HEADLINES WHEN THEY APPEAR.
>> Sandra: FOX NEWS ALERT.
THE U.S. TAKING ACTION AGAINST
THE MADURO REGIME IN VENEZUELA
IMPOSING SANCTIONS ON THE
STATE-OWNED OIL COMPANY.
JOINING US NOW IS THE FORMER
STATE DEPARTMENT PRESS OFFICER
MORGAN ORTEGAS.
IS THIS GOING TO BRING ABOUT
THE NEEDED CHANGE?
>> I THINK IT'S PART OF A
COMPREHENSIVE STRATEGY TO TRY
TO CONTINUE TO PUT PRESSURE ON
MADURO TO STEP DOWN.
THAT'S REALLY WHAT WE'RE
LOOKING FOR AT THIS POINT.
YOU ARE TALKING ABOUT BILLIONS
OF DOLLARS YESTERDAY IN THE
SANCTIONS THAT THE TREASURY AND
JOHN BOLTON ANNOUNCED.
BILLIONS OF DOLLARS IN ASSETS
THAT ARE FROZEN.
THE NEXT STEP FOR THE AMERICANS
TO TRY TO GET THE EUROPEANS ON
BOARD TO PREVENT ANY SORT OF
FINANCIAL TRANSACTIONS IN THE
FORMAL FINANCIAL SECTOR VIA
AMERICAN AND EUROPEAN BANKS.
WHY IS THAT IMPORTANT?
IT'S VERY IMPORTANT BECAUSE
WHEN WE LOOK BACK AT WHAT
HAPPENED DURING THE END OF THE
BUSH ADMINISTRATION, THE FIRST
TERM OF THE OBAMA
ADMINISTRATION AS IT RELATES TO
IRAN.
WITH THOSE SANCTIONS U.S. AND
EUROPEAN BANKS PAID MILLIONS OF
DOLLARS IN FINES FOR VIOLATING
THOSE SANCTIONS.
SO THE BANKING COMMUNITY, THE
FINANCIAL SECTOR TAKES THESE
SORT OF SANCTIONS INCREDIBLY
SERIOUSLY.
THERE IS NOT ONE FELL SWOOP
ACTION THAT WILL GET MADURO TO
STEP DOWN.
BUT IT IS, I THINK, PART OF A
STRONG AND SMART COMPREHENSIVE
STRATEGY THIS ADMINISTRATION --
IT'S IMPORTANT TO NOTE HERE.
THIS IS NOT REGIME CHANGE OR
COUP.
SOMETHING STARTED BY THE
VENEZUELAN PEOPLE BY THE
NATIONAL ASSEMBLY.
PART OF THEIR CONSTITUTION THAT
THEY ARE LEGALLY FOLLOWING HERE.
A NUMBER OF COUNTRIES IN THE
REGION, INCLUDING THE UNITED
STATES, ARE SUPPORTING THE
RIGHT OF THE VENEZUELAN PEOPLE
FOR DEMOCRACY TO THRIVE.
>> Sandra: STEVE MNUCHIN MADE
THIS ANNOUNCEMENT YESTERDAY AND
JOINED MARIA BARTIROMO ON FOX
BUSINESS THIS MORNING AND MADE
IT VERY CLEAR THE OBJECTIVE
HERE, LISTEN.
>> THERE IS NO QUESTION THAT
WHAT WE'RE TRYING TO DO IS TO
CUT OFF THE MONEY TO THE REGIME
THAT SHOULD NOT BE IN POWER AND
MAKE SURE THAT PRESIDENT GUAIDO
HAS ACCESS TO FUNDS AND HAS
ACCESS TO THE ASSETS OF THE
COUNTRY.
AND TO MAKE SURE WE PROTECT
THESE ASSETS FOR PEOPLE OF
VENEZUELA.
IF VENEZUELA WANTS TO CONTINUE
TO SELL US OIL, WHICH WE WOULD
LIKE TO BUY, THAT MONEY WILL GO
INTO BLOCKED ACCOUNTS AND WILL
BE PROTECTED FOR THE PEOPLE OF
VENEZUELA.
>> Sandra: VENEZUELA HAS THE
LARGEST OIL RESERVES IN THE
WORLD.
THE UNITED STATES IS A MAJOR
DESTINATION FOR THAT VENEZUELAN
OIL.
BASED ON EVERYTHING WE JUST
HEARD THERE, MORGAN, HOW DOES
THIS AFFECT US?
>> WELL, AS YOU CAN SEE THE
PRICE OF OIL HAS BUMPED UP BUT
IF YOU LOOK HOLISTICALLY WHAT
GOES ON IN THE OIL MARKETS AND
YOU KNOW THIS BETTER THAN
ANYONE GIVEN YOUR DAYS AS A
BUSINESS REPORTER.
WE'RE SEEING A SLOWDOWN IN
CHINA AND DEMAND AND MOST OIL
ANALYSTS ARE SIGNALING THERE IS
ENOUGH SUPPLY ON THE MARKET
THAT WE AREN'T GOING TO SEE A
HUGE INCREASE THERE.
BUT I THINK AGAIN IT'S
IMPORTANT TO NOTE HERE WHAT DO
CHINA AND RUSSIA DO?
AT THIS MOMENT THE CHINESE ARE
HOLDING A TON OF THE VENEZUELAN
DEBT.
THEY HAVE A VESTED FINANCIAL
INTEREST HERE.
FOR ME THE BIG QUESTION IS DO
THE MADURO FINANCIAL BACKERS,
DO THEY TRY TO OFFSET THESE
SANCTIONS TO TRY TO PROTECT HIM
AND TO KEEP HIM IN POWER?
WHAT'S CRUCIALLY IMPORTANT OVER
THIS NEXT WEEK IS WHAT DO THE
EUROPEANS DO.
I WAS VERY DISAPPOINTED TO SEE
THE EUROPEANS CALL FOR MORE
ELECTIONS INSTEAD OF CALLING
FOR MADURO TO COMPLETELY STEP
DOWN AND RECOGNIZING THE
CONSTITUTIONALLY APPROVED
PRESIDENT GUAIDO.
FOR THE EUROPEANS NOT TO TAKE
THAT STEP TO JOIN THE AMERICANS
IS FRUSTRATING.
THERE HASN'T BEEN LEGITIMATE
ELECTIONS IN VENEZUELA.
CALLING FOR ELECTIONS JUST
GIVES MADURO AN OPPORTUNITY TO
RIG THEM ONCE AGAIN.
THE EUROPEANS NEED TO STEP UP
HERE.
>> Sandra: JOHN BOLTON MAKING
IT VERY CLEAR IN THIS
ANNOUNCEMENT YESTERDAY THAT ALL
OPTIONS ARE ON THE TABLE.
MORGAN, THIS IS SOMETHING --
FINAL THOUGHTS.
>> GOOD, ALL OPTIONS SHOULD BE
ON THE TABLE.
THIS IS NOT EVEN AMERICAN LED.
THIS IS SOMETHING LED BY THE
PEOPLE OF VENEZUELA AND IT'S
SOMETHING LED BY THE REGION AND
A VERY, VERY SMART STRATEGY BY
THE ADMINISTRATION TO LOOK AT
ALL OPTIONS.
IT CAN'T JUST BE SANCTIONS.
YOU NEED EVERY OPTION ON THE
TABLE NO MATTER HOW HARD THEY
ARE IN ORDER TO INSURE
DEMOCRACY AND FREEDOM THRIVE IN
A COUNTRY DECIMATED BY
SOCIALISTS WHERE PEOPLE ARE