The US government has slapped sanctions on Iraqi airline Fly Baghdad and its chief executive, alleging that the carrier has supported US-designated terrorist organisations, including the Islamic Revolutionary Guard Corps’ Quds Force.

“Fly Baghdad flights have delivered shipments of weapons to Damascus International airport in Syria for transfer to members of the [Quds Force] and Iran-aligned militia groups on the ground in Syria,” the US Department of the Treasury said on 22 January.

It also says Fly Baghdad recently transported Iraqi fighters “in support of the Iranian proxies’ attacks on Israel”. The airlines carried those fighters after Hamas’ 7 October 2023 attack against Israel.

Fly Baghdad 737-800-c-Fly Baghdad

Fly Baghdad operates Boeing 737s

The Treasury Department’s move comes from its Office of Foreign Assets Control under an executive order intended to target terrorists and their supporters.

Fly Baghdad operates a fleet of eight Boeing 737s, including one 737-700, four 737-800s and three 737-900ERs, according to Cirium data.

The airline could not be reached for comment. Boeing did not immediately respond to a request for comment.

“Iran and its proxies have sought to abuse regional economies and use seemingly legitimate businesses as cover for funding and facilitating their attacks,” says the Treasury Department’s under-secretary for terrorism and financial intelligence Brian Nelson. “The United States will continue to disrupt Iran’s illicit activities aimed at undermining the stability of the region.”

The airline has delivered “a range of weapons”, including Iranian-made Fateh-, Zulfiqar- and Fajr-series missiles, as well as AK-47s, RPG-7s and other grenades and machine-guns, to Iran-backed groups in Syria, the US government alleges.

It has also carried “bags of US currency and US-made weapons obtained through battlefield collection” from Iraq and Lebanon, it adds.

The US government sanctioned Fly Baghdad chief Basheer al-Shabbani for his role in owning or controlling the airline.

Sanctions prohibit “all transactions by US persons” that involve property or interests related to the carrier and its CEO.