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An enforcement two-for: OFAC fines two US firms’ Suriname operations for Cuban sanctions violations

For now, let’s just give you the headlines and the links… after I review the documents, I may devote posts to the details…

Settlement Agreements between the U.S. Department of the Treasury’s Office of Foreign Assets Control and Newmont Corporation and Chisu International Corporation

Release date

04/21/2022

Body

The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) today announced a $141,442 settlement with Newmont Corporation (“Newmont”), a multinational mining firm headquartered in Denver, Colorado.  Newmont has agreed to settle potential civil liability for four apparent violations of the Cuban Assets Control Regulations (CACR), 31 C.F.R. part 515.  Specifically, between approximately June 2016 to November 2017, Newmont Suriname, a wholly owned subsidiary of Newmont that is a person subject to the jurisdiction of the United States under the CACR, purchased Cuban-origin explosives and explosive accessories from a third-party vendor involving four separate transactions.  OFAC determined that Newmont voluntarily disclosed the apparent violations, and that the apparent violations constitute a non-egregious case. 

Separately, OFAC today announced a $45,908 settlement with Chisu International Corporation (“Chisu”), a company located in Parkland, Florida that is affiliated with a distributor of explosives and accessories for mining operations. Chisu has agreed to settle potential civil liability for four apparent violations of the Cuban Assets Control Regulations (CACR), 31 C.F.R. part 515. Specifically, between June 2016 and November 2017, Chisu and its affiliates in Suriname and Panama on four occasions procured Cuban-origin explosives and related accessories originating from Cuban entity Unión Latinoamericana de Explosivos (ULAEX) on behalf of a U.S. company for the U.S. company’s mining project in Suriname. OFAC determined that Chisu did not voluntarily disclose the apparent violations and that the apparent violations constitute a non-egregious case.

To the untrained eye, looks like Newmont ratted out Chisu… but not until after the violations occurred. Time to read more detail, I think…

Links:

OFAC Notice

Enforcement Actions – Newmont, Chisu

Categories: Civil Monetary Penalties Cuba Sanctions Enforcement Actions OFAC Updates Settlement Agreements

eric9to5

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