U.S. Treasury Targets Maritime Fraud Network Supporting Iran’s Shadow Fleet

The U.S. Department of the Treasury has sanctioned an international network accused of helping Iran evade sanctions through fraudulent maritime registrations, while also targeting a Türkiye-based ground-handling company for providing services to sanctioned Iranian airlines. This enforcement action builds on earlier U.S. Treasury measures targeting Iran’s shadow fleet facilitators, which we covered in our recent news article.

Under Operation Economic Outcast, which was announced on November 4, 2026, the action targets India-based Suniel Kumar Sharma and his spouse, Jaspreet Preeti Shahid, along with several associated businesses and individuals. Treasury alleges that the network created false maritime registries and provided vessel flags and certifications to ships transporting Iranian petroleum, including vessels linked to Iran’s military and its proxies.

According to Treasury, the network used websites that falsely claimed to represent national maritime authorities. Some continued providing registration services even after the relevant governments had publicly disavowed them. The network’s activities involved purported registries associated with jurisdictions including Guyana, Eswatini, Aruba, and Nicaragua.

Treasury also identified vessels that allegedly benefited from these arrangements, including the sanctioned ships PING SHUN, LATTAFA, BINARY STAR, and VERA.

Separately, the Office of Foreign Assets Control (OFAC) designated Türkiye-based Fugo Ground Services Inc. Treasury stated that the company provided ground-handling and other services to several U.S.-sanctioned Iranian airlines, including Iran Air Tour, Saha Airlines, Sepehran Airlines, Varesh Airlines, Taban Airlines, and Ata Airlines Company.

Alongside the designations, OFAC issued an industry alert warning maritime businesses about vessels using false flags to conceal their identity or sanctions exposure. The alert identifies warning signs such as unverified registration documents, flags from jurisdictions without recognised registries, inconsistent vessel identification information, and flags reported as false in maritime databases.

The designations were made under Executive Order 13902, which covers key sectors of the Iranian economy, including petroleum and aviation.

Implications for compliance teams

The action highlights the importance of verifying vessel registration independently rather than relying only on documents supplied by customers or shipping intermediaries. Banks, insurers, trade-finance providers, and maritime service companies should review vessel histories, flag changes, registration records, ownership structures, and links to designated parties.

OFAC also reminds businesses that U.S. sanctions restrictions apply to blocked persons and entities owned 50% or more, directly or indirectly and individually or in aggregate, by blocked persons. Non-U.S. businesses may also face exposure if they cause U.S. persons to violate sanctions or engage in prohibited evasion.