II

104TH CONGRESS

1ST SESSION S. 630

To impose comprehensive economic sanctions against Iran.

IN THE SENATE OF THE UNITED STATES

MARCH 27, 1995

Mr. D’AMATO introduced the following bill; which was read twice and referred

to the Committee on Banking, Housing, and Urban Affairs

A BILL

To impose comprehensive economic sanctions against Iran.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Iran Foreign Sanctions

5 Act of 1995’’.

6 SEC. 2. IMPOSITION OF SANCTIONS ON PERSONS ENGAG7 ING IN TRADE WITH IRAN.

8 (a) DETERMINATION BY THE PRESIDENT.—

9 (1) IN GENERAL.—The President shall impose

10 the sanctions described in subsection (b) if the

11 President determines in writing that, on or after the

12 date of enactment of this Act, a foreign person has,
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1 with requisite knowledge, engaged in trade with Iran

2 in any goods or technology (as defined in section 16

3 of the Export Administration Act of 1979).

4 (2) PERSONS AGAINST WHICH THE SANCTIONS

5 ARE TO BE IMPOSED.—The sanctions shall be im6 posed pursuant to paragraph (1) on—

7 (A) the foreign person with respect to

8 which the President makes the determination

9 described in that paragraph;

10 (B) any successor entity to that foreign

11 person;

12 (C) any foreign person that is a parent or

13 subsidiary of that person if that parent or sub14 sidiary with requisite knowledge engaged in the

15 activities which were the basis of that deter16 mination; and

17 (D) any foreign person that is an affiliate

18 of that person if that affiliate with requisite

19 knowledge engaged in the activities which were

20 the basis of that determination and if that affil21 iate is controlled in fact by that person.

22 (b) SANCTIONS.—

23 (1) DESCRIPTION OF SANCTIONS.—The sanc24 tions to be imposed pursuant to subsection (a)(1)
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1 are, except as provided in paragraph (2) of this sub2 section, as follows:

3 (A) PROCUREMENT SANCTION.—The Unit4 ed States Government shall not procure, or

5 enter into any contract for the procurement of,

6 any goods or services from any person described

7 in subsection (a)(2).

8 (B) EXPORT SANCTION.—The United

9 States Government shall not issue any license

10 for any export by or to any person described in

11 subsection (a)(2).

12 (2) EXCEPTIONS.—The President shall not be

13 required to apply or maintain the sanctions under

14 this section—

15 (A) in the case of procurement of defense

16 articles or defense services—

17 (i) under existing contracts or sub18 contracts, including the exercise of options

19 for production quantities to satisfy require20 ments essential to the national security of

21 the United States;

22 (ii) if the President determines in

23 writing that the person or other entity to

24 which the sanction would otherwise be ap25 plied is a sole source supplier of the de-
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1 fense articles or services, that the defense

2 articles or services are essential, and that

3 alternative sources are not readily or rea4 sonably available; or

5 (iii) if the President determines in

6 writing that such articles or services are

7 essential to the national security under de8 fense coproduction agreements;

9 (B) to products or services provided under

10 contracts entered into before the date on which

11 the President publishes his intention to impose

12 the sanction;

13 (C) to—

14 (i) spare parts which are essential to

15 United States products or production;

16 (ii) component parts, but not finished

17 products, essential to United States prod18 ucts or production; or

19 (iii) routine servicing and mainte20 nance of products, to the extent that alter21 native sources are not readily or reason22 ably available;

23 (D) to information and technology essen24 tial to United States products or production; or
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1 (E) to medical or other humanitarian

2 items.

3 (c) SUPERSEDES EXISTING LAW.—The provisions of

4 this section supersede the provisions of section 1604 of

5 the Iran-Iraq Arms Non-Proliferation Act of 1992 (as con6 tained in Public Law 102–484) as such section applies to

7 Iran.

8 SEC. 3. WAIVER AUTHORITY.

9 The provisions of section 2 shall not apply if the

10 President determines and certifies to the appropriate con11 gressional committees that Iran—

12 (1) has substantially improved its adherence to

13 internationally recognized standards of human

14 rights;

15 (2) has ceased its efforts to acquire a nuclear

16 explosive device; and

17 (3) has ceased support for acts of international

18 terrorism.

19 SEC. 4. REPORT REQUIRED.

20 Beginning 60 days after the date of enactment of this

21 Act, and every 90 days thereafter, the President shall

22 transmit to the appropriate congressional committees a re23 port describing—

24 (1) the nuclear and other military capabilities

25 of Iran; and
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1 (2) the support, if any, provided by Iran for

2 acts of international terrorism.

3 SEC. 5. DEFINITIONS.

4 As used in this Act:

5 (1) ACT OF INTERNATIONAL TERRORISM.—The

6 term ‘‘act of international terrorism’’ means an

7 act—

8 (A) which is violent or dangerous to

9 human life and that is a violation of the crimi10 nal laws of the United States or of any State

11 or that would be a criminal violation if commit12 ted within the jurisdiction of the United States

13 or any State; and

14 (B) which appears to be intended—

15 (i) to intimidate or coerce a civilian

16 population;

17 (ii) to influence the policy of a govern18 ment by intimidation or coercion; or

19 (iii) to affect the conduct of a govern20 ment by assassination or kidnapping.

21 (2) APPROPRIATE CONGRESSIONAL COMMIT22 TEES.—The term ‘‘appropriate congressional com23 mittees’’ means the Committees on Banking, Hous24 ing and Urban Affairs and Foreign Relations of the

25 Senate and the Committees on Banking and Finan-
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1 cial Services and International Relations of the

2 House of Representatives.

3 (3) FOREIGN PERSON.—The term ‘‘foreign per4 son’’ means—

5 (A) an individual who is not a United

6 States national or an alien admitted for perma7 nent residence to the United States; or

8 (B) a corporation, partnership, or other

9 nongovernment entity which is not a United

10 States national.

11 (4) IRAN.—The term ‘‘Iran’’ includes any agen12 cy or instrumentality of Iran.

13 (5) NUCLEAR EXPLOSIVE DEVICE.—The term

14 ‘‘nuclear explosive device’’ means any device, wheth15 er assembled or disassembled, that is designed to

16 produce an instantaneous release of an amount of

17 nuclear energy from special nuclear material that is

18 greater than the amount of energy that would be re19 leased from the detonation of one pound of trinitro20 toluene (TNT).

21 (6) DEFINITION.—For purposes of this sub22 section, the term ‘‘requisite knowledge’’ means situa23 tions in which a person ‘‘knows’’, as ‘‘knowing’’ is

24 defined in section 104 of the Foreign Corrupt Prac25 tices Act of 1977 (15 U.S.C. 78dd–2).
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1 (7) UNITED STATES.—The term ‘‘United

2 States’’ means the several States, the District of Co3 lumbia, the Commonwealth of Puerto Rico, the Com4 monwealth of the Northern Mariana Islands, Amer5 ican Samoa, Guam, the United States Virgin Is6 lands, and any other territory or possession of the

7 United States.

8 (8) UNITED STATES NATIONAL.—The term

9 ‘‘United States national’’ means—

10 (A) a natural person who is a citizen of the

11 United States or who owes permanent alle12 giance to the United States;

13 (B) a corporation or other legal entity

14 which is organized under the laws of the United

15 States, any State or territory thereof, or the

16 District of Columbia, if natural persons who are

17 nationals of the United States own, directly or

18 indirectly, more than 50 percent of the out19 standing capital stock or other beneficial inter20 est in such legal entity; and

21 (C) any foreign subsidiary of a corporation

22 or other legal entity described in subparagraph

23 (B).

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