[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3508 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                H. R. 3508

   To require the President to impose sanctions on foreign financial 
 institutions that conduct transactions with the Central Bank of Iran.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 22, 2011

Mr. Flake (for himself and Mr. McIntyre) introduced the following bill; 
which was referred to the Committee on Foreign Affairs, and in addition 
to the Committee on Financial Services, 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 require the President to impose sanctions on foreign financial 
 institutions that conduct transactions with the Central Bank of Iran.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. IMPOSITION OF SANCTIONS ON FOREIGN FINANCIAL INSTITUTIONS 
              THAT CONDUCT TRANSACTIONS WITH THE CENTRAL BANK OF IRAN.

    Section 104 of the Comprehensive Iran Sanctions, Accountability, 
and Divestment Act of 2010 (22 U.S.C. 8513) is amended--
            (1) by redesignating subsections (h) and (i) as subsections 
        (i) and (j), respectively; and
            (2) by inserting after subsection (g) the following new 
        subsection:
    ``(h) Imposition of Sanctions on Foreign Financial Institutions 
That Conduct Transactions With the Central Bank of Iran.--
            ``(1) In general.--Subject to paragraphs (2), (3), and (4), 
        not later than 30 days after the date of the enactment of this 
        subsection, the President shall--
                    ``(A) prohibit the opening or maintaining in the 
                United States of a correspondent account or a payable-
                through account by a foreign financial institution that 
                the President determines has knowingly conducted any 
                financial transaction with the Central Bank of Iran; 
                and
                    ``(B) freeze and prohibit all transactions in all 
                property and interests in property of each such foreign 
                financial institution if such property and interests in 
                property are in the United States, come within the 
                United States, or are or come within the possession or 
                control of a United States person.
            ``(2) Exception for sales of food, medicine, and medical 
        devices.--The President may not impose sanctions under 
        paragraph (1) on a foreign financial institution for engaging 
        in a transaction with the Central Bank of Iran for the sale of 
        food, medicine, or medical devices to Iran.
            ``(3) Applicability.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), paragraph (1) applies with respect to 
                financial transactions commenced on or after the date 
                of the enactment of this subsection.
                    ``(B) Petroleum transactions.--Paragraph (1) 
                applies with respect to financial transactions for the 
                purchase of petroleum or petroleum products through the 
                Central Bank of Iran commenced on or after the date 
                that is 180 days after the date of the enactment of 
                this subsection.
            ``(4) Waiver.--
                    ``(A) In general.--The President may waive the 
                application of paragraph (1) with respect to a foreign 
                financial institution for a period of not more than 60 
                days, and may renew that waiver for additional periods 
                of not more than 60 days, if the President determines 
                and reports to the appropriate congressional committees 
                every 60 days that the waiver is necessary to the 
                national security interest of the United States.
                    ``(B) Form.--A report submitted pursuant to 
                subparagraph (A) shall be submitted in unclassified 
                form, but may contain a classified annex.
            ``(5) Foreign financial institution.--For purposes of this 
        subsection, the term `foreign financial institution' includes a 
        financial institution owned or controlled by a foreign 
        government.''.
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