U.S. Imposes New Sanctions on Iran and Russia Over the Transfer of Ballistic Missiles and UAVs

In response to Iran’s continued military support for Russia, including recent shipments of ballistic missiles, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has targeted ten individuals and six entities based in Iran and Russia, and identified four ships that enable Iran to transfer weapon components and systems, including unmanned aerial vehicles (UAVs) and short-range ballistic missiles (CRBMs), to Russia.

At the end of 2023, Iran and Russia signed a contract for the supply of hundreds of missiles. In the summer of 2024, Russian military personnel received training on the use of Iran’s short-range ballistic missiles, Project 360 (Fath-360 | BM-120), and in early September 2024, Russia received the first shipment of these missiles from Iran.

Simultaneously, international partners announced steps that will prevent Iran Air from operating in their territories in the future and continue to mark individuals, entities, and ships involved in the transfer of lethal aid from Iran to Russia. The U.S. State Department has also sanctioned three entities, including Iran Air, and identified five ships involved in distributing Iranian weapon systems to Russia.

"Today, the United States and our allies are taking joint action in response to Iran’s reckless decision to provide ballistic missiles to Russia for war against Ukraine, despite international condemnation," said Deputy Secretary of the Treasury Wally Adeyemo. "Iran has opted to intensify its involvement in Russia’s illegal war, and the United States, along with our partners, will continue to stand with Ukraine."

Iran Air

Iran Air, based in Tehran, is Iran's primary airline, conducting both passenger and cargo flights. In the past, Iran Air has transported goods for the Iranian Revolutionary Guard Corps (IRGC) and Iran’s Ministry of Defense and Armed Forces Logistics (MODAFL). It has also provided transportation services to Russia, including electronics and aircraft parts shipments.

Iran Air has previously been sanctioned for being owned or controlled by the Iranian government. Simultaneously, the Treasury Department has identified 67 aircraft under Iran Air’s control, listing them on the Specially Designated Nationals (SDN) List. Today, Iran Air is again targeted for its involvement in supplying weapons to Russia.

IRGC and MODAFL Figures

Ruhollah Katabi, based in Russia, serves as Iran’s Ministry of Defense and Armed Forces Logistics (MODAFL) liaison to the Russian government in Moscow. As a MODAFL official, Katabi contributed to Russia’s preparations to receive MODAFL’s Fath-360 CRBMs.

Ebrahim Bahrami, an Iranian national, works for Shahid Kharrazi Industries, a subsidiary of Iran’s Shahid Bagheri Industrial Group (SBIG), and served as Iran’s point of contact for Russia and the training of Russian military personnel in Iran.

Ali Jafarabadi, an Iranian commander, leads the Salman Farsi Space Command of the IRGC Aerospace Force. In this capacity, Jafarabadi oversaw satellite launches in Iran.

Update on TransMorFlot and MG-FLOT Ships

On May 8, 2022, the U.S. State Department designated TransMorFlot LLC, based in Russia, for operating in the maritime sector of the Russian Federation. At the time of designation, vessels owned and operated by TransMorFlot LLC were transporting weapons for the Russian government. The State Department also identified the Russian vessel ETIM as a property in which TransMorFlot LLC had an interest. On June 27, 2022, TransMorFlot LLC changed its name to MG-FLOT Limited Liability Company. In July 2022, MG-FLOT renamed the ETIM EMIN to SAPFIR. This vessel regularly crosses the Caspian Sea, transporting cargo between Iran and Russia.

Dzhmaladin Emirmagomedovich Pashaev owns or controls a network of Russian shipping companies operating at Russia’s Port of Olya. Pashaev’s businesses have been involved in Russian military exports since 2021, completing over 200 agreements related to transporting military goods worldwide. Pashaev and his companies have played an integral role in the ongoing transfer of lethal aid to the Special Economic Zone (SEZ Alabuga), one of Russia’s primary assembly plants for unmanned aerial vehicles, supported by Iran. Pashaev is currently the chairman of MG-FLOT’s board.

The Russian vessels BORIS KUSTODIEV, PORT OLYA-3, PORT OLYA-4, and KOMPOZITOR RAKHMANINOV are owned and operated by MG-FLOT. These ships regularly cross the Caspian Sea, transporting cargo between Iran and Russia. The Russian Ministry of Defense used PORT OLYA-3 to transport short-range ballistic missiles from Iran to Russia.

Azadegan Transportation Network

Azadegan Transportation Company, based in Iran, is linked to the IRGC and plays a critical role in IRGC logistics operations. As of 2018, Azadegan was part of the portfolio of companies owned, controlled, or managed by the IRGC’s Cooperative Foundation, also known as the IRGC Cooperative Foundation. Azadegan conducts ground cargo transport operations for the IRGC, including transporting lethal aid in the Middle East and providing logistics services related to ammunition for IRGC facilities.

Emad Behina Saz Engineering Company, based in Iran (Emad Behina Saz), Sanjesh Gostar Dana Engineering and Quality Control (Sanjesh Gostar Dana), and Talia Sabz Jahan Group (Talia Sabz Jahan) are legal entities on Azadegan’s board. Emad Behina Saz, linked to the IRGC, is responsible for designing and manufacturing mechanical and electronic parts and is represented on Azadegan’s board by Ali Zarah, who also serves as Azadegan’s board chairman.

Sanjesh Gostar Dana, also linked to the IRGC, is responsible for quality control and oversight and is represented on Azadegan’s board by Golmorze Eyni Sarkaleh, who also serves as Azadegan’s vice-chairman. Talia Sabz Jahan, linked to the IRGC, is responsible for project management design and guidance and is represented on Azadegan’s board by Masoud Noorahmadi, who also serves as the general manager of Azadegan.