Evrofinance Mosnarbank under US Sanctions on Involvement with Petro


The Moscow-based Evrofinance Mosnarbank has been imposed sanctions by The Department of the Treasury’s Office of Foreign Assets Control (OFAC) in U.S. It has been found out that the Russian bank has been involved in the attempts of Venezuela to bypass the financial sanctions using the petro. The American administration has clearly explained that it targeted the Evrofinance as it had enabled corruption, misappropriation and money laundering by the disputed Venezuelan government of Maduro and his cronies. As a result of this, all the properties of the bank and any entities that it owns 50 percent or more of that are in the U.S. or under its control are blocked and anyhow must be reported of OFAC. The sanctions also forbid anyone within the U.S. jurisdiction to have any dealings with the Evrofinance bank.

When the Venezuelan government launched the petro, Evrofinance bank served as the primary international institution that is willing to finance the venture. It was found out that the early investors in the petro were all invited to purchase the Cryptocurrency by wiring funds to a Venezuelan government account at Evrofinance.

Thus, the American officials have interpreted the Petro as the demonstration of Maduro’s intent to avoid the U.S. financial sanctions. As per the U.S. Treasury, Evrofinance was founded as a bi-national bank that will be used to fund the joint Russia-Venezuela oil and infrastructure projects. The predecessor of Maduro, Hugo Chavez had brought 49 percent stake in the bank in the year 2011 via the Venezuelan National Development Fund. Russian gas producer Gazprom is a shareholder in Gazprombank and VTB bank (the second largest bank of Russia) each of who owned a stake of 25 percent in Evrofinance at the time of its incorporation. In 2014, both the VTB Bank and Gazprombank were placed under OFAC sanctions.


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