A federal jury convicted Brian Assi, also called Brahim Assi, yesterday of conspiring to violate the Worldwide Emergency Financial Powers Act (IEEPA) and the Iranian Transactions and Sanctions Rules (ITSR), tried illegal export of products from america to Iran and not using a license, tried smuggling items from america, submitting false or deceptive export info, and conspiracy to commit cash laundering.
“The defendant schemed to unlawfully export U.S.-origin mining drills to Iran, whereas deceiving his employer into believing that they had been being despatched to Iraq,” mentioned Assistant Lawyer Common Matthew G. Olsen of the Justice Division’s Nationwide Safety Division. “This conviction affirms the Justice Division’s resolve to disrupt and maintain accountable those that evade our sanctions towards Iran, wherever on the planet they might be.”
“As this verdict makes clear, irrespective of how onerous you attempt to obfuscate your scheme to ship restricted U.S. gadgets to Iran, we are going to work tirelessly to carry your conduct to gentle and make sure you face justice,” mentioned Assistant Secretary for Export Enforcement Matthew S. Axelrod of the Division of Commerce, Bureau of Business and Safety (BIS). “We take motion at any time when we uncover makes an attempt to evade our sanctions, particularly when these efforts are designed to help adversaries like Iran.”
“Efforts to hide impermissible transactions and circumvent imposed sanctions signify a menace to each america financial and nationwide safety pursuits,” mentioned U.S. Lawyer Jason R. Coody for the Northern District of Florida. “Right now’s verdict demonstrates our collective resolve to carry those that violate regulatory restrictions accountable for his or her prison conduct.”
In keeping with proof introduced at trial, Assi was a Center East-based salesman of a multinational heavy equipment producer with a U.S.-based subsidiary and manufacturing plant positioned in northern Florida. Assi conspired with people affiliated with Sakht Abzar Pars Co. (SAP-Iran), primarily based in Tehran, Iran, to export U.S.-made heavy equipment not directly to Iran with out first acquiring the required licenses from the Workplace of Overseas Belongings Management (OFAC).
Assi and his Iranian co-conspirators orchestrated the scheme by finding an Iraq-based distributor to function the forward-facing purchaser of two U.S.-origin blasthole drills from the U.S. subsidiary of Assi’s employer. The drills are a kind of heavy equipment used to create holes within the floor which are then stuffed with managed explosives for mining.
Assi facilitated the sale of the drills and tried to export them to Iran and used freight forwarding corporations to ship the heavy gear from the U.S. to Turkey. In doing so, Assi hid any Iranian involvement within the transaction from his employer, claiming the drills had been finally destined to be used in Iraq. However in fact, Assi meant for his Iranian co-conspirators to transship or reexport these gadgets from Turkey to Iran, in circumvention of U.S. export management and sanctions legal guidelines.
In furtherance of the conspiracy, Assi hid his actions together with his Iranian co-conspirators by inflicting false info to be entered into the Automated Export System (AES), a U.S.-government database containing details about exports from america. The U.S.-based plant employed a U.S. freight forwarder to rearrange the drill’s export from america to Iraq. As a part of the transport course of, the freight forwarder submitted info to AES in regards to the cargo, together with the last word consignee’s title and the last word supply vacation spot. Assi misled his employer by claiming that the Iraqi distributor was the last word consignee, and that the last word supply vacation spot was Iraq. The truth is, Assi knew that his coconspirators in Iran had been the true meant recipients, and Iran was the last word meant supply vacation spot.
In furtherance of the illicit transaction, Assi and his coconspirators induced the switch of roughly $2.7 million from Turkey to cross by means of america.
Sentencing for Brian Assi is scheduled for Jan. 7, 2025.
The BIS is investigating the case.
Assistant U.S. Attorneys Andrew J. Grogan and Harley W. Ferguson for the Northern District of Florida and Trial Lawyer Ahmed Almudallal of the Nationwide Safety Division’s Counterintelligence and Export Management Part are prosecuting the case.