Washington, June 7 -- The US Treasury Department is weighing a plan that would redirect frozen Iranian assets toward compensating American-aligned Gulf states for damage linked to Iranian military action during the ongoing conflict, a move that, if pursued, would mark one of the more aggressive uses of financial pressure Washington has deployed against Tehran in recent memory.
The plan, reported by CBS News on Saturday, was described by a source familiar with Treasury Secretary Scott Bessent's thinking, and speaks to just how far the Trump administration may be willing to go as diplomacy between the two countries continues to sputter.
At the heart of the effort is a directive that Bessent is likely to issue to Treasury officials: examine ...