Jamshid Ghomi, a 63-year-old dual US-Iranian national and CEO of Tehran-based Faraz Pardaz Rayaneh, was arrested yesterday at his $35 million Newport Beach mansion on charges of conspiracy to violate the International Emergency Economic Powers Act (IEEPA) [1, 2, 3, 4].

Prosecutors accused Ghomi of illegally exporting American networking, encryption, and security equipment to Iran’s Ministry of Defense, Armed Forces Logistics, and the Atomic Energy Organization between 2014 and 2023 [1, 2, 3, 4]. His company is alleged to have supplied these restricted technologies to Iran’s military and nuclear sectors.

From 2011 to 2015, Ghomi made over 400 purchases of sensitive equipment on eBay and PayPal. Shipments were routed through intermediaries in the UAE and freight forwarders in Dubai to smuggle more than 250 metric tonnes of US-origin equipment into Iran from 2014 to 2018 [2, 3].

Ghomi also allegedly laundered more than $15 million from Iran into US bank accounts through shell companies in the British Virgin Islands, Hong Kong, Turkey, and UAE. The funds were falsely reported as foreign inheritance to obscure their source [1, 2, 3, 4]. Despite his apparent wealth, Ghomi reported annual US incomes as low as $20,684 on his tax returns [2, 4].

Between 2010 and 2011, Ghomi bought a vacant lot in Newport Coast for approximately $4.49 million. He then spent about $10.5 million constructing the 14,000-square-foot mansion where he was arrested, funded in part by more than $7 million in foreign wire transfers [1, 2].

First Assistant US Attorney Bill Essayli said, "We will hold him accountable by seeking an appropriate prison sentence and by seizing his assets, including his $35 million Newport Beach mansion." Essayli added that Ghomi was "aiding our declared enemies" and "doing business with one of the world’s largest state sponsors of terrorism." [2]

Assistant Attorney General for National Security John A. Eisenberg said, "As alleged, Ghomi enriched himself by supplying U.S. technology to the Atomic Energy Organization of Iran and other sanctioned entities responsible for Iran’s nuclear program." [4]

Ghomi faces up to 20 years in prison if convicted. Prosecutors have announced plans to seize his assets, including the Newport Beach property [1, 2, 4].