India-based Skiez Travels among six firms hit by US sanctions over Iran's Mahan Air

The United States has imposed sanctions on six entities and individuals, including India-based Skiez Travels and Logistics Private Limited, accusing them of providing support to Iranian airline Mahan Air. The US Treasury Department says Mahan Air has long aided Iran’s Islamic Revolutionary Guard Corps (IRGC), which Washington designates as a foreign terrorist organisation.

The Treasury announced the sanctions on Thursday, targeting companies acting as general sales agents for Mahan Air. General sales agents are firms that sell airline tickets and services on behalf of a carrier in a specific region. Treasury Secretary Scott Bessent said that anyone providing financial, logistical, or commercial support to the IRGC or Mahan Air is “helping sustain a terrorist enterprise.” He said the department would continue to identify and cut off such firms from the US financial system.

Skiez Travels, which has offices in Srinagar and Delhi, states on its website that it has represented Mahan Airways as its general sales agent since 2020.

According to the Treasury, Mahan Air, though presenting itself as a civilian carrier, has supported the IRGC by arranging travel for Quds Force personnel, assisting in military training, and aiding the movement of drone systems and weapons. The IRGC is a powerful branch of Iran’s armed forces, and the Quds Force is its foreign-operations unit. Mahan Air has been under US sanctions since 2011, when the Treasury accused it of providing support to the IRGC. The airline has previously denied these allegations.

The sanctions freeze any US-held assets of the designated entities and prohibit US persons and companies from engaging in transactions with them. The action effectively blocks the targeted firms from accessing the US financial system. Non-US firms could also face secondary sanctions if they knowingly deal with the listed entities.

The other general sales agents sanctioned are China-based Shanghai Wings International Logistics Co, accused of helping coordinate transport of electronics from China to Iran; Russia-based Air Cargo Pro Limited; and Shanghai Elite International Travel Co. Tang Xin, a China-based individual, is the managing director of Shanghai Wings and also executive director and half-owner of Shanghai Elite, which represents Mahan Air in China.

The Treasury also designated DadeNegar Startup Studio, described as a front company linked to the IRGC. According to the department, DadeNegar supported military targeting through a website, sought locations of American and Israeli equipment, and, working with the IRGC, received strike requests aimed at US targets in the Middle East.

These sanctions are part of a broader US campaign against the IRGC and its alleged commercial network. The sanctions are the latest in a series of US actions targeting Iranian aviation and the IRGC's financial network. The US has long pressured Iran over its nuclear program and regional activities, and has sought to disrupt revenue streams for Mahan Air and its supporters. The inclusion of an Indian firm highlights the global reach of US sanctions, even as Washington and New Delhi have deepened their strategic partnership. India has maintained diplomatic and economic relations with Iran, but the US action could create friction in that relationship.

The designations are administrative actions under US law, not criminal convictions. Firms can appeal the listings, but the practical impact is immediate, as banks and businesses worldwide typically avoid dealing with sanctioned entities.