Iran's Ports and Maritime Organization (PMO) said in a statement released on Tuesday that a Greek court determined that the ship and its petroleum cargo must be returned to the owner and that the Athens government complied.

According to the statement, the tanker was released despite Washington's directive for Greece to seize the vessel and a treaty between Greece and the United States about mutual legal aid.

A diplomatic dispute erupted between Athens and Tehran due to Tehran's seizure of an Iranian tanker on its shore, citing "sanctions."

It was later claimed that the vessel's oil cargo, estimated at 700,000 barrels, had been transferred to the United States.

Iran criticized the United States' seizure of Iranian oil cargo from a Russian-operated ship in Greece as a "piracy act" that "violated international standards." It also vowed to take drastic action against Athens.

In retaliation for infractions of maritime norms in the Persian Gulf, Iran's Islamic Revolution Guards Corps (IRGC) detained two Greek oil tankers in May.