Venezuelan CNE Owns Smartmatic Source Code – OFAC-Sanctioned and DOJ-Indicted Individuals Alleged as Beneficial Owners (Venezuela)

The Venezuelan National Electoral Council (CNE) owns the source code of Smartmatic’s core election software system (SAES) – a fact confirmed by the 2005 EU Electoral Observation Mission report and acknowledged by the Venezuelan government itself. A 2006 U.S. Embassy cable from Caracas assessed that “Smartmatic’s real ownership is hidden” and that the company maintained ties to the Chavez government. CFIUS opened an investigation in 2006; Smartmatic’s response was a nominal sale of Sequoia Voting Systems that investigators characterized as a potential sham designed to avoid CFIUS scrutiny while retaining software licensing rights. Investigative sources identify Jorge Rodriguez – sanctioned by OFAC in September 2018 for corruption and human rights abuses as a Venezuelan government official – and Diosdado Cabello – indicted by the DOJ on narco-trafficking charges and designated a narcotics trafficking kingpin – as alleged beneficial owners of Smartmatic. If accurate, U.S. election technology was beneficially owned by individuals simultaneously under U.S. government sanctions and federal criminal indictment.