View source for Bank Sepah

{{Short description|Iranian banking and financial services corporation}}
{{Infobox company
| name = Bank Sepah<br />بانک سپه
| logo = Bank Sepah logo.svg
| logo_size = 
| image = Sepah Bank Central Building 2.jpg
| image_caption = Bank Sepah headquarters in [[Tehran]]
| type = [[Government-owned corporation]]
| traded_as = 
| founder = Iranian Army Pension Fund
| area_served = Worldwide
| key_people = Ayatollah Ebrahimi<br /><small>([[CEO]])</small>
| industry = Banking, [[Financial services]]
| products = 
| services = Credit cards, [[retail banking|consumer banking]], [[commercial bank|corporate banking]], [[mortgage loan]]s
| revenue = {{gain}} [[File:Rialsymbol.svg|20px]] 37,153,487 [[Iranian Rials|IRR]] (2014)*<ref name="results2014">[http://www.banksepah.ir/English/tab-464/Financial-Statements.aspx Bank Sepah Financial Statements] {{Webarchive|url=https://web.archive.org/web/20150402103438/http://www.banksepah.ir/English/tab-464/Financial-Statements.aspx |date=2015-04-02 }}, ''Bank Sepah'', 24 March 2014</ref>
| operating_income = {{gain}} [[File:Rialsymbol.svg|20px]] 20,701,827 [[Iranian Rials|IRR]] (2014)*<ref name=results2014/>
| net_income = {{gain}} [[File:Rialsymbol.svg|20px]] 490,892 [[Iranian Rials|IRR]] (2014)*<ref name=results2014/>
| assets = {{gain}} [[File:Rialsymbol.svg|20px]] 500,319,226 [[Iranian Rials|IRR]] (2014)*<ref name=results2014/>
| equity = {{gain}} [[File:Rialsymbol.svg|20px]] 72,427,585  [[Iranian Rials|IRR]] (2014)*<ref name=results2014/>
| num_employees = 18,277
| subsid = Bank Sepah International plc
| footnotes = * Amounts in IRR million
| foundation = {{start date and age|1925}}
| location_city = Tehran
| location_country = Iran
| location = Negin Sepah Building, <br />Nowrouz Street, Africa Highway, <br />Argentina Square,<br />Tehran, Iran
| homepage = [https://www.banksepah.ir/default-1077.aspx www.banksepah.ir]|
| dissolved = 
}}
'''Bank Sepah''' ({{langx|fa|بانک سپه}}, ''Bānke Sepah'', {{lit|Army Bank}}) is a major bank in [[Iran]] with historical links with the country's military community, headquartered in [[Tehran]]. It was established in 1925 as the first modern domestic Iranian bank, as opposed to the foreign-owned [[Imperial Bank of Persia]]. Owned by the Iranian government,<ref>{{cite web |website=UK Find and update company information service |access-date={{date|2025-6-28}} |url=https://find-and-update.company-information.service.gov.uk/company/OE026611 |title=Bank Sepah}}</ref> it has been referred to as a financial platform for the country's [[Ministry of Defence and Armed Forces Logistics (Iran)|Ministry of Defence and Armed Forces Logistics]].<ref>{{cite web |website=U.S. Department of the Treasury |url=https://home.treasury.gov/news/press-releases/sm1147 |date={{date|2020-10-8}} |title=Treasury Sanctions Eighteen Major Iranian Banks}}</ref>

== History ==
[[File:Rasht Sepah bank 1925-1304.jpg|thumb|Bank Sepah branch in Rasht, in the 1920s]]
[[File:Bank Sepah Central Branch.jpg|thumb|Former central branch of Bank Sepah in Tehran, lately Bank Sepah Museum]]

Bank Sepah was founded on {{date|1925-5-4}}, initially known as '''Bank Pahlavi Qoshun''' ({{lit|'''Pahlavi Army Bank'''}})<ref>{{cite web |website=Pars Time |url=https://www.parstimes.com/business/history-of-banking-system.html |date=Spring 2001 |title=A Review of History of Banking System in Iran}}</ref> in [[Tehran]], with a capital of 388,395 [[Iranian toman|tomans]] (3.88 million [[Iranian rial|rials]]). It was intended to handle the financial affairs of the military personnel and set up their retirement fund.<ref>{{cite web |website=Iran Chamber Society |url=https://www.iranchamber.com/history/articles/banking_history.php |access-date={{date|2025-6-28}} |title=History of Banking in Iran}}</ref> With further increase in their domain of services, the headquarters for the bank was moved to a larger building in Homayoon Street. Starting on {{date|1926-3-15}}, with opening of another branch in [[Rasht]], Bank Sepah began providing services not only to the military personnel but to the more general public such as businessmen.<ref name="dne-1">{{Cite web |title=سالروز تاسیس نخستین بانک ایرانی |url=https://donya-e-eqtesad.com/%D8%A8%D8%AE%D8%B4-%D8%A7%D9%82%D8%AA%D8%B5%D8%A7%D8%AF-36/877605-%D8%B3%D8%A7%D9%84%D8%B1%D9%88%D8%B2-%D8%AA%D8%A7%D8%B3%DB%8C%D8%B3-%D9%86%D8%AE%D8%B3%D8%AA%DB%8C%D9%86-%D8%A8%D8%A7%D9%86%DA%A9-%D8%A7%DB%8C%D8%B1%D8%A7%D9%86%DB%8C |url-status=live |archive-url=https://web.archive.org/web/20200716140853/https://donya-e-eqtesad.com/%D8%A8%D8%AE%D8%B4-%D8%A7%D9%82%D8%AA%D8%B5%D8%A7%D8%AF-36/877605-%D8%B3%D8%A7%D9%84%D8%B1%D9%88%D8%B2-%D8%AA%D8%A7%D8%B3%DB%8C%D8%B3-%D9%86%D8%AE%D8%B3%D8%AA%DB%8C%D9%86-%D8%A8%D8%A7%D9%86%DA%A9-%D8%A7%DB%8C%D8%B1%D8%A7%D9%86%DB%8C |archive-date=2020-07-16 |access-date=2020-07-16 |website=donya-e-eqtesad.com}}</ref> Also in 1926, it changed its name to Bank Sepah.<ref>{{cite web |website=Iran1400 |url=https://iran1400.org/content/from-imperial-bank-to-bank-e-ghavamin-a-short-history-of-banking-in-iran/ |date={{date|2023-10-17}} |title=The founding and growth of banking in Iran}}</ref>

Bank Sepah opened a branch in [[London]] in 1972, which in 2002 was reorganized as a fully owned subsidiary named Bank Sepah International Plc (BSIP).<ref>{{cite web |website=Bank Sepah International plc |url=https://www.banksepah.co.uk/#:~:text=Bank%20Sepah%2C%20Tehran%20is%20Iran's,working%20or%20trading%20with%20Iran. |access-date={{date|2025-6-28}} |title=In the heart of the city since 1972}}</ref> It also has branches in [[Frankfurt]], [[Paris]] and [[Rome]].<ref>{{citation |title=Financial Services Forecast |publisher=Economist Intelligence Unit |date={{date|2008-8-18}}}}</ref>

In the early 2020s, Sepah Bank absorbed four other Iranian banks and one credit institution: Ansar Bank, Mehr Eqtesad Bank, Hekmat Iranian Bank, [[Ghavamin Bank]] and the Kosar Credit Institution.<ref>[https://www.iranwatch.org/news-brief/iran-completes-merger-six-banks-links-military Iran Completes Merger of Six Banks with Links to Military], iranwatch.org. Accessed 20 June 2025.</ref> The Omid Bank app is product of Bank Sepah.<ref>{{Cite web |title=Omid Bank |url=https://omidboom.ir/services/omidbank/ |website=omidboom.ir }}{{Dead link|date=August 2025 |bot=InternetArchiveBot |fix-attempted=yes }}</ref><ref>{{Cite web |last=حیدری |first=هانا |date=2024-03-16 |title=سامانه بانکداری قرض‌‌‌الحسنه دیجیتال بانک سپه رونمایی شد |url=https://way2pay.ir/359107/ |access-date=2024-11-24 |website=راه پرداخت |language=fa-IR}}</ref>

Bank Sepah maintains a museum in its former central branch in downtown Tehran, built 1950-1953 on a design by [[Vartan Hovanessian]],<ref name=Spaces>{{citation |title=The Spaces of Finance in Iran and Turkey at the beginning of the 20th Century: The Cases of Melli Bank, the Sepah Bank, Turkish Central Bank, and the Ziraat Bank |url=https://www.researchgate.net/publication/357465921_The_Spaces_of_Finance_in_Iran_and_Turkey_at_the_beginning_of_the_20th_Century_The_Cases_of_Melli_Bank_the_Sepah_Bank_Turkish_Central_Bank_and_the_Ziraat_Bank |date=December 2021 |journal=The Journal of Iranian Studies |author=Farivash Ghanadi Maragheh & Hilal Tugba Ormecioglu}}</ref>{{rp|404}} immediately west of [[Imam Khomeini Square]] in Tehran. The museum maintains a collection of money artefacts since ancient times.<ref>{{cite web |website=IranRoute |url=https://iranroute.com/sights/52/sepah-bank-museum |access-date={{date|2025-6-28}} |title=Sepah Bank Museum}}</ref>

==US and UN sanctions==
{{see also|Sanctions against Iran}}
[[Sanctions against Iran|Sanctions]] were imposed on Bank Sepah by the [[United States]] on 9 January 2007, due to Iran's suspected [[Iran and weapons of mass destruction|nuclear weapons program]].<ref>{{Cite news |title=BBC NEWS - World - Middle East - US blacklists Iranian state bank |url=https://news.bbc.co.uk/1/hi/world/middle_east/6246665.stm |url-status=live |archive-url=https://web.archive.org/web/20200227185357/http://news.bbc.co.uk/2/hi/middle_east/6246665.stm |archive-date=2020-02-27 |access-date=2007-01-10 |website=news.bbc.co.uk|date=9 January 2007 }}</ref> The United States claimed that the bank assisted Iran in developing missiles that could carry nuclear weapons.<ref name="mercurynews.com">http://www.mercurynews.com/mld/mercurynews/news/politics/16420611.htm {{Dead link|date=February 2022}}</ref> and all its branches and subsidiaries in [[Italy]], [[United Kingdom|UK]], [[France]] and [[Germany]]<ref>{{Cite web |title=Bank Sepah - Branchs |url=http://www.banksepah.com/EN/Branchs/Default.aspx |url-status=dead |archive-url=https://web.archive.org/web/20061021192245/http://www.banksepah.com/EN/Branchs/Default.aspx |archive-date=2006-10-21 |access-date=2007-01-10}}</ref> will have their assets frozen by the United States in order to prevent Iran from constructing nuclear weapons.<ref name="mercurynews.com" /> The official website<ref>{{Cite web |title=بانک سپه |url=http://www.banksepah.ir/ |url-status=live |archive-url=https://web.archive.org/web/20070606121642/http://www.banksepah.ir/ |archive-date=2007-06-06 |access-date=2007-05-04}}</ref> of Bank Sepah in Iran reacted by mentioning the American resolution "fabricated statements based on purely hypothetical pretext, made out of political inducements" and promised that the bank will "continue with its efficient performance with due observance of internal and international regulations as before."

On the same basis, further sanctions have also been imposed by the United Nations through [[United Nations Security Council Resolution 1747|Resolution 1747]] of 29 March 2007 coinciding with the arrest by the Iranian Government of some British army personnel in the Persian Gulf. In early 2016, following  the talks of [[P5+1]] with Iran on the [[Nuclear program of Iran]], and the resultant [[Joint Comprehensive Plan of Action]], sanctions against Bank Sepah were lifted.{{cn|date=June 2025}}

== Cyberattacks ==
Two separate [[cyberattack]]s affected the bank in 2025.

=== Breach disclosed in March 2025 ===
In early March 2025, the hacker group Codebreakers posted a message on [[Telegram (software)|Telegram]] and other social platforms claiming they had infiltrated Bank Sepah's systems and extracted vast amounts of data.<ref name=":2">{{Cite web |date=2025-03-30 |title=تهدید هکرها و انکار بانک؛ افشای فهرست میلیاردرهای سرشناس در بانک سپه |url=https://www.independentpersian.com/node/413638/%D8%B3%DB%8C%D8%A7%D8%B3%DB%8C-%D9%88-%D8%A7%D8%AC%D8%AA%D9%85%D8%A7%D8%B9%DB%8C/%D8%AA%D9%87%D8%AF%DB%8C%D8%AF-%D9%87%DA%A9%D8%B1%D9%87%D8%A7-%D9%88-%D8%A7%D9%86%DA%A9%D8%A7%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9%D8%9B-%D8%A7%D9%81%D8%B4%D8%A7%DB%8C-%D9%81%D9%87%D8%B1%D8%B3%D8%AA-%D9%85%DB%8C%D9%84%DB%8C%D8%A7%D8%B1%D8%AF%D8%B1%D9%87%D8%A7%DB%8C-%D8%B3%D8%B1%D8%B4%D9%86%D8%A7%D8%B3-%D8%AF%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9-%D8%B3%D9%BE%D9%87 |access-date=2025-04-02 |website=ایندیپندنت فارسی |language=fa}}</ref><ref>{{Cite web |title=Hackers Claim Access to 42 Million Sepah Bank Records, Bank Denies Breach |url=https://iranwire.com/en/news/139996-hackers-claim-access-to-42-million-sepah-bank-records-bank-denies-breach/ |access-date=2025-04-02 |website=iranwire.com |language=en}}</ref> They alleged access to more than 12 [[terabytes]] of confidential data belonging to more than 42 million individuals, including account numbers, passwords, mobile phone numbers, residential addresses, bank transaction histories, and information related to military personnel.<ref name=":2" /><ref>{{Cite web |title=Hackers Claim Access to 42 Million Sepah Bank Records, Bank Denies Breach |url=https://iranwire.com/en/news/139996-hackers-claim-access-to-42-million-sepah-bank-records-bank-denies-breach/ |access-date=2025-04-02 |website=iranwire.com |language=en}}</ref> The group stated that they had offered the bank a 72-hour window for negotiations to prevent the disclosure of the information, with the demand of $42 million in [[Bitcoin]], which the bank refused to pay.<ref name=":3">{{Cite web |date=2025-03-30 |title=تهدید هکرها و انکار بانک؛ افشای فهرست میلیاردرهای سرشناس در بانک سپه |url=https://www.independentpersian.com/node/413638/%D8%B3%DB%8C%D8%A7%D8%B3%DB%8C-%D9%88-%D8%A7%D8%AC%D8%AA%D9%85%D8%A7%D8%B9%DB%8C/%D8%AA%D9%87%D8%AF%DB%8C%D8%AF-%D9%87%DA%A9%D8%B1%D9%87%D8%A7-%D9%88-%D8%A7%D9%86%DA%A9%D8%A7%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9%D8%9B-%D8%A7%D9%81%D8%B4%D8%A7%DB%8C-%D9%81%D9%87%D8%B1%D8%B3%D8%AA-%D9%85%DB%8C%D9%84%DB%8C%D8%A7%D8%B1%D8%AF%D8%B1%D9%87%D8%A7%DB%8C-%D8%B3%D8%B1%D8%B4%D9%86%D8%A7%D8%B3-%D8%AF%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9-%D8%B3%D9%BE%D9%87 |access-date=2025-04-02 |website=ایندیپندنت فارسی |language=fa}}</ref>

Initially Sepah Bank denied all claims that its security systems had been breached, as head of the Bank’s Public Relations Department Reza Hamedanchi stated that the bank's systems worked on closed networks with no connection to the internet, and that "Sepah Bank’s systems are unhackable and impenetrable”.<ref>{{Cite web |title=Hackers Claim Access to 42 Million Sepah Bank Records, Bank Denies Breach |url=https://iranwire.com/en/news/139996-hackers-claim-access-to-42-million-sepah-bank-records-bank-denies-breach/}}</ref> However, the bank warned media and citizens against republishing the information obtained by the hackers and threatened with legal action against those who did.<ref name=":4">{{Cite news |last=فردا |first=رادیو |date=2025-03-31 |title=دربارهٔ «هک» اطلاعات مشتریان بانک سپه چه می‌دانیم؟ |url=https://www.radiofarda.com/a/iran-sepah-bank-hacking-issue/33365138.html |access-date=2025-04-02 |work=رادیو فردا |language=fa}}</ref> The threats were issued due to the bank's "position with the [[Islamic Republic of Iran Armed Forces|armed forces]]" and the importance of "confidentiality of information related to the country's military and security institutions".<ref name=":4" />

In response to the bank's denial and its "indifference to the security breach", the Codebreakers group released images of the banking data belonging to head of public relations at Bank Sepah, Reza Hamedanchi, as well as the private banking data of 20 thousand individuals, including high-profile civilian and military customers.<ref>{{Cite web |title=Hackers Claim Access to 42 Million Sepah Bank Records, Bank Denies Breach |url=https://iranwire.com/en/news/139996-hackers-claim-access-to-42-million-sepah-bank-records-bank-denies-breach/ |access-date=2025-04-02 |website=iranwire.com |language=en}}</ref> Among those whose private information and account details were exposed are Abbas Golmohammadi, former deputy director of exploration at the Geological and Mineral Exploration Organization of the country and deputy director of planning and development of the Sangan Iron Ore Complex, with an account of 768 billion [[Iranian toman|Tomans]], General Hassan Palarak, former senior commander of the [[Islamic Revolutionary Guard Corps|Revolutionary Guards]] [[Quds Force|Quds force]],<ref>{{Cite news |last=فردا |first=رادیو |date=2025-03-31 |title=دربارهٔ «هک» اطلاعات مشتریان بانک سپه چه می‌دانیم؟ |url=https://www.radiofarda.com/a/iran-sepah-bank-hacking-issue/33365138.html |access-date=2025-04-02 |work=رادیو فردا |language=fa}}</ref> a supporter of pro-Islamic Republic militias in the region and a close associate of [[Qasem Soleimani|Qassem Soleimani]], with a value of 634 billion tomans ($6.12M at the open market rate),<ref name=":5">{{Cite web |title=Claimed hacking of Iran's oldest bank raises questions about motives |url=https://amwaj.media/en/media-monitor/claimed-hacking-of-iran-s-oldest-bank-raises-questions-about-motives |access-date=2025-04-03 |website=Amwaj.media |language=en}}</ref> Alireza Arash, a member of the board of directors of Henkel Pakwash, a subsidiary of the German multinational chemical company [[Henkel]], with an account of 408 billion Tomans.<ref name=":32">{{Cite web |date=2025-03-30 |title=تهدید هکرها و انکار بانک؛ افشای فهرست میلیاردرهای سرشناس در بانک سپه |url=https://www.independentpersian.com/node/413638/%D8%B3%DB%8C%D8%A7%D8%B3%DB%8C-%D9%88-%D8%A7%D8%AC%D8%AA%D9%85%D8%A7%D8%B9%DB%8C/%D8%AA%D9%87%D8%AF%DB%8C%D8%AF-%D9%87%DA%A9%D8%B1%D9%87%D8%A7-%D9%88-%D8%A7%D9%86%DA%A9%D8%A7%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9%D8%9B-%D8%A7%D9%81%D8%B4%D8%A7%DB%8C-%D9%81%D9%87%D8%B1%D8%B3%D8%AA-%D9%85%DB%8C%D9%84%DB%8C%D8%A7%D8%B1%D8%AF%D8%B1%D9%87%D8%A7%DB%8C-%D8%B3%D8%B1%D8%B4%D9%86%D8%A7%D8%B3-%D8%AF%D8%B1-%D8%A8%D8%A7%D9%86%DA%A9-%D8%B3%D9%BE%D9%87 |access-date=2025-04-02 |website=ایندیپندنت فارسی |language=fa}}</ref> Other notable individuals whose details were exposed are Mohammad Baradaran, a board member of [[Ghadir Investment Company]], Kazem Ghalamchi, founder of Ghalamchi Educational Institute and Rasoul Sirati, CEO of Tik, a military affiliate company reportedly involved in missile and drone technology.<ref>{{Cite web |last=Newsroom |first=Iran International |date=2023-06-29 |title=Latest Company Involved In Iran's Drone Program Revealed |url=https://www.iranintl.com/en/202306290504 |access-date=2025-04-03 |website=www.iranintl.com |language=en}}</ref><ref name=":32" />

The leaked information and the bank's response to the attack triggered a wave of criticism online, with Iranian citizens raising questions on how such large sums of money can be held by only a few individuals, while the general public struggles with financial difficulties.<ref name=":5" /> Ali Sharifizarchi, an academic with a large following on [[Twitter|Twitter/X]], focussed particularly on Palarak, questioning how his wealth is justified in light of the widespread [[Iranian economic crisis|economic crisis]].<ref name=":5" /> Investigative journalist [[Yashar Soltani]] stated that the exposed data explains why Iranian citizens support the sanctions against Iran and demand financial transparency.<ref name=":5" /> Conservative journalist Ali Gholhaki, as well as other users of social media, have mocked the bank for threatening legal action while simultaneously denying there had been any data breach.<ref name=":5" />

=== June 2025 cyberattack ===
On 17 June 2025, widespread disruptions were reported in Bank Sepah services.<ref>[https://x.com/IranIntl/status/1934884206150103489 27 Khordad: Bank Sepah closed and went offline.]</ref><ref>{{cite web |date=2025-06-17 |title=Bank Sepah disruptions to be resolved soon |url=https://www.rokna.net/بخش-اخبار-اقتصادی-65/1132165-اختلال-بانک-سپه-به-زودی-رفع-می-شود |access-date=2025-06-17 |website=Rokna |language=fa}}</ref> The disruptions affected [[online banking]], ATMs, and other digital services, leaving many customers unable to carry out daily banking operations.<ref name=":0">https://x.com/SepahBigLooting/status/1934898608626934104</ref> Pro-Israel hacking group [[Predatory Sparrow]] claimed responsibility for the attack and accused the bank of helping to fund Iran's military.<ref>{{Cite news |last=Vicens |first=A. J. |last2=Pearson |first2=James |date=17 June 2025 |title=Suspected Israeli hackers claim to destroy data at Iran's Bank Sepah |url=https://www.reuters.com/world/middle-east/suspected-israeli-hackers-claim-destroy-data-irans-bank-sepah-2025-06-17/ |access-date=23 June 2025 |work=[[Reuters]] |language=en}}</ref>

According to Iranian media, the disruptions also impacted fuel stations, which rely on Bank Sepah’s banking infrastructure. This situation raised concerns about a broader crisis in public service delivery.<ref name=":0" />

Later that day, a video was circulated showing the interior of the bank’s [[data center]], where unidentified individuals were seen interacting physically with the [[Server (computing)|servers]], with no official explanation provided regarding their identity or mission. The footage sparked a wave of speculation across Iranian social media, with some users suggesting that the disruption may have resulted from physical intrusion into the data center, rather than a purely technical malfunction.<ref>{{cite web |title=Hacker group: We destroyed all Bank Sepah data |url=https://iranwire.com/fa/news-1/142253-گروه-هکری-تمام-دادههای-بانک-سپه-را-نابود-کردیم/ |access-date=2025-06-17 |website=IranWire |language=fa}}</ref><ref>{{cite web |title="Bank Sepah hacked and all data destroyed" |url=https://news.gooya.com/2025/06/post-98976.php |access-date=2025-06-17 |website=Gooya News}}</ref>

==See also==
*[[Banking and insurance in Iran]]
{{Portal-inline|Banks}}

==References==
<references/>

==External links==
{{Commons category-inline}}
{{Banks of Iran|state=expanded}}
{{Authority control}}

[[Category:Banks established in 1925]]
[[Category:Iranian entities subject to U.S. Department of the Treasury sanctions]]
[[Category:Government-owned banks of Iran]]
[[Category:Companies based in Tehran]]