The U.S. Department of the Treasury on Thursday imposed new sanctions targeting Hezbollah’s financial network, accusing the group of funneling tens of millions of dollars from Iran through Lebanese money exchange houses to fund its armed operations and undermine Lebanon’s sovereignty.

In a statement, the Treasury’s Office of Foreign Assets Control (OFAC) said the action supports ongoing efforts to disarm Hezbollah by cutting off its access to illicit financing channels that exploit Lebanon’s largely cash-based economy.

“Hezbollah uses these funds to support its paramilitary forces, rebuild its terrorist infrastructure, and resist the Lebanese government’s efforts to assert sovereign control over all Lebanese territory,” the statement said. “The group’s exploitation of money exchange companies threatens the integrity of Lebanon’s financial system by blending terror financing with legitimate commerce.”

Under Secretary of the Treasury for Terrorism and Financial Intelligence John K. Hurley said Lebanon’s future depends on ending Iran’s influence over Hezbollah.

“Lebanon has an opportunity to be free, prosperous, and secure — but that can only happen if Hezbollah is fully disarmed and cut off from Iran’s funding and control,” Hurley said. “We will work with our Lebanese partners to create a resilient economy that puts the interests of all Lebanese citizens front and center.”

The Treasury said the new measures target Hezbollah financial operatives who oversee the transfer of Iranian funds to Lebanon through both licensed and unlicensed money exchanges. These networks, it added, help Hezbollah launder money through Lebanon’s cash economy, mixing illicit funds with legitimate transactions.

Since January 2025, the U.S.-designated Iranian Islamic Revolutionary Guard Corps-Quds Force (IRGC-QF) has transferred more than $1 billion to Hezbollah, largely through these exchange houses.

Among those sanctioned is Ossama Jaber, identified as a Hezbollah member who coordinated money exchange operations in Lebanon, personally collecting or converting tens of millions of dollars between September 2024 and February 2025 through several exchange companies linked to the group.

The Treasury said Hezbollah’s financial network has been under growing strain since the December 2024 collapse of Syria’s Assad regime, which for decades served as a key logistical bridge between Tehran and Beirut.

Following the death of Hezbollah finance chief Muhammad Qasir in October 2024, his responsibilities were divided among several family members, including his son Ja’far Muhammad Qasir and nephew Ali Qasir, both of whom have been previously sanctioned by the U.S.

Ja’far Qasir now oversees Hezbollah’s finance team and economic portfolio, according to the Treasury, while Ali Qasir helped coordinate the recovery of a U.S.-blocked oil tanker, the Arman 114, formerly known as the Adrian Darya 1, that had been seized by Indonesia in 2023 for carrying Iranian crude oil.

Ja’far Qasir has also worked closely with U.S.-designated Syrian businessman Yasar Husayn Ibrahim, a close confidant of former Syrian president Bashar al-Assad, on the sale of Iranian oil and gas products. Treasury said Ibrahim coordinated with Qasir and Samer Kasbar, director of the Hezbollah front company Hokoul SAL Offshore, to export metals and chemicals from Iran in mid-2025.

The Treasury said Jaber, Ja’far Qasir, and Kasbar were designated under Executive Order 13224, which targets terrorists and their supporters. The measure freezes any assets the individuals may have under U.S. jurisdiction and prohibits Americans from doing business with them.

All property and interests in property belonging to the designated individuals that fall under U.S. control must be reported to OFAC, the department said. Entities owned 50% or more by the sanctioned individuals are also blocked.

The Treasury warned that both U.S. and foreign persons could face civil or criminal penalties for violating the sanctions, including secondary sanctions for financial institutions knowingly facilitating transactions on behalf of designated individuals.

“Today’s action underscores the urgent need for Lebanon to address the risks posed by Hezbollah’s financial activities and the spread of unscrupulous exchange houses, especially in the wake of the country’s 2019 financial crisis,” the department said.

Hezbollah was designated by the U.S. State Department as a Foreign Terrorist Organization in 1997 and as a Specially Designated Global Terrorist in 2001.