Key facts
- Foreign financial institutions doing business with Iran may be sanctioned by the US without advance notice.
- The Treasury Department warned that institutions transacting with sanctioned Iranian financial entities could be targeted at any time.
- Washington aims to cut Iran's financial lifelines amid the ongoing conflict.
- Facilitating Iran's access to the global financial system risks sanctions, including account prohibitions.
- Iran-related transactions causing US persons to violate sanctions could lead to civil and criminal penalties.
The US Treasury Department issued a warning on Monday to foreign financial institutions, stating they could face sanctions without prior notification if they continue to conduct business with Iran or its financial sector. The alert emphasized that institutions transacting with sanctioned Iranian financial entities should immediately cease such activities and relationships.
This action is part of Washington's broader effort to further restrict Iran's financial access amidst an ongoing conflict that began on February 28. The US has recently cautioned other nations to sever business ties with Iran, or risk their key companies being excluded from the dollar-based global financial system.