Is Trump selling Venezuelan oil through US banks? Lawmakers wonder

With all eyes seeming to be on the oil-rich country's oil reserves, said to be the largest in the world, following the recent capture of the Venezuelan President Nicolás Maduro by the US army, lawmakers in the US are wondering if US President Donald Trump has started selling Venezuelan oil through US banks.

Five Democratic senators, including Elizabeth Warren and Ron Wyden, have raised concerns over potential dealings between the Trump administration and major banks regarding Venezuelan oil sales.

In a letter sent on January 15, they inquired whether banks such as Bank of America and Citigroup had been approached by Trump to facilitate transactions linked to Venezuelan oil. It must be mentioned that the Trump administration claimed to have already generated substantial revenue.

The US lawmakers underlined the urgency for clarity amid the rapidly evolving situation following the US’s actions against Maduro. They highlighted the administration's tendency to conceal plans for Venezuelan oil and the associated funds, according to USA Today.

When did US army capture Venezuelan President Nicolás Maduro?

Since the US military operation to seize Maduro on 3 January, Trump has indicated that the US will take control of Venezuela’s vast oil reserves. He has reportedly offered tempting opportunities to US oil executives, inviting them to the White House to discuss the revival of Venezuela’s economy through foreign investment.

US receives $500 million sale of Venezuela oil

The administration reported receiving its first oil sale worth $500 million, with more deals anticipated. A recent Energy Department fact sheet stated that these sales would be deposited in US-controlled accounts at reputable banks to ensure proper distribution.

An executive order signed by Trump on January 9 termed these funds as "sovereign property of Venezuela held in U.S. custody." However, the administration has not detailed how the oil sale revenues will be allocated.

Venezuela’s interim president Delcy Rodriguez is reportedly mulling over regulatory reforms to bring foreign investment to Venezuela's oil sector.