Colombian Venezuelan businessman Alex Saab has pleaded guilty in a US federal court to laundering money from a bribery and fraud scheme linked to Venezuelan government contracts.
Saab, a former Venezuelan industry minister and close ally of former President Nicolas Maduro, admitted in Miami before US District Judge Kathleen Williams that he arranged bribes for Venezuelan officials to help companies he secretly controlled secure contracts to import food and medicine.
According to the US Justice Department, the contracts were linked to Venezuela’s CLAP welfare programme, which was created to provide subsidised food to citizens during the country’s economic crisis. Prosecutors said Saab and his associates used fake companies, false invoices and fraudulent shipping records to divert hundreds of millions of dollars.
The proceeds were allegedly moved through shell companies and accounts in several countries, including the United States. Saab also admitted using his connections with Venezuelan officials to gain access to oil owned by state company PDVSA and sell it through arrangements designed to evade the impact of US sanctions.
Saab pleaded guilty to one count of conspiracy to launder monetary instruments, an offence carrying a maximum sentence of 20 years in prison. Under the plea agreement, he will forfeit $195 million in criminal proceeds and cooperate with ongoing federal investigations.
Prosecutors agreed to recommend a sentence at the lower end of the applicable range and may seek further reductions if his cooperation is considered substantial. A sentencing date has not yet been announced.
The case is Saab’s second prosecution in the United States. He was arrested in Cape Verde in 2020 and extradited to the US before former President Joe Biden granted him clemency in December 2023 as part of a prisoner exchange with Venezuela.
A new indictment was filed in January, and Saab was deported to the United States in May by Venezuela’s interim government amid pressure from Washington.
US Attorney Jason Reding Quinones said the case demonstrated that political connections and wealth would not shield individuals from prosecution.
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