Democrats Warn Companies on Venezuelan Oil Ventures: Legal Risks Ahead

A group of House Democrats, led by Congressman Sean Casten, cautioned 21 companies attending a White House meeting about potential legal and financial risks in Venezuelan oil investments. They highlighted uncertainties from the Trump administration's control over Venezuela's assets, suggesting potential future political and enforcement challenges.

A coalition of House Democrats has sounded a cautionary note to 21 companies that attended a White House meeting about Venezuelan oil resources. In a letter sent on Wednesday, the Democrats warned of significant legal and financial risks in any transactions or investments related to the Latin American country's oil sector.

Headed by Democratic Congressman Sean Casten, the letter outlined concerns over the Trump administration's management of Venezuela's assets, emphasizing that promises made by the administration lack a legal basis. This, they argue, engenders vulnerability to actions from Congress, a future U.S. president, or a successive Venezuelan government.

The lawmakers elaborated on these risks, noting that Venezuela holds the world's largest crude oil reserves. The Trump administration, seeking to bolster U.S. influence and revenue, has been promoting substantial investments in the Venezuelan oil industry. U.S. authorities are also reportedly working on lifting sanctions against the nation's energy sector. However, the Democrats stressed the impending uncertainties for potential investors.

(With inputs from agencies.)