RPT: REVIEW - White House Rescinds Obama-Era Relief For Cuban Government, Sanctions Venezuelan Banks

WASHINGTON (UrduPoint News / Sputnik - 18th April, 2019) The Trump administration has taken action to roll back Obama-era regulations that provided the Cuban government with economic relief in addition to announcing new sanctions related to Venezuela and Nicaragua.

On Wednesday, White House National Security Adviser John Bolton during remarks at the Bay of Pigs Veterans Association in Miami announced a series of US actions against the Cuban government meant to divert funding from Cuba's military intelligence security services and personnel.

"These actions should be a signal that working with the Cuban military and intelligence services will not be tolerated," Bolton said on Wednesday.

The latest measures come as the United States ratchets up pressure on Havana to end its support for the Venezuelan government.

The United States has added five entries to its Cuba restricted list, including the Aerogaviota airline, for links to providing support to Cuba's military and intelligence security services, Bolton said.

"Today, we are also announcing five additions to the Cuba restricted list, which prohibits direct financial transaction with entities tied to Cuba's military intelligence security services and personnel," Bolton said. "These additions include Aerogaviota, owned by the Cuban military, among others."

The United States is also setting new limits on remittances to Cuba, placing it at $1,000 per person per quarter, Bolton said.

In addition, Bolton said the Treasury Department is implementing changes to end the use of so-called U-Turn transactions via third party financial institutions which allegedly allow the Cuban government to evade US sanctions and gain access to hard Currency in the US banking system.

In March of 2016, the Obama administration, as part of the effort to restore US-Cuban relations, authorized the very U-turn transactions the Trump administration banned on Wednesday.

The Treasury Department will also implement regulatory changes to restrict non-family travel to Cuba, Bolton said.

Earlier, the State Department announced that Americans will be able to file lawsuits against foreign companies that benefit from properties confiscated by the Cuban government.

Bolton unveiled new Venezuela-related sanctions against the country's Central Bank designed to target assets supporting Venezuelan President Nicolas Maduro.

"These steps against Venezuela's Central Bank should be a strong warning to all external actors, including Russia, against deploying military assets to Venezuela to prop up the Maduro regime," Bolton said.

The US Department of the Treasury's Office of Foreign Assets Control (OFAC) further detailed in a press release on Wednesday that the sanctions also designated Venezuelan Central Bank Director Iliana Josefa Ruzza Teran.

The Treasury Department said there will be a wind-down period for commercial operations or already existing contracts involving the Central Bank of Venezuela.

Bolton underscored that the sanctions against Venezuela's Central Bank should send a strong warning to foreign countries, like Russia, against sending military assets to Venezuela to support Maduro's government.

The United States also announced new sanctions against Nicaraguan President Daniel Ortega's son Laureano Ortega Murillo and the Nicaraguan bank Banco Corporativo (BanCorp) which is owned by Venezuelan state-run oil company PDVSA, the Treasury Department said in a press release.

The Treasury Department claims that Ortega and Banco Corporativo supported a government that, since April 2018, had allegedly cracked down on its political opposition.

Maduro has accused the United States of trying to orchestrate a coup in order to install opposition leader Juan Guaido as a US puppet so Washington can take control of Venezuela's oil resources. According to UN Special Rapporteur Idriss Jazairy, US sanctions have exacerbated the country's acute economic crisis and can lead to starvation and medical shortages.

The European Union and Canada condemned the United States over the decision to apply extraterritorial Cuba-related sanctions as such measure violates international law.

"The decision by the United States to renege on its longstanding commitment to waive Title III of the Helms-Burton (LIBERTAD) Act is regrettable, and will have an important impact on legitimate EU and Canadian economic operators in Cuba. The EU and Canada consider the extraterritorial application of unilateral Cuba-related measures contrary to international law," a joint statement by EU foreign policy chief Federica Mogherini, Canadian Foreign Minister Chrystia Freeland and EU Commissioner for Trade Cecilia Malmstrom, read.

Canada and the EU intend to protect the interests of business under the World Trade Organization (WTO) rules, according to the statement.

In a separate statement, Freeland said that the Canadian government will defend the interests of its citizens conducting business in Cuba despite the new US measures against Havana.

Freeland said she had met with Pompeo to address Canada's concerns about the potential negative impact of the new US regulatory changes on Cuba.