Fly Baghdad denounces sanctions, challenges U.S. allegations

Iraqi budget airline Fly Baghdad has strongly criticized the sanctions imposed by the United States, asserting that the U.S. Treasury failed to substantiate its claims that the airline had assisted Iran’s Revolutionary Guards.

On Monday, the U.S. Treasury sanctioned Fly Baghdad and its CEO, Basheer Abdulkadhim Alwan al-Shabbani, accusing them of supporting the Quds Force, the foreign operations branch of the Revolutionary Guards, by allegedly transporting materials and personnel throughout the region, including weapons.

Responding promptly to the U.S. decision, Fly Baghdad issued a statement late on Monday, denouncing the sanctions as being based on “misleading and unreal information” that does not withstand legal scrutiny. The airline urged the U.S. Treasury to present evidence supporting its allegations, emphasizing its history of operating under the direct oversight of the Iraqi government, represented by the Iraqi Civil Aviation Authority and the Ministry of Transport.

Despite the sanctions, Fly Baghdad assured the public that its services remain uninterrupted, with flights to destinations such as Aleppo, Beirut, Damascus, Dubai, Istanbul, Mumbai, and Tehran continuing as scheduled. However, unverified videos circulating on social media appear to depict frustrated passengers at Baghdad airport, possibly in response to a flight cancellation.

In addition to targeting Fly Baghdad, the U.S. Treasury announced new sanctions against “three leaders and supporters” of Kataeb Hezbollah, a pro-Iran armed group in Iraq. The Treasury accused Kataeb Hezbollah of utilizing Fly Baghdad flights to transport U.S. currency and weapons from Iraq to Lebanon. Fly Baghdad, in turn, faced accusations of facilitating the transfer of Iraqi fighters associated with pro-Iran groups in support of attacks on Israel.

These sanctions come amid a series of attacks on U.S. troops in Iraq and neighboring Syria, escalating since an unprecedented October 7th attack on Israel by the Iran-backed Palestinian militant group Hamas, leading to heightened tensions in the region. Since mid-October, over 140 attacks, primarily claimed by pro-Iran armed groups, have targeted U.S. and foreign troops in Iraq and Syria, prompting increased scrutiny and action from the U.S. Treasury.