Convicted of Conspiring to Export US-Made Drill Rigs to Iran in Violation of US Sanctions Laws

A federal jury convicted Brian Assi, also known as Brahim Assi, yesterday of conspiring to violate the International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations (ITSR), attempted unlawful export of goods from the United States to Iran without a license, attempted smuggling goods from the United States, submitting false or misleading export information, and conspiracy to commit money laundering.

According to evidence presented at trial, Assi was a Middle East-based salesman of a multinational heavy machinery manufacturer with a U.S.-based subsidiary and production plant in northern Florida. Assi conspired with individuals affiliated with Sakht Abzar Pars Co. (SAP-Iran), based in Tehran, Iran, to export U.S.-made heavy machinery indirectly to Iran without first obtaining the required licenses from the Office of Foreign Assets Control (OFAC).

Assi and his Iranian co-conspirators orchestrated the scheme by locating an Iraq-based distributor to serve as the forward-facing purchaser of two Blast hole drills of U.S. origin from the U.S. subsidiary of Assi’s employer. The drills are a type of heavy machinery used to create holes in the ground that are then filled with controlled explosives for mining.

Assi facilitated the sale of the drills and attempted to export them to Iran, using freight forwarding companies to ship the heavy equipment from the U.S. to Turkey. In doing so, Assi concealed any Iranian involvement in the transaction from his employer, claiming the drills were ultimately destined for use in Iraq. But in truth, Assi intended for his Iranian co-conspirators to transship or reexport those items from Turkey to Iran in circumvention of U.S. export control and sanctions laws.

In furtherance of the conspiracy, Assi concealed his activities with his Iranian co-conspirators by causing false information to be entered into the Automated Export System (AES), a U.S. government database containing information about exports from the United States.

The U.S.-based plant hired a U.S. freight forwarder to arrange the drill’s export from the United States to Iraq. As part of the shipping process, the freight forwarder submitted information about the shipment to AES, including the ultimate consignee’s name and delivery destination. Assi misled his employer by claiming that the Iraqi distributor was the ultimate consignee and that the ultimate delivery destination was Iraq. Assi knew that his co-conspirators in Iran were the intended recipients, and Iran was the ultimate delivery destination.

Source

https://www.justice.gov/opa/pr/foreign-national-convicted-conspiring-export-us-made-drill-rigs-iran-violation-us-sanctions