Canadian Mining Company's Lawyer Imprisoned in Venezuela Without Trial
Gold Reserve Ltd., a TSX-listed mining company that has redomiciled to Bermuda from Canada, is raising alarm about the detention of its long-time Venezuelan lawyer, who has been held as a political prisoner for more than two and a half years. José Ignacio Moreno Suárez, known as Nacho, has worked for Gold Reserve for over two decades and is currently incarcerated in a prison near Caracas under what the company describes as deplorable conditions.
Unfounded Charges and Deteriorating Health
Mr. Suárez, a 57-year-old Venezuelan national, was arrested in June 2023 by Venezuela's military counterintelligence agency, La Dirección General de Contrainteligencia Militar. He was charged with treason, conspiracy, and association, but has never been given a trial for these criminal offences. Gold Reserve representatives call these charges completely unfounded and consistent with those made against many other political prisoners in Venezuela.
According to company officials, Mr. Suárez is in poor health after enduring harsh prison conditions. He is suffering from significant health issues but is being denied proper medical care. Furthermore, he is not being given regular access to his lawyer, despite Venezuelan law stipulating that prisoners held without trial for two years should be released.
Legal Work Criminalized in Complex Asset Dispute
Dave Onzay, chief financial officer of Gold Reserve, explained in an interview that Mr. Suárez's imprisonment stems from his legitimate legal work for the company. "He acted in the interests of this foreign entity, Gold Reserve, and it was considered by Venezuela to be treason against the state," said Mr. Onzay. "So, they're essentially criminalizing legitimate legal work for a foreign company."
As the company's point person in Venezuela, Mr. Suárez managed Gold Reserve's legal and administrative affairs along with its institutional relations within the country. In this capacity, he worked closely with various government entities and officials to advocate for the company's interests.
Connection to CITGO Petroleum and Mining Expropriations
The situation appears connected to Gold Reserve's participation in a U.S. court-ordered sale of Venezuela-owned CITGO Petroleum Corp., which is widely considered the crown jewel of Venezuela's oil industry. Gold Reserve previously bid US$7.9-billion to purchase CITGO as part of that U.S. court process, though a judge ultimately endorsed a rival US$5.9-billion offer by Amber Energy, a subsidiary of Elliott Investment Management.
Both Venezuela and Gold Reserve are appealing that decision, though with different motivations. Gold Reserve also has a US$1.2-billion claim against Venezuela registered as part of the same U.S. legal proceeding related to the CITGO sale. This compensation is being sought to fulfill an unpaid arbitral award dating back to 2014, owed to the company over the expropriation of the Brisas mining project, which was seized by the regime of then-president Hugo Chávez in 2008.
Broader Context of Venezuela's Investment Conflicts
The Venezuelan government has been in breach of a 2016 settlement agreement that stipulated payments for the arbitral award, having stopped making payments to Gold Reserve in 2018. In 2025, Gold Reserve initiated a second international arbitration claim, which could be worth billions of dollars, stemming from Venezuela's revocation of mining rights for a joint venture to develop the Siembra Minera mining project.
Mr. Suárez had been trying to resolve these investment conflicts with the Venezuelan government before his arrest. His imprisonment underscores the security risks that remain in Venezuela for global businesses considering a return to the country since president Nicolás Maduro was deposed from power in January.
Political Context and Hope for Release
Venezuela has slowly begun releasing political prisoners, and interim president Delcy Rodríguez is proposing a new amnesty law that could liberate hundreds. However, it remains unknown when Mr. Suárez might be freed. His defence attorney has petitioned the court for his release based on the two-year rule, but these petitions have reportedly fallen on deaf ears.
"We think it's important to highlight Nacho's plight," said Mr. Onzay. "The charges are baseless. He hasn't been tried. We think that putting the spotlight on him, hopefully, that's going to help secure his release." The case highlights the complex intersection of international business, legal advocacy, and political dynamics in Venezuela's evolving landscape.
