For a long while, the United Arab Emirates’ financial system has been suffering from abuse caused by the Islamic Republic. Today, its financial system’s plagued by various criminal elements: networks of cash couriers (‘Apes’ or ‘Smurfs’), Iranian front companies’ networks and re-export hubs for sanctionable goods. Documents obtained from one of Iran’s largest trade banks – Tejarat Bank, and its subsidiary, Tejarat Exchange, reveal masses of highly active UAE-based front companies, 41 to be exact.

Many of the document obtained show very clearly how Tejarat Bank instructs payment to different front companies. Sadly, and as we discussed in the past, Banque Misr continues to be a major host for Iranian front companies, with almost third of the companies having an account at this bank. Banque Misr – has a long way before it’ll lose its notorious title of: “The UAE’s friendliest bank to Iranian front companies”

Documents for the transfer of some 6 million AED to Ajar Trading L.L.C, a front company used by Khark Petrochemical Company, provided by Refah Exchange It is highly unusual for a UAE-based front company to carry out transaction denominated in USD or EUR, but Tejarat-affiliated companies provide us with a few instances:

Best Kosy Goods Wholesalers LLC and Sakour Trading Co. L.L.C are just two examples of rather unusual, non-AED, transactions carried out by UAE-based Iranian front companies. A plausible explanation can be the higher risk of carrying transaction with “stricter monitored” currencies, such as USD and EUR, that also require a correspondent bank in the U.S. for USD or EU for EUR.
The following table set fourth basic information regarding Tejarat Bank/Exchange-linked, UAE-based front companies and their account details. The full collection of documents proving the use of the mentioned 41 front companies is attached below for download.

Download the rest of the documents used for this article here .