Congressional Quarterly Update Today
Published: 07-18-08
The Senate Banking Committee approved a new Iran sanctions bill Thursday seeking to punish companies that maintain business dealings with Tehran.
The 19-2 vote for toughened sanctions came as a senior State Department official heads to Geneva for nuclear talks with Tehran this weekend.
Unlike a bill the Senate Finance Committee approved June 18 the draft Banking Housing and Urban Affairs Committee measure would not block a proposed nuclear deal with Russia over Moscow’s nuclear and weapons aid to Iran.
It would however impose sanctions on independent foreign subsidiaries of U.S. companies that do business with Tehran.
Both bills face opposition from the State Department and some key members of Congress. They say the United States needs Moscow’s help in further isolating the Iranian regime which they accuse of developing nuclear weapons.
After the markup Banking Chairman Christopher J. Dodd D-Conn. said efforts are under way to find a compromise between his approach the Finance bill and the views of Foreign Relations Chairman Joseph R. Biden Jr. D-Del. The plan would be to attach any compromise to the defense authorization bill when it comes to the Senate floor. Biden opposes blocking the Russian nuclear deal.
U.S. allies in Europe who have stepped up their own sanctions in recent weeks see the sanctions as an extraterritorial application of U.S. law.
Sens. Michael B. Enzi R-Wyo. and Chuck Hagel R-Neb. cast the only “no” votes against the new bill.
“This bill does not in fact sanction Iran; it directly sanctions allies friends and others” Hagel said. He argued that Congress should not undermine U.S. participation in multilateral talks with Iran in Geneva this weekend. “We are far wiser Mr. Chairman to pursue that path.”
