Not all gov’t business axed from Mohammeds due to US sanctions

Last Updated on Sunday, 23 February 2025, 20:49 by Writer

The Guyana government is still doing business with city businessman, Azruddin Mohammed and his business, Hadi’s World, which were sanctioned by the United States (US) for allegedly evading taxes on gold sales, a government official confirmed Sunday.

The maritime sector official confirmed that the Maritime Administration (MARAD) on August 13, 2024, wrote Mr Mohammed in his capacity as Secretary/Director of Hadi’s World informing him that that regulatory agency approved his request for four named foreign-flagged vessels to operate on coastal voyages in Guyana’s waters from August 13, 2024, to February 12, 2025.

Though the Bank of Guyana rescinded the cambio (foreign currency dealer’s) licence from Mohammed’s Cambio after the US Treasury Department’s Office for Foreign Assets Control (OFAC) imposed the sanctions on June 11, the Guyana government official said those sanctions do not bind Guyana and the Mohammeds enjoy the constitutional right to work.

The official said Hadi’s World had been originally granted cabotage permission for the vessels to move between two points in Guyana before the imposition of the sanctions.

The official said the four vessels — Amelia, Machelo, Miriam and Carmelia — were being used to transport aggregate for a “national project”. The vessels were reportedly owned by Venezuelans but were in the process of being acquired by the Mohammeds.

MARAD last week conceded that cabotage in Guyana is exclusive to Guyana-flagged vessels where “exemptions are allowed and are based on a thorough assessment of the circumstances or justifiable reasons presented by the applicant.” The maritime sector regulator said that from 2022 to late 2024 there was an “exponential increase” in the demand for vessels, particularly tugs and barges, to transport sand and aggregates in Guyana. “This was driven by a myriad of construction projects underway, including the Gas-to-Energy (GTE) project.”

Guyana had asked the US to disclose information about alleged tax evasion by Mr Azruddin and his father “Nazar “Shell” Mohammed but President Irfaan Ali last month said none had been forthcoming. They were banned from doing business with US companies because they allegedly evaded more than US$50 million in taxes for 10,000 kilogrammes of gold.