The US Department of the Treasury’s Office of Foreign Assets Control has sanctioned thirteen individuals and entities that are part of a network responsible for providing tens of millions of dollars’ worth of foreign currency to the Houthis in Yemen. According to OFAC, the Houthis have been threatening Israel’s civilian infrastructure and commercial shipping operations in the Red Sea and the Gulf of Aden with missile and drone attacks. In addition, US warships operating in international waters have allegedly been forced to defend themselves against missile attacks from the Houthis.
The designees are exchange houses and companies located in multiple jurisdictions that generate funds from the sale and shipment of Iranian commodities; they are backed by the Islamic Revolutionary Guard Corps-Qods Force (“IRGC-QF”), and act on behalf of Sa’id al-Jamal. Al-Jamal, who is based in Iran, is a financial facilitator for the Houthis and the IRGC-QF, and was designated by the US in 2021 pursuant to the counterterrorism authority on Executive Order 13224, as amended, for providing material assistance in support of the IRGC-QF. The IRGC-QF was designated pursuant to EO 13224 in 2007 for providing support to multiple terrorist groups. The new designations were also issued by OFAC pursuant to EO 13224.
As a result of these sanctions, all property and interests in property of the designated persons within the United States or within the possession or control of a US person are blocked, and US persons are generally prohibited from engaging in transactions involving a designated person. In addition, entities owned 50 percent or more by one or more blocked persons are also blocked.