[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 4086 Introduced in Senate (IS)]
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118th CONGRESS
2d Session
S. 4086
To authorize the confiscation and repurposing of blocked assets of the
Central Bank of the Russian Federation.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
April 9, 2024
Mr. Daines (for himself and Mr. Cramer) introduced the following bill;
which was read twice and referred to the Committee on Banking, Housing,
and Urban Affairs
_______________________________________________________________________
A BILL
To authorize the confiscation and repurposing of blocked assets of the
Central Bank of the Russian Federation.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. RECOGNITION OF NATIONAL EMERGENCY; FINDINGS.
Congress recognizes the national emergency declared and expanded
under the covered Executive orders and makes the following findings:
(1) On February 24, 2022, the Government of the Russian
Federation violated the sovereignty and territorial integrity
of Ukraine by engaging in a premeditated, second illegal
invasion of Ukraine.
(2) The international community has condemned the illegal
invasions of Ukraine by the Russian Federation, as well as the
commission of war crimes by the Russian Federation, including
through the deliberate targeting of civilians and civilian
infrastructure and the commission of sexual violence.
(3) As described in the statement of the leaders of the
Group of Seven on the invasion of Ukraine by armed forces of
the Russian Federation, issued on February 24, 2022, the
Russian Federation's ``unprovoked and completely unjustified
attack on the democratic state of Ukraine'' represents a
``serious violation of international law and a grave breach of
the United Nations Charter and all commitments Russia entered
in the Helsinki Final Act and the Charter of Paris and its
commitments in the Budapest Memorandum''.
(4) The total of the efforts of the international
community, including sanctions, price caps, and asset seizures,
and the combined contributions of more than $90,000,000,000
worth of military support to Ukraine, have not deterred the
Russian Federation from instigating and continuing
international aggression.
(5) On March 2, 2022, the United Nations General Assembly
adopted Resolution ES-11/1, entitled ``Aggression against
Ukraine'', by a vote of 141 to 5. That resolution ``deplore[d]
in the strongest terms the aggression by the Russian Federation
against Ukraine in violation of Article 2(4) of the [United
Nations] Charter'' and demanded that the Russian Federation
``immediately cease its use of force against Ukraine'' and
``immediately, completely and unconditionally withdraw all of
its military forces from the territory of Ukraine within its
internationally recognized borders''.
(6) On November 14, 2022, the United Nations General
Assembly adopted Resolution ES-11/5--
(A) recognizing that the Russian Federation ``must
bear the legal consequences of all of its
internationally wrongful acts, including making
reparation for the injury, including any damage, caused
by such acts'';
(B) recognizing ``the need for the establishment .
. . of an international mechanism for reparation for
damage, loss or injury'' caused by the Russian
Federation in Ukraine; and
(C) recommending ``the creation . . . of an
international register'' of such damage, loss, or
injury.
(7) On March 17, 2023, the International Criminal Court
issued a warrant for the arrest of Russian President Vladimir
Putin relating to the following war crimes:
(A) Unlawful deportation of population (children)
in violation of article 8(2)(a)(vii) of the Rome
Statute.
(B) Unlawful transfer of population (children) from
occupied areas of Ukraine to the Russian Federation in
violation of article 8(2)(a)(vii) of the Rome Statute.
SEC. 2. AUTHORITY TO CONFISCATE BLOCKED ASSETS OF THE CENTRAL BANK OF
THE RUSSIAN FEDERATION.
(a) Sense of Congress.--It is the sense of Congress that--
(1) efforts to repurpose assets of the Government of the
Russian Federation are not being taken lightly;
(2) policies of the United States in effect before the date
of the enactment of this Act have failed to persuade the
Government of the Russian Federation to cease hostilities; and
(3) the facts set forth in subsection (b) justify the
authorization provided by this Act to confiscate and repurpose
assets of the Government of the Russian Federation.
(b) Findings.--Congress makes the following findings:
(1) The Government of the Russian Federation is committing
acts of international aggression that directly or indirectly
threaten the national security of the United States and other
members of the North Atlantic Treaty Organization.
(2) The Government of the Russian Federation is actively
conducting activities that undermine the peace, security,
political stability, and territorial integrity of the United
States or allies or partners of the United States.
(3) The Government of the Russian Federation is pursuing
deceptive or structured transactions or dealings to circumvent
sanctions imposed by the United States, including through the
use of digital currencies or assets or the use of physical
assets.
(4) The International Criminal Court has issued a warrant
for the arrest of the President of the Russian Federation.
(5) The United Nations General Assembly has adopted a
resolution demanding for the cessation of hostilities by the
Russian Federation against the sovereign state of Ukraine.
(6) President Joseph R. Biden has declared a national
emergency and issued not less than 4 Executive orders to deter
aggression against Ukraine by the Russian Federation.
(c) Authorization of Confiscation.--
(1) In general.--The President may confiscate, through
instructions or licenses or in such other manner as the
President determines appropriate, funds of the Central Bank of
the Russian Federation that are subject to the jurisdiction of
the United States and are blocked pursuant to a covered
Executive order.
(2) Vesting.--All right, title, and interest in funds
confiscated under paragraph (1) shall vest in the Government of
the United States.
(3) Deposits.--The President shall deposit funds
confiscated under paragraph (1) into the fund established under
section 3.
SEC. 3. INTERNATIONAL RESPONSE FUND.
(a) Establishment.--The President shall establish a non-interest-
bearing account, to be known as the ``International Response Fund'' (in
this section referred to as the ``Fund''), to consist of--
(1) amounts deposited into the account under section 2(c);
or
(2) amounts contributed by countries that are allies or
partners of the United States.
(b) Availability and Use of Funds.--Amounts in the Fund shall be
available, to the agencies and in the amounts provided in
appropriations Acts making supplemental appropriations for assistance
and activities related to Ukraine--
(1) to finance the provision of materials to Ukraine that
have direct application to ongoing territorial defense of
Ukraine by Ukrainian and international forces; or
(2) to compensate such agencies for materials described in
paragraph (1) provided to Ukraine before the date of the
enactment of this Act.
(c) Reports Required.--
(1) In general.--Not later than 90 days after the date of
the enactment of this Act, and every 90 days thereafter, the
President shall submit to Congress a report--
(A) specifying the amounts in the Fund obligated
during the 90-day period preceding submission of the
report; and
(B) describing the materials procured using such
amounts.
(2) Form.--Each report required by paragraph (1) shall be
submitted in unclassified form but may include a classified
annex.
SEC. 4. RULES OF CONSTRUCTION.
Nothing in this Act may be construed--
(1) to affect the authorities of the President under the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.); or
(2) to authorize the provisions of funds to Ukraine to
repay loans made to Ukraine by other countries.
SEC. 5. DEFINITION OF COVERED EXECUTIVE ORDER.
In this Act, the term ``covered Executive order'' means any of the
following:
(1) Executive Order 14024 (50 U.S.C. 1701 note; relating to
blocking property with respect to specified harmful foreign
activities of the Government of the Russian Federation).
(2) Executive Order 14065 (50 U.S.C. 1701 note; relating to
blocking property of certain persons and prohibiting certain
transactions with respect to continued Russian efforts to
undermine the sovereignty and territorial integrity of
Ukraine).
(3) Executive Order 14068 (50 U.S.C. 1701 note; relating to
prohibiting certain imports, exports, and new investment with
respect to continued Russian Federation aggression).
(4) Executive Order 14071 (50 U.S.C. 1701 note; relating to
prohibiting new investment in and certain services to the
Russian Federation in response to continued Russian Federation
aggression).
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