuals are additionally blocked. OFAC’s laws typically prohibit all dealings by U.S. individuals or throughout the United States (together with transactions transiting the United States) that contain any property or pursuits in property of blocked or designated individuals.
In addition, individuals that interact in sure transactions with the people and entities designated in the present day could themselves be uncovered to sanctions or topic to an enforcement motion. Furthermore, except an exception applies, any international monetary establishment that knowingly facilitates a big transaction for any of the people or entities designated in the present day might be topic to U.S. sanctions.
The energy and integrity of OFAC sanctions derive not solely from its potential to designate and add individuals to the SDN List, but additionally from its willingness to take away individuals from the SDN List according to the regulation. The final objective of sanctions is to not punish, however to deliver a couple of optimistic change in habits. For info in regards to the course of for in search of elimination from an OFAC checklist, together with the SDN List, please seek advice from OFAC’s Frequently Asked Question 897 right here. For detailed info on the method to submit a request for elimination from an OFAC sanctions checklist, please click on right here.
Click right here for figuring out info on the entities designated in the present day.
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