Rick Scott proposes business ban on groups that support Venezuela

Rick Scott proposes business ban on groups that support Venezuela
Paul Guzzo, Times Staff Writer
Thursday, July 6, 2017 11:58am

Gov. Rick Scott wants to pass a law prohibiting Florida from doing
business with any organization that supports the Venezuelan government.

But a similar past measure relating to Cuba and Syria has already been
declared unconstitutional by federal courts.

On Wednesday, making reference to Venezuelan President Nicolás Maduro,
Scott wrote in a prepared statement:

"On Venezuela Independence Day, we stand in solidarity with the
opposition to the brutal Maduro regime, whose crimes against his own
people continue daily ... This is unacceptable behavior that Florida
will not tolerate."

The trustees of the State Board of Administration, a panel that includes
Scott as well as Attorney General Pam Bondi and Chief Financial Officer
Jimmy Patronis, will consider the plan in August. The trustees oversee
the Florida Retirement System, the state-run pension plan worth roughly
$150 billion.

Goldman Sachs earlier this year acquired $2.8 billion in bonds at a
steeply discounted price that had been initially issued by the
Venezuela-run oil company. The bank manages some of the state's
investments, and the state owns stock in the company.

But it was just a five years ago that Florida failed to similarly block
companies from doing business with certain countries.

In 2012 the state passed what was referred to as the "Cuba Amendment"
that banned contractors with business ties to Cuba or Syria from bidding
on public contracts.

Coral Gables-based Odebrecht Construction took that amendment to federal
court.

Its Brazilian parent company Odebrecht SA had foreign subsidiaries
involved in a Cuban construction project, which under the Cuba amendment
would have blocked it from bidding on Florida Department of
Transportation contracts worth up to $1.8 billion.

The 11th Circuit Court of Appeals in Atlanta found the measure
unconstitutional in May 2013 because it trumped the federal government's
policies toward Cuba and Syria.

The Florida Department of Transportation agreed the following August to
enter a permanent injunction against enforcing provisions of the
amendment. Yet, the unenforceable amendment is still listed as a law.

Gov. Scott did however succeed this year in preventing Florida ports
from entering into memorandums of understanding with Cuba by threatening
to pull state funds.

Scott said he will provide more details of his Venezuela proposal prior
to the August 16 cabinet meeting.

One thing is for sure - Venezuela is in chaos.

The economy is on the brink of collapse.

Protestors are being beaten and killed by the Venezuelan law enforcement
and military.

And on July 30, Venezuela will elect 500 members to a national
Constituent Assembly tasked with rewriting the country's 1999 constitution.

Those opposed to Venezuela's socialist system fear a new constitution
will be reworked to keep the ruling party in power despite President
Nicolas Maduro's approval rating of around 20 percent.

[Last modified: Thursday, July 6, 2017 11:58am]

Source: Rick Scott proposes business ban on groups that support
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