US Treasury targets Houthi-linked vessels to disrupt efforts to fund 'dangerous and destabilizing attacks'

The Trump administration sanctioned three vessels and their owners for providing support to the Houthis – the Iranian regime’s network of terrorist proxies and partners, Fox News Digital has learned.

Houthi rebel fighters march during a rally of support for the Palestinians in the Gaza Strip and against the U.S. strikes on Yemen outside Sanaa, Jan. 22, 2024. (The Associated Press)

The State Department designated the Houthis as a specially designated global terrorist in February 2024 and redesignated the group as a foreign terrorist organization in March. 

"Providing material support to the Houthis not only carries acute sanctions risk, but also exposes vessels and crew members to serious safety risk from potential Houthi attacks," a Treasury Department official told Fox News Digital. 

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A Treasury official told Fox News Digital that the Houthis control the strategic Yemen Red Sea ports of Hudaydah, Ras Isa and Al-Salif, and are funneling millions of dollars derived from port revenues and the seizure of refined petroleum products to fund a "reckless attack campaign against U.S. interests and those of our allies in the region." 

The official said the group sells refined petroleum products at "exorbitant prices" on Yemen’s black market, which enables the Houthi operatives to "purchase military materials, create an artificial shortage of essential goods for average Yemenis, and fuels rampant corruption among Houthi leaders." 

Marshall Islands-registered Zaas Shipping & Trading Co. used one of the vessels targeted, the Tulip BZ, to facilitate the delivery of liquid petroleum gas to the Houthi-controlled port of Ras Isa, the Treasury said. It also has been used to transport petroleum products on behalf of Iran. 

Yemeni Coast Guard ships affiliated with the Houthi group patrol the sea on Jan. 4, 2024. International shipping has been disrupted by their presence. (AFP via Getty Images)

He said the U.S. will continue striking until the group no longer poses a threat to navigation or U.S. personnel.

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The strikes have been from Navy ships, Air Force bombers and drones targeting Houthi weapons, leadership and command centers. 

The airstrikes began after renewed Houthi threats against Israeli ships and attacks on U.S. forces, including seven Reaper drones brought down since March 3.

The Houthis began ramping up attacks in the Red Sea after the October 2023 Hamas terror attack on Israel. They’ve claimed responsibility for targeting U.S. warships and have so far avoided hitting Chinese and Saudi ships, raising questions among defense officials about their strategic aims. 

Earlier in April, the Trump administration sanctioned the International Bank of Yemen Y.S.C. (IBY) for its financial support of Houthi terrorists.

Fox News' Greg Wehner, Jasmine Baehr, Brie Stimson, Caitlin McFall and Liz Friedan contributed to this report.

Brooke Singman is a political correspondent and reporter for Fox News Digital, Fox News Channel and FOX Business.

https://www.foxnews.com/politics/us-treasury-targets-houthi-linked-vessels-disrupt-efforts-fund-dangerous-destabilizing-attacks