Gregory Shupak // Exonerating the Empire in Venezuela | FAIR

22.4.18

Gregory ShupakExonerating the Empire in Venezuela | FAIR: When Venezuelan President Nicol�s Maduro in November 2017 proposed a meeting with creditors to discuss a restructuring of the country’s public debt, the Trump administration warned US bondholders that attending this meeting could put them in violation of US economic sanctions against Venezuela, which can be punished with 30 years in jail and as much as $10 million dollars in fines for businesses.

That same month, the US government added further sanctions that prevent Venezuela from doing what governments routinely do with much of their debt, which is “roll it over” by borrowing again when a bond matures. The sanctions also made it difficult if not impossible for Venezuela to undertake debt restructuring, a process wherein interest and principal payments are postponed and creditors receive new bonds, which the sanctions explicitly prohibit.