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Venezuela’s Maduro appoints to his cabinet a close ally who was pardoned by the US in a prisoner exchange

CARACAS, Venezuela (AP) — Venezuelan President Nicolás Maduro on Friday appointed to his Cabinet a close ally who was pardoned last year by U.S. President Joe Biden as part of a prisoner swap and after assurances that Venezuela would hold fair presidential elections in 2024.

Maduro appointed Alex Saab as Minister of Industry and National Production and tasked him with promoting “the development of Venezuela’s entire industrial system within the framework” of what he called a “new economic model.” Maduro made the announcement via the messaging app Telegram.

Saab returned to Venezuela a free man in December after being in custody since 2020, when authorities in Cape Verde arrested him on a US arrest warrant for money laundering. US prosecutors long considered him a bagman for Maduro.

The president secured his release and clemency in a deal with the Biden administration. In exchange for Saab, Maduro released 10 Americans and a fugitive defense contractor known as “Fat Leonard,” who was wanted for his alleged role at the center of a massive Pentagon bribery scandal.

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The largest release of US prisoners in Venezuela’s history came weeks after the White House granted the South American country a broad reprieve from economic sanctions following a pledge by Maduro to work with the political opposition on free and fair terms for the 2024 presidential elections.

The US ended sanctions relief earlier this year after hopes for a democratic opening faded.

Last month, the country responded to Venezuela’s highly disputed presidential election by imposing sanctions on 16 of Maduro’s allies, accusing them of obstructing the election and committing human rights abuses.

Saab was arrested in 2020 during a fuel stop on his way to Iran to negotiate oil deals on behalf of Maduro’s government. The U.S. indictment alleged a conspiracy to commit money laundering linked to a bribery scheme that allegedly siphoned off $350 million through state contracts to build affordable housing.

Saab was also sanctioned for allegedly carrying out a scheme that stole hundreds of millions of dollars from food import contracts at a time of widespread hunger, mainly due to shortages in the South American country. After his arrest, Maduro’s government said Saab was a special envoy on a humanitarian mission and was entitled to diplomatic immunity from criminal prosecution under international law.

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