513. Do the prohibitions imposed pursuant to E.O. 13808 and subsequent Venezuela-related E.O.s also extend to entities owned 50 percent or more by the Government of Venezuela?
In general, yes. These prohibitions apply to transactions related to the Government of Venezuela, which is defined in E.O. 13808 to include all entities owned or controlled by the Government of Venezuela. This would normally include entities owned 50 percent or more by the Government of Venezuela because in most instances such entities would be considered controlled by the Government of Venezuela. Also included are any entities that are less than 50% owned, but otherwise controlled, by the Government of Venezuela. Note, however, that General License 2 authorizes all transactions otherwise prohibited by Subsections 1(a)(i), (a)(ii), and (b) of E.O. 13808 provided that the only Government of Venezuela entities involved in the transactions are CITGO Holding, Inc. or its subsidiaries. General...
1) Since the time this FAQ was issued, OFAC radically altered the Venezuela program as a whole, in part by designating PdVSA and the Central Bank of Venezuela pursuant to EO 13850, and by subsequently blocking the Government of Venezuela pursuant to EO 13884. The FAQ was not updated in light of either of those developments.
2) This FAQ responds to an extremely specific question, and overreading it may cause confusion with respect to how sanctions work in other contexts.
At the time this FAQ was issued, the term "Government of Venezuela" (GOV) in EO 13808 meant:
"any political subdivision, agency, or instrumentality thereof, including the Central Bank of Venezuela and PdVSA, and any person owned or controlled by, or acting for or on behalf of, the Government of Venezuela."
This mirrors part of...