Currently, Russia is exploiting a loophole in the sanctions placed on its central bank that are allowing the government and oligarchs to launder money through gold. The Russian Federation is purchasing gold to offset the devaluation of its currency, the ruble, and is then selling that gold on international markets in exchange for high-value currency. This makes our other economic sanctions much less effective.
Because Russia is intent on using any loophole it can find to get around the economic sanctions of the United States and our allies, Congress must make it harder for Putin to liquidate Russia’s gold and use those proceeds to fund its invasion of Ukraine.
Fortunately a bipartisan group of senators just introduced a bill to do just that. The bill, the Stop Russian Government and Oligarchs from Limiting Democracy (Stop Russian GOLD) Act, introduced by Senators King, Cornyn, Hagerty and Hassan, would target Russia's ability to sell gold reserves. It would apply secondary sanctions to any American entities knowingly transacting with or transporting gold from Russia’s central bank holdings, or selling gold physically or electronically in Russia.
I support it and hope the Senator will immediately co-sponsor it. Please fold it into the omnibus spending bill and pass it immediately. Thanks.
▶ First sent on March 8, 2022 by Jessica