"Last week, Colombian President Gustavo Petro was placed on a financial sanctions list by the United States Treasury Department. The measure, which also affects his wife, Veronica Alcocer, his son, Nicolas Petro, and Interior Minister Armando Benedetti, is based on alleged permissiveness toward drug trafficking. Although this is not the Clinton List created in 1995 to sanction the Cali Cartel exclusively the practical effects are the same: financial blockade, reputational isolation, and the risk of being excluded from the system."
"A senior advisor to banking institutions with operations both in Colombia and abroad warned in a conversation with EL PAIS on condition of anonymity due to the sensitivity of the issue that there is a risk that Petro will be excluded from the national banking system. This is not a legal consequence, but rather a structural reaction of the Colombian financial system."
"Although it is not mandatory, banks have the right to do so if they believe that maintaining a relationship with Petro, his wife, his son, and his minister jeopardizes their ties with foreign entities. Most Colombian financial institutions maintain very important commercial relationships with U.S. banks, the court explains. And if a Colombian bank maintains a commercial relationship with the sanctioned individual, it could be punished by the U.S. government for facilitating illicit operations, which would jeopardize the entire financial system of the Andean country."
Colombian President Gustavo Petro, his wife Veronica Alcocer, son Nicolas Petro, and Interior Minister Armando Benedetti were placed on a U.S. Treasury financial sanctions list over alleged permissiveness toward drug trafficking. The sanctions carry practical effects similar to the Clinton List: financial blockade, reputational isolation, and the risk of exclusion from the financial system. Interconnectedness between Colombian banks and U.S. financial institutions raises concern that accounts could be blocked or relationships terminated. A banking advisor warned of a structural risk that Petro could be excluded from the national banking system. A 1999 Constitutional Court ruling allows banks to terminate contracts when inclusion on such lists justifies that decision. Benedetti said he feels very hurt by his inclusion on the list.
Read at english.elpais.com
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