US imposes fresh sanctions on Iran

United States imposed new sanctions on Russia's VTB Bank, accusing the lender of helping Iran evade Western sanctions and warning that foreign institutions that continue doing business with Russia's second-largest bank could face additional penalties.



Already cut off from the dollar system over Russia's invasion of Ukraine, VTB now faces Iran-related sanctions that Treasury officials said could expose foreign banks and businesses that continue to deal with it to additional penalties.



US Treasury said VTB had opened offices in Iran, established banking relationships with sanctioned Iranian lenders and helped build financial channels designed to facilitate trade and financial coordination between Moscow and Tehran.



The action, taken under an executive order aimed at increasing pressure on the Iranian economy, adds to U.S. sanctions already in place against VTB Bank that were imposed in February 2022 under an executive order following Russia's full-scale invasion of Ukraine.