On October 16, 2024, the U.S. Department of the Treasury’s Office of Foreign Assets Control designated persons that support Hizballah and its allies by serving as members of a Lebanon-based sanctions evasion network or a Syrian Captagon trafficking team. Hizballah has been designated as a Specially Designated Global Terrorist group (“SDGT”) in the United States since 2001. Specifically, OFAC designated three individuals and four associated companies for allegedly helping Hizballah evade sanctions and for serving on Hizballah’s finance team, which operates commercial projects in Lebanon for Hizballah that generate millions of dollars in revenue for the group. These designations were imposed pursuant to Executive Order 13224, the counterterrorism authority.
OFAC also designated three individuals involved in the illegal trade of Captagon, a highly addictive amphetamine, that has become a billion dollar operation that has benefitted the Al-Assad regime in Syria and its allies, including Hizballah. The designees include Khaldoun Hamieh, a Lebanon-based drug trafficker with alleged ties to Hizballah, and Rai Falhout, a gang leader who has allegedly worked with the Syrian Military Intelligence Directorate and Hizballah to generate revenues from illegal operations, including Captagon trafficking. These designations were imposed pursuant to EO 13572 that targets human rights abuses in Syria; EO 13852 that targets those who support the Government of Syria; and the Caesar Syrian Civilian Protection Act of 2019.
As a result of the recent designations, all property and interests in property of the designated persons within the United States or within the possession or control of a U.S. person are blocked, and U.S. persons are generally prohibited from engaging in transactions involving the designated persons.