WASHINGTON: US President Donald Trump has signed an executive order declaring a national emergency to protect revenue from Venezuelan oil sales held in US Treasury accounts, the White House said, days after the ouster of Venezuelan leader Nicolas Maduro.
The order is intended to block courts and creditors from seizing or attaching funds derived from Venezuelan oil and diluent sales that are held in US custody.
The White House said the move would ensure the money is preserved to advance US foreign policy objectives.
According to a White House fact sheet, the order bars any attachment, judgment, lien, execution or other judicial process against what it terms “Foreign Government Deposit Funds”.
These are defined as Venezuelan oil revenues held in US Treasury accounts.
The directive also prohibits transfers or dealings in the funds unless specifically authorised, and supersedes any prior orders that may have regulated them.
Legal basis and oil interests
The US administration said the funds are the sovereign property of Venezuela, held in US custody for governmental and diplomatic purposes, and are not subject to private claims.
“President Trump is preventing the seizure of Venezuelan oil revenue that could undermine critical US efforts to ensure economic and political stability in Venezuela,” the White House said.
The emergency order cites the 1977 International Emergency Economic Powers Act and the 1976 National Emergencies Act as its legal basis.
The White House said the revenue should ultimately be used in Venezuela to help create “peace, prosperity and stability”.
It added that allowing creditors to seize the funds would jeopardise US objectives, including curbing illegal migration and disrupting narcotics trafficking.
Meetings with oil executives
Trump signed the order after he met in Washington on Friday with executives from Exxon, ConocoPhillips, Chevron and other oil companies, according to officials.
The administration said the talks were part of efforts to encourage up to $100 billion in investment in Venezuela’s oil industry.
A separate US agreement with Venezuela’s interim leaders could provide up to 50 million barrels of crude oil to the United States, where several refineries are equipped to process the heavy grade, the White House said.
The administration framed the move as part of a broader national security strategy.
The White House said safeguarding the funds would help prevent “malign actors” from gaining influence and would reinforce US compliance with international obligations.
Trump has made clear that access to Venezuela’s vast oil reserves is a key goal of US policy following Maduro’s removal.
The order was signed less than a week after US forces captured Maduro in Caracas.
