How a Small Business Got Entangled in U.S. Sanctions on Iranian Oil

In early 2024, an aging tanker anchored off Malaysia’s coast delivered more than half a million barrels of oil that were said to be from Oman, but were in fact from Iran. The deception was meant to evade U.S. sanctions on Iranian oil, which have long been part of Washington’s efforts to choke off revenue for Tehran’s military and nuclear weapons program. The ship, the Palau-flagged Reneez, was not on the list of blacklisted entities that the U.S. government maintains online . Shahul Hamid Ahmad, who owned a small Malaysian shipping agency, said he thought little of taking a job to coordinate repairs and an inspection of the ship. His firm, Tefcas Marine, was one of many companies that specialize in arranging port services for ships passing by Johor state. But halfway through the repairs, the tanker was placed under sanction s for ties to Sa’id al-Jamal, a Houthi financier who previously had been sanctioned by the United States for leading a network that procured “tens of millions of dollars” by smuggling Iranian oil. In late 2024, Tefcas and two other Malaysian companies were hit with sanctions for having “materially assisted” Mr. al-Jamal. The action was part of an expanding effort by Washington to crack down on foreign maritime service providers, which U.S. officials have said facilitate Iran’s oil trade. For Mr. Shahul, 62, the outcome felt staggeringly disproportionate. His company’s bank closed his accounts and Microsoft locked his company email, which holds records he needs to file taxes. We are having trouble retrieving the article content. Please enable JavaScript in your browser settings. Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times. Thank you for your patience while we verify access. Already a subscriber? Log in . Want all of The Times? Subscribe .