New Delhi: In the first such action against an Indian company for doing business with Iran, the US has imposed sanctions on the Mumbai-based petrochemical trading company Tibalaji Petrochem Pvt Ltd.
The corporation “bought millions of dollars’ worth” of petrochemical chemicals from Iran, according to the US Treasury Department, for “onward shipping to China.”
According to the report, Triliance Petrochemical Co Ltd Network, which had previously been sanctioned, mediated negotiations in which Tibalaji purchased “petrochemical products, including methanol and base oil, for onward export to China.”
The business is one of eight businesses that the US has sanctioned in the most recent round. China, Hong Kong, and the United Arab Emirates are home to the rest.
India has not yet responded, although it is thought that the Indian administration is carefully examining the US move. The timing of the US decision was referred to as a “cause of concern” by people with knowledge of the situation.
The penalties were announced immediately after the secretary of state, Antony Blinken, the secretary of defence, Lloyd Austin, the secretary of commerce, Gina M. Raimondo, and the national security advisor, Jake Sullivan, met with the minister of external affairs, S. Jaishankar.
Dev Patel, the deputy spokeswoman for the state department, responded that they had nothing further to add to what they had said at their news conference when a reporter at a briefing inquired about whether the Iran sanctions had come up in Jaishankar’s meeting with Blinken.
With a focus on connectivity through the International North-South Transport Corridor (INSTC) and the Chabahar Port, India has been stepping up its relations with Iran in recent months. In an effort to promote connection, Prime Minister Narendra Modi recently met with the president of Iran, Ebrahim Raisi, outside the SCO Summit in Samarkand.
India has complied with the sanctions put in place against Tehran by the US, and its businesses have refrained from purchasing gasoline from Iran.
As of March 2021, Tibalaji had a revenue of ‘597.26 crore, according to ROC filings. Its net worth was $4.18 crore as of March 2022, and it has free reserves worth $4.17 crore.
In order to deal in petrochemical products, the firm was first established as Tiba Petrochemical in August 2018. In March 2020, the name was changed to Tibalaji Petrochemical.
The corporation approved a resolution in January to expand its current petrochemical product business to include trading in agricultural goods including grains, nuts, spices, etc. Its paid-up capital is one lakh and its authorised share capital is ten lakh as of June 2022. Ashutosh Vijay Talloo and Harshad C. Mande are two of the company’s directors.