THE sanctions imposed on a prominent family franchise and a government official by the United States Department of the Treasury Office of Foreign Assets Control (OFAC) were only limited to the three individuals that have been identified by the US.
This is according to US Ambassador to Guyana Nicole Theriot, who said that she had no confirmation of this, and was speaking to the best of her knowledge. Ambassador Theriot made these remarks to the media on Friday on the sidelines of an event at the US embassy in Georgetown.
On Tuesday, the US Department of the Treasury sanctioned the father and son, Nazar Mohamed and Azruddin Mohamed, and entities in Guyana for gross corruption following a comprehensive two-and-a-half-year investigation.
Also sanctioned were the Mohamed’s company, Mohamed’s Enterprise, and the Permanent Secretary (PS) of the Ministry of Labour (MoL) Mae Thomas.
“These sanctions were two-and-a-half-plus years of investigations ongoing in the United States. We reserve these types of sanctions for gross levels of corruption and human rights abuses,” Ambassador Theriot said.
The cambio licence of the Mohameds has since been revoked, while PS Thomas, in addition to being sent on administrative leave, has also tendered her resignation from the Central Committee of the People’s Progressive Party (PPP).
Within the statement, the OFAC highlighted that gold is one of Guyana’s main exports, but it remains a highly fractured industry with small-scale gold-mining operations in Guyana occupying a majority share of the country’s gold production.
“These small, family-owned businesses have informal relationships with larger purchasers and traders like Mohamed’s Enterprise. Once mined, Guyanese gold is sold and traded throughout international markets, including the United States, Canada, the United Arab Emirates, and the European Union,” the OFAC stated.
The statement further outlined that Nazar founded Mohamed’s Enterprise in Guyana before expanding to the United States as a moneychanger, and transitioned into gold trading, growing Mohamed’s Enterprise into one of Guyana’s largest gold exporters. In time, the son, Azruddin, ultimately took over Mohamed’s Enterprise, which also now does business as “Confidential Cambio”.
The statement then reads: “Azruddin and Mohamed’s Enterprise evaded Guyana’s tax on gold exports, and defrauded the Guyanese government of tax revenues by under-declaring their gold exports to Guyanese authorities. Between 2019 and 2023, Mohamed’s Enterprise omitted more than 10 thousand kilogrammes of gold from import-and-export declarations, and avoided paying more than US$50 million in duty taxes to the Government of Guyana.
“Mohamed’s Enterprise has bribed customs officials to falsify import-and-export documents, as well as to facilitate illicit gold shipments. Mohamed’s Enterprise had paid bribes to Guyanese government officials to ensure the undisrupted flow of inbound and outbound personnel that [sic] move currency and other items on behalf of Azruddin and Mohamed’s Enterprise.”
In addition, Azruddin is the principal and owner of Team Mohamed’s Racing Team, a drag-racing organisation in Guyana. Hadi’s World is a Guyana-based subsidiary of Mohamed’s Enterprise.
“OFAC is designating Azruddin and Mohamed’s Enterprise for being persons who have materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, corruption, including the misappropriation of State assets, the expropriation of private assets for personal gain, corruption related to government contracts or the extraction of natural resources, or bribery, that is conducted by a foreign person,” the statement reads.
The OFAC also designated Nazar for being a foreign person, who is or has been a leader or official of Mohamed’s Enterprise, an entity whose property and interests in property are blocked pursuant to E.O. 13818, as a result of activities related to Nazar’s tenure.
Team Mohamed’s Racing Team was also designated for being owned or controlled by, or for having acted or purported to act for or on behalf of, directly or indirectly with Azruddin.
Adding to the designation by the OFAC was Hadi’s World, for being owned or controlled by, or for having acted or purported to act for or on behalf of, directly or indirectly, Mohamed’s Enterprise.
