US Treasury Targets Turkish Bank Accused of Facilitating Iran's Sanctioned Banking Activities

The US Treasury Department has designated Golden Global Yatirim Bankasi, an Istanbul investment bank, and two of its subsidiaries under Executive Order 13902. The bank is accused of moving tens of millions of dollars for Iran's Islamic Revolutionary Guard Corps-Qods Force and providing correspondent accounts to Iranian institutions.

A key detail in the Treasury Department's release is that Golden Global was established 'for the purpose of enabling Iran's rahbar network' to move oil revenue from China to Turkey. The rahbar network refers to private companies set up by sanctioned Iranian banks to run clients' payments through foreign fronts and exchange houses.

Treasury has identified a total of eight Iranian banks with their own rahbar networks, but this is the first time a Turkish bank has been implicated in such activities. The Treasury's designation suggests that Turkey may be a key player in Iran's shadow banking system.

Some analysts have suggested that Washington's decision to designate Golden Global was an easier option than imposing stricter sanctions on the Turkish financial sector as a whole. Others point out that the US has previously dropped cases against Halkbank and other Turkish entities, raising questions about whether Turkey will be held accountable for its role in facilitating Iran's sanctioned banking activities.