The US Treasury Department on Thursday stepped up its crackdown on Iran’s energy exports by announcing new sanctions on several individuals and shipping companies, including a few based in India. Treasury Secretary Scott Bessent said the move aims to “cut off Iran’s cash flow by dismantling key parts of its energy export system.”
50 individuals, companies and vessels have been targeted for helping Iran sell and ship oil and liquefied petroleum gas (LPG), according to the department’s Office of Foreign Assets Control (OFAC).
Bessent added that the sanctions are meant to block Iran from using money earned through petroleum exports to fund terrorist organisations. “Under President Trump, this administration is disrupting the regime’s ability to fund terrorist groups that threaten the United States,” he said.
The US said the network under sanction moves Iranian LPG using nearly two dozen shadow fleet vessels, a crude oil terminal in China, and an independent “teapot” refinery – all of which help Iran earn billions in export revenue.
How Iran hides its oil exports
According to the Treasury Department, Iran uses a “shadow fleet” of ships to hide the origin of its petroleum exports. These ships often transfer oil between vessels at sea, especially near the Persian Gulf, Singapore and Malaysia – to disguise where the cargo comes from.
The US says these operations rely heavily on companies based in other countries, including India.
Indian companies under US sanctions
Three companies linked to Indian nationals have been named in the latest round of US sanctions. Among them is Bertha Shipping Inc., owned by Indian national Varun Pula and registered in the Marshall Islands. The company is the owner and manager of the Comoros-flagged vessel PAMIR, which, according to the US Treasury Department, has transported nearly four million barrels of Iranian liquefied petroleum gas (LPG) to China since July 2024.
Another firm, Evie Lines Inc., owned by Iyappan Raja and also based in the Marshall Islands, operates the Panama-flagged vessel SAPPHIRE GAS. The vessel is said to have carried more than a million barrels of Iranian LPG to China since April 2025.
The third company, Vega Star Ship Management Private Limited, is based in India and owned by Indian national Soniya Shreshtha. The company manages the Comoros-flagged vessel NEPTA, which has reportedly transported Iranian LPG to Pakistan since January 2025. The US Treasury has also designated Vega Star Ship Management for operating directly within Iran’s petroleum sector.
This latest action follows a similar move in July, when the US State Department imposed sanctions on six other Indian companies for trading in Iranian petrochemical products.
The US Treasury said Vega Star Ship Management has also been designated for operating directly in Iran’s petroleum sector.
In July, the US State Department had already sanctioned six Indian firms for trading in Iranian petrochemicals.
US policy on Iran’s oil exports
The sanctions are part of a wider US policy, driven by executive orders signed by President Donald Trump, to bring Iran’s oil exports down to zero.
Under these sanctions, the targeted people and companies cannot access any property or assets in the US and American firms or citizens are banned from doing business with them.