US designates Hezbollah as Iran's proxy, imposes sanctions on financial network
Al Jazeera Staff
The US Treasury has officially reclassified Hezbollah as an Iranian proxy force and imposed sanctions on a network allegedly transferring hundreds of millions of dollars to the group. The move, announced on August 21, reflects years of documented integration between Hezbollah and Iran's Quds Force.
The United States has formally changed its designation of Hezbollah from a "terrorist organization" to an "Iranian proxy force" and unveiled sanctions against a financial network allegedly supporting the Lebanese armed group.
The move, announced by the US Treasury on August 21, links the network to Iran's Islamic Revolutionary Guard Corps (IRGC). It comes as Washington prepares new economic measures that US officials say will "strangle" Iran's economy and lead to the "collapse" of the Tehran government.
In its statement, the Treasury said Hezbollah's legal designation, previously "foreign terrorist organization," has been adjusted to reflect its role "serving the Iranian regime under the command of the IRGC," particularly the elite Quds Force.
The US had listed Hezbollah as a "foreign terrorist organization" since 1997, later elevating it to a "specially designated global terrorist" group in 2001.
A State Department official said the new designation "identifies Hezbollah as a proxy of Iran, not an independent organization as the previous designation implied." The official stressed the action is based on years of documented "operational, financial, and logistical integration between Hezbollah and the Quds Force," calling Hezbollah an "extension" of the Iranian force.
"This shows Hezbollah operates with almost no regard for Lebanon's sovereignty, the Lebanese people, or the Lebanese state. It is not a Lebanese resistance movement as Hezbollah describes itself," the official said.
Hundreds of millions of dollars
The US has imposed several rounds of sanctions on Hezbollah in the past. The new measures target 10 individuals allegedly linked to a cash-transfer network for the group. Washington alleges the network, led by Turkish businessman Yunus Alper Yilmaz, used commercial flights between Lebanon, Turkey, the UAE, and Iran to move hundreds of millions of dollars.
According to the US Treasury, the mechanism created "a channel outside the formal financial system for Hezbollah to obtain foreign currency and evade sanctions."
Stalled negotiations
The redesignation of Hezbollah comes as the US mediates talks between Israel and Lebanon, which remain in a state of war. Hezbollah has refused to participate in negotiations while Israeli forces continue to occupy areas in southern Lebanon and conduct strikes inside the country.
Hezbollah began firing rockets at Israel after Israel launched a military campaign against Iran and the US in March. Israel responded with intense airstrikes and ground attacks, killing more than 4,300 people, according to Lebanese authorities.
Although the talks produced two ceasefire agreements on June 4 and June 26, fighting continues, and Israeli forces remain present inside Lebanon. According to Lebanon's National News Agency, more attacks were recorded on August 22, including airstrikes and shelling in the town of al-Mansouri south of Tyre and Mayfadoun near Zawtar al-Sharqiyah. On the same day, Israeli forces reportedly carried out a large explosion between the towns of Arnoun and Kfar Tibnit.
