An Israeli shipping company has been taken off a list of businesses sanctioned by the US government for trading with Iran.

Zim Integrated Shipping Services is owned by the family of the late tycoons Sammy and Yuli Ofer, who died in June and September respectively.

In May, it emerged that the company was on a US State Department sanctions list, following the $8.65 million sale of an oil tanker owned by the Ofer subsidiary to an Iranian buyer.

The brothers denied that they had violated Israel's strict rules prohibiting trading with Iran and claimed they were unaware of their buyer's Iranian links.

The Ofer Holdings Group said they were pleased the State Department had cleared their name.