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AMENDMENT NO.llll

Calendar No.lll

Purpose: To expand sanctions imposed with respect to Iran.

IN THE SENATE OF THE UNITED STATES112th Cong., 2d Sess.

S. 2101 To strengthen the multilateral sanctions regime with respect to Iran, to expand sanctions relating to the energy sector of Iran, the proliferation of weapons of mass destruction by Iran, and human rights abuses in Iran, and for other purposes. Referred to the Committee on llllllllll and ordered to be printed Ordered to lie on the table and to be printed AMENDMENTS intended to be proposed by Mr. KIRK Viz:

Beginning on page 20, strike line 20 and all that fol-

2 lows through page 21, line 19, and insert the following: 3 4 5 6 7 8 9 10 (19) CREDIBLE
INFORMATION.The

term

credible information, with respect to a person (A) includes (i) a public announcement by the person that the person has engaged in an activity described in section 5; (ii) information set forth in a report to stockholders of the person indicating

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2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 that the person has engaged in such an activity; and (iii) information indicating that the person has engaged in such an activity that is set forth in (I) a report of the Government Accountability Office, the Energy Information Administration, or the Congressional Research Service; or (II) a report or publication of a similarly reputable governmental organization; and (B) may include, in the discretion of the President, an announcement by the Government of Iran that the person has engaged in such an activity.

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3 1 2 3 4 5 6 7 8 Strike section 216 and insert the following:

SEC. 216. REPORTS ON, AND AUTHORIZATION OF IMPOSITION OF SANCTIONS WITH RESPECT TO, THE PROVISION OF SERVICES TO IRANIAN FINANCIAL INSTITUTIONS AND PERSONS IDENTIFIED AS PART OF THE GOVERNMENT OF IRAN.

(a) REPORT

ON THE

PROVISION

OF

SERVICES

TO

9 IRANIAN FINANCIAL INSTITUTIONS 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

TIFIED AS

AND

PERSONS IDEN-

PART OF THE GOVERNMENT OF IRAN.

ACCOUNTABILITY OFFICE RE-

(1) GOVERNMENT
PORT.Not

later than 60 days after the date of the

enactment of this Act, and every 180 days thereafter, the Comptroller General of the United States shall submit to the appropriate congressional committees a list of all known entities, including the Society for Worldwide Interbank Financial Telecommunication (in this section referred to as SWIFT) and Clearstream, that provide services to, or enable or facilitate access to services for, any Iranian financial institution, including the Central Bank of Iran, and any person on the list contained in Appendix A to the Iranian Transactions Regulations.

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4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (2) REPORT
BY ENTITIES THAT PROVIDE SERV-

ICES TO IRANIAN FINANCIAL INSTITUTIONS AND PERSONS IDENTIFIED AS PART OF THE GOVERNMENT OF IRAN.

(A) IN

GENERAL.An

entity identified in

a report required by paragraph (1) shall, not later than 180 days after being identified in the report, and every 180 days thereafter, submit to the Secretary of the Treasury a report that describes any relationships of the entity with an Iranian financial institution, including the Central Bank of Iran, and any person on the list contained in Appendix A to the Iranian Transactions Regulations, during the 180-day period preceding the submission of the report, including (i) assets managed, or funds held, for or on behalf of an Iranian financial institution or a person on that list; (ii) transactions conducted with or facilitated for an Iranian financial institution or a person on that list; (iii) services provided to an Iranian financial institution or a person on that list; and

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5 1 2 3 4 5 6 7 8 9 10 11 12 (iv) services provided to an entity that holds funds for or on behalf of an Iranian financial institution or a person on that list. (B) PUBLIC
DISCLOSURE.The

Secretary

of the Treasury shall post a copy of a report submitted under subparagraph (A) on the website of the Department of the Treasury not later than 72 hours after the report is submitted. (b) REPORT
VISION BY ON

EFFORTS

TO OF

TERMINATE SERVICES

THE

PRO-

CERTAIN ENTITIES
AND

TO

IRANIAN
AS

13 FINANCIAL INSTITUTIONS 14 PART

OF THE

PERSONS IDENTIFIED

GOVERNMENT

OF

IRAN.Not later than

15 90 days after the date of the enactment of this Act, the 16 Secretary of the Treasury shall submit to the appropriate 17 congressional committees a report on the status of efforts 18 to ensure that SWIFT, Clearstream, and other entities 19 that provide similar services, have terminated the provi20 sion of services to, and the enabling and facilitation of ac21 cess to services for, Iranian financial institutions, includ22 ing the Central Bank of Iran, and persons on the list con23 tained in Appendix A to the Iranian Transactions Regula24 tions.

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6 1 2 (c) AUTHORIZATION
TIONS.If FOR THE IMPOSITION OF

SANC-

an entity has not terminated the provision of

3 services to, and the enabling and facilitation of access to 4 services for, Iranian financial institutions, including the 5 Central Bank of Iran, and persons on the list contained 6 in Appendix A to the Iranian Transactions Regulations, 7 by the date that is 90 days after the date of the enactment 8 of this Act, or fails to submit a report required by sub9 section (a)(2) by the date the report is required to be sub10 mitted, the President may 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (1) impose sanctions pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) with respect to the entity or its directors; and (2) in the case of an entity that is a foreign financial institution, prohibit, or impose strict conditions on, the opening or maintaining in the United States of a correspondent account or a payablethrough account by the entity under section 104(c) of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (22 U.S.C. 8513(c)). (d) DEFINITIONS.In this section: (1) IRANIAN
FINANCIAL INSTITUTION.The

term Iranian financial institution has the meaning

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7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 The given that term in section 104 of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (22 U.S.C. 8513), as amended by section 216A. (2) IRANIAN term
TRANSACTIONS REGULATIONS.

Iranian

Transactions

Regulations

means part 560 of title 31, Code of Federal Regulations. (3) SERVICES.The term services includes communications, financial (including trade and posttrade), hardware, software, or professional consulting services.
SEC. 216A. EXPANSION OF CERTAIN SANCTIONS UNDER THE COMPREHENSIVE IRAN SANCTIONS, ACCOUNTABILITY, AND DIVESTMENT ACT OF 2010 TO APPLY WITH RESPECT TO ALL IRANIAN FINANCIAL INSTITUTIONS.

(a) IN GENERAL.Section 104(c)(2) of the Com-

19 prehensive Iran Sanctions, Accountability, and Divestment 20 Act of 2010 (22 U.S.C. 8513(c)(2)) is amended 21 22 23 24 25 (1) in subparagraph (D), by striking ; or and inserting a semicolon; (2) in subparagraph (E) (A) in clause (i), by striking ; or and inserting a semicolon;

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8 1 2 3 4 5 6 7 8 9 (B) in clause (ii)(II), by striking the period at the end and inserting ; or; and (C) by adding at the end the following: (iii) any other Iranian financial institution; or; and (3) by adding at the end the following: (F) fails to submit a report required by subsection (i).. (b) PUBLIC DISCLOSURE
OF

FINANCIAL DEALINGS

10 WITH IRANIAN FINANCIAL INSTITUTIONS.Section 104 11 of the Comprehensive Iran Sanctions, Accountability, and 12 Divestment Act of 2010 (22 U.S.C. 8513) is amended 13 14 15 16 17 18 19 (1) by redesignating subsection (i) as subsection (j); and (2) by inserting after subsection (h) the following: (i) REQUIREMENTS
STITUTIONS OR FOR

FOREIGN FINANCIAL IN-

MAINTAINING CORRESPONDENT ACCOUNTS

IN THE

PAYABLE-THROUGH ACCOUNTS

UNITED

20 STATES. 21 22 23 24 25 (1) IN
GENERAL.Not

later than 180 days

after the date of the enactment of the Iran Sanctions, Accountability, and Human Rights Act of 2012, and every 180 days thereafter, a foreign financial institution that maintains a correspondent

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9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 account or a payable-through account in the United States shall submit to the Secretary of the Treasury a report that describes any financial dealings of the foreign financial institution with an Iranian financial institution during the 180-day period preceding the submission of the report, including (A) correspondent accounts and payablethrough accounts maintained with an Iranian financial institution; (B) transactions conducted with or facilitated for an Iranian financial institution; (C) services provided to an Iranian financial institution; and (D) funds held for or on behalf of an Iranian financial institution. (2) PUBLIC
DISCLOSURE.The

Secretary of

the Treasury shall post a copy of a report submitted under paragraph (1) on the website of the Department of the Treasury not later than 72 hours after the report is submitted.. (c) IRANIAN FINANCIAL INSTITUTION DEFINED.

22 Paragraph (1) of section 104(j) of the Comprehensive Iran 23 Sanctions, Accountability, and Divestment Act of 2010, 24 as redesignated by subsection (b) of this section, is amend25 ed

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10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 The (1) by redesignating subparagraph (E) as subparagraph (F); and (2) by inserting after subparagraph (D) the following: (E) IRANIAN term
FINANCIAL INSTITUTION.

Iranian

financial

institution

means (i) a financial institution organized under the laws of Iran or any jurisdiction within Iran, including a foreign branch of such an institution; (ii) a financial institution located in Iran; (iii) a financial institution, wherever located, owned or controlled by the Government of Iran; and (iv) a financial institution, wherever located, owned or controlled by a financial institution described in clause (i), (ii), or (iii).. (d) REGULATIONS.Not later than 90 days after the

22 date of the enactment of this Act, the Secretary of the 23 Treasury shall make such revisions to the regulations pre24 scribed under section 104 of the Comprehensive Iran 25 Sanctions, Accountability, and Divestment Act of 2010

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11 1 (22 U.S.C. 8513) as are necessary to carry out the amend2 ments made by this section. 3 4 5 6 7 8 9
SEC. 216B. EXPANSION OF SANCTIONS UNDER THE NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2012 TO APPLY WITH RESPECT TO TRANSACTIONS WITH AND THE MAINTENANCE OF FUNDS OR ACCOUNTS FOR ALL IRANIAN FINANCIAL INSTITUTIONS.

(a) IN GENERAL.Section 1245(d) of the National

10 Defense Authorization Act for Fiscal Year 2012 (Public 11 Law 11281; 125 Stat. 1648) is amended 12 13 14 15 16 17 18 19 20 21 22 23 24 (1) in paragraph (1)(A), by striking the Central Bank of Iran and all that follows through et seq.) and inserting , or maintained funds or accounts for or on behalf of, the Central Bank of Iran or another Iranian financial institution; and (2) by striking paragraph (3) and inserting the following: (3) APPLICABILITY
OF SANCTIONS WITH RE-

SPECT TO FOREIGN CENTRAL BANKS.Sanctions

imposed under paragraph (1)(A) shall apply with respect to a foreign financial institution owned or controlled by the government of a foreign country, including a central bank of a foreign country, to the

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12 1 2 3 same extent and in the same manner as such sanctions apply to other foreign financial institutions.. (b) IRANIAN FINANCIAL INSTITUTION DEFINED.

4 Section 1245(h) of the National Defense Authorization 5 Act for Fiscal Year 2012 (Public Law 11281; 125 Stat. 6 1650) is amended 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 (1) in paragraph (2), by striking (i) each place it appears; (2) by redesignating paragraph (3) as paragraph (4); and (3) by inserting after paragraph (2) the following: (3) IRANIAN
FINANCIAL INSTITUTION.The

term Iranian financial institution has the meaning given that term in section 104 of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (22 U.S.C. 8513)..
SEC. 216C. IMPOSITION OF SANCTIONS WITH RESPECT TO THE PROVISION OF UNDERWRITING SERVICES OR INSURANCE OR REINSURANCE FOR ACTIVITIES OR PERSONS WITH RESPECT TO WHICH SANCTIONS HAVE BEEN IMPOSED.

(a) IN GENERAL.Except as provided in subsection

24 (b), not later than 60 days after the date of the enactment 25 of this Act, the President shall impose 3 or more of the

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13 1 sanctions described in section 6(a) of the Iran Sanctions 2 Act of 1996 (Public Law 104172; 50 U.S.C. 1701 note) 3 with respect to a person if the President determines that 4 the person knowingly, on or after such date of enactment, 5 provides underwriting services or insurance or reinsur6 ance 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (1) for any activity with respect to Iran for which sanctions have been imposed under this Act, the Iran Sanctions Act of 1996, the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010 (22 U.S.C. 8501 et seq.), the Iran, North Korea, and Syria Nonproliferation Act (Public Law 106178; 50 U.S.C. 1701 note), or any other provision of law relating to the imposition of sanctions with respect to Iran; or (2) to or for any person (A) with respect to, or for the benefit of, any activity (i) in Iran; or (ii) that involves any entity that is organized under the laws of Iran or is otherwise subject to the jurisdiction of the Government of Iran or any affiliate of such an entity; or

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14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (B) designated for the imposition of sanctions pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) in connection with (i) Irans proliferation of weapons of mass destruction or delivery systems for weapons of mass destruction; or (ii) Irans support for international terrorism. (b) EXCEPTIONS. (1) UNDERWRITERS
AND INSURANCE PRO-

VIDERS EXERCISING DUE DILIGENCE.The

Presi-

dent may not impose sanctions under subsection (a) with respect to a person that provides underwriting services or insurance or reinsurance if the President determines that the person has exercised due diligence in establishing and enforcing official policies, procedures, and controls to ensure that the person does not provide underwriting services or insurance or reinsurance for an activity described in paragraph (1) of subsection (a) or to or for a person described in paragraph (2) of that subsection. (2) FOOD;
ANCE.The MEDICINE; HUMANITARIAN ASSIST-

President may not impose sanctions

under subsection (a) with respect to a person that

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15 1 2 3 4 5 6 7 8 9
TO

provides underwriting services or insurance or reinsurance for any activity relating to (A) the provision of agricultural commodities, food, medicine, or medical devices to Iran; or (B) the provision of humanitarian assistance to the people of Iran. (c) APPLICABILITY
OF

SANCTIONS WITH RESPECT

CRUDE OIL PURCHASES FROM IRAN.Sanctions im-

10 posed pursuant to subsection (a) shall not apply with re11 spect to the provision of underwriting services or insur12 ance or reinsurance with respect to a purchase of crude 13 oil from Iran if an exemption under paragraph (4)(D) of 14 section 1245(d) of the National Defense Authorization Act 15 for Fiscal Year 2012 (Public Law 11281; 125 Stat. 16 1648) to the imposition of sanctions under paragraph (1) 17 of that section applies with respect to the country with 18 primary jurisdiction over the person that purchased the 19 crude oil from Iran at the time of the purchase. 20 (d) WAIVER.The President may waive the imposi-

21 tion of sanctions under subsection (c) for a period of not 22 more than 120 days, and may renew that waiver for addi23 tional periods of not more than 120 days, if the Presi24 dent

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16 1 2 3 4 5 6 7 8 9 10 11 12 and (B) that includes any concrete cooperation the President has received or expects to receive as a result of the waiver.
SEC. 216D. EXPANSION OF SANCTIONS WITH RESPECT TO THE ENERGY SECTOR OF IRAN.

(1) determines that such a waiver is vital to the national security of the United States; and (2) submits to the appropriate congressional committees a report (A) providing a justification for the waiver;

(a) SENSE OF CONGRESS.It is the sense of the Con-

13 gress that 14 15 16 17 18 19 20 21 22 23 (1) as noted in United Nations Security Council Resolution 1929 (2010), the revenues derived by the Government of Iran from the energy sector of Iran may be used to fund Irans proliferation-sensitive nuclear activities; and (2) the energy sector of Iran should be regarded as a zone of proliferation concern with which no legitimate international business should be conducted. (b) IMPOSITION
OF

SANCTIONS WITH RESPECT ENERGY SECTOR

TO

24 CERTAIN ENTITIES

IN THE

OF IRAN.

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17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 (1) IN
GENERAL.Except

as specifically pro-

vided in this section, beginning on the date that is 60 days after the date of the enactment of this Act, the President shall impose sanctions pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) with respect to any person that conducts any transaction with, or invests in, any entity described in paragraph (2). (2) ENTITY
DESCRIBED.An

entity described

in this paragraph is (A) any entity that (i) is organized under the laws of Iran or is otherwise subject to the jurisdiction of the Government of Iran; and (ii)(I) is involved in the development, production, extraction, or transportation of petroleum, refined petroleum products, natural gas, or petrochemical products, without regard to whether such development, production, extraction, or transportation occurs in Iran; or (II) provides financing or other services with respect to such development, production, extraction, or transportation; and

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18 1 2 3 4 5 6 7 8 9 10
TO

(B) any entity that provides goods, services, or technology to an entity described in subparagraph (A). (3) SERVICES
DEFINED.For

purposes of this

subsection, the term services includes transportation, insurance, reinsurance, software, hardware, financial, professional consulting, engineering, specialized energy information, and support services. (c) APPLICABILITY
OF

SANCTIONS WITH RESPECT

CRUDE OIL PURCHASES FROM IRAN.Sanctions im-

11 posed pursuant to subsection (b) shall not apply with re12 spect to a person that purchases crude oil from Iran, or 13 to a person that provides goods, services, or technology 14 to facilitate or enable such a purchase, if an exemption 15 under paragraph (4)(D) of section 1245(d) of the Na16 tional Defense Authorization Act for Fiscal Year 2012 17 (Public Law 11281; 125 Stat. 1648) to the imposition 18 of sanctions under paragraph (1) of that section applies 19 with respect to the country with primary jurisdiction over 20 the person that purchased the crude oil from Iran at the 21 time of the purchase. 22 (d) WAIVER.The President may waive the imposi-

23 tion of sanctions under subsection (b) for a period of not 24 more than 120 days, and may renew that waiver for addi-

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19 1 tional periods of not more than 120 days, if the Presi2 dent 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 and (B) that includes any concrete cooperation the President has received or expects to receive as a result of the waiver. (e) REPORT. (1) IN
GENERAL.Not

(1) determines that such a waiver is vital to the national security of the United States; and (2) submits to the appropriate congressional committees a report (A) providing a justification for the waiver;

later than 180 days

after the date of the enactment of this Act, and every 180 days thereafter, the Comptroller General of the United States shall submit to the appropriate congressional committees a report that identifies each entity described in subsection (b)(2). (2) FORM
OF REPORT.Each

report submitted

under this subsection shall be submitted in unclassified form, but may contain a classified annex. (f) RULE
OF

CONSTRUCTION.Nothing in this sec-

23 tion shall be construed to require or authorize the imposi24 tion of sanctions with respect to any person that partici25 pates in, or provides services to, a joint venture established

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20 1 before January 1, 2002, with respect to the development 2 of petroleum resources outside of Iran. 3 (g) DEFINITIONS.In this section, the terms petro-

4 chemical product and refined petroleum products have 5 the meanings given those terms in section 14 of the Iran 6 Sanctions Act of 1996, as amended by section 205 of this 7 Act. 8 9 10 11 12 ings: 13 14 15 16 17 18 19 20 21 22 23 24 25 (1) On March 20, 2012, President Barack Obama said: Yet increasingly, the Iranian people are denied the basic freedom to access the information that they want. Instead, the Iranian government jams satellite signals to shut down television and radio broadcasts. It censors the Internet to control what the Iranian people can see and say. The regime monitors computers and cell phones for the sole purpose of protecting its own power. And in recent weeks, Internet restrictions have become so severe that Iranians cannot communicate freely with their loved ones within Iran, or beyond its borders. Technologies that should empower citizens are being used
SEC. 216E. IMPOSITION OF SANCTIONS WITH RESPECT TO THE TELECOMMUNICATIONS AND TECH-

NOLOGY SECTORS OF IRAN.

(a) FINDINGS.Congress makes the following find-

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21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 to repress them. Because of the actions of the Iranian regime, an electronic curtain has fallen around Irana barrier that stops the free flow of information and ideas into the country, and denies the rest of the world the benefit of interacting with the Iranian people, who have so much to offer.. (2) As more citizens of Iran use the Internet as a source for news and political debate, the Government of Iran has responded by monitoring and filtering Internet content, limiting or suspending access to the Internet, creating a culture of fear that includes scare tactics, legal measures, spying in Internet cafes, tracking and targeting people, jamming and outlawing foreign information, and intimidation. (3) The Government of Iran routinely blocks access to Facebook, Twitter, YouTube, and other social networking sites, blog platforms, photograph- or video-exchange websites, and other websites related to politics and human rights. (4) Recent reports indicate that the Government of Iran has blocked more than 5,000,000 websites, including frequently accessed sites such as Gmail, Yahoo Mail, and Skype, stifling the ability of

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22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 millions to interact with those inside and outside of Iran. (5) Through a 2006 law, the Government of Iran has limited access to broadband Internet and Internet speeds are further slowed during times of heightened public discourse, including elections, planned protests, or other major national events that might lead to public assembly. (6) The Government of Iran has announced its intention to create a National Intranet to better control and monitor the flow of information. To prevent citizens of Iran from accessing content outside the country, the Government of Iran took the draconian step of blocking the most common form of secure connection (SSL) used by millions of web services and businessespreventing an estimated

30,000,000 citizens of Iran from using email or Skype to connect to the outside world. (7) Through threatening tactics and harsh laws, the Government of Iran has created a culture of fear among Internet users that causes them to self-censor or to avoid using the Internet altogether. (8) The Government of Iran has created a socalled Cyber Army of up to 15,000 internet enforcers. In August 2011, the Iranian Cyber Army

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23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 created a fake email certificate authority, exposing the personal details of more than 400,000 email account holders. Nongovernmental organizations report that authorities occasionally stopped citizens arriving at the Tehran International Airport and asked them to log into their YouTube and Facebook accounts, sometimes forcing them to delete information. (9) The Iranian Cyber Crime Act of 2009 allows the Government of Iran to prosecute citizens of Iran for crimes such as disseminating information likely to agitate the public and insulting the Supreme Leader. Laws are arbitrarily applied based on enforcers interests. (10) According to reports, Internet cafes in Iran are required to record the personal information for each user as well as the date, time, Internet Protocol (IP) address, and domain name of each website visited. (11) Reports also suggest that the security services of Iran are becoming more adept at using citizens own technology against them, tracking opposition figures for harassment and abuse. The people of Iran are increasingly concerned that using devices to connect to one another will expose them-

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24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 selves and their associates to retribution by the Government of Iran. (12) The Government of Iran engages in a systematic campaign to prevent news, entertainment, and opinions from reaching media that is not subject to government. control. (13) The Government of Iran jams or interferes with foreign broadcasts from around the world, misusing satellite equipment to simultaneously block dozens of channels on international satellites. Recently, the Government of Iran helped Syria jam AlJazeeras coverage of protests and the Syrian regimes bloody crackdown. Ironically, the Government of Iran uses the same satellites and frequencies to broadcast its own news and ideology worldwide, in more than 10 languages and on more than 25 channels. (14) The Government of Iran outlawed the ownership of satellite dishes, criminalizing owners of even those most basic information tools. Furthermore, citizens of Iran simply trying to submit questions or send information to foreign broadcasters by short message service (SMS) messages receive a menacing auto-text back from the Government of Iran threatening them with imprisonment.

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25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 (15) Most recently, the Government of Iran arrested and harassed the family member of a reporter associated with the British Broadcasting Corporations Persian Service and has continued to harass other citizens of Iran supposedly linked to the British Broadcasting Corporation. However, Iranian authorities also harass and threaten advertisers on satellite channels broadcasting into Iran, and they routinely imprison journalists, bloggers, and free speech advocates. Saeed Malekpour, a web programmer, along with at least 2 other Iranian net-izens, currently sits on death row on trumped-up charges. (16) On March 20, 2012, President Obama said: The United States will continue to draw attention to the electronic curtain that is cutting the Iranian people off from the world. And we hope that others will join us in advancing a basic freedom for the Iranian people: the freedom to connect with one another, and with their fellow human beings.. (b) SENSE
OF

CONGRESS.It is the sense of Con-

21 gress that 22 23 24 25 (1) the Government of Iran uses advanced technology and telecommunications systems to commit human rights abuses against the citizens of Iran in direct violation of the United Nations Universal Dec-

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26 1 2 3 4 5 6 7 8 9 laration of Human Rights, adopted at Paris December 10, 1948; and (2) the telecommunications and technology sectors of Iran should be regarded as zones of electronic repression with which no legitimate international business should be conducted other than for the purpose of establishing free and safe communications for the people of Iran. (c) IMPOSITION
OF

SANCTIONS WITH RESPECT TELECOMMUNICATIONS

TO

10 CERTAIN ENTITIES

IN THE

AND

11 TECHNOLOGY SECTORS OF IRAN. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (1) IN

GENERAL.Except

as specifically pro-

vided in this section, beginning on the date that is 60 days after the date of the enactment of this Act, the President shall impose sanctions pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) with respect to any person that conducts any transaction with, or invests in, any entity described in paragraph (2). (2) ENTITY
DESCRIBED.An

entity described

in this paragraph is (A) any entity that (i) is organized under the laws of Iran or is otherwise subject to the jurisdiction of the Government of Iran; and

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27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
TO

(ii) is involved in the development, manufacturing, provision, maintenance, repair, installation, construction, supply, or transportation of telecommunications or other technology; or (B) any entity that provides goods, services, or technology to an entity described in subparagraph (A). (3) SERVICES
DEFINED.For

purposes of this

subsection, the term services includes software, hardware, professional consulting, engineering, specialized information, and support services. (d) APPLICABILITY
OF

SANCTIONS WITH RESPECT

ENTITIES LICENSED BY THE OFFICE OF FOREIGN ASCONTROL.Sanctions imposed pursuant to sub-

SETS

16 section (c) shall not apply with respect to a person licensed 17 by the Office of Foreign Assets Control of the Department 18 of the Treasury to provide, or support the provision of, 19 goods, services, or technology to Iran to facilitate the ac20 cess of the people of Iran to free and safe communications, 21 including access to telephone and data services such as 22 voice, Internet, email, text messaging, and satellite serv23 ices. 24 (e) WAIVER.The President may waive the imposi-

25 tion of sanctions under subsection (c) for a period of not

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28 1 more than 120 days, and may renew that waiver for addi2 tional periods of not more than 120 days, if the Presi3 dent 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 and (B) that includes any concrete cooperation the President has received or expects to receive as a result of the waiver. (e) REPORT. (1) IN
GENERAL.Not

(1) determines that such a waiver is vital to the national security of the United States; and (2) submits to the appropriate congressional committees a report (A) providing a justification for the waiver;

later than 180 days

after the date of the enactment of this Act, and every 180 days thereafter, the Comptroller General of the United States shall submit to the appropriate congressional committees a report that identifies each entity described in subsection (c)(2). (2) FORM
OF REPORT.Each

report submitted

under this subsection shall be submitted in unclassified form, but may contain a classified annex.

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29 1 2 3 4
SEC. 216F. TECHNICAL CORRECTION TO EXEMPTION FROM SANCTIONS UNDER THE NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL YEAR 2012.

(a) IN GENERAL.Section 1245(d)(4)(D) of the Na-

5 tional Defense Authorization Act for Fiscal Year 2012 6 (Public Law 11281; 125 Stat. 1648) is amended by strik7 ing a foreign financial institution and inserting a fi8 nancial transaction conducted or facilitated by a foreign 9 financial institution for the purchase of petroleum or pe10 troleum products from Iran. 11 (b) EFFECTIVE DATE.The amendment made by

12 subsection (a) shall take effect as if included in the Na13 tional Defense Authorization Act for Fiscal Year 2012 14 (Public Law 11281; 125 Stat. 1298). 15 16 17 18 19
SEC. 216G. AUTHORITY OF STATE AND LOCAL GOVERNMENTS TO PROHIBIT THE ISSUANCE OF CERTAIN LICENSES TO PERSONS THAT INVEST IN IRAN.

(a) SENSE

OF

CONGRESS.It is the sense of Con-

20 gress that, in addition to supporting the decision of any 21 State or local government to divest from or prohibit the 22 investment of assets of the State or local government in 23 a person that engages in investment activities in the en24 ergy sector of Iran as provided for in section 202 of the 25 Comprehensive Iran Sanctions, Accountability, and Di26 vestment Act of 2010 (22 U.S.C. 8532), the United States

MAR12331

S.L.C.

30 1 should support the decision of any State or local govern2 ment to prohibit the issuance of licenses to conduct busi3 ness in the State or locality to any such person. 4 5 (b) AUTHORITY
MENTS.Section OF

STATE

AND

LOCAL GOVERN-

202(b) of the Comprehensive Iran Sanc-

6 tions, Accountability, and Divestment Act of 2010 (22 7 U.S.C. 8532(b)) is amended by striking or prohibit in8 vestment of the assets of the State or local government 9 in, and inserting prohibit investment of the assets of 10 the State or local government in, or prohibit the issuance 11 of licenses to conduct business in the State or locality to,. 12 (c) EFFECTIVE DATE.The amendment made by

13 subsection (b) applies to measures adopted by State and 14 local governments on or after the date of the enactment 15 of this Act.