No Result
View All Result
SUBSCRIBE | NO FEES, NO PAYWALLS
MANAGE MY SUBSCRIPTION
NEWSLETTER
Corporate Compliance Insights
  • Home
  • About
    • About CCI
    • CCI Magazine
    • Writing for CCI
    • Career Connection
    • NEW: CCI Press – Book Publishing
    • Advertise With Us
  • Explore Topics
    • See All Articles
    • Compliance
    • Ethics
    • Risk
    • FCPA
    • Governance
    • Fraud
    • Internal Audit
    • HR Compliance
    • Cybersecurity
    • Data Privacy
    • Financial Services
    • Well-Being at Work
    • Leadership and Career
    • Opinion
  • Vendor News
  • Library
    • Download Whitepapers & Reports
    • Download eBooks
    • New: Living Your Best Compliance Life by Mary Shirley
    • New: Ethics and Compliance for Humans by Adam Balfour
    • 2021: Raise Your Game, Not Your Voice by Lentini-Walker & Tschida
    • CCI Press & Compliance Bookshelf
  • Podcasts
    • Great Women in Compliance
    • Unless: The Podcast (Hemma Lomax)
  • Research
  • Webinars
  • Events
  • Subscribe
Jump to a Section
  • At the Office
    • Ethics
    • HR Compliance
    • Leadership & Career
    • Well-Being at Work
  • Compliance & Risk
    • Compliance
    • FCPA
    • Fraud
    • Risk
  • Finserv & Audit
    • Financial Services
    • Internal Audit
  • Governance
    • ESG
    • Getting Governance Right
  • Infosec
    • Cybersecurity
    • Data Privacy
  • Opinion
    • Adam Balfour
    • Jim DeLoach
    • Mary Shirley
    • Yan Tougas
No Result
View All Result
Corporate Compliance Insights
Home Featured

Venezuela In the Sanctions Crosshairs

by Luis Valdez-Jimenez
May 29, 2018
in Featured, Governance
Venezuela In the Sanctions Crosshairs

When was the last time you saw a positive news story come out of Venezuela? Probably has been a while. Any organization with ties to the country needs to be aware of the increasingly severe sanctions being imposed on the country by the federal and state governments.

The deteriorating economic, political, and human right situation in Venezuela has caused enormous hardship for its people. The country has been engulfed by rampant crime, soaring hyper-inflation, inadequate access to food and medicine, and virtually non-existent government services as a result of corruption and mismanagement by the Venezuelan government, which has pursued authoritarian methods to retain power.[i] In response to the tragedy, the United States federal government and numerous states are imposing more and more sanctions upon the Venezuelan government and on organizations and people associated with it.

President Obama signed the “Venezuela Defense of Human Rights and Civil Society Act of 2014” which authorized the United States to impose sanctions upon individuals associated with the Venezuelan government responsible for human rights abuses[ii]. Under this act the Obama administration issued Executive Order 13692, which further expanded the act to target individuals involved with the persecution of political prisoners, suppressing press freedom, violent actions committed against anti-government protestors, and with serious corruption. Numerous current and former government officials have been sanctioned, which include prohibiting them from entering the United States and freezing any assets within the United States.[iii]

President Trump has also imposed sanctions upon the Venezuelan government, but is not limiting them to just individuals. The Trump administration issued Executive Order 13808 which specifically targeted Venezuela’s access to the financial system. The order prohibits transactions relating to certain new debt issued by the state-owned oil producer, new and existing types of bonds and securities issued by the Venezuelan government, and dividend payments from entities owned by the Venezuelan government.[iv] In March 2018 the Trump administration issued Executive Order 13827 which prohibited the use of the “petro”, a crypto-currency issued by the Venezuelan government to help circumvent the sanctions already imposed on the country.[v] Executive Order 13692 has also been extensively utilized by the Trump administration. Right before the May 20th presidential elections, which many have criticized as being “rigged”, sanctions were imposed upon Diosdado Cabello Rondón, the first vice president of Nicolas Maduro’s political party, and his “corruption network” including three companies owned and or controlled in Florida and blocked several properties in Florida and New York tied to the network.[vi] The President has indicated that more sanctions could be imposed in the future.

Even the states are imposing their own sanctions. Florida Governor Rick Scott signed into law a prohibition on state agencies and pension plan from investing in companies that conduct business with the Venezuelan government in violation of federal law.[vii] The bill passed the Florida legislature unanimously. In Connecticut, House Bill 5269 proposed granting the State Treasurer the ability to divest Connecticut public funds from companies doing business in Venezuela based on certain factors and required the divestment from any assets tied to the Venezuelan government. The bill passed the Connecticut House of Representatives overwhelmingly but was not taken on by the Connecticut Senate before the end of the legislative session.[viii] As news stories of the crisis become more common, other states and local governments could also introduce similar bills restricting the use of public funds.

Companies seeking to do business with in Venezuela need to be aware of these sanctions. Be extremely cautious doing business of any kind directly with the government, as one could expect scrutiny and the watchful eye of US regulators. This includes government owned entities like the main oil company Petróleos de Venezuela, S.A. One should also be careful dealing with US based organizations with ties to the Venezuelan government as it may also feel the impact of sanctions. In addition, always verify that the individuals you are dealing with have not been sanctioned or have ties to the Venezuelan government, as you run the risk of being accused of assisting those individuals violate US law. Finally, be very cautious in purchasing any kind of bond or security from a Venezuelan entity, as it might run afoul with previously mentioned sanctions.

___________________

[i] https://www.washingtonpost.com/world/the_americas/blackouts-hyperinflation-hunger-maduro-faces-reelection-as-venezuela-deteriorates/2018/05/16/2ec5bb60-56f5-11e8-9889-07bcc1327f4b_story.html?utm_term=.55874a195d13

[ii] https://www.congress.gov/bill/113th-congress/senate-bill/2142

[iii] https://www.state.gov/e/eb/tfs/spi/venezuela/

[iv] https://www.state.gov/e/eb/tfs/spi/venezuela/

[v] https://www.state.gov/e/eb/tfs/spi/venezuela/

[vi] https://home.treasury.gov/news/press-releases/sm0389

[vii] https://www.usnews.com/news/best-states/florida/articles/2018-03-28/florida-law-targets-venezuela-but-will-have-limited-impact

[viii] https://www.cga.ct.gov/asp/cgabillstatus/cgabillstatus.asp?selBillType=Bill&bill_num=HB-5269


Previous Post

Recent moves in Japan towards tougher corporate compliance: Key points to know

Next Post

When are Anti-Money Laundering Program Deficiencies a Crime?

Luis Valdez-Jimenez

Luis Valdez-Jimenez

Luis Valdez-Jimenez currently works for a major Aerospace & Defense company where he has gained extensive experience in the fields of supply chain, contracts, and compliance. Previously he graduated with his Juris Doctor and Master of Business Administration from the University of Wisconsin-Madison and his Bachelor of Arts in Political Science from Florida International University. He is of Venezuelan heritage and regularly monitors the current situation in the country.

Related Posts

doj distorted

FCPA Enforcement Back on at DOJ — With a New Look

by Jennifer L. Gaskin
June 18, 2025

After a shorter-than-expected pause, officials with the DOJ have formally renewed the department’s enforcement of the FCPA. CCI’s Jennifer L....

toxic positivity concept melting smiley face

Good Vibes Do Not Always Mean Good Ethics

by Vera Cherepanova
June 18, 2025

Sound ethics can’t exist without a culture of accountability

robot nurturing a good idea

Innovation vs. Compliance: In the Age of AI, Why Not Both?

by Asha Palmer
June 17, 2025

As governments scramble to regulate AI, forward-thinking companies are writing their own compliance playbooks

human robot working as team pie chart

Smart Machines, Smarter Humans: Why Compliance Still Needs a Human Touch

by Roman Eloshvili
June 17, 2025

From the 2008 financial crisis to everyday judgment calls, the case for keeping humans in the compliance loop

Next Post
When are Anti-Money Laundering Program Deficiencies a Crime?

When are Anti-Money Laundering Program Deficiencies a Crime?

No Result
View All Result

Privacy Policy | AI Policy

Founded in 2010, CCI is the web’s premier global independent news source for compliance, ethics, risk and information security. 

Got a news tip? Get in touch. Want a weekly round-up in your inbox? Sign up for free. No subscription fees, no paywalls. 

Follow Us

Browse Topics:

  • CCI Press
  • Compliance
  • Compliance Podcasts
  • Cybersecurity
  • Data Privacy
  • eBooks Published by CCI
  • Ethics
  • FCPA
  • Featured
  • Financial Services
  • Fraud
  • Governance
  • GRC Vendor News
  • HR Compliance
  • Internal Audit
  • Leadership and Career
  • On Demand Webinars
  • Opinion
  • Research
  • Resource Library
  • Risk
  • Uncategorized
  • Videos
  • Webinars
  • Well-Being
  • Whitepapers

© 2025 Corporate Compliance Insights

Welcome to CCI. This site uses cookies. Please click OK to accept. Privacy Policy
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT
No Result
View All Result
  • Home
  • About
    • About CCI
    • CCI Magazine
    • Writing for CCI
    • Career Connection
    • NEW: CCI Press – Book Publishing
    • Advertise With Us
  • Explore Topics
    • See All Articles
    • Compliance
    • Ethics
    • Risk
    • FCPA
    • Governance
    • Fraud
    • Internal Audit
    • HR Compliance
    • Cybersecurity
    • Data Privacy
    • Financial Services
    • Well-Being at Work
    • Leadership and Career
    • Opinion
  • Vendor News
  • Library
    • Download Whitepapers & Reports
    • Download eBooks
    • New: Living Your Best Compliance Life by Mary Shirley
    • New: Ethics and Compliance for Humans by Adam Balfour
    • 2021: Raise Your Game, Not Your Voice by Lentini-Walker & Tschida
    • CCI Press & Compliance Bookshelf
  • Podcasts
    • Great Women in Compliance
    • Unless: The Podcast (Hemma Lomax)
  • Research
  • Webinars
  • Events
  • Subscribe

© 2025 Corporate Compliance Insights