Senate: Penalties for firms dealing with Iran
Washington, 18 June (IranVNC)—US lawmakers convened today and united in the push for stronger economic sanctions against Iran by supporting new legislation that would take a firmer stance in punishing foreign companies that do business with Iran.
By: IranVNC
Published: Wednesday, June 18, 2008
17:45GMT—1:45PM/EST
SANCTIONS – US – IRAN – RUSSIA
Washington, 18 June (IranVNC)—US lawmakers convened today and united in the push for stronger economic sanctions against Iran by supporting new legislation that would take a firmer stance in punishing foreign companies that do business with Iran.
The legislation under review, entitled the “Iran Sanctions Act of 2008”, was drafted by Senate Finance Committee Chairman Max Baucus, a Democrat from Montana. Baucus’ bill attempts to tighten sanctions against Iran in hopes of stepping up pressure on the Islamic Republic to end its independent enrichment activities, while trying to keep humanitarian needs in mind.
If passed, the bill could jeopardize a civilian nuclear cooperation deal between Russia and the US that may strain US-Russia relations.
This bill is a watered-down version of an earlier Iran sanctions bill, S-970, that did not pass through Congress because of the concern of alienating Russia, which has put off imposing stronger sanctions against Iran, as well as worries that the harsh sanctions would harm the basic humanitarian needs of the Iranian people.
While the Senate Finance Committee members today unanimously supported the new legislation, the same concerns about Russia remain. Democratic Senator from New Mexico, Jeff Bingaman, proposed an amendment to the bill that would eliminate the section of the legislation that could damage America’s precarious relationship with Russia.
“The Legislation would be turning its back on what I believe is probably the greatest non-proliferation success since the end of the Cold War,” said Bingaman referring to Russia’s civilian cooperation agreement with the US.
Bingaman said he had a letter from Secretary of State Condoleezza Rice expressing her support for the removal of the section of the legislation that could raise Russian tensions.
The Senator went on to say that Russia has proposed creating an international uranium enrichment facility on Russian territory and supervised by the UN nuclear watchdog the IAEA. If implemented, Bingaman said Iran’s reason for insisting on enriching uranium for civilian energy purposes would fall apart.
Passing the legislation as it stands “takes away a lot of incentives Russia has to cooperate with us in the UN Security Council,” said Bingaman.
Gordon Smith, a Republican Senator from Oregon, rebutted Bingaman’s amendment saying, “Russia has been the principle aider, abettor, financer, and enabler of nuclear proliferation to a nation [i.e. Iran] that swears almost daily that they will use this [nuclear weapons], and they will use it against an ally.”
He added: “This bill needs to move forward and I hope we leave these provisions in.”
The amendment failed to pass after a vote, particularly because some members of the committee said Russia has not been as helpful as it should in curbing Iran’s alleged nuclear weaponization.
An amendment proposed by Republican Senator Jim Bunning of Arizona, which requires a time-frame for punishing foreign private and state-run companies that would potentially violate any sanction against Iran, passed almost unanimously during the Senate meeting.
The unilateral sanctions act must still be voted on by the entire Senate and pass through the House of Representatives, before being officially implemented as US policy.
Sources: IranVNC Correspondent in Washington
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