US sanctions network supplying Houthis with stolen Ukrainian grain, Russian arms

The U.S. Treasury Department announced sanctions on April 2 against a network of individuals and entities facilitating Russian arms purchases for the Houthis, a pro-Iranian Shia rebel group in Yemen.

The sanctioned network helped the Houthis acquire "tens of millions of dollars' worth of commodities from Russia, including weapons and sensitive goods, as well as stolen Ukrainian grain," according to the Treasury.

Russia had looted millions of tons of Ukrainian grain from occupied territories, with at least 180,000 tons stolen through Mariupol alone, Prime Minister Denys Shmyhal said on Oct. 8, 2024.

Estimates suggested that up to 6 million metric tons had been stolen by Russia by mid-2023. The theft, combined with attacks on agricultural infrastructure and threats to Black Sea shipping, has severely impacted Ukraine's agriculture sector.

The sanctions target two Afghan businessmen, a Hong Kong company linked to a Russian vessel transporting stolen Ukrainian grain, and the current and former Russian captains of the ship.

Three Russian-registered companies owned by one of the sanctioned Afghan individuals were also included. Additionally, an Iranian businessman residing in Turkey was sanctioned for his ties to Sa'id al-Jamal, the Houthis' chief financial officer, who is already under U.S. restrictions.

"The Houthis remain reliant on Sa'id al-Jamal and his network to procure critical goods to supply the group's terrorist war machine," said Treasury Secretary Scott Bessent, emphasizing Washington's commitment to limiting the group's capabilities.

The Houthis, officially known as Ansar Allah, have been in conflict with Yemen's government since 2014 and with a Saudi-led coalition since 2015.

Since late 2023, they have targeted commercial and military vessels in the Red Sea, claiming they are retaliating against Israel's military operation in Gaza.

The U.S. has intensified airstrikes against the Houthis in recent weeks as part of a broader effort to curb their attacks on regional shipping.