US Sanctions Network Supporting Iran's Drone, Military Programs

The United States has imposed sanctions on an Iranian individual and six entities accused of procuring electronic components to be used for the Islamic Republic’s “destabilizing” military programs, including those used in drones.

The US Treasury Department said in a statement on April 19 that it targeted the head of Iran’s Pardazan System Namad Arman (PASNA), which was already under American sanctions, and the entity’s front companies and suppliers in Iran, Malaysia, Hong Kong and China that Washington said have enabled PASNA’s procurement of goods and technology.

“Treasury will continue to enforce its sanctions against Iran’s military procurement efforts that contribute to regional insecurity and global instability,” said Brian Nelson, the Treasury’s Under Secretary for Terrorism and Financial Intelligence.

Since September 2022, the Treasury’s Office of Foreign Assets Control (OFAC) has issued several rounds of designations targeting Iran’s drone and missile programs.

The sanctions deny those targeted access to any property or financial assets held in the United States and prevent individuals and entities from doing business with them.

Those targeted by the latest round of sanctions include PASNA managing director Mehdi Khoshghadam, who the US Treasury said is “responsible for the company’s sanctions evasion efforts.”

“Using numerous front companies, Khoshghadam has sought a variety of electronic components from foreign suppliers” primarily based in China, it said, adding that PASNA uses “a mix of front companies and aliases when conducting business with foreign suppliers.”

OFAC sanctioned PASNA in 2018 for its dealing with Iran Electronics Industries, which is subordinate to the country’s Ministry of Defense.