On 27 June 1979, Ayatollah Khomeini declared, ‘drugs are prohibited” and their trafficking, consumption and “promotion” were against the rules of Islam and could not take place in the Islamic Republic. This ruling, although informal in nature, sanctioned a swift re-direction of Iran's previous approach to narcotic drugs, both in terms of production and consumption. As had happened in 1955, Iran seemed ready to go back to a policy of total prohibition and eradication of opiates, this time under the banner of Islam rather than that of the international drug control regime. Drugs and the politics surrounding them have been a crucial, yet neglected, aspect of the history of modern Iran that have changed the nature of the state bolstering its capacity of social intervention, while hindering its legitimacy, in the Pahlavi, as in the republican, era. By moving on “from the analysis of the state to a concern with the actualities of social subordination”, this article attempts to interpret how social subordination and state coercion were practiced and defied in the making of punishment and welfare in the social body of Iran.