Two Holding Companies Of Myanmar Military Business Sanctioned By The United States And United Kingdom

Myanmar military anti-coup protests. (Twitter / @ HsuChiKo1)

JAKARTA - The United States (US) and Britain imposed sanctions on conglomerates controlled by the Myanmar military regime on Thursday, March 25, following growing concern about violence in Myanmar.

The US Treasury Department said the sanctions targeted Myanmar Economic Holdings Public Company Ltd (MEHL) and Myanmar Economic Corporation Ltd (MEC), two of Myanmar's military business holding companies.

Britain has imposed similar sanctions on MEHL, citing the Myanmar military's serious human rights abuses against Rohingya Muslims. Representatives of the two entities, which control much of Myanmar's economy, did not immediately comment.

The sanctions imposed by Kumarian are the most significant so far against Myanmar's military business interests, which include beer, cigarettes, telecommunications, tires, mining, and property, among others.

Shortly after the announcement, the US State Department condemned the continued use of lethal force by the authorities in Myanmar over the weekend that resulted in the death of at least 27 people, including several children.

"This disgusting and brutal act against these children, one of whom was seven years old who was shot and killed in his home while sitting on his father's lap. Further demonstrates the dire nature of the Burmese (Myanmar) military regime's attacks on its own people", department spokesman Ned Price said in a statement.

Washington's action to freeze assets held by entities in the United States is a follow-up after sanctions were imposed on Myanmar's central bank, the leader of the Myanmar military regime, including two children of regime leader Senior General Min Aung Hlaing.

The designation prohibits American companies or citizens from trading or conducting financial transactions with those listed. Since nearly all dollar payments are clear through US financial institutions, the move effectively removes blacklisted companies from the US banking system.

US Secretary of State Antony Blinken said Myanmar's military had been taking increasingly disturbing measures aimed at their own citizens since the February 1 coup.

"This action will specifically target those who led the coup, the military's economic interests, and the flow of funds that support the brutal suppression of the Burmese military. Actions are not aimed at the Burmese people", Blinken said.

"The United States and Britain have shown that we will follow through on our promises, to promote accountability for the abominable coups and violence and other abuses we have seen in recent weeks", continued Blinken.

Human rights groups have welcomed the US move but have also pressed for more decisive action against Myanmar's military. Human Rights Watch said the sanctions would create significant difficulties for conglomerates doing business with outside companies.

"This is a very important step but it is not the biggest economic sanction that can be applied", said Human Rights Watch's Asia advocacy director John Sifton.

He added that the United States should also target Myanmar's revenue from natural gas joint ventures with international companies. It is known that a number of foreign oil and gas companies operate in Myanmar and provide large income for the Thousand Pagoda Country.

Regarding the Myanmar Coup. VOI editorial team continues to monitor the political situation in one of the ASEAN member countries. Casualties from civilians continue to fall. Readers can follow the news surrounding the Myanmar military coup by tapping on this link.