JAKARTA - YouTube is facing new scrutiny over ads and U.S. sanctions against Iran. Reviewing a report by WIRED, Friday, June 12, the Tech Transparency Project research found dozens of YouTube channels allegedly linked to Iranian individuals and institutions sanctioned by the US still showing ads.
The nonprofit's research identified more than 75 channels allegedly run by entities on the Office of Foreign Assets Control or OFAC sanctions list. The agency under the US Department of the Treasury is tasked with overseeing and enforcing economic sanctions, including against Iran.
The problem is not only that the channels are still active. The channels are monetized. That is, YouTube shows ads on their videos. From such ads, the platform can earn revenue. In certain conditions, channel owners can also get a share.
Researchers found ads for a number of major brands appearing in the videos. Names listed include Subaru, Verizon, TurboTax, Ozempic, and KFC.
The most striking case is the advertisement of US Customs and Border Protection, the US customs and border protection agency, which appears in the video of the Iranian Ministry of Cultural Heritage, Tourism, and Handicrafts. Researchers assessed that the advertisement, which was paid for by US citizens' taxes, appeared on the Iranian government's ministry channel.
To WIRED, a spokesperson for US Customs and Border Protection said the ad was placed through a third-party contractor working with Google. The agency said it had used brand safety controls and an exclusion list to ensure that ads did not appear in sensitive content. The issue has also been reported to YouTube.
Google said it had taken action. Google spokesman Nate Funkhouser said the company was committed to complying with applicable sanctions and trade laws. After reviewing the report, Google admitted to cracking down on channels that violated policies. However, the company did not explain the form of the action or the number of accounts affected.
YouTube has actually been blocked in Iran since 2012. However, according to WIRED, the platform is still used by the Iranian government to spread propaganda. Google's publisher policy, which also applies to YouTube, states that Google advertising tools must not be used for or on behalf of parties in Iran.
In 2024, YouTube closed an account related to the Iranian Ministry of Foreign Affairs. At that time, the company stated that the Iranian state channel was not allowed to be on YouTube due to US sanctions.
In this latest research, TTP traced the names of individuals who were sanctioned by the US for being considered a threat to national security, as well as accounts allegedly run by Iranian government officials. The results, they found 84 channels. All channels feature ads, including ads on the home page, ads before or during videos, and ads on YouTube Shorts.
Some of the names mentioned in the report are not random figures. There is Babak Zanjani, an entrepreneur who is accused of helping the Islamic Revolutionary Guard Corps or IRGC evade sanctions. There is also Ali Akbar Velayati, an adviser to the supreme leader of Iran, as well as Naji Sharifi Zindashti, who is accused of targeting Iranian dissidents abroad to be killed.
TTP also found a channel belonging to Al-Mustafa International University. The Iranian Islamic educational institution was sanctioned in 2020 for being accused of indoctrination and recruiting foreign intelligence sources. According to researchers, the institution has at least four YouTube channels, including English and French channels.
The channel of the institution contains lectures and video courses. However, ads still appear there, including ads for BJ's Wholesale Club and Warner Bros. horror film, They Will Kill You.
Another institution that is said to have an advertising channel is the Iranian Counterterrorism Special Forces unit. This unit has been accused of using lethal force against unarmed protesters. Fars News Agency, an Iranian government media known as a spreader of propaganda and disinformation, is also said to have an advertising YouTube channel.
Most of these channels have been operating for years and have amassed millions of views. This is where ad supervision becomes complicated. According to TTP Director Katie Paul, Google does not give companies a special option to avoid such channels, as is available for the content categories of terrorism or animal cruelty.
It is not clear whether YouTube violated US sanctions. Researchers could not confirm whether YouTube shared advertising revenue with the channels. Since 2023, YouTube no longer discloses which channels receive a share of advertising revenue.
However, the problem does not stop at the distribution of money. OFAC prohibits US citizens and companies from providing services to, or for the benefit of, blocked parties. In other words, simply providing services can also be a legal problem.
A spokesperson for the US Department of the Treasury told WIRED that technology companies should understand the risk of sanctions compliance and conduct due diligence to prevent violations. Due diligence means a preliminary examination so that companies are not dragged into legal problems. The White House did not comment.
This case adds pressure on US technology companies. Previously, WIRED also reported that X could potentially violate sanctions by allegedly receiving payments from Iranian government officials for premium accounts.
There are indeed exceptions to the sanctions that allow US technology companies to provide platform access for Iranians to share information with the outside world. This rule was made in 2022. However, this exception does not allow financial transactions with the Iranian government.
Kian Meshkat, a lawyer specializing in US economic sanctions who reviewed the research, assessed that this gray area remains risky. According to Meshkat, exemptions usually do not include marketing services for parties subject to sanctions.
For YouTube, this is not just about stray ads. The question is how strictly the giant platform monitors money, propaganda, and sanctions laws when everything can just pass by on the phone screen.
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