Warren Investigates Major Banks Over Trump-Era Venezuela Oil Sales

Democratic Senators Launch Inquiry into Trump’s Venezuelan Oil Sale Plan

Senator Elizabeth Warren and fellow Democratic lawmakers have initiated an investigation into the involvement of major U.S. financial institutions in the Trump administration’s plan to sell Venezuelan oil. The inquiry follows President Donald Trump’s recent announcement that Venezuela’s interim government would transfer up to 50 million barrels of oil to the United States for immediate sale.

The senators expressed concerns about the lack of transparency regarding which banks would handle the proceeds and how these funds would be managed. In their letter to several financial institutions, the lawmakers requested detailed information about any communications with the Trump administration regarding Venezuelan oil sales.

The Department of Energy stated on January 7 that the plan would require “key banks to execute and provide financial support for these sales” with proceeds remaining in “U.S. controlled accounts at globally recognized banks.” Further raising questions, President Trump signed an executive order on January 9 declaring a national emergency to protect Venezuelan oil revenue held in U.S. Treasury accounts from attachment or judicial process.

“It appears that at least a portion of the oil proceeds will be held in the U.S. Treasury despite being the sovereign property of another country,” the lawmakers wrote. “It is unclear whether and to what extent the Administration still plans to direct some proceeds of oil sales into accounts held at banks in the private sector.”

The investigation represents significant scrutiny over what appears to be an unprecedented arrangement between the United States and Venezuela’s resources. The oil industry has historically been the backbone of Venezuela’s economy, accounting for approximately 95 percent of the country’s export earnings before its collapse under the Maduro regime.

Letters requesting information were sent to multiple financial institutions, including Bank of America, Goldman Sachs, and UBS. Both Bank of America and Goldman Sachs declined to comment when contacted, while UBS did not respond to inquiries. The lawmakers are demanding answers by the end of January and requesting monthly updates on any communications with the administration.

The senators’ investigation occurs within the broader context of Trump’s dramatic January 3 announcement that he had authorized strikes in Venezuela and captured dictator Nicolás Maduro. During this announcement, Trump declared that the U.S. would “run” Venezuela until a peaceful transition could be established—a statement that raised eyebrows among international observers and legal experts regarding potential sovereignty issues.

The oil transfer represents a significant economic development in U.S.-Venezuela relations. At current market prices, 50 million barrels of oil would be valued at approximately $4 billion, representing substantial potential revenue. How these funds would be allocated, who would control them, and what oversight would exist remain central to the senators’ concerns.

Energy analysts note that restarting Venezuela’s oil flow to international markets could potentially help ease global supply concerns, particularly amid ongoing conflicts in the Middle East that have threatened oil shipping routes. Venezuela possesses the world’s largest proven oil reserves but has seen production plummet under Maduro’s leadership and years of sanctions.

The White House has not responded to requests for comment regarding the senators’ investigation. The inquiry highlights broader concerns about the administration’s approach to Venezuela and raises questions about the legal framework for handling another nation’s resources, even when transferred through an interim government.