Letter to Hon. Janet L. Yellen, Secretary United States Department of Treasury - Rep. Torres Requests Treasury Investigate and Sanction Corrupt Guatemalan Actors

Statement

Dear Secretary Yellen:
I am writing with grave concern about the rapidly deteriorating situation in Guatemala, which is characterized by systematic attacks against prosecutors, judges, and civil society members who have bravely pursued accountability for corruption and human rights abuses. I believe the use of stronger tools by Treasury's Office of Foreign Assets Control (OFAC), including various targeted anti-corruption sanctions authorities, is necessary to prevent further backsliding. In particular, I request that the Department of Treasury consider investigating and sanctioning a number of Guatemalan nationals where available information suggests they may warrant designation as Specially Designated Nationals (SDNs).
The current attacks on actors working to uphold the rule of law and fight corruption are unacceptable. It has come to my attention that many of the targets were core staff or key champions of the now-defunct US-supported International Commission Against Impunity in Guatemala (known by its Spanish acronym, CICIG). Despite various robust US diplomatic efforts, the tide of current attacks on the legacy of CICIG have not ceased, and at least one former CICIG prosecutor remains imprisoned. Dozens of other anti-corruption prosecutors and judges continue to face irregular criminal charges, and many have fled the country.
There have been several independent press reports in recent weeks, as well as information provided to US officials by Guatemalan judges and prosecutors in exile that reveal a significant network of corruption within Guatemala's private sector that have allegedly benefited illegally from government contracts, public works projects, and other schemes. Some of these individuals have been under formal investigation by CICIG and accused of serious acts of corruption. Many of those cases were not investigated further by current Prosecutor General Consuelo Porras, leaving corrupt interests free to act with impunity. Many of those records are publicly accessible. There is also evidence to suggest that government officials and their private facilitators have conspired to undermine and erode the rule of law and democratic institutions for their own benefit and the benefit of corrupt corporations and businesses.
Some individuals acting as operators in the attacks on Guatemala's independent justice system have already been sanctioned by the Department of State under section 353 of the United States-- Northern Triangle Enhanced Engagement Act. In a recent public designation of these individuals, the Department of State described them as persons, "who have knowingly engaged in acts that undermine democratic processes or institutions, engaged in significant corruption, or obstructed investigations into such acts of corruption in Guatemala, Honduras, and El Salvador."
I am thankful for your continuing efforts to support the people of Central America by holding corrupt undemocratic actors accountable. For example, in April 2021, your office designated Gustavo Alejos and Felipe Alejos pursuant to Executive Order 13818 and Global Magnitsky Sanctions for acts of serious corruption in Guatemala's judicial selection process in a case known as "Parallel Commissions," overseen by Judge Érika Aifán. Aifán has faced such relentless recent attacks that she was forced into exile in March. Those welcome Global Magnitsky designations were meant to, in your words, "shine a light on corruption and promote accountability for those who would seek to thwart the judicial process."
Yet important work remains to be done. There is evidence that individuals already subject to sanctions under Section 353, as well as individuals who have faced no sanctions to date, may have been part of the network supporting Alejos and have continued to pursue a strategy to capture the justice system and end anti-corruption efforts with alarming success. That is why I have included in the attached addendum information detailing actors who have been determined by the Department of State to be corruption actors, or who have been investigated and accused by CICIG of significant corruption.
I would be most grateful if you could review these individuals and share with me whether they are currently or have ever been considered for designation as an SDN. Additionally, for those who have not or are not currently being considered for SDN, I would appreciate if OFAC undertook a thorough review into any potential corruption or illicit financial dealing these persons may have undertaken that involve the international financial system or assets in the United States.
Thank you for your attention to this important issue. I strongly believe that when we hold corrupt actors accountable, bolster the rule of law and democratic institutions, and support the brave actors in the region that continue to do this critical work, we serve both our taxpayers as well as the people of Central America. This is a pivotal time for the region, and I deeply appreciate your work to ensure the United States is part of the solution.

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