GOP Fuming: Critics Blast Biden Admin's Latest Decision On Iran

This information was gleaned from a notice submitted to Congress late Wednesday, which was subsequently reviewed by the Washington Free Beacon.

The contentious sanctions waiver permits Iraq to channel electricity payments to Iran via third-party nations. The Biden administration had previously approved this waiver in November, which was due to expire this month. This placed the White House in a precarious position as an increasing number of GOP lawmakers voiced their concerns about the potential bypassing of sanctions. The authority granted in the latest waivers enables Iraq to convert dinars into Euros and transfer payments into Iranian bank accounts in Oman.

Earlier this week, Republican foreign policy leaders in Congress expressed their apprehensions about the waiver, as reported by the Free Beacon. They argued that sanctions should not be lifted on the hardline Iranian regime, given its support for Hamas and other terrorist proxy groups engaged in conflicts with Israel and American outposts in the region.

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The State Department insists that the funds can only be accessed by Iran to pay for humanitarian supplies, such as food and medicine. However, critics of the sanctions waiver contend that money is fungible, and the waiver essentially provides Iran with additional funds to finance its global terrorism operations.

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While the State Department did not immediately confirm the transmission of the sanctions waiver to Congress, it defended its previous renewals on Tuesday in response to questions from the Free Beacon. A State Department spokesman stated, "Since 2018, the waiver has remained necessary as Iraq weans itself off Iranian energy imports, which cannot happen overnight." He further added that Iraq is making progress towards energy self-sufficiency by increasing regional electricity interconnections, capturing and utilizing natural gas associated with oil production, and developing new domestic gas resources.

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The State Department maintains that the waiver is crucial to ensure Iraq's access to electricity and its ability to pay down its debt to Tehran. An official from the department asserted, "Under these waivers, no money has been permitted to enter Iran. Any notion to the contrary is false and misleading. These funds, which are held abroad in third countries, can only be used for transactions for the purchase of food, agricultural commodities, medicine, medical devices, and other non-sanctionable transactions. The money goes straight to the trusted vendor or financial institution in another country. The money never touches Iran."

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However, Republicans on Capitol Hill argue that the continued use of the sanctions waiver allows Iran to divert funds it would otherwise be compelled to spend on critical humanitarian goods. "By waiving the application of sanctions, the Administration is maintaining a financial lifeline for the Iranian regime, even as it continues to support terrorist organizations around the world," wrote Rep. Bill Huizenga (Mich.) and three GOP House colleagues in a letter to the Biden administration earlier this week.

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The lawmakers further argued that Iran "has a history of lying about humanitarian transactions. There is no reason to think that they will not try to skirt these restrictions again. Additionally, money is fungible, and the waiver and subsequent transfer will free up billions in funds that Iran can now spend on its terrorist proxies, nuclear activities, and military."

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Richard Goldberg, a former White House National Security Council member who worked on the Iran portfolio, stated that the latest version of the sanctions waiver differs significantly from the one issued during the Trump administration. He argued that the Biden version provides Iran with much more flexibility in how the money is used.

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Goldberg, a senior adviser for the Foundation for Defense of Democracies think tank, said, "This is not the same waiver for Iraqi electricity imports that has been issued since 2018. This is an Iran sanctions relief waiver that allows Tehran to access money and use it for budget support, including debt payments and import subsidies."

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He further added, "The fact that the administration will not even tell the American people how much money Iran has accessed over the last four months—money that subsidized three American soldier deaths and nonstop attacks on the American Navy—should prompt the U.S. Senate to immediately pass the No Funds for Iranian Terrorism Act and send to the president’s desk." This legislation, if passed, would cut off Iran's access to previously frozen funds.