Wicker’s proposal would stifle ‘deep reach’ of oligarchs, kleptocrats

To protect the nation’s financial system, U.S. Sen. Roger Wicker (R-MS) recently proposed bipartisan legislation as an amendment to the 2023 National Defense Authorization Act (NDAA) that would clamp down on kleptocrats and criminals perpetuating financial crimes in the United States.

“Vladimir Putin’s barbaric invasion of Ukraine has exposed the deep reach of oligarchs and kleptocrats who have used their wealth and influence to drive global conflict,” Sen. Wicker said. “The United States should be doing everything within reason to root out this corruption and keep foreign bad actors from exploiting our financial system.” 

The Establishing New Authorities for Businesses Laundering and Enabling Risks to Security (ENABLERS) Act of 2022, which is Senate Amendment (S.Amdt.) 6377, would bolster federal due diligence and transparency requirements to include certain American professionals — such as investment advisors, attorneys, and accountants — who are often exploited to hide illicit money or carry out financial crimes, according to a bill summary provided by Sen. Wicker’s office.

For instance, according to the text of S.Amdt. 6377, Russian oligarchs have used such American “gatekeepers” to move their money into the United States. One such gatekeeper formed a Delaware company that reportedly owns a $15 million mansion in Washington, D.C., that’s linked to one of Putin’s closest allies. Also reportedly connected to the oligarch is a $14 million townhouse in New York City owned by another Delaware company, the text says.  

“This legislation would put that abuse in the crosshairs by requiring greater transparency in certain industries to help protect our country,” said Sen. Wicker, who on Sept. 29 submitted S.Amdt. 6377 with sponsor U.S. Sen. Sheldon Whitehouse (D-RI).

Specifically, the Senate amendment would revise the NDAA for fiscal year 2023, H.R. 7900 — which is slated for U.S. Senate consideration later this year — by requiring that professional service providers that serve as gatekeepers to the U.S. financial system adopt anti-money laundering procedures “that can help detect and prevent the laundering of corrupt and other criminal funds into the United States,” according to the text.

“This bipartisan measure would require basic transparency in a number of professions that bad actors seek out to hide their ill-gotten gains,” Sen. Whitehouse added. “We already expect that kind of transparency from many institutions, like our banking system. I’m pleased we’ve arrived at a sensible, bipartisan solution to address this threat.”