The Department of State announced on July 23 the designation of nine entities and two individuals to further restrict the Cuban regime’s access to illicit funds, including those obtained through exploitation of medical workers and efforts to evade sanctions.
All targets were designated under Executive Order 14404, which authorizes sanctions on persons determined to meet criteria related to repression in Cuba and threats to United States national security and foreign policy.
Entities designated for operating in the energy sector include Centro de Investigaciones del Petroleo S.A. (CEINPET), Empresa de Energia S.A. (ENERSA), and EINARBO S.A., all involved in petroleum exploration or importing gas and lubricants. The Department also targeted Terminal de Contenedores de Mariel S.A. for being owned or controlled by Grupo De Administración Empresarial S.A. (GAESA) as part of efforts to counter sanctions evasion; Coral Maritima S.A., linked with Grupo Empresarial de Transporte Maritimo Portuario (GEMAR); CEIBA Investments Limited, a Guernsey-based firm operating in Cuban real estate; ORBIT S.A., a remittance processor believed controlled by GAESA; Comercializadora de Servicios Medicos Cubanos S.A. (CSMC), the state-owned exporter managing Cuba’s medical missions; Unidad Central de Cooperacion Medica (UCCM), responsible for recruiting Cuban medical professionals for overseas assignments; as well as individuals Jose Angel Portal Miranda, Minister of Public Health, and Gretza Sanchez Padron, director of UCCM.
According to the announcement, “Cuban officials exploit inherently coercive laws and economic conditions to manipulate or compel workers to join and remain in labor export programs, while confiscating between 50 and 95 percent of the wages paid by receiving countries.” Tens of thousands of medical workers across more than 50 countries are affected.
As a result of these actions under Executive Order 14404 issued May 1, all property or interests belonging to designated persons within United States jurisdiction are blocked. Transactions involving such property are prohibited unless authorized by license from the Office of Foreign Assets Control (OFAC). Entities owned at least fifty percent by one or more blocked persons are also blocked. Non-U.S. persons engaging with sanctioned parties may face similar restrictions.
The State Department said that, “the ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior.” Petitions for removal from the Specially Designated Nationals List can be submitted through OFAC’s Reconsiderations Portal.