U.S. sanctions Turkish bank, accusing it of helping Iran transfer oil revenue from China to Turkey by converting it to cash and gold

On Friday, the Trump administration announced sanctions on a Turkish financial institution, Golden Global Yatirim Bankasi Anonim Sirketi, as part of its ongoing efforts to cut off financial support to the Iranian government. The sanctions were imposed after Treasury Secretary Scott Bessent launched "Operation Economic Outcast" last week, aiming to isolate Iran from its trading partners to compel it to comply with U.S. demands.

The Treasury Department accused the Turkish bank and its affiliates of facilitating Iran's transfer of oil revenues from China to Turkey, where they could be converted to cash and gold. The bank was found to have knowingly offered banking services to sanctioned Iranian entities, including those sanctioned by the U.S. in 2022 for funneling Tehran's oil sales.

Bessent emphasized that financial institutions connected to Iran would continue to face economic penalties, stating that the U.S. is committed to its "Operation Economic Outcast" until Iran capitulates to its demands. Despite the administration's efforts, the goal of forcing countries to sever financial ties with Iran has not yet been achieved, with the international community slowly waking up to the need to cut off support for Iran's regime.

The U.S. has also resumed military strikes in the region, leading to Iranian retaliation. The sanctions target Golden Global Investment Bank, founded in 2019 as Turkey's first investment bank to offer services to foreign companies, with a focus on increasing Turkey's foreign trade in neighboring markets. The bank's announcement of reaching a settlement with the U.S. Justice Department in a nine-year case over violating sanctions with Iran came a day after the sanctions were imposed, highlighting the ongoing tensions between the U.S. and Turkey.