Washington Accuses Russian Bank of Helping Iran Evade Sanctions

On Monday, the United States accused the Russian bank VTB of helping Iran circumvent sanctions, targeting an institution that had already been subjected to a ban following Moscow’s invasion of Ukraine in 2022.

In a symbolic move, the U.S. Treasury Department announced it was imposing additional sanctions on VTB due to practices “including maintaining correspondent relationships with Iranian banks under sanctions.”

The Treasury warned foreign financial institutions against dealing with VTB and urged them to sever ties with the bank immediately.

Washington is seeking to intensify economic pressure on Tehran as the war in the Middle East enters its seventh month.

Tehran responded to strikes carried out by the United States and Israel against it in late February with attacks across the region and the closure of the Strait of Hormuz, leading to a sharp rise in oil prices.

Consequently, U.S. gasoline prices surged, increasing the financial burden on Americans just weeks before the midterm elections.

Washington has also imposed sanctions on other institutions, including the Turkish bank Golden Globe, after U.S. Treasury Secretary Scott Bessent warned that the United States would launch “the largest economic attack ever” against Iran, comparing it to the Allied D-Day landings, which marked a turning point in securing victory in World War II.

VTB has been under U.S. sanctions since 2022, when the Treasury Department imposed “full blocking sanctions” on the bank, freezing its assets in the United States and making them inaccessible to the Kremlin.

At the time, the Treasury stated that VTB was “one of the largest financial institutions the Treasury has ever sanctioned.”