The United States has announced sanctions on Iraqi low-cost airline Fly Baghdad, saying it provided assistance to Iran’s Revolutionary Guards and proxies, while also targeting leaders of a pro-Iranian Iraq militia for sanctions.

The moves come as Iraq’s powerful pro-Iranian armed group Kataeb Hezbollah has “carried out a series of sharply escalating drone and missile attacks against US personnel in Iraq and Syria,” said the US Treasury Department in a statement, according to AFP.

Kataeb Hezbollah and other Iran-aligned militia groups in Iraq “have consistently issued statements” supporting Hamas, while declaring “their commitment to attacking US personnel,” the US Treasury said.

“Iran and its proxies have sought to abuse regional economies and use seemingly legitimate businesses as cover for funding and facilitating their attacks,” said Treasury Under Secretary for terrorism and financial intelligence Brian Nelson.