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Investigative Report Reveals Complex Iranian Financial Network Defying International Sanctions
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Iran's sanctions evasion mechanism exposes dangerous gaps in the global financial system that Tehran exploits to fund its regional activities
An investigative report by The Economist has uncovered a sophisticated Iranian financial system challenging international sanctions, revealing how Tehran has built a complex network for selling oil and collecting revenues.
The investigation, based on information from sources familiar with Iran's oil system, including former officials and intelligence specialists, confirms that Iran holds approximately $53 billion and €19 billion abroad.
The system relies on distributing oil quotas among state institutions, religious organizations, and pension funds. Last year's budget allocated oil worth $4.9 billion to the armed forces, while the Quds Force generated $12 billion from similar sales.
Tehran exploits its relationship with Beijing, leveraging its position as an ally in the anti-Western axis, with China absorbing 95% of Iranian oil exports while maintaining enough distance to avoid direct confrontation with Washington.
The mechanism operates through more than 100 front companies purchasing old oil tankers, using sophisticated methods to conceal their identity and cargo, with repeated transshipments at various ports to evade monitoring.
The operation is managed by a parallel banking system comprising Iranian "exchange" companies handling illegal foreign payments through a global network of front companies, operated by approximately 200 Iranians with dual citizenship.
Leaked documents reveal detailed operational specifics, from trial runs to inspection schedules and shipment volumes, with pricing set at $10-30 per barrel below global Brent crude.
Levant-Agencies
