The Iraqi government has banned Fly Baghdad from continuing to operate commercial flights. Furthermore, credit institutions were instructed that the carrier's bank accounts must be blocked. Background: The company is accused of being in connection with an Iranian militia.

The United States has placed Fly Baghdad and the company's boss personally on the sanctions list. The Iraqi government responded to the serious allegations made against the carrier and banned it from doing any business. As a result, Fly Baghdad was forced to suspend flight operations. Since the bank accounts are temporarily frozen by order of the Prime Minister, the airline is currently not in a position to pay out refunds to passengers.

Fly Baghdad is suspected by the USA and the government of Iraq of carrying out arms transport for an Iranian militia. An investigation was initiated against both the carrier and some managers. According to a statement from the Prime Minister's Office, Fly Baghdad will not be allowed to fly until this is completed. The purpose of blocking bank accounts is to prevent financial resources from being transferred.

There are allegations of transporting weapons and cash

A statement from the government agency said that Fly Baghdad and its CEO Basherr Al-Shabbani now have the opportunity to prove that the allegations made by the United States Treasury Department are false. At the same time, it could also be the case that law enforcement authorities could investigate or seize evidence to the detriment of the airline and its CEO.

In a statement, Fly Baghdad wrote that it had filed an appeal against the US sanctions. They also want to take legal action against the operating ban imposed by the Iraqi government. You also reserve the right to claim any loss of earnings in court.

The airline is accused of having connections to Iran's Islamic Revolutionary Guard. The United States of America also alleges that Fly Baghdad allegedly “supplied” – i.e. transported – weapons, fighters and cash to intermediaries in Syria, Lebanon and Iraq. The Americans did not provide any concrete evidence, but the Iraqi government is taking the allegations very seriously and has banned the carrier from doing business and frozen its bank accounts.