Last week (15 June 2018), OFAC sanctioned 14 entities, pursuant to Executive Order (EO) 13818, for being affiliated with designated Israeli businessman and billionaire Dan Gertler (asset freezes imposed). EO 13818 targets corruption and serious human rights abuses (US Magnitsky law). Mr Gertler was designated under EO 13818 in December 2017, along with 19 companies and 1 associate for their ties to him (previous blog).
The US Treasury press release states that Mr Gertler is an “international businessman and billionaire who has amassed his fortune through hundreds of millions of dollars’ worth of opaque and corrupt mining and oil deals in the Democratic Republic of the Congo (DRC). Gertler has used his close friendship with DRC President Joseph Kabila to act as a middleman for mining asset sales in the DRC, requiring some multinational companies to go through Gertler to do business with the Congolese state. Gertler and his company Fleurette Properties have used offshore companies to facilitate such deals. As a result, between 2010 and 2012 alone, the DRC reportedly lost over $1.36 billion in revenues from the underpricing of mining assets that were sold to offshore companies linked to Gertler”. OFAC Notice here.