[Congressional Bills 118th Congress] [From the U.S. Government Publishing Office] [S. 4086 Introduced in Senate (IS)] <DOC> 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). <all>