Iran terror victims seek court order forcing Tether to transfer $344 million in frozen USDT

Odaily Planet Daily News A group of plaintiffs holding U.S. court judgments regarding Iranian terrorism filed a motion Thursday in the U.S. District Court for the Southern District of New York, requesting the judge to compel Tether to zero out approximately 344.1 million USDT across two wallet addresses linked to the Islamic Revolutionary Guard Corps (IRGC) and already on the OFAC sanctions list, and to reissue an equivalent amount of USDT to a wallet designated by the plaintiffs.

The plaintiffs argue that Tether possesses the technical capability and bears a corresponding legal obligation under New York's turnover law and federal anti-terrorism enforcement regulations. They cite Tether's previous compliance with FBI seizure orders and a case in Ohio involving token destruction and reissuance as precedents. The total judgment amount the plaintiffs seek to enforce is approximately $2.42 billion, covering compensatory and punitive damages from multiple Iranian terrorism-related cases spanning over two decades. Tether froze the relevant wallets on April 24 of this year, the same day OFAC added them to the sanctions list. (The Block)