US sanctions Iraqi airline, CEO over alleged support for Iran's Revolutionary Guard

WASHINGTON

The US on Monday sanctioned the Iraqi airline Fly Baghdad and its CEO for allegedly supporting the Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF) and Iran-aligned militia groups in Iraq, Syria, and Lebanon.

The sanctions come amid increasing attacks by Iran-backed groups against US bases in Iraq and Syria and tension in the Red Sea with Iran-backed Houthis amid Israel's relentless bombing in Gaza since Oct. 7.

“We are also identifying two Iraq-registered aircraft that Fly Baghdad owns as blocked property. Additionally, the United States is designating three leaders and supporters of Kata’ib Hizballah, one of the IRGC-QF’s Iran-aligned militias in Iraq, and one business that facilitates and launders funds for Kata’ib Hizballah,” State Department spokesman Matthew Miller said in a statement.

“The IRGC-QF and Iran-aligned militia groups pose a significant threat to the Middle East region,” Miller said, adding that Kata’ib Hizballah has been responsible for a series of drone and missile attacks against U.S. personnel in Iraq and Syria since October 7.

“The United States remains committed to exposing and taking actions against individuals and groups that abuse their local economies and engage in illegal activities that support terrorist groups destabilizing the region,” Miller said.

“Iran and its proxies have sought to abuse regional economies and use seemingly legitimate businesses as cover for funding and facilitating their attacks,” Under Secretary for Terrorism and Financial Intelligence Brian Nelson said in a separate statement.

The US will continue to disrupt Iran’s illicit activities aimed at undermining the stability of the region, said Nelson.