Enemy Within: U.S. Charges Two Foreign Nationals for Trafficking Iranian Oil to Fund Islamic Terrorism

In a striking demonstration of the ongoing challenges facing the United States in keeping terrorists at bay, a joint operation by Homeland Security Investigations (HSI) Washington, D.C., and the FBI Minneapolis has led to the indictment of two foreign nationals for their roles in a sophisticated scheme to fund Islamic terrorism through the violation of U.S. sanctions and the trafficking of Iranian oil. The operation reveals not only the intricate methods employed by individuals to operate within American borders but also underscores the persistent threat and the nation’s ongoing battle against the financing of global terrorism.

On February 2, Shaoyun Wang, 54, of China, and Mahmood Rashid Amur Al Habsi, 39, of Oman, were charged under the International Emergency Economic Powers Act and the Iranian Transactions and Sanctions Regulations, in addition to facing charges of conspiracy to commit money laundering. The duo is accused of facilitating the export of over $100 million worth of Iranian oil to Chinese government-owned refineries, with the profits intended to support the Islamic Revolutionary Guard Corps-Qods Force (IRGC-QF), a designated terrorist organization.

This case forms part of a broader effort by the Justice Department to dismantle the illicit financial networks that fuel Iran’s Islamic Revolutionary Guard Corps (IRGC) and its malign activities, as announced in a recent comprehensive enforcement action. The unsealing of three federal cases across two U.S. Attorneys’ Offices marks a significant stride in combating the trafficking of Iranian oil, which serves as a major funding source for the IRGC, a designated Foreign Terrorist Organization (FTO), and its Qods Force, Iran’s primary vehicle for supporting terrorist organizations abroad.

The enforcement actions have led to the seizure of more than $108 million and over 500,000 barrels of sanctioned fuel, significantly undercutting the financial backbone of Iran’s IRGC and its external operations wing, the IRGC-QF. This concerted effort demonstrates the U.S. government’s commitment to using every tool at its disposal to disrupt Iran’s unlawful revenue streams, highlighting the seizure as a pivotal step in curtailing the regime’s ability to finance its destabilizing activities that threaten U.S. national security and global peace.

The indictment sheds light on the elaborate tactics employed by Wang and Al Habsi, including the use of fraudulent documents and shell corporations to disguise the origin of the oil and deceive U.S. financial institutions. Al Habsi’s acquisition of a $16.5 million loan to purchase an oil tanker, M/T Oman Pride, which facilitated these illegal oil transfers, and Wang’s orchestration of oil sales through a U.S. front company, are pivotal elements of their operation, illustrating the lengths to which individuals will go to support terrorist activities.

These developments come as part of a broader clampdown on the global network supporting Iran’s oil smuggling operations, which also saw charges against seven individuals, including a senior IRGC-QF official and officers of a Turkish energy group, in connection with their roles in trafficking Iranian oil to finance the IRGC-QF’s terrorist activities. The collective actions of the U.S. Justice Department, including criminal prosecutions and lawful seizures of Iranian oil and profits, aim to dismantle the financial infrastructure that supports Iran’s regime of terror and repression.

Curiously, despite the high-profile nature of this case and the serious charges levied against Shaoyun Wang and Mahmood Rashid Amur Al Habsi, no U.S. agency or news outlet has appeared to release any photographs of the alleged terrorists. The lack of photos of the suspected terrorists is unusual and makes the case even more mysterious. It leads to questions about why their images aren’t being shared, considering the public’s right to know and the importance of transparency in national security matters.

View the indictment here