Key facts
- Treasury sanctioned eight Canada-based money services firms it alleges facilitated transactions with sanctioned Iranian entities.
- The designations block US assets and bar transactions with US persons, cutting the firms off from the dollar system.
- Treasury named firms in Ontario and British Columbia, including Million Exchange, Farah Exchange and Darvish Exchange.
- FinCEN ordered MEXC Global cut off from the US financial system over alleged Iran, North Korea and Russia sanctions evasion.
- FinCEN said Seychelles-incorporated MEXC Global facilitated at least $16 billion in illicit transactions.
The US Treasury said on November 6 that it had imposed financial sanctions on eight money services firms based in Canada that it alleges facilitated transactions with sanctioned Iranian entities. The sanctions cut the firms off from the dollar-based financial system, blocking any assets they may hold in the United States and prohibiting transactions with US persons or entities.
Treasury identified the designated businesses in Ontario and British Columbia as Diverse Trade Inc doing business as Million Exchange, 1380079 BC Limited, Top PC Technician Inc, NIA Nations Currency Ltd, 2397639 Ontario Ltd doing business as Farah Exchange, CCC Inc, B Galaxy Inc and Darvish Exchange.
"Canada cannot be a safe haven for illicit financial facilitators that provide sanctions evasion services to the Iranian regime and its proxies," Treasury Secretary Scott Bessent said. "Treasury will pursue and disrupt the Iranian regime's financial channels anywhere in the world."
Separately, Treasury's Financial Crimes Enforcement Network issued an order cutting off virtual currency exchanger MEXC Global from the US financial system over transactions it says are linked to sanctions evasion by Iran, North Korea and Russia. FinCEN, Treasury's anti-money laundering unit, said the order prevents US financial institutions from processing fund transfers involving Seychelles-incorporated MEXC Global, which it says facilitated at least $16 billion in illicit transactions linked to those three countries and other sanctioned actors.
The actions are the latest in a series of Treasury moves against firms outside the United States that it says help Iran get around US sanctions.