US senators seek sanctions, additional avenues to address Venezuela crisis
WASHINGTON – An influential group of Republican and Democratic US senators will file sweeping legislation on Wednesday to address the crisis in Venezuela, including sanctioning individuals responsible for undermining democracy or involved in corruption, Senate aides said.
The bill would provide $10 million in humanitarian aid to the struggling country, require the State Department to coordinate a regional effort to ease the crisis, and ask US intelligence to report on the involvement of Venezuelan government officials in corruption and the drug trade, according to a copy seen by Reuters.
It also calls on President Donald Trump to take all necessary steps to prevent Rosneft, Russia’s state oil company, from gaining control of any US energy infrastructure.
Rosneft has been gaining ground in Venezuela, as the country scrambles for cash. The Venezuelan state oil company, PDVSA, last year used 49.9% of its shares in its US subsidiary, Citgo, as collateral for loan financing by Rosneft. In total, Rosneft has lent PDVSA between $4 billion and $5b.
The measure comes as the international community has struggled to respond to deep economic crisis and street protests in the South American OPEC nation.
Twenty-nine people have been killed, more than 400 injured and hundreds more arrested since demonstrations against Venezuelan President Nicolas Maduro began in April amid severe food and medicine shortages, deep recession and hyperinflation.
On Tuesday, Venezuela’s opposition blocked streets in the capital, Caracas, to denounce Maduro’s decision to create a “constituent assembly,” which critics said was a veiled attempt to cling to power by avoiding elections.
Senate aides said the bill sought to work with countries across the Americas and international organizations, rather than unilaterally, while targeting some of the root causes of the crisis and supporting human rights.
US officials have long been reluctant to be too vocal about Venezuela, whose leaders accuse Washington of being the true force behind opposition to the country’s leftist government.
The lead sponsors of the legislation are Sen. Ben Cardin, the senior Democrat on the Senate Foreign Relations Committee, and Sen. Marco Rubio, the Republican chairman of the panel’s Western hemisphere subcommittee and a vocal critic of Maduro.
Boosting its chances of getting through Congress, co-sponsors include Sen. John Cornyn, the chamber’s No. 2 Republican, and Sen. Dick Durbin, the No. 2 Democrat, as well as Republican Sen. John McCain, the influential chairman of the Senate Armed Services Committee.
The bill has 11 sections to deal with the crisis with a broad brush.
Addressing corruption, it would require the State Department and intelligence agencies to prepare an unclassified report, with a classified annex, on any involvement of Venezuelan government officials in corruption and the drug trade.
The US Treasury Department has in the past sanctioned Venezuelan officials or former officials, charging them with trafficking or corruption, a designation that allows their assets in the United States to be frozen and bars them from conducting financial transactions through the United States.
The officials have denied the charges and called them a pretext as part of an effort to topple Maduro’s government.
The new legislation seeks to put into law sanctions imposed under former president Barack Obama’s executive order targeting individuals found to “undermine democratic governance” or involved in corruption.