ERBIL, Kurdistan Region - The Iraq-based private carrier Fly Baghdad has been removed from the US Treasury's sanctions blacklist, the airline announced in a statement, more than three years after it was sanctioned over alleged ties to Iran's Islamic Revolutionary Guard Corps (IRGC).
The privately owned airline said Wednesday that its name "has been removed from the Specially Designated Nationals and Blocked Persons List" of the US Treasury Department's Office of Foreign Assets Control (OFAC).
It attributed the delisting to "the successful completion of a comprehensive, two-year compliance transformation program" that reflects "governance, compliance, transparency, and responsible business practices that align with the highest international standards," the statement said.
The Treasury’s decision took effect Wednesday, Fly Baghdad said, adding that it "includes lifting the ban on all aircraft previously listed as blocked property." As a result, the carrier is "no longer subject to US sanctions" and "individuals and entities in the United States and around the world may now deal with the company normally," it added.
OFAC blacklisted Fly Baghdad and its owner Basheer al-Shabbani in late January 2022, citing links to Iran’s Quds Force - the IRGC's extraterritorial arm - accusing the carrier of "providing material support, personnel, and weapons transport" to the Quds Force as well as to Tehran's "regional proxy groups."
The sanctions were imposed under Executive Order 13224, which targets "terrorist organizations and their supporters," and covered two of the carrier's Boeing 737 aircraft.
Under the same order, any foreign financial institution, company, or individual doing business with Fly Baghdad, its aircraft, or its owner faced "secondary sanctions risks."
In its Wednesday statement, the Baghdad-based carrier quoted Ahmed Asaad, Fly Baghdad's chairman of the board of directors, as affirming that "adherence to the highest standards of compliance and governance" has become an "integral part" of the company's operations.
“The company is coordinating with civil aviation authorities, airports, and industry partners to restore, strengthen, and gradually expand its flight network in a safe and organized manner, with schedules, destinations, and operational updates to be announced through official channels in the coming days,” Asaad added.
Meanwhile, Fly Baghdad CEO Alaa al-Din Abdul Rahman was cited as lauding the delisting as the result of "disciplined work by our team to rebuild trust," expressing Fly Baghdad's keenness on expanding ties “with financial institutions, aviation industry partners, suppliers, and service providers around the world" and its readiness to comply with "due diligence procedures and compliance requirements."
Fly Baghdad is a privately owned Iraqi low-cost airline headquartered at Baghdad International Airport. Founded in 2014, the carrier operates scheduled domestic flights within Iraq as well as regional international routes across the Middle East and South Asia.
