Monday, August 13, 2018

U.S. courts put dagger in heart of Maduro by allowing creditor to seize Citgo operations to cover government debt

In the wake of Venezuelan President Nicholas Maduro decrying that his Socialist policies have failed the country, the South American leader was hit with another dagger when a U.S. court ruled that Crystallex could seize Citgo assets in America as compensation for an unpaid debt owed by the Maduro government.


A U.S. federal judge authorized on Thursday the seizure of Houston-based Citgo Petroleum Corp., Venezuela's state-owned PDVSA's U.S. refining subsidiary. 
U.S. District Court Judge Leonard P. Stark sided with Creditor Crystallex when he ruled that seizing the assets could satisfy a Venezuelan government debt.  – ABC
Citgo was one of the last life lines the Venezuelan government had in access to hard currency since their own petroleum production had fallen to extremely low levels of output.  And with his predecessor having nationalized most other industries by booting out foreign companies, even fellow OPEC members, along with nations like Russia and China, are isolating Venezuela in the hopes that Maduro will abdicate or be overthrown in the near future. 

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