The United States has imposed sweeping sanctions on Russian-backed fintech company A7, accusing it of helping Iran and affiliated groups bypass Western financial restrictions. The cross-border payments platform allegedly operated an extensive network of front companies that moved billions of dollars through international banks. Washington’s latest measures target the financial infrastructure supporting sanctions evasion, following revelations about A7’s global operations.
Billions moved through global banks
Announced on October 1, the US Treasury’s decision designates A7 a transnational criminal organisation, freezing its American assets and prohibiting US citizens from conducting business with the company or its subagents.
Founded in late 2024 by sanctioned Moldovan oligarch Ilan Shor, A7 received support from Promsvyazbank, a Russian state-owned lender closely connected to the Kremlin’s defence industry. A September Financial Times investigation uncovered a document-forgery operation that allegedly channelled more than $6.9 billion through international banks, including Citigroup and Standard Chartered.
Investigators identified approximately 100 front companies conducting payments between late 2024 and August 2025, with internal records mentioning at least another 100 entities. These included operations in Hong Kong, the United Arab Emirates, Kyrgyzstan and Indonesia. Shor separately claimed that A7 processed approximately $91.5 billion over ten months, handling up to 2,000 daily transactions.
Washington targets sanctions evasion
The Treasury accused A7’s network of facilitating illicit Russian financial activities while providing similar services to Iran and its proxy groups. Additionally, the Financial Crimes Enforcement Network proposed restrictions preventing funds from passing through A7’s extensive subagent network. Treasury Secretary Scott Bessent described the crackdown as part of Operation Economic Outcast, an initiative aimed at isolating Iran’s economy.
Although the EU and UK sanctioned A7 in 2025, Washington had previously targeted selected entities within its network. A7 categorically rejected accusations involving Iran or terrorist organisations, arguing that the latest sanctions demonstrated the effectiveness of its alternative international payments system.
