US moves against Iran money laundering in big way

CNN:

The federal government said Thursday it is seeking forfeiture of properties belonging to the Alavi Foundation and Assa Corp. -- accused of transferring money to a bank owned by the Iranian government -- including a Manhattan skyscraper and at least three mosques.

Preet Bharara, the U.S. attorney for the Southern District of New York, announced Thursday's filing of an amended civil complaint seeking forfeiture of the Alavi Foundation's interest in the 36-story office tower located on Fifth Avenue in Midtown Manhattan.

The building is owned by 650 Fifth Avenue Company, a partnership between the Alavi Foundation and Assa Corp., the Justice Department said in a news release. The amended complaint alleges that the Alavi Foundation provided services to the Iranian government and transferred money from 650 Fifth Avenue Company to Bank Melli, which is owned and controlled by the government of Iran.

The amended complaint seeks forfeiture of all assets of the Alavi Foundation and Assa Corp., including bank accounts owned by 650 Fifth Avenue Company, the Alavi Foundation and Assa Corp.; and properties owned by the foundation in New York, Maryland, Virginia, Texas and California.

It alleges that the properties were "involved in and [were] the proceeds of money laundering offenses," and that the owners violated the International Emergency Economic Powers Act, executive orders and U.S. Department of Treasury regulations.

"As today's complaint alleges in great detail, the Alavi Foundation has effectively been a front for the government of Iran," Bharaha said. "For two decades, the Alavi Foundation's affairs have been directed by various Iranian officials, including Iranian ambassadors to the United Nations, in violation of a series of American laws. The Alavi Foundation's former president remains under investigation for alleged obstruction of justice, and both the criminal and civil investigations are ongoing."

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The BBC says the forfeiture involves four mosques including on in Houston. I have posted on the Iranian front operations before. It is not clear why the government took so long to make the move, but I suspect they were waiting until the negotiations with Iran on the nukes was done. Since Iran has pretty well killed that effort there was probably little need for further delay.

There have been hints that Iran has other money laundering schemes it plans to use if sanctions are tightened against the country. Venezuela and Ecuador have both been linked to helping Iran launder money to avoid the UN sanctions regime.