By Jared Diamond and Kejal Vyas 

Major League Baseball is suspending players from participating in the Venezuelan Professional Baseball League this winter as it seeks clarification on how to comply with the U.S.-imposed economic embargo against the government of Venezuela, several people familiar with the matter said.

The prohibition applies to major-league and minor-league players, these people said. The ruling won't prevent Venezuelan players from returning to their home country in the off-season. MLB began informing teams of its decision on Thursday.

This month, President Trump signed an executive order freezing all assets from the government of President Nicolás Maduro and prohibiting transactions with it, unless specifically exempted. Venezuela's baseball league, known as Liga Venezolana de Béisbol Profesional in Spanish, is heavily sponsored by Petróleos de Venezuela SA, the state-owned oil company.

MLB's 30 teams featured 68 Venezuelan players on their opening-day rosters this season, in addition to dozens more throughout the minor leagues. More than 400 Venezuelans -- including Hall-of-Fame shortstop Luis Aparicio and modern superstar Miguel Cabrera -- have played in MLB, more than any foreign country besides the Dominican Republic.

But baseball in Venezuela has been hurt by the political and economic strife ravaging the nation. MLB's teams have shut down their academies in Venezuela and now rarely send scouts there. Players and their families have been subjected to crime and violence in Venezuela; in 2011, then-Washington Nationals catcher Wilson Ramos was kidnapped near his home there and wasn't rescued for two days.

Venezuelans make up the majority of LVBP's eight teams, though players from other countries play in the league every year, mostly MLB prospects in search of extra seasoning in the winter. Boston Red Sox slugger J.D. Martinez, for instance, played for the Leones del Caracas before the 2014 season, the same year Los Angeles Dodgers outfielder Joc Pederson played for the Cardenales de Lara. Participation by American players -- and top Venezuelan stars -- has dwindled in recent years as unrest in the country has grown.

MLB's action in Venezuela comes just months after it faced scrutiny over its efforts in Cuba. In April, the Trump administration blocked MLB from signing players directly from Cuba to play professional in the U.S., nullifying a historic deal the league struck in December with the island nation's baseball federation.

"MLB has been in contact with the relevant government agencies regarding the Executive Order issued by President Trump on Venezuela. MLB will fully adhere to the policies implemented by our government. With respect to the Venezuelan Winter League, MLB will suspend its involvement in that league until it receives direction from the relevant agencies that participation by affiliated players is consistent with the Executive Order," a spokesman for Major League Baseball said on Thursday..

Richard Gomez, the general manager of the Leones del Caracas, said the Venezuelan league hasn't been advised of MLB's decision.

For fans and team administrators in baseball-crazed Venezuela, the prohibition would be another painful hit at a time when the country is reeling from soaring inflation, food shortages and rampant crime that has pushed millions of refugees to neighboring countries.

Baseball had been one of the few affordable sports to watch live for José Martinez, a 39-year-old accountant who has been a lifetime fan of the Leones de Caracas. But he said he worried that the competitive level of the game would drop without the MLB players who he said he looked forward to seeing each year, since he and his father used to go to the stadium as a child.

"The sanctions are not going to topple the government. It's just we the people that suffer," he said. "Every kid here dreams of reaching the major leagues. A prohibition on Venezuela means we're finished."

Mari Montes, a veteran Venezuelan baseball journalist, called the move by Major League Baseball painful for her beloved league in Venezuela. But she said she understood the decision because the Venezuelan government's heavy hand on the finances and operations of the Venezuela league opens risks for American teams to deal with a government sanctioned by Washington.

State oil company PdVSA -- blacklisted by the U.S. Treasury -- has been the main sponsor of the Venezuelan league for the past three years. In a country where the government has long restricted access to U.S. dollars, teams need to work with the government to acquire the funds required to import everything from baseballs to uniforms, said Ms. Montes.

"Any team that wants to make a deal in Venezuela would effectively be negotiating with the regime of Nicolás Maduro," she added.

Wilmer Reina, a statistical analyst with Las Aguilas de Zulia, said a ban would have a "brutal impact on the league and the quality of the game."

"There will be baseball with or without the MLB prohibition, but the quality of the games will depend on what the MLB decides," he said.

Mr. Reina said that about 60% of the players in the Venezuelan league have some connection to MLB organizations, playing for teams from the minors to the big leagues.

"Many of the players in the minor leagues need the money that they make in Venezuela, and they need to play to develop themselves and to arrive in optimal condition to spring training," he said.

Write to Jared Diamond at jared.diamond@wsj.com and Kejal Vyas at kejal.vyas@wsj.com

(END) Dow Jones Newswires

August 22, 2019 18:58 ET (22:58 GMT)