SEC. 2. PROHIBITION ON DIRECT OR INDIRECT USE OF 
FUNDS TO ENTER INTO CONTRACTS OR 
AGREEMENTS WITH ROSOBORONEXPORT. 
(a) PROHIBITION.—The head of an executive agency 
may not enter into a contract, memorandum of under-
standing, or cooperative agreement with, or make a grant 
to, or provide a loan or loan agreement to Rosoboronex-
port or any subsidiary of Rosoboronexport related to the 
design, manufacture, or sale of military equipment. 
(b) WAIVER.—The President may waive the applica-
bility of subsection (a) if the President, in consultation 
with the Secretary of Defense, the Secretary of State, the 
Secretary of Commerce and the Director of National Intel-
ligence, certifies in writing to the appropriate congres-
sional committees that— 
(1) to the best of the President’s knowledge— 
(A) Rosoboronexport has ceased the trans-
fer of lethal military equipment to, and the 
maintenance of existing lethal military equip-
ment for, the Government of the Syrian Arab 
Republic; 
(B) the armed forces of the Russian Fed-
eration have withdrawn from Crimea (other 
than military forces present on military bases 
subject to agreements in force between the Gov-
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ernment of the Russian Federation and the 
Government of Ukraine); and 
(C) agents of the Russian Federation are 
not taking active measures to destabilize the 
control of the Government of Ukraine over east-
ern Ukraine (including through active support 
of efforts to unlawfully occupy facilities of the 
Government of Ukraine); or 
(2) the waiver is in the national security inter-
ests of the United States. 
(c) REPROGRAMMING AUTHORITY.— 
(1) IN GENERAL.—The President may repro-
gram funds appropriated or otherwise made avail-
able for Economic Support Fund assistance or secu-
rity assistance for the government of a country that, 
on or after the date of the enactment of this Act, 
enters into a contract, memorandum of under-
standing, or cooperative agreement with, or makes a 
grant to, or provides a loan or loan agreement to 
Rosoboronexport, or any subsidiary of Rosoboronex-
port, in an amount up to or equal to the total 
amount of each such contract, memorandum of un-
derstanding, cooperative agreement, loan, or loan 
agreement. 
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(2) NOTIFICATION.—The President shall notify 
Congress not later than 15 days before reprogram-
ming funds under paragraph (1). 
(d) DEFINITIONS.—In this section: 
(1) APPROPRIATE
CONGRESSIONAL
COMMIT-
TEES.—The term ‘‘appropriate congressional com-
mittees’’ means— 
(A) the Committee on Armed Services, the 
Committee on Foreign Relations, and the Com-
mittee on Appropriations of the Senate; and 
(B) the Committee on Armed Services, the 
Committee on Foreign Affairs, and the Com-
mittee on Appropriations of the House of Rep-
resentatives. 
(2) EXECUTIVE AGENCY.—The term ‘‘executive 
agency’’ has the meaning given the term in section 
133 of title 41, United States Code. 
SEC. 3. PROHIBITION ON ASSISTING ROSOBORONEXPORT 
THROUGH THE PROVISION OF FINANCING. 
(a) PROHIBITED ACTIVITY DEFINED.—For purposes 
of this section, the term ‘‘prohibited activity’’ means the 
act of knowingly, materially, and directly contributing or 
attempting to contribute, through the provision of financ-
ing, to the transfer or retransfer of goods or technology 
to Rosoboronexport or any subsidiary of Rosoboronexport. 
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(b) PROHIBITION.—No United States person may en-
gage in any prohibited activity to the extent that the 
United States has jurisdiction to prohibit such activity by 
such United States person. 
(c) PRESIDENTIAL DETERMINATION
AND ORDER 
WITH RESPECT TO UNITED STATES AND FOREIGN PER-
SONS.—If the President determines that a United States 
person has engaged in a prohibited activity (without re-
gard to whether subsection (b) applies), the President 
shall, by order, impose the sanctions described in sub-
section (d) on such person. 
(d) SANCTIONS.—The following sanctions shall be 
imposed pursuant to any order issued under subsection 
(c) with respect to any United States person: 
(1) BAN
ON
DEALINGS
IN
GOVERNMENT
FI-
NANCE.— 
(A) DESIGNATION AS PRIMARY DEALER.— 
Neither the Board of Governors of the Federal 
Reserve System nor the Federal Reserve Bank 
of New York may designate, or permit the con-
tinuation of any prior designation of, the person 
as a primary dealer in United States Govern-
ment debt instruments. 
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(B) SERVICE AS DEPOSITARY.—The person 
may not serve as a depositary for United States 
Government funds. 
(2) RESTRICTIONS ON OPERATIONS.—The per-
son may not, directly or indirectly— 
(A) commence any line of business in the 
United States in which the person was not en-
gaged as of the date of the order; or 
(B) conduct business from any location in 
the United States at which the person did not 
conduct business as of the date of the order. 
(e) TERMINATION OF THE SANCTIONS.—Any sanc-
tion imposed on any person pursuant to an order issued 
under subsection (c) shall— 
(1) remain in effect for a period of not less 
than 12 months; and 
(2) cease to apply after the end of such 12- 
month period only if the President determines, and 
certifies in writing to the Congress, that— 
(A) the person has ceased to engage in any 
prohibited activity; and 
(B) the President has received reliable as-
surances from such person that the person will 
not, in the future, engage in any prohibited ac-
tivity. 
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