Steil Demands Answers from President Biden for Allowing Iran Access to an Additional $10 Billion

Washington, D.C.- Congressman Bryan Steil (WI-01) today demanded answers from President Biden as to why his administration allowed Iran access to an additional $10 billion worth of previously restricted funds. The timing of the sanctions waiver is especially concerning due to the recent attacks on U.S. military bases in the Middle East by Iranian-backed terrorist proxies and the current war between Hamas and Israel. Rep. Steil is urging President Biden to reverse his administration's misguided decision to allow the largest state-sponsor of terrorism access to more funds.  

Rep. Steil’s letter follows introduction of the End Financing for Hamas and State Sponsors of Terrorism Act (H.R. 6632), which passedthe House Financial Services Committee last week. This legislation will disrupt the ability of Hamas to fund terrorism and violence. It will also make it harder for state sponsors of terrorism, like Iran, to abuse International Monetary Fund (IMF) resources to finance terrorist organizations, including Hamas, Palestinian Islamic Jihad, and Hezbollah.  

Below are excerpts and highlights from the letter: 

“As you know, your administration re-issued a sanctions waiver allowing Tehran to access up to $10 billion worth of restricted funds. In addition to permitting Iraq to continue to import Iranian electricity and pay for this trade for another 120 days, the new waiver permits the conversion of the frozen funds into euros. This deviates materially from standard practice before 2023. I am gravely concerned that this expanded access will support more violence against Israel, the U.S., and our allies. 

“The timing of this waiver is exceptionally alarming. Iran has financed Hamas and other regional proxies, and reports indicate Iran’s continued investment in nuclear, missile, and drone programs. While I understand that Iraq has long had issues with its electricity supply, I still find your administration’s stated justification for this $10 billion waiver to be insufficient. Iran is the world’s foremost state sponsor of terrorism and has a track-record of abusing humanitarian trade2 leniencies to finance hostile actions. 

“The Islamic Republic has not ceased in its enmity towards the sole Jewish and democratic state in the Middle East, 3 nor have its threats against U.S. interests and security diminished. On the contrary, we have seen Iran-backed militias in Iraq and Syria escalate hostilities in recent weeks with over 61 attacks on U.S. troops in the region.4 Iran and its proxy network continue to double-down, even in the face of pinprick U.S. military responses.5 Our country and the American people cannot afford to be intimidated by the largest state sponsor of terrorism. We must reverse this and change course and apply maximum pressure to restore U.S. deterrence on the regime.” 

NOTE: The letter follows Rep. Steil’s call on President Biden last month to enforce financial sanctions on Iran and to provide answers to Congress on his administration’s approval of a previous sanctions waiver license that gave Iran $6 billion. Last year, Rep. Steil also introduced the Banking Transparency for Sanctioned Persons Act. This legislation, which was signed into law, increases transparency by requiring the U.S. Treasury Department to routinely report to Congress any sanctions licenses provided to allow transactions between financial institutions and targeted individuals.  

CLICK HERE to read the letter. 

###