US Sanctions Israeli Billionaire Dan Gertler Over Dealings In Congo

The U.S. Department of The Treasury sanctioned Israeli businessman, Dan Gertler for his corrupt business dealings in the Democratic Republic of the Congo. He and his associated 20 entities have been placed on the U.S. sanctions list.

Dan Gertler infamously said about his business dealings in the Congo “I should get a Nobel Prize.”  “They [Congolese] need people like us, who come and put billions in the ground. Without this, the resources are worth nothing.” Evidently the U.S. Department of The Treasury thought otherwise. The Treasury Department said Dan Gertler "has amassed his fortune through hundreds of millions of dollars’ worth of opaque and corrupt mining and oil deals." 

Dan Gertler and Joseph Kabila

The Treasury Department noted that "between 2010 and 2012 alone, the DRC reportedly lost over $1.36 billion in revenues from the underpricing of mining assets that were sold to offshore companies linked to Gertler." And in 2013, "Gertler sold to the DRC government for $150 million the rights to an oil block that Gertler purchased from the government for just $500,000, a loss of $149.5 million in potential revenue."

The sanctions prohibit U.S. citizens from doing business with Mr. Gertler and his companies and any  assets held by him in the U.S. will be frozen. His main corporate partner in the Congo, Glencore, has already ceased royalty payments to him.

The Treasury Department highlighted the fact that "Gertler has acted for or on behalf of Kabila, helping Kabila organize offshore leasing companies."  The sanctions against Mr. Gertler could possibly affect Joseph Kabila's access to financial resources he needs to sustain his patronage network.

Source:  United States Sanctions Human Rights Abusers and Corrupt Actors Across the Globe, United States Department of The Treasury, December 21, 2017.

Select Sources on Gertler in the Congo:
Room Of Secrets Reveals Glencore’s Mysteries
https://www.icij.org/investigations/paradise-papers/room-of-secrets-reveals-mysteries-of-glencore/

Meet Dan Gertler, The Israeli Billionaire Diamond Dealer In The Paradise Papers
https://forward.com/news/national/387134/dan-gertler-orthodox-israeli-diamond-mine-billionaire-paradise-papers-congo/

Och-Ziff Capital Management Admits to Role in Africa Bribery Conspiracies and Agrees to Pay $213 Million Criminal Fine
https://www.justice.gov/opa/pr/och-ziff-capital-management-admits-role-africa-bribery-conspiracies-and-agrees-pay-213

Gertler Earns Billions as Mine Deals Leave Congo Poorest
https://www.bloomberg.com/news/articles/2012-12-05/gertler-earns-billions-as-mine-deals-leave-congo-poorest

Glencore and the Gatekeeper
https://www.globalwitness.org/en-gb/archive/glencore-and-gatekeeper/