The Ayatollah's Billions

• Ayatollah Ali Khamenei, Iran's Supreme Leader, controls a substantial portion of the Iranian economy through his various holdings and foundations. The most notable foundations directly controlled by him are the Imam Khomeini Foundation, Mostazafan Foundation, Abdolazim Shrine, and Astan Qods. The heads of these foundations are directly appointed by the Supreme Leader. They do not pay taxes, cannot be audited by parliament or the judiciary, and operate as personal properties of Khamenei, outside the normal structure of the Iranian state.
• An official of the Imam Khomeini Foundation said in September 2008 that the foundation owned $45 billion in real estate and 36 firms on the Tehran stock exchange. It also owns the Iran Telecommunication Company, in partnership with the Islamic Revolutionary Guard Corps (IRGC), which is itself worth billions of dollars. The foundation has many profitable sectors including oil, gas, food and mining.
• Astan Qods owns almost the entire northeastern part of Iran. Abdolazim Shrine, located near Tehran, is controlled by Iran's former Minister of Intelligence, Mohammad ReyShahri. It has concentrated its economic activities in the Rey Group, which is run by a group of former high-ranking intelligence officials. The Rey Group is the official dealership of BMW in Iran, which makes Iran's Supreme Leader an automobile dealer as well.
• It has taken Khamenei decades to accumulate this wealth and position himself and his holdings at the heart of Iran's commercial life. Now that the fortune has been amassed, he uses the money to buy loyalty both inside and outside of Iran. Targeting his financial empire will diminish his political power.
• If the West truly wants to add some bite to its sanctions program before Iran builds its first nuclear bomb, directly targeting the Supreme Leader's commercial holdings is a good next step.