In July 2004, Halliburton faced a criminal inquiry into its business ties with Iran.

Halliburton reported that it received a subpoena from a grand jury investigating its business ties with Iran, a nation President Bush says sponsors terrorism.

The U.S. Treasury Department's Office of Foreign Assets Control (OFAC) has been investigating Halliburton since 2001 to determine whether it violated the ban on U.S. companies doing business with Iran.

The OFAC referred the case to the Justice Department in early July 2004, prompting the subpoena from the Assistant U.S. Attorney for the Southern District of Texas. The subpoena requests Halliburton provide company documents pertaining to its business relationship with Iran.

Although federal law prohibits U.S. companies from trading with Iran, it does not forbid foreign subsidiaries from such business ties. Halliburton's Cayman Islands subsidiary sold $63 million worth of oil products to Iran in 2003.

Earlier this year, the U.