Sponsors (5)
Official title: To secure a peaceful resolution to the Russia-Ukraine conflict by requiring the Secretary of the Treasury to prohibit, or impose strict conditions on, the opening or maintaining in the United States of a correspondent account or a payable-through account by certain foreign financial institutions, and for other purposes.
Introduced July 10, 2025 by Zach Nunn · Last progress July 10, 2025
The bill increases U.S. leverage and oversight to punish and deter Russian aggression and to fund support for Ukraine, but does so at the cost of higher economic and compliance burdens, legal and diplomatic risks, and potential weakening of sanctions effectiveness through executive waivers.
Broadly strengthens U.S. national-security and sanctions leverage by reducing the risk that the U.S. financial system facilitates Russia-related transactions, increasing pressure on Russian energy firms, and enabling faster enforcement when warranted.
Increases transparency and congressional oversight by documenting attacks, requiring reports before waivers, and mandating written explanations for seizure waivers and other executive actions.
Provides clearer regulatory guidance for banks (including potential designations of Gazprom, Rosneft, Lukoil) and new enforcement tools, reducing legal uncertainty for compliance and improving incentives to avoid sanctions evasion.
Could raise direct and indirect costs for U.S. households and businesses — through higher defense and aid spending, disrupted trade and correspondent-banking relationships, lost fee revenue for banks, and increased prices passed to consumers.
Grants broad, ambiguous authorities and creates stiff civil/criminal penalties that risk over-compliance (de-risking), ensnaring institutions with limited ties to Russia and generating legal exposure and operational burdens for banks.
Seizing and converting foreign state assets without consent risks reciprocal measures, legal challenges, and diplomatic escalation that could harm U.S. economic interests and prompt retaliatory actions against U.S. assets abroad.
Based on analysis of 7 sections of legislative text.
Restricts U.S. correspondent accounts for foreign banks serving specified Russia-linked parties, authorizes seizure of certain Russian state funds for Ukraine assistance, and creates penalties and waiver procedures.
Bars or tightly conditions U.S. correspondent and payable-through accounts for foreign banks that knowingly provide significant services to specified Russia-linked parties, authorizes seizure and transfer of certain Russian state funds held in U.S. financial institutions into a Ukraine support fund for Ukrainian assistance or defense purchases, imposes civil and criminal penalties for violations, and permits the President to issue limited waivers. Treasury must issue rules and reports on major Russian energy companies within set deadlines; the law sunsets after Russia stops destabilizing Ukraine or after five years.