Michael Rose Arrested For Conspiring To Violate U.S. Sanctions Against Iran

RIDGEFIELD, CT — A Ridgefield man has been accused of participating in bank fraud and money laundering conspiracies that violated federal restrictions on Iran.

Michael Rose, 50, was taken into custody Tuesday by agents from the FBI and the New York Field Office of the U.S. Department of Commerce, Office of Export Enforcement.

Rose exported cosmetics to Iran via front company intermediaries in the Middle East, according to the charges unsealed Tuesday by the United States Attorney for the Southern District of New York.

"...we allege Mr. Rose intentionally disguised his products' ultimate destination and lied about those products' prices to limit his customs liability. It's a federal crime to violate sanctions the United States put in place to protect our national interests from Iran and other designated nation states," FBI Assistant Director William F. Sweeney Jr. said in a statement.

According to the indictment, Rose is the president of a Long Island-based company that sold more than $350,000 worth of cosmetics to an importer in Iran between 2015 and 2018. Rose's company signed an exclusive distribution agreement with the importer, and then used front companies based outside Iran to make payments to his business in New York, and handle the shipping to Iran.

The court documents also allege Rose filed legal documents that falsely represented that the "ultimate consignee" for the goods was in the United Arab Emirates, and also falsely lowered the purchase price for the cosmetics to evade customs payments.

Rose has been charged with conspiring to violate the International Emergency Economic Powers Act, conspiring to launder money and conspiring to commit bank fraud.