DOJ Files Civil Forfeiture Complaint Targeting $61 Million in USDT Linked to Iranian Oil Sales

U.S. prosecutors in the Southern District of New York have filed a civil forfeiture complaint seeking the forfeiture of $61,192,367.59 in USDT held across ten TRON addresses. The government alleges the tokens are proceeds of a black‑market network that moved more than $1.5 billion from sanctioned Iranian crude oil sales and that the funds were intended to benefit Iran’s government and the Islamic Revolutionary Guard Corps (IRGC).

Frozen wallets and seizure warrant

All ten wallets were already frozen by Tether before the complaint was filed. The balances range from roughly 1 million to over 12.75 million USDT per address. A seizure warrant issued on September 14 authorizes the FBI to transfer the tokens into a government‑controlled hardware wallet in the Southern District of New York. The complaint states that Tether will burn the seized tokens, issue replacement USDT of equal value, and deliver the replacements to the FBI.

Alleged network behind the transfers

The filing identifies Hong Kong‑incorporated Blessed Trust Limited and Hexa Whale Trading Limited as entities that used Binance accounts to convert Iranian oil proceeds into cryptocurrency. Prosecutors describe Blessed Trust as a wealth‑management or virtual‑asset custody provider and Hexa Whale as a commodities broker. Seven linked addresses, labeled “Entity A,” are alleged to have received and distributed more than $1.5 billion in USDT and TRX, sending funds to the Iranian exchange Nobitex, IRGC‑linked addresses, and other fronts.

Financial flows cited in the complaint

• Approximately $37.15 million was sent from a Hong Kong company (Company‑1) to Hexa Whale in 11 wire transfers (March–April 2024).
• Roughly $443.49 million moved from Company‑1 to Blessed Trust in 32 transactions (Nov 2024–Mar 2025).
• Internal transfers of about $22.2 million and $5.3 million passed through U.S.‑based correspondent accounts.

Binance’s response

Binance has said it off‑boarded Hexa Whale on August 13 2025 and removed Blessed Trust in January 2026 after internal compliance reviews. The exchange maintains that no account on its platform transacted directly with an Iran‑based entity and that customers located in Iran are prohibited from using Binance.

Broader enforcement context

The forfeiture case follows a series of U.S. actions targeting Iranian use of digital assets, including OFAC designations of Iranian exchanges such as Nobitex and sanctions against other crypto platforms for alleged IRGC ties. Treasury’s “Operation Economic Outcast” campaign, launched in August 2026, also targets financial channels facilitating Iran’s oil sales and sanctions evasion.

Legal status

The complaint is a civil case against the assets themselves; the underlying allegations remain unproven until a court enters judgment in favor of the United States.