US sanctions Iraqi deputy oil minister over support to Iran

The United States has imposed sanctions on Iraq’s deputy oil minister, Ali Maarij al-Bahadli, over allegations that he facilitated the diversion of Iraqi crude oil in support of Iran and its allied groups, amid heightened tensions between Washington and Tehran.

State Department spokesman Tommy Pigott said al-Bahadli had “abused his government position to divert Iraqi oil in support of the Iranian regime and its terrorist proxies,” adding that “as part of a scheme to evade sanctions, Iranian oil was fraudulently mixed with Iraqi oil and sold for Iran’s benefit,” Caliber.Az reports via foreign media.

The measures form part of a broader US campaign targeting Iran’s energy sector and any entities accused of helping it bypass sanctions. Washington maintains unilateral sanctions on Iranian oil exports and has repeatedly warned foreign governments and companies against facilitating trade with Tehran.

US officials say pressure is being stepped up on Iraq’s incoming political leadership to reduce cooperation with armed Shia factions allegedly linked to Iran. Since the US and Israel launched strikes on Iran on February 28, Washington claims that armed groups have carried out more than 600 attacks on US facilities in Iraq prior to a ceasefire, according to a US official.

The same official said Washington was seeking “concrete actions” from Baghdad to curb the influence of these groups before restoring full bilateral cooperation. During the escalation, the US also halted shipments of cash from the Federal Reserve Bank of New York to Iraq, which has long managed part of the country’s oil revenues under arrangements dating back to the 2003 US-led invasion.

The political backdrop in Baghdad remains fluid, with US President Donald Trump expressing support for Iraq’s prime minister-designate Ali al-Zaidi, who was selected by the ruling coalition following what officials described as intense American pressure against an earlier frontrunner.

Iran, a Shia-majority state with long-standing political and security ties across Iraq since the fall of Saddam Hussein in 2003, has not publicly responded to the latest sanctions announcement.