On July 15, Iraq’s Ministry of Finance circulated a banking directive instructing ministries, state entities, and financial institutions to implement recent US Treasury Department sanctions against three Hezbollah-linked individuals and five associated companies. The measure, issued pursuant to US Executive Order 13224, requires Iraqi institutions to review and take the necessary action against the listed persons and entities, potentially restricting their access to Iraq’s financial system and commercial sector.
While the action does not create an independent Iraqi sanctions regime, it represents Baghdad’s implementation of US terrorism-finance measures against Hezbollah’s political and commercial network. If rigorously enforced, it could disrupt Hezbollah-linked financial activity in Iraq, though reports later emerged that Iraq’s Ministry of Finance may have issued a second circular rescinding the directive.
The sanctioned parties and their significance
Iraq’s reported designations echo sanctions issued by the US Treasury Department on March 20 and June 18 that include the following persons and entities:
Designated individuals:
Sleiman Frangieh is the leader of Lebanon’s Marada Movement, a small Maronite party historically aligned with former Syrian dictator Bashar al Assad’s regime. Frangieh and the Marada Movement have been among Hezbollah’s most dependable Christian allies, supporting the group’s retention of an independent arsenal and Lebanon’s alignment with Iran and Syria. This alliance has helped Hezbollah portray its agenda as cross-sectarian rather than exclusively Shiite.
Iraq’s Finance Ministry included Frangieh in its banking circular after the US designated him for allegedly accepting Hezbollah funding in exchange for supporting efforts to unseat reformist and independent parliamentarians—conduct Washington deemed material support for Hezbollah. The measure’s direct impact on Hezbollah will likely be limited, because Frangieh is primarily a political ally, not a financier or weapons supplier, and the Marada Movement has a small parliamentary base. Its effect on Frangieh likewise depends on whether he holds assets or conducts business in Iraq. The greater significance may be reputational, as even Iraq, where Iran retains considerable influence, showed that it is prepared to apply US terrorism sanctions on one of Hezbollah’s Lebanese political allies.
Mahmoud Qamati is the deputy chairman of Hezbollah’s Political Council and one of the organization’s senior public and political representatives. Iraq’s measure could complicate Qamati’s financial transactions, travel-related dealings, and institutional contacts in Iraq—including with Iran-aligned parties and organizations—while reinforcing pressure on Hezbollah’s access to Iraqi financial channels. Qamati’s designation is especially relevant because Hezbollah Secretary-General Naim Qassem has previously thanked Iraq’s government, Shiite religious authorities, holy shrines, Popular Mobilization Forces, and public for their financial contributions.
Wael Costanteen is a Lebanese national with addresses in Baghdad and Abra, near Sidon. Costanteen appears to be from Abra’s established Constanteen family, which is locally associated with the Melkite Greek Catholic community. Costanteen served as deputy general manager at GlobeMed Iraq from October 2017 to February 2025 and then worked as a freelance insurance adviser. He was also the CEO of Al Shafa Administrative Services Limited, an Iraqi company established in July 2025 as part of businessman Alaa Hassan Hamieh’s alleged Hezbollah-finance network.
Treasury says Hezbollah financier Muhammad Al Bazzal, Hamieh, and Hamieh associate Maya Boustany created Al Shafa to ostensibly provide insurance management services, appointing Costanteen—then a Hamieh employee—to lead it. Costanteen was designated for acting on Hamieh’s behalf, not because Treasury identified him as a formal Hezbollah member. If enforced, Iraq’s circular should cause Iraqi banks and state institutions to block or reject dealings involving Costanteen, severely restricting his ability to operate Al Shafa or conduct business in Iraq. The impact on Hezbollah will likely remain incremental unless Baghdad also freezes Al Shafa Administrative Services’ assets, investigates its transactions and counterparties, and dismantles the broader network rather than merely circulating the designation.
Designated entities:
Al Shafa Administrative Services Limited (HEAL) is an Iraq-registered company based in Baghdad, established on June 29, 2025, under commercial registration number30787. It purportedly provides insurance management services but has little discernible public or commercial footprint beyond its registration. The US Treasury Department identifies it as part of a Hezbollah-linked commercial network, though publicly available independent evidence establishing that connection remains limited.
If enforced, Iraq’s measure should cut Al Shafa off from Iraqi banks, state bodies, contracts, and counterparties, likely making normal operations difficult or impossible. The impact on Hezbollah will depend on Al Shafa’s actual financial role in the network and on whether Iraqi authorities freeze its accounts, investigate its transactions, and pursue counterparties rather than merely circulate its name.
Globe Technology Providers SARL (Globe SARL) is a Lebanese IT and telecommunications company established in 2004 and based in Hazmieh, near Beirut. Historical business listings and employment advertisements indicate that it conducted technology operations, while Syrian corporate reporting records a similarly named company importing and servicing communications and IT equipment, suggesting possible Syrian operations. Globe SARL, co-owned by Alaa Hamieh and Bahaa Addin Hashem, also owned Oman-registered Globe International SPC (registration number 1579840).
Treasury said that Hezbollah financier Muhammad al Bazzal helped secure nearly$10 million in Assad-regime contracts whose profits were divided among Globe SARL and other Hamieh- and Hashem-linked companies. Iraq’s restrictions should bar Globe SARL from doing business with Iraqi banks, state institutions, and companies. Its impact on Hezbollah is uncertain, because no independent public evidence documents any transfers to the group. However, full enforcement could disrupt a technology and contracting company allegedly used to generate revenue, administer Syrian projects, and move payments through Oman.
Al Ahd Company for Trade and Investment is a Damascus-based Syrian wholesale trading company, reportedly incorporated in 2016 with starting capital of a million Syrian pounds and interests in other Syrian companies. Treasury alleges that Assad-linked businessman Yassar Husayn Ibrahim used Al Ahd to represent GM Farm, a Hezbollah finance-team company, and that Al Ahd helped administer nearly $10 million in Assad-era contracts involving Globe SARL, with profits divided among Al Ahd, Globe SARL, and the Hezbollah-controlled Talaqi Group.
Iraq’s measures would restrict Al Ahd’s Iraqi dealings. Their effect on Hezbollah is difficult to quantify, because no independent Syrian corporate files, contracts, ownership records, or transaction evidence document Al Ahd’s ties to the group. The impact is likely limited: Assad’s fall deprived Al Ahd of the political access, state contracts, and protection that made it useful, and there is little evidence that the company remains operational. Nevertheless, the action is also preventative, making it harder to reactivate, rename, or use the company to hold assets or collect receivables while also prompting Iraqi institutions to scrutinize related firms and beneficial owners.
Tyke/Taek SAL is a Lebanese joint-stock company established on February 23, 2017, and headquartered in Beirut’s Musaytbeh district. The organization is registered for non-specialized wholesale trade and broader commercial and real estate activities, and its listed Lebanese corporate identifiers are registration number 1022301 and company number 5-121673.
Treasury said that Alaa Hassan Hamieh founded Tyke SAL before transferring his shares in September 2023 to his brother, Muhammad Hassan Hamieh, who joined the board and was managing the company by December 2025. Tyke SAL was designated because it was owned, controlled, or operated on behalf of Muhammad Hamieh, whom Treasury identifies as part of a Hezbollah revenue-generation network.
The company has little discernible public footprint. Iraq’s measure will likely have only an incremental impact on Hezbollah but could deny a Hamieh-controlled company access to Iraqi banks, counterparties, and commercial opportunities.
The Iraqi prime minister’s visit to Washington
Iraqi Prime Minister Ali al-Zaidi is currently in Washington on his first official foreign visit after taking office on May 14. Zaidi received a warm reception from President Donald Trump on July 14. Prior to his visit, Zaidi published an op-ed in The Washington Post entitled, “Iraq’s prime minister: Why I’m coming to Washington.”
“I want to move the relationship beyond crisis management to opportunity creation — particularly opportunities that have a measurable economic impact,” Zaidi wrote. The new prime minister hopes to bring more American investment to Iraq, particularly via deals with major energy companies.
Zaidi has also presented promises of disarmament by three militias—including Asaib Ahl al-Haq and Kataib Imam Ali, which are US-designated foreign terrorist organizations—and his government’s recent crackdown on corruption as evidence of Iraq’s readiness to transform the relationship with the US. He has given the militias a deadline of September 30 to disarm, which is when the American-led coalition to counter the Islamic State will leave the country. So far, Iraqi officials have not provided details on how disarmament will proceed, where weapons and fighters will go, or other logistical aspects.
While Zaidi received American support when his name was put forth for Iraq’s top job in April, he is still proving himself to the Trump administration, which prioritizes countering Iranian influence in Iraq. The prime minister also met with Secretary of Defense Pete Hegseth on July 14, who said, “To deepen our partnership, Iraq must assert its sovereignty and disarm the Iran-aligned militias responsible for 600+ attacks on U.S. personnel this spring.” In addition, Zaidi met with Secretary of the Treasury Scott Bessent and reiterated his commitment to countering corruption and disarming militias, according to a readout on the prime minister’s official X account. While Zaidi’s anti-corruption campaign has arrested around 70 individuals with more to come, it has not yet targeted any major Iran allies.
Zaidi, an Iraqi businessman with no political experience, was nominated to be prime minister in April by the Coordination Framework, a coalition of Shiite parties, many of which are allied with Iran.
Iraq almost blocked Hezbollah and Houthi assets in 2025 but quickly reversed course
In November, under the prior government of Iraqi Prime Minister Mohammad Shia al Sudani, the official gazette of the country’s Ministry of Justice included Hezbollah and the Houthis in Yemen in a list of blocked groups. However, as soon as this list received public attention, the Iraqi government removed the two Iran-backed groups from the list, and Sudani’s office issued a statement saying that he had “ordered an urgent investigation to determine responsibility and hold accountable those responsible for the error.” The then-prime minister added that the list was intended to be limited to elements of the Islamic State and Al Qaeda, at the request of Malaysia.
The Committee for the Freezing of Terrorists’ Funds, an Iraqi institution that maintains the list of blocked individuals and entities, said that the original list with Hezbollah and the Houthis was published before undergoing final revisions. A statement from Sudani’s office on December 16 noted that the government accepted the recommendations of the committee created to investigate the incident, including the dismissal and reassignment of several officials. The statement did not explain how the groups were initially included in the gazette.
