MARAD blocks foreign vessels linked to US-sanctioned company from operating in Guyana

…declares operations illegal

The Maritime Administration Department (MARAD) has decided not to renew cabotage permission for foreign flagged ships linked to Hadi’s World, one of the companies operated by the Mohammed’s, over United States (US) sanctions.
MARAD on Tuesday explained that this decision which effectively revokes previous permission granted to ships that provide services to the Mohammed’s enterprises, was made due to Mohammed’s sanction by Department of Treasury’s Office of Foreign Assets Control (OFAC).
“It is important to recall that on June 11, 2024, the United States Government, through the Department of Treasury’s Office of Foreign Assets Control, announced sanctions against Nazar Mohamed and his son, Azruddin Mohamed, citing their involvement in large-scale tax evasion, gold smuggling, money laundering and other forms of public corruption in Guyana.”
“Sanctions were also extended to Mohamed’s Enterprise, Hadi’s World, and Team Mohamed’s Racing Team, all of which are entities owned or controlled by the Mohameds,” MARAD further explained.
MARAD noted that in view of these developments, and in adherence to OFAC’s advisory warning that “financial institutions and other persons that engage in certain transactions or activities with the sanctioned entities and individuals may expose themselves to sanctions or be subject to an enforcement action,” MARAD has decided not to renew the cabotage permission previously granted to Hadi’s World.
“This permission, which allowed foreign-flagged vessels to operate on coastal voyages in Guyana’s waters, expired on February 12, 2025, and has not been extended. Accordingly, MARAD hereby advises that any foreign-flagged vessel currently operating on behalf of Hadi’s World within Guyana’s maritime space (is doing so illegally).”
MARAD identified motor tugs Amelia and Machelo, and Deck Barges: Miriam and Carmelia, as some of the vessels that are not permitted to operate in Guyana’s waters. The agency made it clear that it is intent on upholding not only local laws, but international obligations.
“MARAD remains committed to upholding the integrity of Guyana’s maritime operations and ensuring full compliance with both national laws and international obligations,” the agency explained.
Last year, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) had announced that it sanctioned members of one of Guyana’s wealthiest families, Nazar Mohamed and his son, Azruddin Mohamed, several of their companies, and a Guyanese Government official, Mae Thomas, for their roles in alleged public corruption in Guyana.
According to a statement from OFAC, this is related to the evasion of taxes on gold exports noting that between 2019 and 2023, Mohamed’s Enterprise omitted more than 10 thousand kilograms (kg) of gold from import and export declarations and avoided paying more than $50 million in duty taxes to the Government of Guyana.
Subsequently, Nazar Mohamed resigned as a Councillor for the People’s Progressive Party (PPP) on one of the Neighbourhood Democratic Councils (NDC) while Thomas resigned from her post of Permanent Secretary and also as a member of the party.
As the Government awaits feedback from the US on the matter, Mohamed’s Enterprise Cambio licence was suspended while all Government agencies have stopped conducting business with the Mohameds and their related companies.