Economy
Economic Fury targets Iraqi oil official Ali Maarij al-Bahadly
New US sanctions against Iraq's Deputy Minister of Oil expose a corrupt network of forged documents and resource pillaging from the Iraqi people.
![An Iranian fuel oil tanker travels en route to Iraq after passing the Bashmagh border crossing on March 11, 2026. [Ozan Kose/AFP]](/gc1/images/2026/05/20/56174-iran_iraq_oil-600_384.webp)
By al-Fassel |
The US Treasury Department recently sanctioned Ali Maarij al-Bahadly, Iraq's Deputy Minister of Oil for Distribution Affairs.
This move against a high-ranking official underscores a major effort to disrupt Iranian revenue streams.
US officials say that al-Bahadly played a central role in a massive smuggling operation.
This scheme enabled the Iranian regime to circumvent international sanctions and sell its products on the global market.
US Treasury Secretary Scott Bessent stated that Iran is pillaging resources that rightfully belong to the Iraqi people. He added that " Treasury will not stand idly by as Iran's military exploits Iraqi oil."
These illicit funds are used by Iran to finance regional terrorism and instability across the Middle East.
Sanctions evasion and systemic corruption
Al-Bahadly is accused of abusing his authority to authorize the daily trucking of several million dollars' worth of Iraqi oil.
This crude was transported to oil terminals where it was blended with Iranian oil.
To hide this activity, he helped secure forged documents that claimed the product was purely of Iraqi origin.
These forged documents enabled the Iranian regime to evade international sanctions and move oil undetected through international channels.
The Treasury Department also said that a previously sanctioned smuggler, Salim Ahmed Said, bribed officials to install al-Bahadly in his position.
Forged documents that allowed the Iranians to evade sanctions by smuggling oil through corrupt arrangements that ultimately harmed the Iraqi economy and its people.
By leveraging government positions, the network exploited Iraqi national wealth for the benefit of foreign interests.
This designation reflects a broader strategy to protect the integrity of the international financial system and regional energy markets.
The US government appears committed to holding individuals accountable when they facilitate illicit financial activities for sanctioned entities.
This action serves as a significant warning to other officials involved in similar regional activities.