Patrick McHenryChairman

Washington, January 27, 2022 -

Today, the top Republican on the House Financial Services Committee, Patrick McHenry (NC-10), and the top Republican on the Subcommittee on National Security, International Development, and Monetary Policy, Andy Barr (KY-06), sent a letter to Financial Services Committee Chairwoman Maxine Waters (CA-43) regarding Russia’s recent aggression towards Ukraine. In the letter, the Republican Leaders demand Chair Waters convene a hearing with Treasury Secretary Janet Yellen to better understand the Biden Administration’s position on imposing appropriate financial measures against the Putin regime.

Read the full letter here or below:

“Dear Chairwoman Waters:

“During his press conference last Wednesday, President Biden delivered worrying remarks calling into question the United States’ commitment to deter and punish Russia for its aggression against Ukraine. According to the President, ‘It depends on what [Russia] does.  It’s one thing if it’s a minor incursion and then we end up having a fight about what to do and not do, et cetera.’ The President’s apparent lack of concern toward Russian hostilities prompted Ukrainian president Volodymyr Zelensky to respond, ‘We want to remind the great powers that there are no minor incursions and small nations. Just as there are no minor casualties and little grief from the loss of loved ones.’

“As you know, our sanctions regime plays an integral role in addressing Moscow’s ambitions in Ukraine, and it is vital for Members to hear from the Treasury Department on its plans. Disturbingly, Secretary Yellen has failed to testify before the Committee on the international financial system, as required by statute. You also cancelled a hearing with Deputy Secretary Wally Adeyemo, who has overseen a review of Treasury’s sanctions policy, just days before he was set to appear in October. We are therefore requesting that you require the Secretary’s testimony when the House is in session next week, with the goal of understanding the Administration’s position on imposing appropriate financial measures against the Putin regime.

“At this hearing, the Committee must insist on a coherent strategy from the Biden Treasury by demanding answers to the following:

• Why did the President signal to Russia that a “minor incursion” may not be met with a robust U.S. response?

• Why is the Biden Administration facing a surge in Moscow’s aggression after both imposing restrictions on Russian sovereign debt in April and waiving Nord Stream 2 sanctions in May? What evidence can Secretary Yellen provide demonstrating that any of these policies have meaningfully altered Russia’s behavior?

• How has Treasury’s 2021 sanctions review informed its approach towards Russia, and why has this approach nonetheless brought us to the verge of armed conflict?

• Why did Secretary Yellen gift Russia with $17 billion in IMF Special Drawing Rights (SDRs) last year, and how was bolstering Moscow’s reserve position consistent with an effective sanctions policy?

• Does the Biden Administration endorse House Democrats’ support of $57 billion in additional SDRs for the Putin dictatorship under the pending State, Foreign Operations, and Related Programs Appropriations Act (H.R. 4373)? Would the President veto this provision given the threat it poses to U.S. interests?

“We appreciate your attention to this matter and look forward to your response.”

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