US Treasury sanctions Iranian firm over hijab biometric surveillance system

The U.S. Treasury has sanctioned an Iranian software company that developed the facial recognition surveillance tools used by Iranian authorities to monitor whether women are complying with mandatory hijab laws.

The Pasargad Arian Information and Communication Technology Company, known as FANAP, developed the Behnama facial recognition system is used by Iran’s law enforcement agencies and the Morality Police, the U.S. Treasury’s Office of Foreign Assets Control (OFAC) announced last week.

“Since its inception, FANAP and its subsidiaries have diversified their information technology activities with the backing of the Iranian government to develop surveillance technologies for the Iranian police state,” says the agency.

The Treasury also sanctioned FANAP director Shahab Javanmardi, who has “strong links” to the Iranian Ministry of Intelligence and Security (MOIS), as well as FANAP’s many subsidiaries.

The holding company, operating under Pasargad Bank, specializes in developing financial technologies for Iranian banks. This includes designing banking and payment hardware, producing and maintaining ATM and secure transportation of cash and high-value assets.

In 2023, a hacktivist group named GhostSec claimed they had exposed 26GB of FANAP’s data, including the source code of the Behnama facial recognition system. The system was initially deployed across branches of Pasargad Bank, according to the group.

Other systems that were uncovered include BehCard, a face biometrics system for printing ID cards, a car GPS and tracking system called BehYab, as well as a number-plate recognition system called BehKhan.

During last week’s sanctions wave, the U.S. Treasury designated 18 entities and individuals connected to Iran’s attempts to evade financial sanctions. Aside from FANAP, this includes the RUNC Exchange System Company, in charge of developing Iran’s Cross-Border Interbank Messaging System (CIMS), and Cyrus Bank, found to be secretly owned and staffed by the sanctioned Iranian financial institution Parsian Bank.

“Treasury will continue to disrupt Iran’s schemes aimed at evading our sanctions, block its access to revenue, and starve its weapons programs of capital in order to protect the American people,” says Treasury Secretary Scott Bessent.

Article Topics

biometrics  |  facial recognition  |  Fanap  |  financial services  |  Iran  |  U.S. Government  |  United States