OFAC Issues Latvia-Related General License, Sanctions More Than 40 for Corruption Schemes
The Treasury’s Office of Foreign Assets Control sanctioned more than 40 people and entities involved in corruption networks in Europe, Asia and Latin America, and issued a general license to allow for wind-down activities, according to a Dec. 9 notice.
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Global Magnitsky General License No. 1 authorizes certain activities with four Latvian entities designated under the Global Magnitsky Sanctions Regulations: Ventspils Freeport Authority, Ventspils Attistibas Agentura (Ventspils Development Agency), Biznesa Attistibas Asociacija (Business Development Association) and Latvijas Tranzita Biznesa Asociacija (Latvian Transit Business Association). The license authorizes activities that are “ordinarily incident” to the wind down of transactions with the entities or entities they own by 50 percent or more, and authorizes transactions through Jan. 8, 2020. Along with sanctioning the four Latvian entities, OFAC also designated their owner, Latvian oligarch Aivars Lembergs, for corruption.
OFAC also designated Try Pheap for corruption and using a “vast” Cambodian network to build a “large scale illegal logging consortium,” Treasury said. The agency also targeted 11 entities controlled by Pheap: Try Pheap Group Co., M.D.S. Import Export Co., Try Pheap Dry Port Co., Try Pheap Engineering & Construction Co., Try Pheap Grand Royal Co., Try Pheap Import Export Co., Papa Petroleum Co., Try Pheap Property Co., Try Pheap Travel & Tours Co., M D S Thmorda S E Z Co. and Try Pheap Oyadav S E Z Co.
Kun Kim was designated for corruption, including his relationship with a Chinese state-owned company while he worked as a Cambodian government official, Treasury said. OFAC also designated three of his family members (King Chandy, Kim Sophary and Kim Phara) and five entities he owns directly or indirectly: 7 Makara Phary Co., K D Rubber Plantation Co., Cambo Elite Security Force Co., Romdoul Capital Pawn Co. and Romdoul Development Co., Ltd.
OFAC sanctioned nine people and nine entities that work directly and indirectly for Slobodan Tesic, a Balkan arms dealer previously sanctioned by OFAC. They include: Zoran Petrovic, Nikola Brkic, Milan Subotic, Vectura Trans DOO, Zelimir Petrovic, Araneks DOO, Sreten Cvjetkovic, Ljubo Maricic, Moonstorm Enterprises LTD, Tardigrade Limited, Business Diversity Limited.
OFAC also sanctioned two Venezuelan government officials: Gustavo Adolfo Vizcaino Gil and Juan Carlos Dugarte Padron. Dugarte was head of the country’s Administrative Service of Identification, Migration, and Immigration (SAIME), where he received kickbacks and was involved in corruption, Treasury said. Vizcaino was named the new head of SAIME, and has also been involved in corruption.