US doubles down on sanctions against Ortega regime

The Office of Foreign Assets Control has added the son of Nicaraguan President Daniel Ortega to the Specially Designated Nationals and Blocked Persons List.

The U.S. Treasury Department's Office of Foreign Assets Control adds Nicaraguan President Ortega's son to its sanctions list. [Photo Credit: Wikipedia]

The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has added another family member to its growing list of sanctioned individuals close to Nicaraguan President Daniel Ortega.

The agency placed Ortega’s son, Rafael Antonio Ortega Murillo, and three companies on the Specially Designated Nationals and Blocked Persons (SDN) List for allegedly financing and laundering money to the regime.

The two companies owned or operated by Rafael Ortega are Inversiones Zanzibar, S.A. and Servicio De Proteccion Y Vigilancia, S.A. OFAC said in early 2019 Rafael Ortega diversified Ortega family financial holdings by acquiring gas stations under “figurehead names” in advance of the expected sanctions.

OFAC said one of Rafeal Ortega’s companies, Distribuidor Nicaraguense de Petroleo S.A. (DNP), is also controlled by Nicaraguan Vice President and First Lady Rosario Maria Murillo De Ortega. DNP has been used by the Ortega family for winning noncompetitive contracts with Nicaraguan government institutions, according to the agency.

“Rafael Ortega is the key money manager behind the Ortega family’s illicit financial schemes,” said Treasury Secretary Steven Mnuchin in a statement.

As a result of OFAC’s action, all property and interests in property of Rafael Ortega and of any entities that are owned, directly or indirectly, 50% or more by him that are in the U.S. or in the possession or control of U.S. persons are now blocked. 

OFAC’s regulations generally prohibit all dealings by U.S. persons with individuals and entities on the SDN List. 

Upcoming FreightWaves Events
AI

Supply Chain AI Symposium

Past the hype. Join operators, founders, and enterprise leaders figuring out how to deploy AI in supply chain.

July 15, 2026
The Old Post • Chicago, IL
Register Now
FreightTech

F3: Future of Freight Festival

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

October 27, 2026 – October 28, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
AI Supply Chain AI Symposium Jul 15 • The Old Post • Chicago, IL

Past the hype. Join operators, founders, and enterprise leaders figuring out how to deploy AI in supply chain.

The Old Post • Chicago, IL Register Now
FreightTech F3: Future of Freight Festival Oct 27 – Oct 28 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now

Chris Gillis

Located in the Washington, D.C. area, Chris Gillis primarily reports on regulatory and legislative topics that impact cross-border trade. He joined American Shipper in 1994, shortly after graduating from Mount St. Mary’s College in Emmitsburg, Md., with a degree in international business and economics.