U.S. Seized Iranian Oil Over Smuggling Incident That Escalated Tensions in Gulf
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U.S. seized nearly 1 million barrels of Iranian oil from tanker M/T Suez Rajan bound for China, violating sanctions.
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Seizure part of conflict with Iran, which seized 2 tankers after Rajan headed to U.S.
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Advocacy group United Against Nuclear Iran identified ship as smuggling Iranian oil based on satellite images.
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Justice Dept negotiated deal with ship's operator Empire Navigation to bring it to U.S. to seize cargo.
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Oil to be sold, proceeds likely to fund compensating victims of state-sponsored terrorism.