The Dictatorship
US clears the way for Venezuela to sell more oil as Iran war boosts prices
WASHINGTON (AP) — U.S. companies will be allowed to do business with Venezuela’s state-owned oil and gas company after the Treasury Department eased sanctions, with some limitations, on Wednesday as the Trump administration looks for ways to boost global oil supplies during the Iran war.
The Treasury issued a broad authorization allowing Petróleos de Venezuela S.A., or PDVSA, to directly sell Venezuelan oil to U.S. companies and on global markets, a massive shift after Washington for years had largely blocked dealings with Venezuela’s government and its oil sector.
Separately, the White House said President Donald Trump would waive, for 60 days, Jones Act requirements for goods shipped between U.S. ports to be moved on U.S.-flagged vessels. The 1920s law, designed to protect the American shipbuilding sector, is often blamed for making gas more expensive.
The moves highlight the increased pressure that the Republican administration is under to ease soaring oil prices as the United States, along with Israel, wages war with Iran. Global oil prices have since spiked as Iran halted traffic through the narrow Strait of Hormuzthrough which one-fifth of the world’s oil typically passes.
Containers are stacked at the Port of Los Angeles Friday, Feb. 20, 2026, in Los Angeles. (AP Photo/Damian Dovarganes,File)
Containers are stacked at the Port of Los Angeles Friday, Feb. 20, 2026, in Los Angeles. (AP Photo/Damian Dovarganes,File)
Drivers in the United States are paying the highest pump prices in about 2 1/2 years. The national average for a gallon of regular gasoline topped $3.84 on Wednesday, according to AAA, compared with $2.98 before the war began on Feb. 28.
Even before that, voters were worried about higher living costs, and fuel prices are now adding to concerns for Republicans heading into the election season with their control of Congress at stake in November.
AP AUDIO: US eases Venezuela oil sanctions as Trump seeks to boost world oil supply during Iran war
AP correspondent Haya Panjwani reports on restrictions easing to help rising oil prices.
“Gas prices are up and we know they’re up. And we know that people are hurting because of it. And we’re doing everything that we can to ensure that they stay lower,” Vice President JD Vance said at an event in Auburn Hills, Michigan. “This is a temporary blip.”
Easing sanctions could spur US investment in Venezuela
The Treasury’s license is designed to incentivize investment in Venezuela’s energy sector and is intended to benefit both the U.S. and Venezuela, while increasing the global oil supply, a Treasury official told The Associated Press. The official was not authorized to discuss the matter publicly and spoke on condition of anonymity.
Since the ouster and arrest of Nicolás Maduro as Venezuela’s president during a U.S. military operation in January, Trump has said the U.S. would effectively “run” Venezuela and sell its oil.
The U.S. license provides targeted relief from sanctions, but does not lift the penalties altogether. The license allows companies that existed before Jan. 29, 2025, to buy Venezuelan oil and engage in transactions that would normally be banned under American sanctions.
But in the short term, there is not likely to be much impact on U.S. gas prices, said Geoff Ramsey, an expert on Latin America at the Atlantic Council think tank.
“We’re talking about 12 to 18 months before we see dramatic changes in Venezuelan output,” Ramsey said in an interview.
Easing sanctions and waiving Jones Act requirements normally would have significant impacts on gas prices, said Claudio Galimberti, Rystad Energy’s chief economist. “But we are in the most abnormal market I can remember,” Galimberti said in an interview.
He said he expects hostilities between the U.S., Israel and Iran to last at least two or three more weeks, and said prices are likely to be high and volatile until oil and gas traffic resumes through the Strait of Hormuz. “As long as the strait remains shut, we’re going to have a crisis,” Galimberti said.
Closer to home, Trump is waiving shipping restrictions
Gas prices in some parts of the country, such as the mid-Atlantic region, may see some relief from Trump’s waiver of the Jones Act, which will allow larger ships to move between U.S. ports, said Ramanan Krishnamoorti, vice president for energy and innovation at the University of Houston.
“Places like Texas and Chicago are unlikely to feel any change in the price of gasoline and diesel because of the Jones Act waiver,” Krishnamoorti said. He said some American shippers may now face more competition from the relaxation of shipping rules, which could mean higher costs for them.
White House press secretary Karoline Leavitt said the Jones Act waiver would help “mitigate the short-term disruptions to the oil market” during the Iran war and would “allow vital resources like oil, natural gas, fertilizer, and coal to flow freely to U.S. ports.”
Last week, Trump announced that he would tap the strategic petroleum reservepart of a wider agreement with many of the world’s wealthiest countries to draw oil from emergency stockpiles.
The administration also eased sanctions on certain Russian oil shipments for 30 days. Next week, Vance and other administration officials are expected to meet with the main oil industry group, the American Petroleum Institute, to discuss energy markets and production, the group’s spokesperson Andrea Woods said.
The waiver of the Jones Act rules might only save consumers three or four cents per gallon, said David Goldwyn, a former Obama-era State Department special envoy focused on energy
“We’re talking about pennies, Goldwyn said.
All told, the administration’s market tweaks will create some “buffers” for price hikes, at least until late May, Goldwyn said. The big risk for consumers is if the Hormuz Strait remains closed beyond that point. “Then the shortfall will increase significantly,” he said.
Critics are worried about the impact of easing Venezuela sanctions
The Treasury license is expected to give a massive boost to Venezuela’s oil-dependent economy and help encourage companies that have been apprehensive to invest. There are some limits. Payments cannot go directly to sanctioned Venezuelan entities such as PDVSA, but must be sent instead to a special U.S.-controlled account. In other words, the U.S. will allow the oil trade but will control the cash flow.
Additionally, deals involving Russia, Iran, North Korea, Cuba and some Chinese entities will not be allowed. Transactions involving Venezuelan debt or bonds will not be allowed. The new license does not allow payments in gold or cryptocurrency, including the petro, which was a crypto token issued by the Venezuelan government in 2018.
Venezuela sits atop the world’s largest oil reserves and used them to power what was once Latin America’s strongest economy. But corruption, mismanagement and U.S. economic sanctions saw production steadily decline from the 3.5 million barrels per day pumped in 1999, when Maduro’s mentor, Hugo Chaveztook power, to less than 400,000 barrels per day in 2020.
FILE -A worker holds a gas pump at a PDVSA state oil company gas station in Caracas, Venezuela, Monday, May 25, 2020. (AP Photo/Matias Delacroix, File)
FILE -A worker holds a gas pump at a PDVSA state oil company gas station in Caracas, Venezuela, Monday, May 25, 2020. (AP Photo/Matias Delacroix, File)
A year earlier, the Treasury Department under the first Trump administration locked Venezuela out of world oil markets when it sanctioned PDVSA as part of a policy punishing Maduro’s government for corruption. That forced the government to sell its remaining oil output at a discount — about 40% below market prices — to buyers such as China. Venezuela even started accepting payments in Russian rublesbartered goods or cryptocurrency.
Critics of the acting Venezuelan government argue that the move rewards Maduro loyalists, while repression, corruption and human rights abuses continue.
Many public sector workers survive on roughly $160 per month, while the average private sector employee earned about $237 last year, when the annual inflation rate soared to 475%, according to Venezuela’s central bank, and sent the cost of food beyond what many can afford.
___
Garcia Cano reported from Caracas, Venezuela. Associated Press writers Seung Min Kim, Michelle L. Price and Matt Daly contributed to this report.
The Dictatorship
Garcia explains why lawmakers walked out of ‘fake’ Bondi hearing
The top Democrat on the House Oversight Committee joined MS NOW on Wednesday, just hours after lawmakers walked out of a closed-door briefing with top Justice Department officials about the Epstein files.
Appearing on “The Weeknight,” Rep. Robert Garcia, D-Calif, called the meeting with Attorney General Pam Bondi and Deputy Attorney General Todd Blanche a “complete travesty” and accused his Republican colleagues of putting politics above obtaining justice for Jeffrey Epstein’s victims.
The House Oversight Committee recently bucked Chairman James Comer, R-Ky., voting to subpoena the attorney general over her department’s Epstein investigation. However, Garcia said Bondi has yet to commit to complying with the subpoena and testifying under oath.
“The American public should be very clear that Pam Bondi is leading a White House cover-up, and right now the Republican majority is assisting them,” Garcia said.
The California Democrat said committee members were informed about Bondi’s appearance only 24 hours prior and that he asked her at the start of the meeting if she planned to return.
“The attorney general would not commit to following the subpoena and coming in under oath,” he said. “Yet she wants to come in and set up some type of fake hearing where we ask questions, but it’s not transcribed, it’s not under oath, and it’s not shown to the American people.”
The congressman also spoke about a heated exchange between Comer and Rep. Summer Lee, during which the committee’s chairman accused the Pennsylvania Democrat of “b—-ing” and wasting the committee’s time.
“I’m obviously not going to repeat what chairman Comer said, but it was disgusting and not a way to talk to a colleague,” Garcia said, adding that Democrats were “not going to allow our members to be disrespected that way.”
“And we’re certainly not going to allow the attorney general to play games and not sit for an under-oath deposition with a subpoena that was bipartisan,” he continued.
Garcia said despite Wednesday’s setback, he and his fellow Democrats would do everything in their power to ensure Bondi returns to Capitol Hill and delivers testimony under oath.
“I want to be very clear that Attorney General Bondi will be in front of our committee,” he said.
“They’re dealing with the wrong people,” Garcia said, pledging that Democrats would “not rest and stop until we get justice for the survivors.”
You can watch Garcia’s full interview in the clip at the top of the page.
Allison Detzel is an editor/producer for MS NOW. She was previously a segment producer for “AYMAN” and “The Mehdi Hasan Show.”
The Dictatorship
As Epstein’s longtime lawyer testifies, questions remain about what he knew
The second of Jeffrey Epstein’s two estate executors is set to appear before the House Oversight Committee on Wednesday. And after the other executor’s testimony last week raised serious questions about who knew what about Epstein’s abuse and when, the committee’s transcribed interview of Darren Indyke could be explosive.
Indyke served as the de facto in-house counsel to Epstein for decades and will appear in Washington, D.C., on March 19, just a week after Richard Kahn was deposed before the same group of lawmakers.
Kahn worked for Epstein for more than a decade as one of his New York-based accountants before becoming one of two co-executors of his estate upon his 2019 death.
In his opening statement, Kahn insisted that he never witnessed any sexual abuse or trafficking of women and additionally “never received a complaint — either by one of Epstein’s victims or anyone else — of such abuse or trafficking.” He also said that he never saw any minors in Epstein’s presence.
By the end of the deposition, however, at least some members of the committee, including ranking Democrat Robert Garcia, questioned Kahn’s blanket assertion that he never knew about or suspected Epstein of sexual misconduct with girls or women.
“Jeffrey Epstein’s massive sex trafficking ring would not have been possible without the consistent payments and services of his long-time accountant Richard Kahn,” Garcia said in a statement. “It’s not credible that he had no knowledge of Epstein’s activities, and his testimony today only raises more questions.”
MS NOW is unaware of any allegations that Kahn or Indyke participated in or witnessed any sexual abuse committed by Epstein.
And a lawyer for the estate, Daniel Weiner, told MS NOW in a statement, “Both Mr. Indyke and Mr. Kahn reject as categorically false the suggestion that they knowingly facilitated or assisted Mr. Epstein in his sexual abuse or trafficking of women, or that they were aware of that abuse while they provided professional services for him.”
But given the statements provided by certain alleged victims of Epstein and other witnesses to federal law enforcement, Indyke could have an even tougher time convincing Congress that he was ignorant of Epstein’s abuse and trafficking of minor girls and women.
Those statements, which were made during FBI interviews and are included in memos known as “302s” and are found on the Justice Department’s website, have not been verified by MS NOW and are largely uncorroborated.
According to prepared remarks obtained by MS NOW, Indyke told the committee in his opening statement that he “had no knowledge whatsoever of Jeffrey Epstein’s wrongdoings.
“Had I known that he was abusing or trafficking women,” Indyke said, “I would have quit working for him at once and severed all ties to him.”
He added that both he and Kahn have made “extensive efforts … to address the wrongs committed by Mr. Epstein during his lifetime,” including distributing millions of dollars from Epstein’s estate to victims.
James Marsh, an attorney representing multiple survivors, said in a statement that Indyke’s “claimed ignorance … is deeply troubling.”
“His testimony only underscores how much still remains hidden about the vast network of enablers that allowed these crimes to persist for decades,” Marsh added. “Survivors — and the American people — deserve the full undistorted truth about who knew what.”
Several witnesses told federal investigators that Indyke either told them not to talk to law enforcement if questioned about their relationships with Epstein, or was someone Epstein had them directly deal with when it came to personal situations like their schooling or their immigration status.
In July 2019, just days after Epstein’s arrest, federal law enforcement interviewed a Polish ex-model who worked for Epstein as a traveling assistant between 2005 and 2006. She told the FBI and federal prosecutors that in fall 2005, Epstein shared with her that there was an ongoing investigation, that it had “something to do with visas” and that investigators were asking about her parents. According to the documents, she added that Indyke then called her into his office and “told her not to talk to law enforcement.”
That same woman spoke again to the FBI and prosecutors roughly two months later. She mentioned that Epstein encouraged her to seek Indyke’s assistance with her immigration status but that Indyke was unable to help. She reiterated that Indyke had directed her to contact him if she ever needed help and “never talk to the police.” According to the documents, she told investigators this interaction made her think something was “off.”
A second woman who talked to federal law enforcement about Indyke is known only as “Jane,” the pseudonym she used when she testified at Ghislaine Maxwell’s trial.
According to a memo of her September 2019 interview with the FBI, Jane met Epstein and Maxwell in 1994, when she attended a summer program at the Interlochen Arts Academy. Jane told the FBI that when she returned to her hometown of Palm Beach, Florida, Epstein offered her mentorship and scholarship opportunities, only for him and Maxwell to begin sexually abusing her soon after. In her senior year of high school and with Epstein’s urging, she moved to New York City to attend a private performing arts-focused school and lived in an apartment that Epstein paid for.
Jane said she stopped communicating with Epstein and Maxwell in 2001, which angered him. He called her in anger, screaming about how ungrateful she was — and she said she also received a call from Indyke, who told her she owed Epstein $10,000 because Epstein had cosigned for her apartment.
According to documents, Jane also remembered that she would meet with Indyke to discuss paperwork that had to do with her schooling.
In the case of another woman, a foreign-born aspiring model interviewed by federal law enforcement had alleged sexual abuse by Epstein between roughly 2004 and 2007. During a February 2020 interview, she told the FBI that when Epstein told her in 2006 that he had been arrested, he didn’t share any of the details but gave her two instructions: Do not introduce him to anyone new for massages, and to call Indyke if she was contacted by law enforcement.
According to the documents, there were additional witnesses whose statements strongly suggested that Indyke could have — or should have — known that Epstein was involved in unlawful activity.
Lance Calloway served as Epstein’s personal chef between 2006 and 2009, the period when Epstein was under investigation by Florida federal prosecutors. It was also during this time that Epstein negotiated a nonprosecution agreement to serve just 13 months in jail, including home release, after pleading guilty to two state prostitution-related crimes.
When interviewed by the FBI and federal prosecutors in September 2020Calloway told them that in approximately 2008, he learned that Epstein was under investigation while he was living on Little St. James, the Caribbean island Epstein owned. At about that time, Indyke instructed Calloway that if he was approached with something, he should “not accept it because he could be getting served.”
Nearly a year earlier, in October 2019, the FBI interviewed an employee of Deutsche Bank’s asset and wealth management division who led its transaction monitoring team. She told the FBI that through a review of Epstein’s bank accounts, she observed that he was distributing payments directly to “women, who appeared to be models of legal age,” though she did not specify how she knew that. She also noticed that Indyke himself withdrew $7,500 in cash each week.
A now-settled lawsuit filed by the government of the U.S. Virgin Islands against Indyke and Kahn, as executors of Epstein’s estate, among others, similarly alleged that between 2014 and 2016, Indyke cashed almost 45 separate checks, each in the amount of $7,500 and at a pace of two or three each month, from a single account belonging to Epstein. Although the lawsuit does not name the bank, it specifies that $7,500 was that bank’s limit for third-party withdrawals from any account.
The FBI interview documents from the Deutsche Bank’s employee show that she had filed a suspicious-activity information form on Indyke himself after witnessing the withdrawals.
That lawsuit also alleged that between June 2018 and February 2019, almost 100 individual withdrawals of $1,000 were made from one of Epstein’s bank accounts from an ATM that is a short walk from Indyke’s law office. The lawsuit did not specifically allege that Indyke personally made those withdrawals.
Julianne McShane contributed to this report.
Lisa Rubin is MS NOW’s senior legal reporter and a former litigator.
Madeleine Bimonte is a journalist with MS NOW, based in New York.
Sydney Reynolds is a senior assignment editor for MS NOW
The Dictatorship
Joe Scarborough slams GOP for ‘screwing their own constituents’ to protect ICE
Joe Scarborough slammed Republicans on Thursday’s “Morning Joe” for their repeated refusal to partner with Democrats to reopen some parts of the Department of Homeland Securityas the showdown in Washington, D.C., over federal immigration enforcement continues.
“Sometimes things are complicated and confusing,” Scarborough said. “This is not confusing.”
As he explained, Democrats are currently pushing legislation to partially fund some agencies inside DHS, including the Transportation Security Administration and the Federal Emergency Management Agencyor FEMA. However, in order to pass those bills, Democrats, as the minority party, need Republicans to join in on the effort.
“If everybody agrees on something, they can pass it with unanimous consent. So Democrats keep going to the Senate floor,” Scarborough said, and “Republicans stand up and say no.”
A majority of the department’s funding has been withheld since the shutdown began on Feb. 14, when Democrats demanded a major overhaul of the agency carrying out President Donald Trump’s mass deportation effort.
Last week, more than 100,000 DHS workers missed their first full paycheck. Despite not being paid, many of those workers are considered essential employees and therefore are required to work during the shutdown.
“Republicans keep killing these opportunities to pay these people for the work they’re doing to keep us safe, in the air, on the seas,” Scarborough said. “All of this is to allow ICE to continue being the out-of-control, reckless agency that it was under Kristi Noem.”
Scarborough said he couldn’t understand “why Republicans are screwing their own constituents every single day: businesspeople that have to fly, families that have to get home to see their mothers or their fathers or the grandmothers or the grandfathers, parents that need to get to the kids to help with a child that may be sick.”
“I mean, why are Republicans doing this?” he asked. “Why aren’t they stopping this? Why is ICE so important to them that they are screwing their own constituents to protect guys in masks?”
You can watch Scarborough’s analysis in the clip at the top of the page.
Allison Detzel is an editor/producer for MS NOW. She was previously a segment producer for “AYMAN” and “The Mehdi Hasan Show.”
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