US Sanctions $100M Hezbollah Financial Network Spanning Lebanon to Canada

The US Department of the Treasury's Office of Foreign Assets Control (OFAC) designated 16 individuals and entities linked to Hezbollah financier Alaa Hassan Hamieh, accusing him of overseeing a network of companies used to launder money and raise funds for the group.

The network, spread across Lebanon, Syria, Poland, Slovenia, Qatar, and Canada, has been "involved in numerous economic projects" and is estimated to have enabled the diversion of funds since 2020, according to the Treasury.

"Iran is the head of the snake when it comes to global terrorism, and its proxies, such as Hezbollah, carry out Tehran's mission to sow chaos and destruction beyond its borders," Treasury Secretary Scott Bessent said.

"Hizballah continues to divert funds that rightfully belong to the Lebanese people to finance its terrorist operations. This action targets key actors within its global financial network that sustain its militant activities."

The sanctions were issued under Executive Order 13224, which targets terrorist organisations and their financial backers. Hezbollah has been designated by the United States as a Foreign Terrorist Organisation since 1997 and as a Specially Designated Global Terrorist entity since 2001.

According to the Treasury, Hezbollah funds both its militant wing and social programmes through a "wide array of revenue generation and sanctions evasion schemes," many coordinated through its finance team. Officials also said the group has used its influence in Lebanon's government to divert funds for its own benefit.

Hamieh, who previously served as vice president of Lebanon's Investment Development Authority, is accused of exploiting his position in a trade arrangement between Iraq and Lebanon aimed at reconstruction. Under that arrangement, the agency had authority to determine beneficiaries, and Hamieh allegedly received millions of dollars for projects linked to Hezbollah.

The designation also names foreign-based operatives, including Syrian national Bahaa Addin Hashem and Lebanon-based Mohamad Jamil Salami, who was linked to a sanctions evasion scheme involving telecommunications equipment destined for an Iranian company operating in Syria.

Qatar-based Raoof Fadel, identified as the co-founder and chief executive of a logistics company tied to the network's Canadian operations, was also designated.

Companies operating under the "Seven Seas" and "Calllync" brands in Lebanon, Europe and North America were included in the sanctions list. Authorities said these entities were used for procurement, financial transfers and money laundering in support of Hezbollah's activities.

As a result of the action, all property and interests in property of the designated individuals and entities within US jurisdiction are blocked. US persons are generally prohibited from engaging in transactions with them.

- IANS