CENTCOM Chief Says Iran’s Proxies Are Withholding Fighters’ Pay to Fund IRGC

Iran proxies across the Middle East, including Hezbollah, Hamas and militias in Iraq, are reportedly withholding payments to their own fighters to channel money to Iran’s Islamic Revolutionary Guard Corps (IRGC), as nine months of war and mounting U.S. pressure strain Tehran’s finances, according to U.S. Central Command chief Adm. Brad Cooper.

“There are reports of Iran-aligned militia groups across the region withholding payments to their soldiers in order to funnel money back to the IRGC, which also is not paying its troops,” Cooper said in a video statement posted on CENTCOM’s account on X.

“The Islamic regime is clearly feeling the economic pain, and the IRGC is increasingly showing signs of greater desperation as a result,” he added.

Cooper’s remarks, also reported by Axios, came as Washington continued to target Iran’s revenue streams through a naval blockade, financial restrictions and efforts to disrupt digital financing.

Pressure on Iran’s Military and Its Proxies

Cooper said the financial strain had spread across Iran’s economy, with the government withholding salaries, pensions and benefits from workers in oil and energy, manufacturing, construction and security, as well as from members of the IRGC.

He said the U.S. campaign had inflicted significant damage on Iran’s security apparatus, particularly its military and the IRGC, which Washington regards as a central instrument of Tehran’s regional influence.

Under the U.S. military operation known as Epic Fury, American forces sank Iran’s navy, destroyed weapons factories and curtailed the IRGC’s ability to launch ballistic missiles and drones, Cooper said, describing the effort as a highly successful 38-day campaign.

Since those operations, more than 50,000 U.S. service members deployed across the Middle East have worked with regional partners to defend against Iranian attacks, protect commercial shipping and clear Iranian sea mines from the Strait of Hormuz, he said.

The United States has also imposed a naval blockade intended to restrict maritime traffic to and from Iran. Cooper said the blockade had prevented Iran from exporting at least $25 billion worth of crude oil, depriving Tehran of revenue that could otherwise support its military and allied armed groups.

“This is billions of dollars that would have been used by the world’s number one sponsor of terrorism to finance proxy militias, criminal networks, and attacks against Americans and our allies,” he said.

Cooper added that CENTCOM had supported other U.S. government agencies in freezing nearly $350 million in Iranian cryptocurrency assets, further limiting Tehran’s ability to finance militant groups or replace weapons and industrial facilities destroyed during the fighting.

The combined measures, he said, had dealt a severe blow to the IRGC’s finances and to the broader network of security forces supported by Iran.

Strait of Hormuz Remains a Key Battleground

Cooper also accused the IRGC of repeatedly attacking commercial vessels transiting the Strait of Hormuz, with some strikes killing civilian sailors. Citing the International Maritime Organization, he said more than 20 civilian mariners had been killed in Iranian attacks on commercial shipping since February.

Despite the attacks, commercial traffic has continued through the strategic waterway, which is critical to global energy supplies. Cooper said the United States was working with regional allies and shipping industry partners to strengthen protections for vessels.

“Let me be clear: the Strait of Hormuz is controlled by the United States and our regional partners, not Iran, and it remains open for business,” he said.

About 400 merchant ships had transited the strait over the previous seven days, Cooper said. During the same period, U.S. forces helped Gulf partners ship more than 100 million barrels of crude oil, adding to the more than 1.3 billion barrels transported with American assistance in recent months.

He said that, apart from humanitarian assistance permitted by Washington, Iran had no imports or exports by sea.