More Iran UAV Sanctions

The Administration imposed sanctions on 10 entities and four individuals in order to disrupt a procurement network across the Middle East and East Asia supporting Iran’s unmanned aerial vehicle production.

Being targeted by the Treasury Department’s Office of Foreign Assets Control December 19 are entities and individuals based in Iran, Malaysia, Hong Kong and Indonesia.

This network, led by Iran-based Hossein Hatefi Ardakani, has facilitated the procurement of US- and foreign-origin components worth hundreds of thousands of dollars for the Islamic Revolutionary Guard Corps Aerospace Force Self Sufficiency Jihad Organization (IRGC ASF SSJO) and its UAV program.

Concurrent with OFAC’s action and following a multi-year investigation by Homeland Security Investigations, the Justice Department announced the unsealing of an indictment charging Hossein Hatefi Ardakani and Gary Lam with crimes related to an illicit procurement network and scheme to unlawfully export US-origin, dual-use, and sensitive technology to Iran.

HSI’s global investigation identified a network of Iranian intermediary companies, front companies and logistics businesses used to procure and facilitate the transfer of sensitive US- and foreign-origin technology to Iran for its weapons programs.

“Iran’s illicit production and proliferation of its deadly UAVs to its terrorist proxies in the Middle East and to Russia continues to exacerbate tensions and prolong conflicts, undermining stability,” said Treasury Undersecretary for Terrorism and Financial Intelligence Brian E. Nelson.

Iran-based Hossein Hatefi Ardakani oversees a transnational procurement network that spans the Middle East and East Asia and has procured hundreds of thousands of dollars’ worth of servomotors, inertial navigation equipment and other items with UAV applications for the IRGC ASF SSJO.

Ardakani serves as the chairman of the board of directors for Iran-based Kavan Electronics Behrad Limited Liability Company. Ardakani also manages Iran-based Teyf Tadbir Arya Engineering Company and owns and manages Iran-based Basamad Electronic Pouya Engineering Limited Liability Company. Also being sanctioned is Iran-based Saman Industrial Group, which serves as a commercial front company for the IRGC ASF SSJO.

Also under sanctions are Malaysia-based Skyline Advanced Technologies SDN BHD, Hong Kong-based Dirac Technology HK Limited and. Malaysia- and Hong Kong-based Integrated Scientific Microwave Technology SDN BHD, Arta Wave SDN BHD and Malaysia-based Nava Hobbies SDN BHD.

Indonesia-based firm Surabaya Hobby CV also is being sanctioned. [Treasury Annnouncement]