US sanctions on Indian companies buying oil from Iran

Newshub18:US sanctions on Indian companies buying oil from Iran.

The United States has imposed sanctions on India’s Mumbai-based Tibalaji Petrochem Private Limited. The ban was imposed on the accusation of having a business of fuel oil with Iran. Apart from this, restrictions have been imposed on companies based in the United Arab Emirates (UAE), Hong Kong and ChinaAccording to a report by the Indian media The Economic Times, it is believed that this is the first time such action has been taken against an Indian company.

Last Thursday, the US Treasury Department said the company had bought millions of dollars worth of fuel as part of “continuing shipments to China”.
The ban was imposed shortly after Indian External Affairs Minister S Jaishankar’s visit to Washington ended. During the visit, Jaishankar met with several senior officials including US Secretary of State Anthony Blinken, Defense Secretary Lloyd Austin, Commerce Minister Gail Raimondo and National Security Advisor Jack SullivanExternal Affairs Ministry spokesperson Dev Patel was asked in a briefing whether Jaishankar’s meeting with Blinken discussed Iran sanctions. In response, he said, apart from what the two said in their press conference, they have no other information.


India is complying with US sanctions on Tehran. The country’s companies have refrained from buying fuel oil from Iran. This allegation of violation of sanctions came against the Tibalaji company. Tibalaji has introduced itself as ‘Burdwan Petrochemical Trading Company’ on its website. The company is believed to be importing Iranian goods for China and not for India.
In 2015, Iran reached an agreement with the five permanent members of the UN Security Council and Germany to limit its nuclear program. Most of the sanctions imposed on the country were subsequently lifted.
But former US President Donald Trump withdrew the US from the deal and reimposed these sanctions. Iran also restarted its nuclear program.

Brian Nelson, the US Treasury Department’s undersecretary for counterterrorism and financial intelligence, said the United States is committed to strictly limiting Iran’s illicit oil and petrochemical sales.Tehran has taken a tough stance on reviving the deal. Washington will continue to impose these sanctions as long as Iran refuses to return to fully implementing the deal, he warned.The U.S. Treasury Department says all assets and profits of the eight companies subject to sanctions, or companies in which they have at least 50 percent of their profits, located in the United States must be seized. The matter will be reported to the ministry’s Office of Foreign Asset Control (OFAC).This would also apply to any US control over any assets of these companies. If any person is involved in certain transactions, they will also face sanctions and disciplinary action, the finance ministry said.

The ministry also said that Tibalaji bought fuel products including methanol and base oil through a deal brokered by Trillions Petrochemical Company Limited for shipment to China.Trillions is already banned. The Hong Kong-based company has branches in Iran, China and UAE

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