meta_id 3601732

On October 15, 2026, the U.S. Department of the Treasury announced Operation Economic Outcast, a coordinated enforcement action targeting Iran's shadow banking architecture and international financial networks used to evade sanctions and fund military and terrorist proxy activities. The action disrupts Iran's access to foreign currency and critical revenue streams by designating multiple financial institutions, individuals, and entities operating across the Middle East and Asia. The Treasury designated Iraq-based International Development Bank for Investment and Finance (IDB), which provided U.S. dollar access and financial facilitation services for Iran. IDB was initially established by Iranian companies and inherited capital from the U.S.-designated Bank Melli after it closed due to sanctions. The Treasury also designated two Iranian "offshore" banks—Jazireh International Bank Company and Chabahar International Bank Overseas Company—which operate in free trade zones with approval from Iran's Central Bank and Supreme National Security Council to conduct foreign currency operations supporting sanctions evasion. Additionally, the Treasury designated Cuba-based Banco Internacional de Comercio S.A. (BICSA) for providing services to Iran-based Karafarin Bank since at least 2022. The action targets Iran's shadow banking operatives, including seven foreign exchange specialists employed by Farab Sorough Qeshm Company (FSAQ), an affiliate of Iran's Shahr Bank, and multiple currency exchange houses facilitating hundreds of millions of dollars in transactions. The Treasury also designated Sayyed Ruhollah Razavi, an Iranian oil intermediary and son-in-law of a Paydari Front leader, who manages oil sales and revenue repatriation through shell companies and cash couriers operating across Hong Kong, the United Arab Emirates, and Türkiye. All property and interests in the United States held by designated persons are blocked, and U.S. persons are prohibited from conducting transactions involving these entities without authorization. Foreign financial institutions engaging in significant transactions with designated persons risk secondary sanctions. The Treasury emphasized that Operation Economic Outcast, announced August 24, 2026, represents an expanded enforcement strategy targeting Iran's remaining economic lifelines in coordination with the European Union, United Kingdom, and Gulf partners.