THE United States (US) government is still conducting a probe into suspected illegal activities, including gold smuggling and money laundering by the Mohameds family, Vice-President Dr. Bharrat Jagdeo disclosed on Thursday.
The Vice-President made this revelation during the People’s Progressive Party (PPP)’s weekly press conference at Freedom House headquarters.

Last year June, the US Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on businessmen Nazar and his son Azruddin Mohamed along with their companies for gold smuggling, money laundering and tax evasion.
To protect the local financial system, the Guyana government instituted measures which included restriction on the family’s ability to conduct business locally.

The announcement by Dr. Jagdeo suggests that investigations into the family are ongoing, and there is the likelihood that serious actions, including charges, could be instituted against the businessmen.
The US government often leverages sanctions as an initial tool to disrupt financial networks before moving towards criminal prosecution.

For instance, in 2004, the US Treasury imposed sanctions on Viktor Bout for his role in supplying arms to conflict zones. Years later, criminal charges were filed against him, and he was arrested in 2008 and convicted in 2011 for arms trafficking.
The sanctions were initially aimed at crippling his financial operations before formal criminal proceedings.

Nazar Mohamed, in a video message earlier this week, complained that the government has no basis to restrict his business activities in Guyana.
However, according to the US Treasury, financial institutions and other persons that engage in certain transactions or activities with sanctioned entities and individuals may expose themselves to sanctions or be subject to an enforcement action.

The Treasury Department further related that the prohibitions include the making of any contribution or provision of funds, goods, or services by, to, or for the benefit of any designated person, or the receipt of any contribution or provision of funds, goods, or services from any such person.