Petroplex News

Representatives August Pfluger and Jimmy Panetta have introduced bipartisan legislation aimed at ramping up the enforcement of oil sanctions against Iran. The bill, known as the Iranian Sanctions Enforcement Act, seeks to equip Homeland Security Investigations (HSI) with the necessary tools to cut off Iran's funding for terrorist proxies.

According to reports, Iran has seen a significant increase in its oil revenue, totaling $80 billion since 2021. This revenue has been utilized by the Islamic Revolutionary Guard Corps (IRGC) to fund terrorist organizations such as Hamas, Palestinian Islamic Jihad, and Hezbollah.

Congressman August Pfluger highlighted the urgency of addressing Iran's behavior, stating, "Iran is using its oil revenue to fund terror around the world, including Hamas' barbaric terrorist attack on Israel. The United States cannot allow this behavior to go unchecked." He further emphasized the need to provide HSI with the tools necessary to seize illicit Iranian oil sales and ensure that the funds can no longer be used to finance terrorism.

Representative Jimmy Panetta echoed Pfluger's concerns, noting that while there are existing sanctions against Iran, there are inadequate enforcement mechanisms. He emphasized the importance of the bipartisan legislation in bolstering the ability to enforce sanctions through increased manpower and improved access to tools. Panetta stressed that the legislation not only aims to enforce sanctions but also to counter Iran's malign actions and enhance security in the Middle East and the world.

Senator Joni Ernst, a member of the Senate Armed Services Committee, emphasized the need to cut off Iran's funding for terrorism. She stated, "Right now, we are witnessing the chaos Iran-backed Hamas is inflicting on Israel and the world, funded by the IRGC's illicit oil sales. Instead of allowing Iran's illegal actions to continue, I'm working to cut the red tape and equip HSI, and its proven record of enforcing sanctions, with the support and resources it needs to go after and stop Tehran."

Senator Richard Blumenthal also expressed support for the legislation, highlighting the importance of cracking down on illicit Iranian oil sales. He stated, "Because profits from Iran's illicit oil directly support Hamas and other terrorist proxies, efforts to crack down on these sales are critically important."

The Iranian Sanctions Enforcement Act provides HSI with the necessary resources to enforce oil sanctions on Iran. It establishes the Iran Sanctions Enforcement Fund, which equips HSI with the means to carry out these sanctions effectively. The legislation authorizes a one-time investment of $150 million for this fund, which is required to be paid back within 10 years, adjusted for inflation.

Under the current law, 75% of funds from U.S. oil seizures go to the U.S. Victims of State-Sponsored Terror Fund. However, under the Iranian Sanctions Enforcement Act, an additional 25% would go to the enforcement fund, which would be capped at $500 million. Any excess funds would be utilized for paying down the national debt.

Furthermore, the legislation ensures that the authority given to HSI and other agencies to carry out sanctions enforcement cannot be undone by a future president. This is achieved by codifying into law the 2010 Executive Order that established the Export Enforcement Coordination Center.

In conclusion, Representatives August Pfluger and Jimmy Panetta, along with Senators Joni Ernst and Richard Blumenthal, have introduced the Iranian Sanctions Enforcement Act to enhance the enforcement of oil sanctions against Iran. The legislation aims to equip HSI with the necessary resources to seize illicit Iranian oil sales and prevent the funds from being used to finance terrorism. The bill also allocates a percentage of seized funds to the enforcement fund, which would help pay down the national debt. With bipartisan support, the legislation seeks to counter Iran's malign actions and enhance security in the region and beyond.

Click this link to access more information: https://pfluger.house.gov/news/documentsingle.aspx?DocumentID=939