Law firm behind Iran’s shadow fleet sanctioned by OFAC
The United States sanctioned a Panama- and Greece-based law firm and maritime businesses accused of sustaining Iran’s illicit shipping networks, targeting the corporate structures and port services that help Iranian commodities reach overseas buyers.
WASHINGTON, Oct. 21, 2026 — The Treasury Department designated Karnakis and Karnakis under Executive Order 13902, saying the firm registered companies owning vessels that transported hundreds of millions of dollars’ worth of Iranian commodities. The action, part of Operation Economic Outcast, also targeted five people associated with the firm, three other companies and nine vessels added to the sanctions list. U.S. Department of the Treasury
Treasury said the firm helped establish the corporate network of Iranian liquefied petroleum gas businessman Seyed Asadoollah Emamjomeh and supplied directors and officers who obscured companies’ beneficial owners. The other businesses targeted were Roxette Maritime Shipping and Trading, which manages seven cargo vessels identified as blocked property, Singapore-based shipping agency Amigoz Singapore and Dubai-based Whales Shipping Line. Two Whales support vessels were also identified as blocked property. U.S. Department of the Treasury
The action also exposed a banking investigation. Treasury said its Financial Crimes Enforcement Network was coordinating with European partners and had used an administrative subpoena to investigate an unnamed Greek bank’s potential connections to Iran and its proxies. The designations generally freeze property under U.S. jurisdiction and prohibit U.S. persons from dealing with the targets, subject to exemptions or authorization. U.S. Department of the Treasury
OFAC issued licenses GG and HH permitting specified wind-down transactions until 12:01 a.m. EST on Nov. 20. License HH also permits limited maritime safety activities and the offloading of non-Iranian cargo loaded by Oct. 21, subject to conditions excluding Iranian and Russian ports. Payments to blocked persons must enter blocked accounts. ofac.treasury.gov
Separately, Russia-related General License 131K authorizes negotiations and contingent contracts for the sale of Lukoil International GmbH, alongside specified maintenance and wind-down activities, until 12:01 a.m. EST on Nov. 21. Completing a sale requires separate OFAC authorization. The agency also removed Belarusian Andrei Rybakov and, under its North Korea program, Lu Hezheng and two Shanghai animation businesses from the sanctions list. The notice gave no reasons for the removals.
Regulatory Actions
Structured data extracted from official sources and validated by sanctions experts