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Trade war denounced after sanction on Paraguayan company

Asuncion, Aug 7 (Prensa Latina) Paraguayan parliamentarians today denounced a trade war background behind the announcement of the sanctions imposed by the United States government against a local tobacco company.

Congresswoman Rocio Abed, of the Colorado Party, stated that the measures of the US Treasury Department against the firm Tabacalera del Este S.A. (Tabesa) are in the interest of competitors.

Like other members of her party, the congresswoman considered the announcement made by the Office of Assets Control (Ofac) shows that commercial groups are trying to damage the Paraguayan entity, since ‘it is a great competitor at the world level’.

She also noted that this measure is trying to reach former president Horacio Cartes for being a former director of Tabesa and convicted in 1985 for a swindling case against the Central Bank of Paraguay.

According to a WikiLeaks cable, Cartes was investigated by the Drug Enforcement Administration for allegedly laundering money derived, among other things, from drug trafficking.

The reaction, of the Paraguayan deputies, comes after Ofac announced sanctions against Tabesa for alleged financial support to the former president, sanctioned for acts of corruption.

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