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Iraq’s Deputy Oil Minister, Ali Ma'arij Al-Bahadli

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US sanctions Iraqi deputy oil minister over Iran oil funding

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  • US Treasury sanctions Iraq-linked officials and groups tied to Iran oil funding.
  • Washington intensifies economic pressure on Tehran's revenue networks.

The US Treasury and State Departments announced a major wave of sanctions on Thursday as part of "Operation Economic Fury," a campaign designed to exert maximum pressure on the Iranian regime.

The new measures specifically target individuals and entities accused of exploiting the Iraqi oil sector to fund Iranian-backed groups and undermine regional security.

Iraqi officials sanctioned 

A central focus of the sanctions is Iraq’s Deputy Oil Minister, Ali Ma'arij Al-Bahadli, who is accused of exploiting his position to facilitate a scheme to help Iran sell its oil.

Diversion of resources: The Treasury stated that Al-Bahadli used his post to divert oil and sell it for the benefit of the Iranian regime.

Economic exploitation: US Treasury Secretary Scott Bessent emphasized that the Iranian regime is "looting Iraq’s resources," adding that the US will not stand by while Iraqi oil is used to fund "terrorism".

Target: Militia leadership and commercial entities

The sanctions also extend to top military figures and business networks that the US claims are fueling violence against both

Iraqis and Americans

Militia commanders: Sanctions were imposed on three senior leaders of Iranian-aligned militias, including Kata’ib Sayyid al-Shuhada and Asa’ib Ahl al-Haq.

Corporate crackdown: Several individuals and commercial entities were designated for exploiting Iraq’s oil sector and undermining the country’s sovereign security.

"Maximum pressure"

The Treasury Department highlighted that these actions are being taken in tandem with the ongoing naval blockade to directly strike the Iranian regime's primary source of revenue.

Decisive action: The State Department described the move as a decisive step against those looting Iraqi wealth to fuel Iranian "terror".

The Naval link: US officials noted that the maritime blockade allows for more direct targeting of Iranian income streams, amplifying the effects of the broader economic pressure campaign.