IIB 
118TH CONGRESS 
1ST SESSION H. R. 5961 
IN THE SENATE OF THE UNITED STATES 
DECEMBER 4, 2023 
Received; read twice and referred to the Committee on Foreign Relations 
AN ACT 
To freeze certain Iranian funds involved in the 2023 hostage 
deal between the United States and Iran, and for other 
purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘No Funds for Iranian 
Terrorism Act’’. 
SEC. 2. FINDINGS. 
Congress makes the following findings: 
(1) On October 7, 2023, Iran-backed Hamas 
terrorists launched a massive, unprovoked war on 
Israel by air, land, and sea, in which they engaged 
in the brutal murder of over 1,300 people and kid-
napped at least 230 people who are now being held 
hostage. 
(2) Hamas, Palestinian Islamic Jihad, and 
Hezbollah have all been designated by the United 
States as Foreign Terrorist Organizations pursuant 
to section 219 of the Immigration and Nationality 
Act (8 U.S.C. 1189). 
(3) Hamas, Palestinian Islamic Jihad, and as-
sociated terrorist organizations backed by Iran rou-
tinely and unabashedly use civilians as ‘‘human 
shields’’ to shield their weapons and terrorist mili-
tants from legitimate military engagement, a con-
travention of international humanitarian law and a 
heinous violation of the rights and dignity of civilian 
noncombatants. 
(4) Only the cessation of Hamas’ operations, 
the unconditional surrender of Hamas, and the im-
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mediate dismantlement of Hamas and all other Iran- 
backed terrorist organizations that participated in 
the massacre of Israelis on and since October 7, 
2023, will ensure that innocent Israeli and Pales-
tinian civilian lives are saved. 
(5) According to an unclassified United States 
government assessment, ‘‘Iran has historically pro-
vided up to $100 million annually in combined sup-
port to Palestinian terrorist groups, including 
Hamas, Palestinian Islamic Jihad (PIJ), and the 
Popular Front for the Liberation of Palestine-Gen-
eral Command.’’. 
(6) As National Security Advisor Jake Sullivan 
stated on October 10, 2023, ‘‘Iran is complicit in 
this attack in a broad sense because they have pro-
vided the lion’s share of the funding for the military 
wing of Hamas, they have provided training, they 
have provided capabilities, they have provided sup-
port, and they have provided engagement and con-
tact with Hamas over years and years.’’. 
(7) President Biden reached an agreement with 
the Iranian regime to bring home Siamak Namazi, 
Morad Tahbaz, Emad Shargi, and two additional 
American hostages all of whom were wrongfully de-
tained in Iran. 
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SEC. 3. IMPOSITION OF SANCTIONS WITH RESPECT TO COV-
ERED IRANIAN ASSETS. 
(a) IN GENERAL.—On and after the date of the en-
actment of this Act, the President shall impose the sanc-
tion described in subsection (c) with respect to each for-
eign financial institution that the President determines en-
gages in an activity described in subsection (b). 
(b) ACTIVITIES DESCRIBED.—A foreign financial in-
stitution engages in an activity described in this subsection 
if the institution processes, participates in, or facilitates 
a transaction using or involving covered Iranian funds. 
(c) BLOCKING
OF PROPERTY.—The sanction de-
scribed in this subsection is the exercise of all of the pow-
ers granted to the President under the International 
Emergency Economic Powers Act (50 U.S.C. 1701 et 
seq.) to the extent necessary to block and prohibit all 
transactions in property and interests in property of a for-
eign financial institution described in subsection (a) 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. 
(d) PENALTIES.—The penalties provided for in sub-
sections (b) and (c) of section 206 of the International 
Emergency Economic Powers Act (50 U.S.C. 1705) shall 
apply to a person that violates, attempts to violate, con-
spires to violate, or causes a violation of this section or 
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any regulations promulgated to carry out this section to 
the same extent that such penalties apply to a person that 
commits an unlawful act described in section 206(a) of 
that Act. 
(e) TERMINATION OF SANCTIONS.—The President 
shall not be required to impose sanctions under this sec-
tion with respect to a foreign financial institution or inter-
national financial institution described in subsection (a) 
if the President certifies in writing to the appropriate con-
gressional committees not later than 45 days before the 
termination of such sanctions that the Government of 
Iran— 
(1) no longer repeatedly provides support for 
international terrorism as determined by the Sec-
retary of State pursuant to— 
(A) section 1754(c)(1)(A) of the Export 
Control Reform Act of 2018 (50 U.S.C. 
4318(c)(1)(A)); 
(B) section 620A of the Foreign Assistance 
Act of 1961 (22 U.S.C. 2371); 
(C) section 40 of the Arms Export Control 
Act (22 U.S.C. 2780); or 
(D) any other provision of law; and 
(2) has ceased the pursuit, acquisition, and de-
velopment of, and verifiably dismantled its, nuclear, 
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