“A bill to impose sanctions with respect to the regime of President Nayib Bukele in El Salvador, and for other purposes.”
No CRS summary available for this bill.
This section defines key terms for purposes of the Act, including: (1) appropriate congressional committees (i.e., the Senate Committees on Foreign Relations and Banking, Housing, and Urban Affairs, and the House Committees on Foreign Affairs and Financial Services); (2) foreign person (i.e., an individual or entity that is not a United States person); (3) gross violations of internationally recognized human rights (i.e., as defined in 22 U.S.C. 2304(d)); (4) knowingly (i.e., with actual knowledge or knowledge that a person should have had, of specified conduct, circumstances, or results); (5) Salvadoran entity (i.e., an entity organized under the laws of, or otherwise subject to the jurisdiction of, El Salvador); and (6) United States person (i.e., a U.S. citizen or lawful permanent resident, an entity organized under U.S. law including foreign branches, or any person located in the United States).
This section requires the President to impose sanctions on (1) the President, Vice President, specified ministers (Foreign Relations, Defense, Economy, Finance, Government, Justice and Public Security, Tourism), Vice Minister of Justice and Public Security, Attorney General, and President of the Central Reserve Bank of El Salvador; and (2) any foreign person in El Salvador working on behalf of or affiliated with the government (including political parties or dependencies) who, based on credible information, has engaged in gross violations of internationally recognized human rights (including under El Salvador's ongoing state of exception), deprived U.S. residents of constitutional rights using U.S. taxpayer dollars, or materially supported such activities. The specified sanctions include (1) blocking all property and interests in property subject to U.S. jurisdiction under the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.); (2) rendering affected aliens inadmissible to the United States, ineligible for visas or parole, and revoking existing visas with immediate effect; (3) prohibiting U.S. financial institutions from making loans or extending credit; and (4) prohibiting foreign exchange transactions subject to U.S. jurisdiction in which such persons have an interest. This section further requires (1) written notification to the appropriate congressional committees within 10 days of imposing sanctions describing the persons and activities involved; and (2) annual reports to such committees, beginning 90 days after enactment, listing sanctioned persons and activities, U.S. assistance and agreements with El Salvador, other sanctioned Salvadoran officials (including under the Global Magnitsky Act and specified appropriations provisions), determinations on U.S. assistance to such persons or their institutions, and Leahy Law (22 U.S.C. 2378d) information including lists of prohibited Salvadoran security force units.
This section directs the Secretary of the Treasury to instruct the U.S. executive directors of international financial institutions (IFIs, as defined in 22 U.S.C. 262r(c), i.e., IMF, World Bank, and regional development banks) to (1) oppose any loan or extension of financial or technical assistance to the government of El Salvador and (2) suspend any such assistance provided before enactment, except for humanitarian purposes. The restriction terminates upon the President's certification under section 3(f)(1).
This section directs the Secretary of State, in consultation with the Secretary of the Treasury, to submit to the appropriate congressional committees, not later than 90 days after the date of enactment, a report on the actions of El Salvador government officials—including President Nayib Bukele—to use cryptocurrency for gross corruption, graft, and sanctions evasion. The report must include (1) an estimate of funds used by El Salvador to buy Bitcoin and other cryptocurrencies; (2) a list of exchanges used for such purchases; (3) addresses where such cryptocurrencies were deposited; (4) a list of individuals with access to those cryptocurrencies; (5) an assessment of gaps exploited for corruption; and (6) an assessment of use to evade financial sanctions imposed on other countries. The report must be submitted in unclassified form (with a possible classified annex), with the unclassified portion made publicly available on the Department of State's website.
This section prohibits making available to the Government of El Salvador any funds authorized to be appropriated or otherwise made available by Congress until the President submits a certification under section 3(f)(1).