The United States said on Friday it was sanctioning Lebanon and Kuwait-based financial conduits that fund the Lebanese Shi'ite group Hezbollah as well as financial facilitators and front companies that support the group and Iran.

Hezbollah "continues to exploit the legitimate commercial sector for financial and material support, which enables the group to carry out acts of terrorism and degrade Lebanon’s political institutions," Treasury said in the announcement.

The sanctions also apply to businessman Morteza Minaye Hashemi, who lives in China and who had funneled money to Iran's Qods Force, Treasury said. Two Chinese nationals had helped Hashemi establish bank accounts and served as straw owners for his companies, which were based in Hong Kong and mainland China, according to the Treasury release.