On July 9, 2018, the US Department of the Treasury sanctioned Mahan Travel and Tourism Sdn Bhd for acting as a Malaysia-based General Sales Agent (GSA) on behalf of Mahan Air, “an Iranian airline previously designated in connection with Iran’s support for international terrorism.”

According to the designation statement, Mahan Travel and Tourism Sdn Bhd “has served Mahan Air for at least eight years, is Mahan Air’s sole GSA in Kuala Lumpur, Malaysia, and provides reservation and ticketing services for Mahan Air.” 

The US Treasury said that “this action serves notice to the aviation community of the sanctions risk for individuals and entities maintaining commercial relationships with Mahan Air and other designated Iranian airlines.” 

According to the statement, “GSA services such as reservation and ticketing services” as well as other activities on behalf of designated airlines such as ground services and refueling contracts were “potentially sanctionable activities.” 

The US Treasury also identified over 40 of Mahan Air’s international destinations at airports spanning the globe.