Holders of unpaid U.S. terrorism judgments asked a Manhattan federal court to order Tether to turn over 344,149,759 USDT that are frozen in two OFAC‑blocked Tron wallets tied to Iran’s Islamic Revolutionary Guard Corps and related networks. The plaintiffs seek a court order requiring Tether to zero out the blocked balances and reissue equivalent USDT to a wallet they designate, arguing Tether has issuer‑level control and has previously frozen and reissued tokens for law enforcement. The filing follows an April 24 OFAC sanction; analysts and media have traced the funds’ history and noted growing Tether freeze activity. A judge must still decide whether Tether can be compelled to transfer the funds under New York turnover rules and federal terrorism enforcement laws.

Plaintiffs seek court-ordered transfer of 344,149,759 USDT frozen after an April 24 OFAC sanction; filing argues Tether has issuer-level control and has previously frozen/reissued tokens. Those facts indicate heightened legal risk and centralized control over USDT but final market effect depends on the judge’s pending decision.