A man has been charged after he allegedly transferred hundreds of thousands of dollars to accounts in sanctioned Iranian banks.
The 34-year-old, from Auburn in Sydney's west, ran a legitimate business that facilitates remittances, which involve Australian residents sending money overseas to families and friends.
However, it is alleged $649,308 from 543 international money transfers over a 12-month period was sent to banks in Iran that were subject to the Australian government's sanctions list.
He is due to appear in court on Wednesday charged with engaging in conduct which contravenes a sanction law.
He could face up to 10 years in prison or a fine of three times the value of the contravening transactions, or about $2 million.
Australian Federal Police Detective Superintendent Peter Fogarty urged registered remitters to be aware of Australian sanctions laws.
"If you are contravening Australian sanctions, be warned – the AFP is ready and willing to act to disrupt your criminal activities," he said.
Investigators executed a search warrant at the man's home and business in July after reports from the Australian Sanctions Office and AUSTRAC, the regulator tasked with fighting money laundering and counter-terrorism financing.
The man's business was suspended from operating for one year.
In September, the sanctions office issued a number of warning letters to registered remittance companies across Australia in response to recent concerns regarding their financial activities.
AUSTRAC's Anthony Helmond said every time a business was instructed to transfer funds internationally they must report it to the regulator, which helped it track potential criminal activities.
"In this case, the allegations brought by the AFP and the remitter's failure to meet their transaction reporting obligations has led to AUSTRAC suspending the registration, legally preventing them from operating," he said.
In August, Iranian ambassador Ahmad Sadeghi was expelled from Canberra after intelligence revealed the regime allegedly directed anti-Semitic arson attacks on a Melbourne synagogue and a Sydney deli.
Canberra's decision to expel the Iranian was the first such move since World War II.
