The U.S. Department of the Treasury’s Office of Foreign Assets Control designated Russia’s VTB Bank under Iran sanctions for operating in Iran’s financial sector and facilitating sanctions evasion. The action increases secondary sanctions risks for foreign financial institutions that continue to deal with VTB, including potential restrictions on their U.S. correspondent or payable-through accounts. VTB established correspondent relationships with sanctioned Iranian banks, developed a ruble-rial settlement system and took steps to move billions in frozen Iranian assets. The bank was already subject to U.S. sanctions under Russia-related authorities. Its property and interests in property within U.S. jurisdiction remain blocked, as do entities it owns by 50% or more, while unauthorized transactions involving blocked property are prohibited.
2026-09-14U.S. Department of the Treasury
U.S. Department of the Treasury designates VTB Bank over Iranian sanctions evasion
The U.S. Department of the Treasury designated VTB Bank under Iran sanctions for operating in Iran’s financial sector and supporting sanctions evasion. The action heightens secondary sanctions exposure for foreign financial institutions that continue dealing with VTB, which was already sanctioned under Russia-related authorities.