U.S. sanctions expansive al-Shabaab money laundering, facilitator network

March 12 (UPI) -- The Biden administration announced sanctions Monday against a international network of money launderers and facilitators of the Somalia-based al-Shabaab terrorist organization.

The Treasury blacklisted eight people and eight entities on accusations of comprising an expansive network that generates and launders millions for the al-Qaida affiliate in the Horn of Africa, the United Arab Emirates and Cyprus.

"The United States is committed to working with regional partners to root out terror financing networks and the entities they abuse to raise and move funds," Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian Nelson said in a statement.

"Today's action is part of a multifaceted effort by Treasury to support the Somali government's economic offensive against al-Shabaab -- one of three pillars in their campaign to degrade this deadly terrorist group."

According to the U.S. Treasury, Al-Shabaab generates more than $100 million a year through extorting local businesses and individuals and through its financial support network.

Among those blacklisted Monday include the Dubai-based Haleel Group, which the Treasury called "a key financial facilitator for al-Shabaab."

Five of the Haleel Group's subsidiaries were also hit as was Kenya-based Crown Bus Services on accusations on money laundering and supporting al-Shabaab's logistical operations.

The sanctions freeze all assets in their name and bars U.S. persons from doing business with them.

The Treasury said the threat al-Shabaab poses extends further than Somalia as it disburses its funds to other al-Qaida affiliates.

Al-Shabaab, which was designated as a foreign terrorist organization by the United States in2008, was behind numerous terrorist attacks, including the September 2013 Westgate mall attack in Nairobi, according to The Office of the Director of National Intelligence.

The United States has repeatedly issued sanctions in an effort to degrade al-Shabaab, and the Treasury said its sanctions on Monday build off those announced in October 2022 targeting a network of financial facilitators with leadership roles in the terrorist organization.

"Today's action reflects the United States' counterterrorism priorities in Somalia and supports the dynamic relationship we have established with the Somali government to counter the terrorist threats endangering the Somali people and undermining their communities," State Department spokesman Matthew Miller said in a statement.

"The United States also remains focused on disrupting al-Qaida's access to the international financial system."