The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has designated a network of individuals, entities, and vessels involved in shipping hundreds of millions of dollars’ worth of Iranian-origin liquid petroleum gas (LPG), intentionally disguised as Omani LPG, to end users in South and East Asia, alongside an Iranian exchange house facilitating shadow banking.
This extensive network utilized front companies in the United Arab Emirates and China, foreign bank accounts, and Iran’s shadow fleet to move millions of barrels of Iranian LPG while concealing its true origin and evading U.S. sanctions. Key figures in the LPG export scheme include Afghani national Sarbaz Abdul Zada and Turkish national Mohammad Shakol Mihandoust, who operated UAE-based front companies such as Butani Trading LLC, Dundlod Trading FZE, and ADH Energy FZE, as well as China-based Shanghai Qianye Energy Co., Ltd. Several vessels, including the MD 23, GLENDALE, AMIR GAS, GAS LAGOON, MILE, and GAZ GMS, were also identified for transporting Iranian LPG.
In parallel, OFAC took action against Iran-based Mehrdad Geramian Nik and Partners Company (Geramian Exchange) and its operators, Iranian nationals Mehrdad Geramian Nik and Romina Geramian Nik. This family-run exchange house moved hundreds of millions of dollars in foreign currency for sanctioned Iranian banks like Bank Tejarat, Bank Mellat, and Bank Pasargad, using overseas shell and front companies to bypass sanctions. Mehrdad Geramian Nik also holds foreign citizenship, which facilitates international travel and access to banking networks for shadow banking activities.
Secretary of the Treasury Scott Bessent emphasized the ongoing