Supplemental Brief In Support Of The Statement Of Interest Of The United States

Houston, August 28, 2020 – On August 28, 2020, the U.S. Department of Justice filed a Supplemental Brief in Support of the United States’ Statement of Interest in the Crystallex attachment proceeding. In this filing, the U.S restates its position that proceeding toward a forced sale of the PDV Holding shares at this time “could render significant foreign policy harm to the United States.” The U.S. reiterates its strong foreign policy interests “in supporting the interim government’s efforts to reconstruct the Venezuelan economy following the departure of Maduro,” and the serious consequences that would follow from permitting steps toward a sale of PDVH shares. Contrary to Crystallex’s argument, the U.S. is not making a legal argument about the propriety of the Court granting the Rule 60(b) motion for relief from judgment, but factual observations about the changed circumstances since the court’s original ruling, specifically the U.S. recognition of the Guaido government as the legitimate government of Venezuela. The U.S. explains that its foreign policy views are entitled to deference and criticizes Crystallex’s invitation for the Court to second- guess the State Department’s foreign policy concerns. The U.S. asserts that it would be “pointless and counterproductive to harm U.S. foreign policy interests by immediately moving forward with a public auction” and asks the Court to “refrain from authorizing an auction and sale of PDVH shares unless and until OFAC approves Crystallex’s license application.”