To enhance sanctions imposed with respect to Iran.

SA 3232. Mr. MENENDEZ (for himself, Mr. Kirk, Mr. Lieberman, Mr.
Schumer) submitted an amendment intended to be proposed by him to the
bill S. 3254, to authorize appropriations for fiscal year 2013 for
military activities of the Department of Defense, for military
construction, and for defense activities of the Department of Energy,
to prescribe military personnel strengths for such fiscal year, and for
other purposes; which was ordered to lie on the table; as follows:

At the end of title XII, add the following:

Subtitle E--Iran Sanctions

SEC. 1251. SHORT TITLE.

This subtitle may be cited as the ``Iran Freedom and
Counter-Proliferation Act of 2012''.

SEC. 1252. DEFINITIONS.

(a) In General.--In this subtitle:
(1) Agricultural commodity.--The term ``agricultural
commodity'' has the meaning given that term in section 102 of
the Agricultural Trade Act of 1978 (7 U.S.C. 5602).
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' has the meaning
given that term in section 14 of the Iran Sanctions Act of
1996 (Public Law 104-172; 50 U.S.C. 1701 note).
(3) Coal.--The term ``coal'' means metallurgical coal,
coking coal, or fuel coke.
(4) Correspondent account; payable-through account.--The
terms ``correspondent account'' and ``payable-through
account'' have the meanings given those terms in section
5318A of title 31, United States Code.
(5) Foreign financial institution.--The term ``foreign
financial institution'' has the meaning of that term as
determined by the Secretary of the Treasury pursuant to
section 104(i) of the Comprehensive Iran Sanctions,
Accountability, and Divestment Act of 2010 (22 U.S.C.
8513(i)).
(6) Iranian financial institution.--The term ``Iranian
financial institution'' has the meaning given that term in
section 104A(d) of the Comprehensive Iran Sanctions,
Accountability, and Divestment Act of 2010 (22 U.S.C.
8513b(d)).
(7) Iranian person.--The term ``Iranian person'' means--
(A) an individual who is a citizen or national of Iran; and
(B) an entity organized under the laws of Iran or otherwise
subject to the jurisdiction of the Government of Iran.
(8) Knowingly.--The term ``knowingly'', with respect to
conduct, a circumstance, or a result, means that a person has
actual knowledge, or should have known, of the conduct, the
circumstance, or the result.
(9) Medical device.--The term ``medical device'' has the
meaning given the term ``device'' in section 201 of the
Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321).
(10) Medicine.--The term ``medicine'' has the meaning given
the term ``drug'' in section 201 of the Federal Food, Drug,
and Cosmetic Act (21 U.S.C. 321).
(11) Shipping.--The term ``shipping'' refers to the
transportation of goods by a vessel and related activities.
(12) United states person.--The term ``United States
person'' has the meaning given that term in section 101 of
the Comprehensive Iran Sanctions, Accountability, and
Divestment Act of 2010 (22 U.S.C. 8511).
(13) Vessel.--The term ``vessel'' has the meaning given
that term in section 3 of title 1, United States Code.
(b) Determinations of Significance.--For purposes of this
subtitle, in determining if financial transactions or
financial services are significant, the President may
consider the totality of the facts and circumstances,
including factors similar to the factors set forth in section
561.404 of title 31, Code of Federal Regulations (or any
corresponding similar regulation or ruling).

SEC. 1253. DECLARATION OF POLICY ON HUMAN RIGHTS.

(a) Finding.--Congress finds that the interests of the
United States and international peace are threatened by the
ongoing and destabilizing actions of the Government of Iran,
including its massive, systematic, and extraordinary
violations of the human rights of its own citizens.
(b) Declaration of Policy.--It shall be the policy of the
United States--
(1) to deny the Government of Iran the ability to continue
to oppress the people of Iran and to use violence and
executions against pro-democracy protestors and regime
opponents;
(2) to fully and publicly support efforts made by the
people of Iran to promote the establishment of basic freedoms
that build the foundation for the emergence of a freely
elected, open, and democratic political system;
(3) to help the people of Iran produce, access, and share
information freely and safely via the Internet and through
other media; and
(4) to defeat all attempts by the Government of Iran to jam
or otherwise obstruct international satellite broadcast
signals.

SEC. 1254. IMPOSITION OF SANCTIONS WITH RESPECT TO THE
ENERGY, SHIPPING, AND SHIPBUILDING SECTORS OF
IRAN.

(a) Findings.--Congress makes the following findings:
(1) Iran's energy, shipping, and shipbuilding sectors and
Iran's ports are facilitating the Government of Iran's
nuclear proliferation activities by providing revenue to
support proliferation activities.
(2) The United Nations Security Council and the United
States Government have expressed concern about the
proliferation risks presented by the Iranian nuclear program.
(3) The Director General of the International Atomic Energy
Agency (in this section referred to as the ``IAEA'') has in
successive reports (GOV/2012/37 and GOV/2011/65) identified
possible military dimensions of Iran's nuclear program.
(4) The Government of Iran continues to defy the
requirements and obligations contained in relevant IAEA Board
of Governors and United Nations Security Council resolutions,
including by continuing and expanding uranium enrichment
activities in Iran, as reported in IAEA Report GOV/2012/37.
(5) United Nations Security Council Resolution 1929 (2010)
recognizes the ``potential connection between Iran's revenues
derived from its energy sector and the funding of Iran's
proliferation sensitive nuclear activities''.
(6) The National Iranian Tanker Company is the main carrier
for the Iranian Revolutionary Guard Corps-designated National
Iranian Oil Company and a key element in the petroleum supply
chain responsible for generating energy revenues that support
the illicit nuclear proliferation activities of the
Government of Iran.
(b) Designation of Ports and Entities in the Energy,
Shipping, and Shipbuilding Sectors of Iran as Entities of
Proliferation Concern.--Entities that operate ports in Iran
and entities in the energy, shipping, and shipbuilding
sectors of Iran, including the National Iranian Oil Company,
the National Iranian Tanker Company, the Islamic Republic of
Iran Shipping Lines, and their affiliates, play an important
role in Iran's nuclear proliferation efforts and all such
entities are hereby designated as entities of proliferation
concern.
(c) Blocking of Property of Entities in Energy, Shipping,
and Shipbuilding Sectors.--
(1) In general.--On and after the date that is 90 days
after the date of the enactment of this Act, the President
shall block and prohibit all transactions in all property and
interests in property of any person described in paragraph
(2) 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.
(2) Persons described.--A person is described in this
paragraph if the President determines that the person, on or
after the date that is 90 days after the date of the
enactment of this Act--
(A) is part of the energy, shipping, or shipbuilding
sectors of Iran;
(B) operates a port in Iran; or
(C) knowingly provides significant financial, material,
technological, or other support to, or goods or services in
support of any activity or transaction on behalf of or for
the benefit of--
(i) a person determined under subparagraph (A) to be a part
of the energy, shipping, or shipbuilding sectors of Iran;
(ii) a person determined under subparagraph (B) to operate
a port in Iran; or
(iii) an Iranian person included on the list of specially
designated nationals and blocked persons maintained by the
Office of Foreign Assets Control of the Department of the
Treasury (other than an Iranian financial institution
described in paragraph (3)).
(3) Iranian financial institutions described.--An Iranian
financial institution described in this paragraph is an
Iranian financial institution that has not been designated
for the imposition of sanctions in connection with--
(A) Iran's proliferation of weapons of mass destruction or
delivery systems for weapons of mass destruction;
(B) Iran's support for international terrorism; or
(C) Iran's abuses of human rights.
(d) Additional Sanctions With Respect to the Energy,
Shipping, and Shipbuilding Sectors of Iran.--
(1) Sale, supply, or transfer of certain goods and
services.--Except as provided in this section, the President
shall impose 5 or more of the sanctions described in section
6(a) of the Iran Sanctions Act of 1996 (Public Law 104-172;
50 U.S.C. 1701 note) with respect to a person if the
President determines that the person knowingly, on or after
the date that is 90 days after the date of the enactment of
this Act, sells, supplies, or transfers to or from Iran
significant goods or services described in paragraph (3).
(2) Facilitation of certain transactions.--Except as
provided in this section, the President shall prohibit the
opening, and

[[Page S7244]]

prohibit or impose strict conditions on the maintaining, in
the United States of a correspondent account or a payable-
through account by a foreign financial institution that the
President determines knowingly, on or after the date that is
90 days after the date of the enactment of this Act, conducts
or facilitates a significant financial transaction for the
sale, supply, or transfer to or from Iran of goods or
services described in paragraph (3).
(3) Goods and services described.--Goods or services
described in this paragraph are goods or services used in
connection with the energy, shipping, or shipbuilding sectors
of Iran, including the National Iranian Oil Company, the
National Iranian Tanker Company, and the Islamic Republic of
Iran Shipping Lines.
(4) Application of certain provisions of iran sanctions act
of 1996.--The following provisions of the Iran Sanctions Act
of 1996 (Public Law 104-172; 50 U.S.C. 1701 note) shall apply
with respect to the imposition of sanctions under paragraph
(1) to the same extent that such provisions apply with
respect to the imposition of sanctions under section 5(a) of
that Act:
(A) Subsections (c), (d), and (f) of section 5 (except for
paragraphs (3) and (4)(C) of such subsection (f)).
(B) Sections 8, 11, and 12.
(e) Humanitarian Exception.--The President may not impose
sanctions under this section with respect to any person for
conducting or facilitating a transaction for the sale of
agricultural commodities, food, medicine, or medical devices
to Iran or for the provision of humanitarian assistance to
the people of Iran.
(f) Applicability of Sanctions to Petroleum and Petroleum
Products.--
(1) In general.--Except as provided in paragraph (2), this
section shall apply with respect to the purchase of petroleum
or petroleum products from Iran only if, at the time of the
purchase, a determination of the President under section
1245(d)(4)(B) of the National Defense Authorization Act for
Fiscal Year 2012 (22 U.S.C. 8513a(d)(4)(B)) that the price
and supply of petroleum and petroleum products produced in
countries other than Iran is sufficient to permit purchasers
of petroleum and petroleum products from Iran to reduce
significantly their purchases from Iran is in effect.
(2) Exception for certain countries.--
(A) Exportation.--This section shall not apply with respect
to the exportation of petroleum or petroleum products from
Iran to a country to which the exception under section
1245(d)(4)(D)(i) of the National Defense Authorization Act
for Fiscal Year 2012 (22 U.S.C. 8513a(d)(4)(D)(i)) applies at
the time of the exportation of the petroleum or petroleum
products.
(B) Financial transactions.--
(i) In general.--This section shall not apply with respect
to a financial transaction described in clause (ii) conducted
or facilitated by a foreign financial institution if, at the
time of the transaction, the exception under section
1245(d)(4)(D)(i) of the National Defense Authorization Act
for Fiscal Year 2012 (22 U.S.C. 8513a(d)(4)(D)(i)) applies to
the country with primary jurisdiction over the foreign
financial institution.
(ii) Financial transactions described.--A financial
transaction conducted or facilitated by a foreign financial
institution is described in this clause if--

(I) the financial transaction is for the purchase of
purchase of petroleum or petroleum products from Iran;
(II) the financial transaction is only for trade in goods
or services--

(aa) not otherwise subject to sanctions under the law of
the United States; and
(bb) between the country with primary jurisdiction over the
foreign financial institution and Iran; and

(III) any funds owed to Iran as a result of such trade are
credited to an account located in the country with primary
jurisdiction over the foreign financial institution.

(g) Applicability of Sanctions to Natural Gas.--
(1) Sale, supply, or transfer.--Except as provided in
paragraph (2), this section shall not apply to the sale,
supply, or transfer to or from Iran of natural gas.
(2) Financial transactions.--This section shall apply to a
foreign financial institution that conducts or facilitates a
financial transaction for the sale, supply, or transfer to or
from Iran of natural gas unless--
(A) the financial transaction is only for trade in goods or
services--
(i) not otherwise subject to sanctions under the law of the
United States; and
(ii) between the country with primary jurisdiction over the
foreign financial institution and Iran; and
(B) any funds owed to Iran as a result of such trade are
credited to an account located in the country with primary
jurisdiction over the foreign financial institution.
(h) Waiver.--
(1) In general.--The President may waive the imposition of
sanctions under this section for a period of not more than
120 days, and may renew that waiver for additional periods of
not more than 120 days, if the President--
(A) determines that such a waiver is vital to the national
security of the United States; and
(B) submits to the appropriate congressional committees a
report providing a justification for the waiver.
(2) Form of report.--Each report submitted under paragraph
(1)(B) shall be submitted in unclassified form, but may
include a classified annex.

SEC. 1255. IMPOSITION OF SANCTIONS WITH RESPECT TO THE SALE,
SUPPLY, OR TRANSFER OF CERTAIN MATERIALS TO OR
FROM IRAN.

(a) Sale, Supply, or Transfer of Certain Materials.--The
President shall impose 5 or more of the sanctions described
in section 6(a) of the Iran Sanctions Act of 1996 (Public Law
104-172; 50 U.S.C. 1701 note) with respect to a person if the
President determines that the person knowingly, on or after
the date that is 90 days after the date of the enactment of
this Act, sells, supplies, or transfers, directly or
indirectly, to or from Iran--
(1) a precious metal;
(2) a material described in subsection (c) determined
pursuant to subsection (d)(1) to be used by Iran as described
in that subsection;
(3) any other material described in subsection (c) if--
(A) the material is--
(i) to be used in connection with the energy, shipping, or
shipbuilding sectors of Iran or any sector of the economy of
Iran controlled directly or indirectly by Iran's
Revolutionary Guard Corps;
(ii) sold, supplied, or transferred to or from an Iranian
person included on the list of specially designated nationals
and blocked persons maintained by the Office of Foreign
Assets Control of the Department of the Treasury; or
(iii) relevant to the nuclear, military, or ballistic
missile programs of Iran; or
(B) the material is resold, retransferred, or otherwise
supplied--
(i) to an end-user in a sector described in clause (i) of
subparagraph (A);
(ii) to a person described in clause (ii) of that
subparagraph; or
(iii) for a program described in clause (iii) of that
subparagraph.
(b) Facilitation of Certain Transactions.--The President
shall prohibit the opening, and prohibit or impose strict
conditions on the maintaining, in the United States of a
correspondent account or a payable-through account by a
foreign financial institution that the President determines
knowingly, on or after the date that is 90 days after the
date of the enactment of this Act, conducts or facilitates a
significant financial transaction for the sale, supply, or
transfer to or from Iran of materials the sale, supply, or
transfer of which would subject a person to sanctions under
subsection (a).
(c) Materials Described.--Materials described in this
subsection are graphite, raw or semi-finished metals such as
aluminum and steel, coal, and software for integrating
industrial processes.
(d) Determination With Respect to Use of Materials.--Not
later than 90 days after the date of the enactment of this
Act, and every 90 days thereafter, the President shall submit
to the appropriate congressional committees and publish in
the Federal Register a report that contains the determination
of the President with respect to--
(1) whether Iran is--
(A) using any of the materials described in subsection (c)
as a medium for barter, swap, or any other exchange or
transaction; or
(B) listing any of such materials as assets of the
Government of Iran for purposes of the national balance sheet
of Iran;
(2) which sectors of the economy of Iran are controlled
directly or indirectly by Iran's Revolutionary Guard Corps;
and
(3) which of the materials described in subsection (c) are
relevant to the nuclear, military, or ballistic missile
programs of Iran.
(e) Exception for Persons Exercising Due Diligence.--The
President may not impose sanctions under subsection (a) or
(b) with respect to a person if the President determines that
the person has exercised due diligence in establishing and
enforcing official policies, procedures, and controls to
ensure that the person does not sell, supply, or transfer to
or from Iran materials the sale, supply, or transfer of which
would subject a person to sanctions under subsection (a) or
conduct or facilitate a financial transaction for such a
sale, supply, or transfer.
(f) Waiver.--
(1) In general.--The President may waive the imposition of
sanctions under this section for a period of not more than
120 days, and may renew that waiver for additional periods of
not more than 120 days, if the President--
(A) determines that such a waiver is vital to the national
security of the United States; and
(B) submits to the appropriate congressional committees a
report providing a justification for the waiver.
(2) Form of report.--Each report submitted under paragraph
(1)(B) shall be submitted in unclassified form, but may
include a classified annex.
(g) National Balance Sheet of Iran Defined.--For purposes
of this section, the term ``national balance sheet of Iran''
refers to the ratio of the assets of the Government of Iran
to the liabilities of that Government.

SEC. 1256. IMPOSITION OF SANCTIONS WITH RESPECT TO THE
PROVISION OF UNDERWRITING SERVICES OR INSURANCE
OR REINSURANCE FOR ACTIVITIES OR PERSONS WITH
RESPECT TO WHICH SANCTIONS HAVE BEEN IMPOSED.

(a) In General.--Except as provided in subsection (b), the
President shall impose 5 or more of the sanctions described
in section

[[Page S7245]]

6(a) of the Iran Sanctions Act of 1996 (Public Law 104-172;
50 U.S.C. 1701 note) with respect to a person if the
President determines that the person knowingly, on or after
the date that is 90 days after the date of the enactment of
this Act, provides underwriting services or insurance or
reinsurance--
(1) for any activity with respect to Iran for which
sanctions have been imposed under this subtitle, the
International Emergency Economic Powers Act (50 U.S.C. 1701
et seq.), the Iran Sanctions Act of 1996, the Comprehensive
Iran Sanctions, Accountability, and Divestment Act of 2010
(22 U.S.C. 8501 et seq.), the Iran Threat Reduction and Syria
Human Rights Act of 2012 (22 U.S.C. 8701 et seq.), the Iran,
North Korea, and Syria Nonproliferation Act (Public Law 106-
178; 50 U.S.C. 1701 note), or any other provision of law
relating to the imposition of sanctions with respect to Iran;
(2) to or for any person--
(A) with respect to, or for the benefit of any activity in
the energy, shipping, or shipbuilding sectors of Iran for
which sanctions are imposed under this subtitle;
(B) for the sale, supply, or transfer to or from Iran of
materials described in section 1255(c); or
(C) designated for the imposition of sanctions pursuant to
the International Emergency Economic Powers Act (50 U.S.C.
1701 et seq.) in connection with--
(i) Iran's proliferation of weapons of mass destruction or
delivery systems for weapons of mass destruction; or
(ii) Iran's support for international terrorism; or
(3) to or for any Iranian person included on the list of
specially designated nationals and blocked persons maintained
by the Office of Foreign Assets Control of the Department of
the Treasury (other than an Iranian financial institution
described in subsection (b)).
(b) Iranian Financial Institutions Described.--An Iranian
financial institution described in this subsection is an
Iranian financial institution that has not been designated
for the imposition of sanctions in connection with--
(1) Iran's proliferation of weapons of mass destruction or
delivery systems for weapons of mass destruction;
(2) Iran's support for international terrorism; or
(3) Iran's abuses of human rights.
(c) Humanitarian Exception.--The President may not impose
sanctions under subsection (a) for the provision of
underwriting services or insurance or reinsurance for a
transaction for the sale of agricultural commodities, food,
medicine, or medical devices to Iran or for the provision of
humanitarian assistance to the people of Iran.
(d) Exception for Underwriters and Insurance Providers
Exercising Due Diligence.--The President may not impose
sanctions under paragraph (1) or (3) or subparagraph (A) or
(B) of paragraph (2) of subsection (a) with respect to a
person that provides underwriting services or insurance or
reinsurance if the President determines that the person has
exercised due diligence in establishing and enforcing
official policies, procedures, and controls to ensure that
the person does not underwrite or enter into a contract to
provide insurance or reinsurance for an activity described in
paragraph (1) of that subsection or to or for any person
described in paragraph (3) or subparagraph (A) or (B) of
paragraph (2) of that subsection.
(e) Waiver.--
(1) In general.--The President may waive the imposition of
sanctions under subsection (a) for a period of not more than
120 days, and may renew that waiver for additional periods of
not more than 120 days, if the President--
(A) determines that such a waiver is vital to the national
security of the United States; and
(B) submits to the appropriate congressional committees a
report providing a justification for the waiver.
(2) Form of report.--Each report submitted under paragraph
(1)(B) shall be submitted in unclassified form, but may
include a classified annex.
(f) Application of Certain Provisions of Iran Sanctions Act
of 1996.--The following provisions of the Iran Sanctions Act
of 1996 (Public Law 104-172; 50 U.S.C. 1701 note) shall apply
with respect to the imposition of sanctions under subsection
(a) to the same extent that such provisions apply with
respect to the imposition of sanctions under section 5(a) of
that Act:
(1) Subsections (c), (d), and (f) of section 5 (except for
paragraphs (3) and (4)(C) of such subsection (f)).
(2) Sections 8, 11, and 12.

SEC. 1257. IMPOSITION OF SANCTIONS WITH RESPECT TO FOREIGN
FINANCIAL INSTITUTIONS THAT FACILITATE
FINANCIAL TRANSACTIONS ON BEHALF OF SPECIALLY
DESIGNATED NATIONALS.

(a) In General.--Except as provided in this section, the
President shall prohibit the opening, and prohibit or impose
strict conditions on the maintaining, in the United States of
a correspondent account or a payable-through account by a
foreign financial institution that the President determines
has, on or after the date that is 90 days after the date of
the enactment of this Act, knowingly facilitated a
significant financial transaction on behalf of any Iranian
person included on the list of specially designated nationals
and blocked persons maintained by the Office of Foreign
Assets Control of the Department of the Treasury (other than
an Iranian financial institution described in subsection
(b)).
(b) Iranian Financial Institutions Described.--An Iranian
financial institution described in this subsection is an
Iranian financial institution that has not been designated
for the imposition of sanctions in connection with--
(1) Iran's proliferation of weapons of mass destruction or
delivery systems for weapons of mass destruction;
(2) Iran's support for international terrorism; or
(3) Iran's abuses of human rights.
(c) Humanitarian Exception.--The President may not impose
sanctions under subsection (a) with respect to any person for
conducting or facilitating a transaction for the sale of
agricultural commodities, food, medicine, or medical devices
to Iran or for the provision of humanitarian assistance to
the people of Iran.
(d) Applicability of Sanctions to Petroleum and Petroleum
Products.--
(1) In general.--Except as provided in paragraph (2),
subsection (a) shall apply with respect to a financial
transaction for the purchase of petroleum or petroleum
products from Iran only if, at the time of the transaction, a
determination of the President under section 1245(d)(4)(B) of
the National Defense Authorization Act for Fiscal Year 2012
(22 U.S.C. 8513a(d)(4)(B)) that the price and supply of
petroleum and petroleum products produced in countries other
than Iran is sufficient to permit purchasers of petroleum and
petroleum products from Iran to reduce significantly their
purchases from Iran is in effect.
(2) Exception for certain countries.--
(A) In general.--Subsection (a) shall not apply with
respect to a financial transaction described in subparagraph
(B) conducted or facilitated by a foreign financial
institution for if, at the time of the transaction, the
exception under section 1245(d)(4)(D)(i) of the National
Defense Authorization Act for Fiscal Year 2012 (22 U.S.C.
8513a(d)(4)(D)(i)) applies to the country with primary
jurisdiction over the foreign financial institution.
(B) Financial transactions described.--A financial
transaction conducted or facilitated by a foreign financial
institution is described in this subparagraph if--
(i) the financial transaction is for the purchase of
purchase of petroleum or petroleum products from Iran;
(ii) the financial transaction is only for trade in goods
or services--

(I) not otherwise subject to sanctions under the law of the
United States; and
(II) between the country with primary jurisdiction over the
foreign financial institution and Iran; and

(iii) any funds owed to Iran as a result of such trade are
credited to an account located in the country with primary
jurisdiction over the foreign financial institution.
(e) Applicability of Sanctions to Natural Gas.--Subsection
(a) shall apply to a foreign financial institution that
conducts or facilitates a financial transaction for the sale,
supply, or transfer to or from Iran of natural gas unless--
(1) the financial transaction is only for trade in goods or
services--
(A) not otherwise subject to sanctions under the law of the
United States; and
(B) between the country with primary jurisdiction over the
foreign financial institution and Iran; and
(2) any funds owed to Iran as a result of such trade are
credited to an account located in the country with primary
jurisdiction over the foreign financial institution.
(f) Waiver.--
(1) In general.--The President may waive the imposition of
sanctions under subsection (a) for a period of not more than
120 days, and may renew that waiver for additional periods of
not more than 120 days, if the President--
(A) determines that such a waiver is vital to the national
security of the United States; and
(B) submits to the appropriate congressional committees a
report providing a justification for the waiver.
(2) Form of report.--Each report submitted under paragraph
(1)(B) shall be submitted in unclassified form, but may
include a classified annex.

SEC. 1258. INCLUSION OF THE ISLAMIC REPUBLIC OF IRAN
BROADCASTING ON THE LIST OF HUMAN RIGHTS
ABUSERS.

(a) Findings.--Congress makes the following findings:
(1) The Islamic Republic of Iran Broadcasting has
contributed to the infringement of individuals' human rights
by broadcasting forced televised confession and show trials.
(2) In March 2012, the European Council imposed sanctions
on the President of the Islamic Republic of Iran
Broadcasting, Ezzatollah Zargami, for broadcasting forced
confessions of detainees and a series of ``show trials'' in
August 2009 and December 2011 that constituted a clear
violation of international law with respect to the right to a
fair trial and due process.
(b) Inclusion of the Islamic Republic of Iran Broadcasting
on the List of Human Rights Abusers.--The President shall
include the Islamic Republic of Iran Broadcasting and the
President of the Islamic Republic of Iran Broadcasting,
Ezzatollah Zargami, in the first update to the list of
persons complicit in, or responsible for ordering,
controlling, or otherwise directing, the commission of
serious human rights abuses against citizens of Iran or their
family members submitted under section 105 of

[[Page S7246]]

the Comprehensive Iran Sanctions, Accountability, and
Divestment Act of 2010 (22 U.S.C. 8514) after the date of the
enactment of this Act.

SEC. 1259. IMPOSITION OF SANCTIONS WITH RESPECT TO PERSONS
ENGAGED IN THE DIVERSION OF GOODS INTENDED FOR
THE PEOPLE OF IRAN.

(a) In General.--Title I of the Comprehensive Iran
Sanctions, Accountability, and Divestment Act of 2010 (22
U.S.C. 8511 et seq.) is amended by inserting after section
105B the following:

``SEC. 105C. IMPOSITION OF SANCTIONS WITH RESPECT TO PERSONS
ENGAGED IN THE DIVERSION OF GOODS INTENDED FOR
THE PEOPLE OF IRAN.

``(a) In General.--The President shall impose sanctions
described in section 105(c) with respect to each person on
the list required by subsection (b).
``(b) List of Persons Who Engage in Diversion.--
``(1) In general.--As relevant information becomes
available, the President shall submit to the appropriate
congressional committees a list of persons that the President
determines have, on or after such date of enactment, engaged
in corruption or other activities relating to--
``(A) the diversion of goods, including agricultural
commodities, food, medicine, and medical devices, intended
for the people of Iran; or
``(B) the misappropriation of proceeds from the sale or
resale of such goods.
``(2) Form of report; public availability.--
``(A) Form.--The list required by paragraph (1) shall be
submitted in unclassified form but may contain a classified
annex.
``(B) Public availability.--The unclassified portion of the
list required by paragraph (1) shall be made available to the
public and posted on the websites of the Department of the
Treasury and the Department of State.''.
(b) Waiver.--Section 401(b)(1) of the Comprehensive Iran
Sanctions, Accountability, and Divestment Act of 2010 (22
U.S.C. 8551(b)(1)) is amended--
(1) by striking ``or 105B(a)'' and inserting ``105B(a), or
105C(a)''; and
(2) by striking ``or 105B(b)'' and inserting ``105B(b), or
105C(b)''.
(c) Clerical Amendment.--The table of contents for the
Comprehensive Iran Sanctions, Accountability, and Divestment
Act of 2010 is amended by inserting after the item relating
to section 105B the following:

``Sec. 105C. Imposition of sanctions with respect to persons engaged in
the diversion of goods intended for the people of
Iran.''.

SEC. 1260. WAIVER REQUIREMENT RELATED TO EXCEPTIONAL
CIRCUMSTANCES PREVENTING SIGNIFICANT REDUCTIONS
IN CRUDE OIL PURCHASES.

Section 1245(d)(5)(B) of the National Defense Authorization
Act for Fiscal Year 2012 (22 U.S.C. 8513a(d)(5)(B)) is
amended--
(1) in clause (i), by striking ``; and'' and inserting a
semicolon;
(2) by redesignating clause (ii) as clause (iii); and
(3) by inserting after clause (i) the following new clause:
``(ii) certifying that the country with primary
jurisdiction over the foreign financial institution otherwise
subject to the sanctions faced exceptional circumstances that
prevented the country from being able to significantly reduce
its volume of crude oil purchases; and''.

SEC. 1261. STATUTE OF LIMITATIONS FOR CIVIL ACTIONS REGARDING
TERRORIST ACTS.

(a) In General.--Section 2335 of title 18, United States
Code, is amended--
(1) in subsection (a), by striking ``4 years'' and
inserting ``10 years''; and
(2) in subsection (b), by striking ``4-year period'' and
inserting ``10-year period''.
(b) Effective Date.--The amendments made by this section
shall apply to--
(1) proceedings under section 2333 of title 18, United
States Code, pending in any form on the date of the enactment
of this Act;
(2) proceedings under such section commenced on or after
the date of the enactment of this Act; and
(3) any civil action brought for recovery of damages under
such section resulting from acts of international terrorism
that occurred more than 10 years before the date of the
enactment of this Act, provided that the action is filed not
later than 6 years after the date of the enactment of this
Act.

SEC. 1262. REPORT ON USE OF CERTAIN IRANIAN SEAPORTS BY
FOREIGN VESSELS AND USE OF FOREIGN AIRPORTS BY
SANCTIONED IRANIAN AIR CARRIERS.

(a) In General.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter, the
President shall submit to the appropriate congressional
committees a report that contains--
(1) a list of vessels that have entered seaports in Iran
controlled by the Tidewater Middle East Company during the
period specified in subsection (b) and the owners and
operators of those vessels; and
(2) a list of all airports at which aircraft owned or
controlled by an Iranian air carrier on which sanctions have
been imposed by the United States have landed during the
period specified in subsection (b).
(b) Period Specified.--The period specified in this
subsection is--
(1) in the case of the first report submitted under
subsection (a), the 180-day period preceding the submission
of the report; and
(2) in the case of any subsequent report submitted under
that subsection, the year preceding the submission of the
report.
(c) Form of Report.--Each report required by subsection (a)
shall be submitted in unclassified form, but may include a
classified annex.

SEC. 1263. IMPLEMENTATION; PENALTIES.

(a) Implementation.--The President may exercise all
authorities provided under sections 203 and 205 of the
International Emergency Economic Powers Act (50 U.S.C. 1702
and 1704) to carry out this subtitle.
(b) Penalties.--The penalties provided for in subsections
(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, conspires to violate, or
causes a violation of this subtitle or regulations prescribed
under this subtitle to the same extent that such penalties
apply to a person that commits an unlawful act described in
section 206(a) of that Act.

SEC. 1264. APPLICABILITY TO CERTAIN NATURAL GAS PROJECTS.

Nothing in this subtitle or the amendments made by this
subtitle shall apply with respect to any activity relating to
a project described in subsection (a) of section 603 of the
Iran Threat Reduction and Syria Human Rights Act of 2012 (22
U.S.C. 8783) to which the exception under that section
applies at the time of the activity.

SEC. 1265. RULE OF CONSTRUCTION.

Nothing in this subtitle or the amendments made by this
subtitle shall be construed to limit sanctions imposed with
respect to Iran under any other provision of law or to limit
the authority of the President to impose additional sanctions
with respect to Iran.
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