Additional Names for Consideration of Sanctions in the Corrupt Act

Floor Speech

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Mr. COHEN. Madam Speaker, I was pleased to have co-sponsored the CORRUPT Act, H.R. 6846 (Corruption, Overthrowing Rule of Law, and Ruining Ukraine: Putin's Trifecta Act) in the House and to see its passage on the floor this week. This Act requires the President to report to Congress, within 30 days of this bill's enactment, a determination as to whether specified Russian persons identified in the bill meet the criteria to be subject to sanctions under laws that authorize sanctions relating to corruption or human rights violations. This legislation identifies nearly 200 names for immediate review by the Administration and, in my belief, can play a very important role in stopping Putin's cronies from operating under the radar and from advancing the Kremlin's evil agenda.

While this bill represents a critically important step forward, there are additional Russian entities (and names representing the leadership ranks within those entities) that, while not included in this legislation, warrant close attention by the Administration as well. I believe a particular focus on the Russian financial sector is warranted, and that government agencies in the sector play an integral role in financing Russia's war in Ukraine.

One specific government agency worthy of sanctions is the Russian DIA, or the Russian Depositary Insurance Agency, which I, along with Congressman John Curtis, brought to the Administration's attention earlier this year.

The DIA, established in 2004, is a Russian state-owned corporation, controlled by a board dominated by officials from the (now sanctioned) Central Bank of Russia. In its official capacity, the DIA operates the national deposit insurance system for Russian banks and acts as the sole authorized bankruptcy administrator of financial institutions deemed insolvent in Russia.

Hiding behind this innocuous role, however, the DIA leads Kremlin- directed efforts to nationalize the assets of Russian financial institutions, funneling the assets of privately owned businesses to now-sanctioned Russian state banks such as Sberbank, VTB and Gazprombank. I have been made aware that many of the businesses that the DIA targets on behalf of the Central Bank of Russia are owned by individuals who have been blacklisted as political targets of the Russian state and lack sufficient political protection from these kinds of schemes.

The CEO of the DIA, Andrey Melnikov, was sanctioned by the United States in 2017 for his role as Minister of Economic Development of the Russian-occupied territory of Crimea, following Russia's invasion of Ukraine. Mr. Melnikov was re-sanctioned by the Treasury Department just last week, for his role at the DIA, as well. Other members of the DIA's legal team (such as Andrey Pavlov) have been sanctioned under the Magnitsky Act for their key roles in attacking Russian opposition leader Alexei Navalny and his supporters in Russia and abroad, often using abusive lawsuits and court proceedings around the world to pressure them into abandoning their support for democratic change and rule-of-law in Russia.

By taking actions to target the DIA directly, the U.S. government can play a key role in cutting off Russia's long arm of oppression abroad and limit Putin's ability to fund his war chest. Sanctioning the DIA will not only hamper its ability to expropriate assets from privately held Russian financial businesses, but also help defend brave Russian dissidents and opponents of Putin abroad from predatory attacks by law firms in the employ of the DIA.

Individuals in leadership positions in the DIA, who I believe that, along with Director Melnikov, should be reviewed for the future imposition of sanctions include:

Filatova, Maria Vladislavovna, First Deputy General Director of the DIA

Dolgoleva, Olga Viktorovna, Deputy General Director of the DIA

Dolenko, Veronika Viktorovna, Acting Financial Director

Morozov, Oleg Borisovich, Deputy General Director of the DIA

Popelyukh, Alexander Anatolievich, Deputy General Director of the DIA

Savchenko, Sergey Mikhaylovich, Deputy General Director of the DIA

Fedorova, Natalia Vladimirovna, Deputy General Director of the DIA

I am hopeful that the Senate, in future action on companion legislation now pending in the body, can review these names with an eye toward adding them to the Senate bill. I also hope the Senate will consider adding the DIA itself to the pending legislation. Doing both can take direct aim at the ability of the DIA and its leadership to advance Putin' schemes, his war in Ukraine and his attacks on all those who dare stand up and oppose him.

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