Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

File photo of Venezuelan President Hugo Chavez PA

Tensions mount between Venezuela and United States

Hugo Chavez has welcomed Iran’s president onto Venezuelan soil and called for his country to leave a World Bank-affiliated body. Meanwhile, Washington has expelled Venezuela’s consul general in Miami.

THE ALREADY STRAINED relationship between the United States and Venezuela is facing mounting pressure after a series of high-profile displays from both countries.

Today, the US State Department confirmed that it had expelled Venezuela’s consul general in Miami: Livia Acosta Noguera has been given until Tuesday to leave the country.

US officials were not required to give an explanation about why Noguera was asked to leave, as the move was made in accordance with article 23 of the Vienna convention on consular relations which does not require an expelling state to give a reason for such a decision. However, the Guardian reports that Noguera has been accused of discussing possible cyber attacks against the US while stationed in Mexico.

Meanwhile, Venezuelan President Hugo Chavez welcomed Iran’s president today, reports Euronews. President Mahmoud Ahmadinejad is kicking off a five-day tour of Latin America – a visit that is being viewed as an effort to rally local political support for Iran amid mounting western sanctions over the nation’s contentious nuclear programme.

The move will be badly received in Washington, which shares increasingly a hostile relationship with Tehran.

Chavez, who will run for re-election in October, has also said that he will not recognise a recent ruling by a World Bank-affiliated arbitration body concerning a multi-billion arbitration case with the Exxon Mobil Coloration – and has called for Venezuela to pullout of the body altogether.

Exxon  is one of more than a dozen companies with arbitration cases against Venezuela pending before the Washington-based International Centre for Settlement of Investment Disputes, or ICSID.

Chavez announced his decision while referring to a more than $900 million award that Exxon Mobil recently won in another arbitration case before the International Chamber of Commerce.

“Now they’re threatening us in the ICSID,” Chavez said on his Sunday television program. “We have to get out of that ICSID. And I’ll go ahead and say it: we won’t recognise any of ICSID’s decisions.”

Analysts said that if Chavez follows through on the plan, it could hurt Venezuela’s ability to obtain credit internationally and attract oil investments. It also might prompt companies in disputes with Chavez’s government to try to freeze the country’s assets, including refineries it owns in the US.

However, pulling out of the arbitration body would take time, and analysts said Chavez’s government still has legal obligations that it can’t escape in the pending cases before the arbitration body.

Additional reporting by the AP

Read: Chavez wonders if US hatched cancer plot against Latin American leaders>

Read: Hugo Chavez says he is now cancer free>

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Close
24 Comments
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.
    JournalTv
    News in 60 seconds