The US Treasury has imposed financial sanctions on eight Canadian money-service companies accused of conducting business with sanctioned Iranian entities. According to a Treasury Department statement released on Friday, these firms facilitated currency exchanges involving Iranian rials and digital assets, enabling international transactions.
The sanctions aim to cut these companies off from the dollar-based financial system. The Treasury claims the businesses helped transactions with sanctioned Iranian digital asset exchanges and addresses linked to Iran’s Islamic Revolutionary Guard Corps (IRGC). Secretary of the Treasury Scott Bessent emphasized that Canada should not serve as a safe haven for illicit financial activities supporting the Iranian regime.
This move is part of a broader campaign by the Treasury to disrupt Iran’s use of digital assets to fund terrorism, human rights abuses, and attacks on US personnel and allies. The actions were coordinated with FINTRAC, Canada’s financial intelligence unit. Some of the targeted entities allegedly changed their names and addresses to evade detection.
In a separate action on Friday, the US Rewards for Justice program offered up to $20 million and possible relocation for information about Iran’s nuclear program, including its facilities, equipment, and personnel. The program cited Iran’s lack of compliance with the International Atomic Energy Agency as a reason for the reward.