U.S. Seizes 90 Cuba-Bound Fuel Shipments Worth Nearly $3 Million Over Sanctions Violations

The United States has seized 90 shipments of biodiesel worth nearly $3 million that were bound for Cuba.

The shipments, carrying more than 620,000 gallons of fuel, were stopped at ports in Texas and Florida before they could leave the US, the Department of Homeland Security (DHS) said on Wednesday.

The fuel was meant for ENETEC S.A., a state-owned fuel company based in Havana. The US Treasury Department sanctioned the company in July.

The seizure comes as the Trump administration continues to restrict fuel supplies to Cuba.

Cuba has faced fuel shortages and frequent power cuts for years. The crisis has also affected water supplies, hospitals, transport and food storage.

The US has allowed some smaller fuel shipments to reach Cuba’s private sector as part of a programme aimed at weakening the Cuban government.

Homeland Security Investigations (HSI), US Customs and Border Protection (CBP) and the Commerce Department’s Bureau of Industry and Security took part in the operation.

According to HSI, US agencies received information weeks earlier that fuel exported from the country was being sent to ENETEC in violation of US export restrictions.

In early September, CBP officials examined trade and intelligence data and found biodiesel shipments leaving Port Everglades in Florida and the Port of Houston in Texas for Havana.

At Port Everglades, authorities seized 71 oil storage tanks containing about 500,000 gallons of biodiesel. At the Port of Houston, they stopped another 19 shipments carrying around 120,000 gallons.

The total amount of fuel seized was more than 620,000 gallons, worth nearly $3 million.

Jose Figueroa, the head of HSI’s Miami office, said the shipments were suspected of benefiting the Cuban government through a state-owned company. He said the agency would continue investigating attempts to evade US sanctions and export rules.

The suspected violations include the International Emergency Economic Powers Act and rules covering exports under the Export Administration Regulations.

Last week, the Coast Guard said it had intercepted the Grace, a cargo ship about 300 feet long, on September 5 between Cuba and Mexico. The ship was carrying fuel and had tried to evade authorities, the Coast Guard said.

The service also reported seizing another vessel, the Jaira Provider, earlier in the summer. That vessel was carrying more than 200,000 gallons of fuel.

The US has not identified the exporters involved in these cases.

Earlier this year, President Donald Trump sought to cut off most energy supplies to Cuba by threatening tariffs on countries that sell or supply oil to the island.

References: Reuters, CBS News