Before the United States Court of Appeals for the Third Circuit, Leroy Garrett, representing 23,000 dismissed workers from PDVSA, requested the suspension of the CITGO auction while the U.S. Supreme Court decides on his challenge to a previous ruling by the Third Circuit.
The judicial motion for intervention and suspension of the forced sale of the Venezuelan refinery aims for Garrett to represent the former employees of Petróleos de Venezuela S.A., who were arbitrarily dismissed in 2002-2003. He argues that their human rights claims for violations of the Convention Against Torture qualify them as creditors and, therefore, beneficiaries of the CITGO auction.
The revenue from the sale of CITGO, estimated at USD 7.38 billion, is expected to directly impact the financial recovery of these victims. Garrett’s primary concern is that without this intervention, the assets could be dissipated and the funds distributed to corporate creditors, excluding the humanitarian claims of his clients.
Garrett’s motion introduces a significant human rights dimension in the complex process of the CITGO auction by defending the interests of former PDVSA workers, regarded as creditors due to human rights violations, who are not being adequately represented and risk being overlooked in favor of commercial claims.
Motion to Intervene and Suspend the CITGO Auction
On September 2, 2025, Leroy A. Garrett, on behalf of former PDVSA employees, filed a motion to intervene and suspend the CITGO auction process before the United States Court of Appeals for the Third Circuit.
The forced sale of the refinery is tied to the case of Crystallex International Corp. against the Bolivarian Republic of Venezuela, which is being heard in the District Court for the District of Delaware, under the supervision of Judge Leonard P. Stark. The magistrate established PDV Holding Inc. (PDVH) as an “alter ego” of Petróleos de Venezuela (PDVSA). This ruling allowed creditors’ claims to be enforced against CITGO’s assets.
Leroy A. Garrett, acting pro se, seeks to intervene in the Citgo sale process based on the following arguments:
Interest in the Action:
The petitioner represents approximately 23,000 former PDVSA employees who were dismissed in 2002-2003 for opposing the Chávez regime. These individuals have human rights claims for violating the Convention Against Torture (18 U.S.C. § 2340). These claims qualify them as creditors under Crystallex’s “alter ego” ruling. The estimated USD 7.38 billion in revenue from the CITGO auction directly affects their potential recovery.
Prejudice to the Interest:
Exclusion from the CITGO auction “harms their ability to seek redress,” as there is a risk that the assets could be distributed to corporate creditors (such as Gold Reserve) without considering the damages from human rights violations.
Inadequate Representation:
The existing parties, namely Crystallex and PDV Holding, do not represent the interests of these victims, focusing instead on commercial claims over humanitarian ones.
Motion to Suspend Under Federal Rule of Appellate Procedure 8
Leroy Garrett and the former PDVSA workers are requesting a suspension of the CITGO auction proceedings, pending the review of their petition for Writ of Certiorari before the United States Supreme Court, whose conference is scheduled for October/November 2025. The grounds for the request are:
Likelihood of Success:
The petition to the U.S. Supreme Court challenges the dismissal by the Third Circuit, alleging violations of due process and bias against pro se litigants. There is a possibility that this review may expand the scope of the Crystallex decision.
Irreparable Harm:
Continuing with the CITGO auction poses a risk of dissipating assets, irreparably harming the victims’ claims prior to the resolution by the U.S. Supreme Court.
Public Interest:
Suspending the CITGO auction protects human rights and ensures equitable distribution, prioritizing it over commercial interests.
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