Iranian forces have seized an already controversial product tanker for allegedly smuggling fuel in its waters.

The incident appears to involve the 17,475-dwt Ariana (built 2016), believed to be the last remaining ship under the control of London and Athens-based tanker owner Saint James Shipping.

A source close to the company denies that Ariana has been seized or is in Iranian waters, and suggests that an old video is being circulated. But Iranian officials have issue multiple photographs and video dated 31 October, showing the ship with name and IMO number.

The head of the provincial judiciary in Iran’s Hormozgan province said seagoing forces of the Islamic Revolutionary Guard Corps (IRGC) had seized the ship with its crew and cargo, according to an Al Jazeera report that cited Iran’s Tasnim press service.

Hormozgan is the Iranian province that faces the Hormuz Strait.

“The captain and crew of this foreign tanker are also detained as investigations and legal procedures are being completed,” said judge Mojtaba Ghahremani, according to the Al-Jazeera report.

“All vessels which have delivered fuel to the violating tanker will also be subject to prosecution.”

He added that smugglers can be punished with fines of 10 times the value of the confiscated cargo in addition to jail sentences, and the confiscated vessel would go to the Iranian state.

The vessel is not identified in press reports but its name and the corresponding IMO number are visible in video and photographic documentation circulated by Tasnim.

The cargo was described as “11m litres of smuggled fuel”, which would be between 10,000 and 11,000 tonnes if the cargo is diesel fuel oil or gasoil.

TradeWinds has contacted Saint James owner Sam Tariverdi and other company officials by e-mail and text message for comment.

The seizure of Saint James’s last remaining ship comes after a series of disputes with financier Entrust Global and other creditors.

The legal fights have led to two arrests and foreclosures of Saint James tankers in Indian ports, the same fate for a laid-up tanker in the Dominican Republic and, in the case of the Ariana, a dramatic armed standoff in August at the Yemeni port of Mocha leading to the replacement of the former master.

Before that, the shipowner lost an aframax and another product tanker in disputes unrelated to financier Entrust Global.

Tariverdi appeared to have a reasonable hope of having overcome his financial struggles, according to some observers.

He has previously told TradeWinds he hoped to emerge from the dispute in possession of the Ariana and start again.

Financial and operational sources have also told TradeWinds that Entrust Global is likely to cover its claims through repossessing the three other ships, and that it would be unlikely to pursue a protracted arrest of the Ariana in any Gulf states jurisdiction.

In September, Tariverdi told TradeWinds the Ariana was undergoing repairs at anchor off Dubai. AIS vessel reports show the vessel leaving the anchorage on 22 October and heading northeast, but AIS signals cease on the way into the Strait of Hormuz.