[Congressional Bills 118th Congress] [From the U.S. Government Publishing Office] [H.R. 6114 Introduced in House (IH)] <DOC> 118th CONGRESS 1st Session H. R. 6114 To impose additional sanctions with respect to Iran and modify other existing sanctions with respect to Iran, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES October 30, 2023 Mr. Banks (for himself, Mr. Hern, Mr. Wilson of South Carolina, Mr. Aderholt, Mr. Alford, Mr. Allen, Mr. Arrington, Mr. Bacon, Mr. Baird, Mr. Barr, Mr. Buck, Mrs. Cammack, Mr. Ciscomani, Mr. Collins, Mr. Crenshaw, Mr. Ellzey, Mr. Estes, Mr. Fallon, Mr. Feenstra, Mr. Ferguson, Mr. Finstad, Mr. Fitzgerald, Mr. Fleischmann, Mr. Scott Franklin of Florida, Mr. Mike Garcia of California, Mr. Gimenez, Mr. Tony Gonzales of Texas, Mr. Good of Virginia, Mr. Gooden of Texas, Mr. Green of Tennessee, Mr. Guest, Mr. Higgins of Louisiana, Mr. Hill, Mrs. Houchin, Mr. Hudson, Mr. Jackson of Texas, Mr. Joyce of Ohio, Mr. LaLota, Mr. Lamborn, Mr. Loudermilk, Mr. Luttrell, Ms. Malliotakis, Mr. Mann, Mrs. McClain, Mr. Miller of Ohio, Mrs. Miller-Meeks, Mr. Mills, Mr. Moolenaar, Mr. Mooney, Mr. Nehls, Mr. Norman, Mr. Obernolte, Mr. Owens, Mr. Palmer, Mr. Pence, Mr. Pfluger, Mr. Reschenthaler, Mr. Rose, Mr. Rutherford, Ms. Salazar, Mr. Self, Mr. Sessions, Mr. Smith of New Jersey, Ms. Stefanik, Mr. Steil, Mr. Steube, Mr. Strong, Mr. Tiffany, Mr. Van Drew, Ms. Van Duyne, Mrs. Wagner, Mr. Walberg, Mr. Waltz, Mr. Weber of Texas, Mr. Williams of Texas, Mr. Wittman, Mr. Zinke, Mr. Bost, Mr. Huizenga, Mr. Kean of New Jersey, Mr. Langworthy, Mr. LaTurner, Mrs. Miller of West Virginia, Mr. Moore of Utah, Mr. Newhouse, and Mr. Gallagher) introduced the following bill; which was referred to the Committee on Foreign Affairs, and in addition to the Committees on the Judiciary, Ways and Means, Oversight and Accountability, Financial Services, Rules, and Intelligence (Permanent Select), for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned _______________________________________________________________________ A BILL To impose additional sanctions with respect to Iran and modify other existing sanctions with respect to Iran, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE; TABLE OF CONTENTS. (a) Short Title.--This Act may be cited as the ``Maximum Pressure Act''. (b) Table of Contents.--The table of contents for this Act is as follows: Sec. 1. Short title; table of contents. Sec. 2. Findings. Sec. 3. Sense of congress on Iranian responsibility for Hamas terror attacks on October 7, 2023. Sec. 4. Statement of policy. Sec. 5. Severability. TITLE I--MATTERS RELATING TO SANCTIONS AND SANCTION AUTHORITIES Sec. 101. Codification of executive orders and continuation of certain existing sanctions. Sec. 102. Sanctions with respect to the Supreme Leader of Iran. Sec. 103. Sanctions with respect to listed persons involved in international arms sales to Iran. Sec. 104. Additional conditions for termination and elimination of sunset of sanctions under the Iran Sanctions Act of 1996. Sec. 105. Sectoral sanctions on Iran under the Iran Freedom and Counter-Proliferation Act of 2012. Sec. 106. Amendments to the comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010. Sec. 107. Congressional review of certain actions relating to sanctions imposed with respect to Iran. Sec. 108. Clarification of guidance relating to Iran's shipping sector. Sec. 109. Sunset of waiver and license authorities. Sec. 110. Codification and application on transfers of funds involving Iran. Sec. 111. Applicability of congressional review of certain agency rulemaking relating to Iran. Sec. 112. Strict liability of parent companies and foreign subsidiaries for violations of Foreign Corrupt Practices Act of 1977. Sec. 113. Expansion of sanctions with respect to efforts by Iran to acquire ballistic missile and related technology. Sec. 114. Expansion of sanctions under Iran Sanctions Act of 1996 with respect to persons that acquire or develop ballistic missiles. Sec. 115. Imposition of sanctions with respect to Ballistic Missile Program of Iran. Sec. 116. Mandatory sanctions with respect to financial institutions that engage in certain transactions on behalf of persons involved in human rights abuses or that export sensitive technology to Iran. Sec. 117. Additional sanctions with respect to foreign persons that support or conduct certain transactions with Iran's Revolutionary Guard Corps or other sanctioned persons. TITLE II--MATTERS RELATING TO THE FINANCING OF TERRORISM Sec. 201. Prohibitions of International Monetary Fund allocations for Iran. Sec. 202. Certification requirement for removal of designation of Iran as a jurisdiction of primary money laundering concern. Sec. 203. Requirement to take special measures at domestic financial institutions. Sec. 204. Additional sanctions with respect to foreign persons that are officials, agents, or affiliates of, or owned or controlled by, Iran's Revolutionary Guard Corps. Sec. 205. Additional sanctions with respect to foreign persons that support or conduct certain transactions with Iran's Revolutionary Guard Corps or other sanctioned persons. Sec. 206. Reports on certain Iranian persons and sectors of Iran's economy that are controlled by Iran's Revolutionary Guard Corps. TITLE III--MATTERS RELATING TO THE DESIGNATION OF CERTAIN ENTITIES Sec. 301. Prohibition on future waivers and licenses connected to the designation of the IRGC. Sec. 302. Prohibition on future waivers and licenses connected to the designation of the IRGC as a foreign terrorist organization. Sec. 303. Measures with respect to Ansarallah in Yemen. TITLE IV--DETERMINATIONS AND REPORTS Sec. 401. Determinations with respect to the imposition of sanctions. Sec. 402. Iranian militia watchlists. Sec. 403. Expansion of reporting to include Iranian arms shipments to the Houthis and Iranian backed militias in Iraq and Syria. Sec. 404. Annual report on Iran sanctions violations. Sec. 405. Report on sanctions relief going to terrorism or destabilizing activities. Sec. 406. Supporting human rights for the people of Iran and the victims of Iranian human rights abuses in Syria, Lebanon, Yemen, and Venezuela. Sec. 407. Determination with respect to net worth of Iranian Supreme Leader Ayatollah Ali Khamenei. Sec. 408. IRGC watch list and report. Sec. 409. Report on Iran's breakout timeline for uranium enrichment and nuclear weaponization. Sec. 410. Report on Iranian disinformation campaigns and counter- disinformation efforts. Sec. 411. Report on Iranian support to Hamas. Sec. 412. Report on unblocked Iranian assets and terrorism. Sec. 413. Report on Iranian counterintelligence threats in the United States. TITLE V--ADDITIONAL MATTERS Sec. 501. Increasing rewards for justice for Hamas, Hezbollah, the Islamic Revolutionary Guard Corps and other terrorists involved in October 7, 2023, terrorist attacks against Israel. Sec. 502. Repurposing frozen Iranian funds for United States Victims of State Sponsored Terrorism fund. Sec. 503. Determination regarding applicable Iranian financial institutions under executive order 13902. SEC. 2. FINDINGS. Congress finds the following: (1) Iran is the world's leading State sponsor of terrorism. It seeks ``death to America'' and the destruction of the State of Israel. (2) Iran's pursuit of nuclear weapons, its efforts to destroy the State of Israel, its support of terrorism, its destabilizing behavior in the Middle East, its development and proliferation of drones and ballistic missiles, and its gross violations of human rights against its own people and the peoples of the Middle East are a threat to the national security of the United States, our allies, and international peace and security. (3) Iran and its proxies have planned, directed, sponsored, and funded terrorist plots throughout the world and on United States soil, including the October 2023, mass murder and hostage-taking of Israeli civilians by Hamas and the killing of at least 31 United States citizens in that attack, the 2011 attempted assassination of the Saudi Arabian Ambassador to the United States in Washington, DC, the 1994 bombing of the Asociacion Mutual Israelita Argentina in Buenos Aires, Argentina, which killed over 85 people, and the 2012 bus bombing in Burgas, Bulgaria, which killed 5 Israelis. (4) Experts estimate that Iran as of September 2023, has enough highly enriched uranium to produce weapons-grade uranium for 1 nuclear bomb within 12 days and as many as 6 nuclear bombs within 1 month. Iran continues to enrich uranium to levels for which there is no conceivable civilian purpose and which could only be used to produce a nuclear weapon. (5) According to multiple United States Directors of National Intelligence, Iran has the largest arsenal of ballistic missiles in the Middle East. Iran also possesses a robust cruise missile arsenal and advanced drone capability, which threaten United States and allied air and missile defenses. Iran tests, transfers, and even uses these systems in military operations abroad. (6) Iran has given ballistic missiles, drones, and associated technology to the Houthis in Yemen, Shiite militias in Iraq, the Assad regime in Syria, and Hezbollah in Lebanon, and is trafficking precision-guided munitions parts through the Middle East to upgrade the rocket forces of its chief proxy, Hezbollah. (7) Iran has sold thousands of drones to Russia for its use in its invasion of Ukraine, leading to mass attacks on civilian infrastructure, and has given Russia the technology and knowledge to produce these drones in Russia. (8) Iran continues to take United States citizens hostage in order to extract ransom payments from the United States and exchange arbitrarily detained United States citizens for Iranian agents arrested for violating United States sanctions and for other malign activities. (9) The Joint Comprehensive Plan of Action negotiated by former President Barack Obama was fatally flawed, did not eliminate Iran's pathway to a nuclear weapon, and allowed Iran to retain and refine its ability to quickly resume its pursuit of a nuclear weapon. (10) The failed Iran nuclear agreement provided Iran with over $100,000,000,000 in sanctions relief that was used by Iran to fuel proxy wars across the Middle East. (11) The failed Iran nuclear agreement lifted the United Nations conventional arms embargo on Iran in October 2020, permitting Russia and China to engage in international arms sales with Iran. (12) The failed Iran nuclear agreement also lifted the United Nations missile embargo on Iran in October 2023, allowing Iran to sell and purchase drone and ballistic missile technology. (13) A central flaw of the failed Iran nuclear deal was that the agreement solely focused on nuclear weapons and did not address non-nuclear issues like Iran's support for terrorism, drone and ballistic missile technology, gross human rights abuses, and Iran's other malign activities. (14) On May 21, 2018, 2 weeks after President Trump withdrew from the failed Iran nuclear deal, former Secretary of State Mike Pompeo laid out 12 demands that would need to be met by Iran as part of any agreement related to the lifting of sanctions, and the re-establishment of diplomatic and commercial relations with Iran. (15) Former President Donald Trump's maximum pressure campaign on Iran denied the regime unprecedented revenue it would have otherwise spent on terrorism. (16) On December 31, 2019, then-Iranian President Hassan Rouhani admitted that Iran had lost $200 billion in revenue because of United States sanctions. (17) Iran's 2019 defense budget cut defense spending by 28 percent, including a 17 percent cut to the Islamic Revolutionary Guard Corps, a designated foreign terrorist organization. Hezbollah terrorists and Iranian backed militias were denied resources and were forced to cut salaries of their fighters. (18) The Iranian rial lost around 70 percent of its value due to President Trump's maximum pressure campaign. (19) According to the International Monetary Fund, Iran's accessible foreign exchange reserves plunged to $4,000,000,000 in 2020 from $123,000,000,000 in 2018, or a decrease of over 96 percent. (20) During the maximum pressure campaign, the United States was able to achieve the release of 2 hostages in Iran, Xiyue Wang and Michael White, without lifting sanctions or transferring cash to Iran. (21) President Joe Biden's relentless attempts to re-enter the failed Iran nuclear agreement squandered much of the leverage created by President Trump's maximum pressure campaign. (22) The Biden Administration's pursuit of an even weaker deal with Iran broke previous pledges made by administration officials to pursue a ``longer and stronger'' deal that extended sunset dates of restrictions and which would cover a broader range of Iran's malign activity. (23) Amid the multiple failed rounds of talks to get Iran to reenter the Iran nuclear agreement, the Biden administration reportedly offered to remove the Islamic Revolutionary Guard Corps from the Foreign Terrorist Organization list, despite the group's obvious involvement in and support for terrorism, until news of this offer became public. (24) The Iranian regime has made more than $80,000,000,000 in illicit oil sales since President Biden took office due to the administration's lax enforcement of sanctions on Iranian oil exports. Total Iranian oil exports reached nearly 2,000,000 barrels per day in August 2023, the highest since before the maximum pressure campaign began. (25) In 2021, Iran increased funding for the Islamic Revolutionary Guard Corps by 14 percent, reversing budget cuts imposed as a result of maximum pressure. (26) Iran's accessible foreign exchange reserves have risen from $4,000,000,000 in 2020 to at least $43,000,000,000 in 2023. (27) In July 2023, the United States unfroze nearly $10,000,000,000 held in Iraqi banks for Iraq to pay to the Iranian regime. (28) In August 2023, the Biden Administration agreed to give Iran access to $6,000,000,000 in previously frozen funds and released several Iranians in prison for violating United States sanctions in exchange for the release of 5 United States hostages. This represents the largest ransom payment in United States history. (29) On March 18, 2021, in an interview with BBC Persian, President Biden's Special Envoy for Iran and lead United States negotiator in talks to re-enter the Iran deal, Robert Malley, stated ``President Biden and all of his senior advisers have said this--the maximum pressure campaign has failed. It was a failure, a predicted failure. It hasn't made life any better for the Iranian people; it hasn't made life any better for the United States and the region; it hasn't brought us any closer to this better deal that President Trump spoke about.''. (30) In June 2023, it was revealed that the State Department had placed Malley on leave and had suspended his security clearance, reportedly due to accusations that Malley mishandled classified information. (31) In September 2023, it was revealed that Malley had deep ties to several experts who were part of an Iranian Government influence operation during the Iran deal negotiations to convince Western governments to support lighter demands on Iran. These experts have since served in senior staff positions in the Department of Defense and have advised executive branch officials on issues related to Iran. (32) In September 2022, the Iranian regime's ``Morality Police'' detained, brutally beat, and killed 22-year old Mahsa Amini for allegedly violating Islamic dress code. Mahsa's death spurred the largest anti-regime and pro-democracy protests in Iran since the 1979 revolution, with hundreds of thousands of Iranians chanting ``Death to the Dictator''. (33) Iranian regime forces cracked down on the protests, killing at least 500 protestors, and eventually reinstated street patrols of the Morality Police and has continued brutalizing women who do not adhere to its strict dress code. (34) On September 12, 2023, the House of Representatives passed the passed the MAHSA Act, which imposes sanctions on Iranian leadership, including the Supreme Leader of Iran, for their respon