In a major enforcement move, the U.S. Department of the Treasury and the Department of State have imposed sweeping sanctions on a complex maritime smuggling network accused of facilitating illicit Iranian oil sales worth hundreds of millions of dollars. The crackdown targets Jugwinder Singh Brar, a UAE-based shipping magnate, along with nearly 30 vessels and several supporting entities in China and the Middle East.
Brar’s Maritime Network and Sanctioned Companies
Operating through Prime Tankers LLC and Glory International FZ-LLC, Brar’s network allegedly engaged in deceptive shipping practices, including ship-to-ship (STS) transfers, falsified documentation, and the blending of Iranian petroleum with Iraqi products. These operations were primarily conducted in the Gulf of Oman, offshore Iraq, and Iranian ports such as Bandar Abbas.
Flag Hopping and AIS Manipulation
The vessels involved reportedly sailed under flags of convenience from countries such as Panama, Barbados, Palau, Comoros, and others, helping them avoid detection. Many employed “dark activity” tactics—disabling or manipulating AIS (Automatic Identification Systems)—to obscure their movements.
For example, the Glory International-operated NADIYA was caught conducting illicit oil shipments for the Iranian military in 2023.
Chinese Terminal and Teapot Refinery Sanctioned
Simultaneously, the U.S. Department of State sanctioned Guangsha Zhoushan Energy Group Co Ltd, a China-based terminal operator on Huangzeshan Island, which reportedly imported 13 million barrels of Iranian crude oil between 2021 and 2025. The oil was funneled through a subsea pipeline to an independent “teapot” refinery, bypassing China’s state-owned refining channels.
The terminal received crude from U.S.-sanctioned tankers on at least nine separate occasions.
Wider Crackdown on Iranian Oil Supply Chain
The sanctions are part of the fifth wave of U.S. actions aimed at Iran’s oil supply chain under the reinstated “maximum pressure” campaign. Alongside individuals and vessels, three vessel management companies and two additional tankers have been blacklisted, including the AMOR, which reportedly shipped over 20 million barrels of Iranian oil while operating covertly.
Legal and Financial Implications
The sanctions block all U.S.-based assets of the designated entities and individuals and prohibit U.S. persons from engaging with them. Any entity owned 50% or more by the sanctioned parties also falls under these restrictions.
Additionally, vessels and companies involved must now report their interests to the Office of Foreign Assets Control (OFAC), and affected assets are effectively frozen within U.S. jurisdiction.
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Source: gCaptain
