US targets law firms and agents aiding Iran’s shadow trade
The US has broadened its sanctions against Iran’s trade networks to include legal and corporate entities that support its shadow fleet, a move that shifts focus from vessel operators and cargo alone. The Treasury Department’s Office of Foreign Assets Control (OFAC) imposed penalties on Karnakis and Karnakis, a Panama- and Greece-based law firm “which has supported illicit Iranian shipping activity for years,” the administration asserted, by indirectly aiding Iran’s ability to generate revenue for its military and nuclear programmes.
The firm, established by dual Panamanian-Greek nationals Sofianos Karnakis Kosmas and Konstantinos Karnakis Kosmas, has registered companies linked to shadow fleet vessels responsible for shipping Iranian steel, petroleum, and petrochemicals. Treasury maintains that Karnakis and Karnakis assisted in setting up the corporate structure for Seyed Asadoollah Emamjomeh, an Iranian LPG magnate responsible for shipping Iranian LPG and crude oil to foreign markets.
Historically, legal entities have avoided direct sanctions, but the US is now targeting their involvement in enabling Iran’s trade networks. Treasury Secretary Scott Bessent described the action as a warning to facilitators, stating: “Whether you are conducting illegal oil transfers at sea or working in a law firm’s office, if you support the Iranian regime, we will find you and sanction you.” The statement made clear that enablers must choose between compliance or facing penalties.
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The sanctions also cover Roxette Maritime Shipping and Trading S.A., a Panama- and Greece-based company active in Iran’s petrochemical sector. Karnakis and Karnakis serves as its corporate agent. OFAC has blocked seven Panama-flagged vessels owned by Roxette Maritime, including the Anemos, Gloris, Pride, Destiny, Flamingo 1, Harmony, and Prince. The agency provided temporary exemptions for wind-down activities, such as emergency repairs, crew safety measures, and the offloading of non-Iranian cargo loaded before October 21, 2026.
Beyond legal and shipping firms, the US has sanctioned two shipping agents accused of aiding illicit Iranian cargo transport. Amigoz Singapore Pte Ltd., based in Singapore, allegedly acted as an agent for a shipment of light crude oil overseen by Sepehr Energy Jahan Nama Pars Company, which itself oversees a network of front companies that support commodities provided to the Iranian military. Treasury documents connect Amigoz to vessels associated with Mohammad Hossein Shamkhani, as well as providing bunkering services to Iran shadow fleet vessel Zixuan (IMO 9317298).
Dubai-based Whales Shipping Line LLC also faces sanctions for its role as the shipping agent for Sparrow Trading FZE, a Dubai-based front company that organized the purchase of tens of millions of dollars’ worth of Iranian petrochemicals. The company worked with Persian Gulf Petrochemical Industry Commercial Co. to facilitate these transactions, according to Treasury.
