US Sanctions Greek-Linked Law Firm and Probes a Greek Bank

by · Greek City Times

The US has imposed Iran shipping sanctions on a Panama- and Greece-based law firm it alleges helped Iran’s shadow fleet. A Treasury unit is also investigating an unnamed Greek bank over possible Iran ties.

Treasury’s Office of Foreign Assets Control (OFAC) added the firm, Karnakis and Karnakis, to its sanctions list on 21 October.

According to Treasury, the firm has allegedly “supported illicit Iranian shipping activity for years”. The firm’s response to the allegations was not reported.

“Whether you are conducting illegal oil transfers at sea or sitting in the corner office of a law firm, if you are supporting the Iranian regime, we will find you and sanction you,” Treasury Secretary Scott Bessent said.

Read more: US Sanctions Turkish Bank Over Alleged Iranian Fund Transfers

Iran shipping sanctions on a law firm

The firm allegedly registered shipping companies that own shadow fleet vessels, Treasury said. Those ships then allegedly carried hundreds of millions of dollars’ worth of Iranian steel, petroleum and petrochemicals.

Staff at the firm also allegedly served as directors of many companies it registered, to hide their real owners, Treasury said.

According to Treasury, two dual Panamanian-Greek nationals founded and own the firm. OFAC sanctioned the two owners and three employees as well. Its sanctions list gives the firm addresses in Panama City and Piraeus.

In addition, the Iran shipping sanctions cover Roxette Maritime Shipping and Trading, a Panama- and Greece-based ship operator. The law firm acts as its corporate agent, Treasury said. As a result, seven Panama-flagged cargo ships that Roxette manages are now blocked property.

The Iran shipping sanctions target two shipping agents too, Amigoz Singapore and Dubai-based Whales Shipping Line. Two Whales vessels are blocked.

Greek bank investigation

Separately, the Financial Crimes Enforcement Network (FinCEN) used a Bank Secrecy Act subpoena power for the first time, Treasury said.

It is using that power to advance its investigation into “a Greek bank’s potential ties to Iran and its proxies”. Treasury did not, however, name the bank or say that it broke any law.

FinCEN is working closely with European partners, including in Greece, Treasury said. It has sent banks several requests for information about links with sanctioned Iranian financial institutions.

Reuters reported that six other banks in Europe received those requests, although Treasury itself gave no number. Reports in Greece also said the measures had caused no immediate disruption to oil shipments so far.

The latest Iran shipping sanctions are part of Operation Economic Outcast, which Bessent launched on 24 August to cut off Iran’s remaining revenue. In August, Washington sanctioned a Greek-linked shipping network over alleged Iran and Russia ties.

Because of the designations, any property of those named that is in the US or held by US persons is blocked. Under the Iran shipping sanctions, OFAC has allowed dealings with the firm and the blocked ships to wind down until 20 November.

Those designated can ask OFAC to remove them from the list, Treasury said.

Source: Proto Thema

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