. i cannot agree more. i look forward to your testimony today. thank you very much. >> mr. szubin, will you stand and raise your right hand? the testimony you were about to give is the truth and the whole truth? mrthe agreed to testify before any duly constituted committee of the senate? you may sit down. will betten testimony made part of this record in its entirety. before you begin your remarks, i invite you to introduce your family members today. mr. szubin: thank you very much. of the like to introduce my beloved wife miriam, my son and i, my father in law want to thank in particular my wife miriam for her unwavering support over the past years. this job will be difficult and i could not have done any part of it without her. >> you can proceed as you wish. mr. szubin: distinguished members of the committee, it is an honor to be appearing before this committee today. to have been nominated to serve as underage secretary of the treasury for terrorism and financial -- undersecretary of the treasury for terrorism and financial. i want to thank the president for his strong support. i wi

now the ramping up of such efforts? mr. szubin: thank you. it is obviously a key campaign as we move forward and one i will be spending a lot of my personal time on, because there are a lot of assets to this effort. obviously, the most visible effort is deploying new sanctions and we have done quite a lot against has ezbollah over recent years. i had analysts send out a chart for me and it is over 200 companies and officers that her sanctioned and all of them remain under sanction, notwithstanding this deal. those sanctions, thanks to congress, have after territorial affects, by which i mean foreign banks can do business on anyone with that list will do so at their own peril and have the risk of being cut off from the u.s. financial system. in addition to the targeting effort to continue to go after the networks come officers of these terrorist groups and proxies, we have a lot to do in terms of outreach diplomatically. i think we have a lot of willing counterparts. i spoke to officials in the gulf and saudi arabia and uae -- my next foreign trip will be to those countries -- i

would be a priority. in the past it has been. mr. szubin mentored under president bush. his immediate predecessor took consider. some of the pending nominees have been waiting since january just for a hearing. they deserve hearings and votes. i hope the chairman will promptly move them through the process and on to the senate floor for consideration. that said, i'm delighted under secretary szubin before us to discuss the critical role of the u.s. government's broader control. that officeú:hv marshalls the department intelligence enforcement with the dual aim of safeguarding the financial system against illness and use and terrorist mass destruction, prolif ray tors, drug king pens and other national security threats. over the last 15 years, he distinguished himself as a tough, aggressive enforcer against countries like russia, iran and north korea and against money launderers, terrorists and traffickers. after earning undergraduate in law degree, he was a full scholar in israel before joining the department of justice. he served as deputy attorney general, he was on the task force

? d? mr. szubin: mr. szubin: i do. >> your written testimony will be made part of this record admits entirety before you begin your oral remarks. to introduce your family members in attendance today. mr. szubin: thank you. i would like to introduce my amazing wife. mother, my mother-in-law. i want to thank my wife for her unwavering support over the past two years. this job can be a difficult one. and i cannot have done any part of it without her. >> you may proceed as you wish. an art to be ais before this committee today. i am honored to have served as undersecretary of treasury for terrorism and financial crimes. i want to thank president obama for the confidence he has placed in me, and the secretary for his recommendation and support. i do not take this opportunity for granted. it is not take for granted the fact i have been allowed to serve my government at all. 16 years. my father was born in poland in 1933. at parents fled the nazis the outbreak of world war ii and were captured and sent to serbia where they live out the war years. eatwas a place of gr hardship, but it saved

interpretation of a general license. mr. szubin: a general license is a standing authorization that is ofued that allows for a set activities that would otherwise be prohibited to go on so long as it meets all of the specified conditions it does not do anything but a specific license would do other than it is a efficiency. rather than the company's applications by one by one, it transaction,tarian the for policy was supportive of every company when they want to do it -- >> a general license this when you got the same request and you up with the same result for purposes of expediency and efficiency. when a general license ultimately swallows up the congressional attempt as in the case of cuba where you are giving a general license for the purposes of travel, and where travel under the administration hosel's are supposed to help purposeful elements, and a aneral license is basically good honor system, where you do not actually go ahead and enforce whether or not the person is following the criteria under the purported purposes of that license, then there is no way to know. you have cr

to order. we will hear testimony on the nomination of mr. adam szubin, washington d.c. to be the undersecretary of the treasury for terrorism and financial crimes. adam szubin if confirmed will be the third undersecretary of the treasury with the responsibility for the office of terrorism and financial intelligence. the lenders to the secretary reports directly to the secretary. this position we realize is responsible for exercising the dual mission of combating terrorists financing and money laundering while overseeing enforcement of that nation's constantly evolving sanctions program. the undersecretary also receives a number of separate policy, regulatory and enforcement options such as the office of terrorism and financial crimes, the office of foreign assets control in the office of intelligence and analysis, the treasury executive officer for asset forfeiture and the financial crimes enforcement network. adam szubin comes to the undersecretary's office for 14 years of government experience. he has participated in several international negotiations including the president's

throughout this agreement >> thank you very much mr. chairman and within my allotted time secretary szubin you don't expect to stop funding hezbollah so what will you do to combat this? >> unfortunately i do expect to continue to see iran funding hezbollah and their other proxies and it's extremely troubling and it's frankly what i have devoted the bulk of my career to combating. i've been working 13 years on the terrorist financing portfolio because of how serious of a threat i believe that to be. we have a lot of tools at our disposal here and frankly one of the most powerful is the one congress has given us which is that when we sanction iranian terrorist supporters are designation is amplified internationally. what i mean by that is when we name hezbollah financier and money launder everything worldwide not just american banks, any bank worldwide that facilitates transactions for that designated entity faces very severe sanctions from the u.s., sanctions that no bank wants to face and so what we have seen as a practical matter to those congressional sanctions is that our sanctions agai

paragraph? mr. szubin: there is nothing to my knowledge about preemption in the joint plan of action. all it says is that we will make sure that state authorities who have enacted legislation with respect to iran are informed of the developments, which i think are pretty key to be aware of, when it comes to the iraq nuclear deal, and that will encourage them to take this into account as they consider it. senator: how would you encourage them? mr. szubin: in some cases those laws were predicated on the nuclear case. any authority looking at divestment laws based on their nuclear program, you would have to take into account the historic developments that we are talking about today. senator: thank you. chairman: senator schumer. senator schumer: under secretary sherman, i've appreciated your thoughtfulness, intelligence, your candor, your availability in our past meetings. i thank you for your laudable years of service. sec. szubin, thank you for your service as well. i hope to have you for the daunting challenges we face not only with iran, but around the world. i read and reread the a

respectively, it deserves your support. thank you. mr. szubin: it is a pleasure to appear alongside ambassador sherman. the globalization's coalition, built in but by the united states, across administrations and with rod bipartisan support in congress -- with broad bipartisan support in congress gave us the leverage to achieve unprecedented sanctions against iran. from the start, the purpose was to build a leverage to receive concessions on the nuclear file. our secondary sanctions work meant to be a quaint for the d forar quote -- a qui the nuclear quo. poa obtained its purposes. on the sanctions part of the deal, i would like to touch on four points that have been much debated. the scope of relief. the snapback provisions. the campaign that is ongoing to combat iran support of terrorism . and finally, our remaining leverage in the event that the united states walks away from this deal. first, we should be clear and describing what sanctions relief will and will not mean to iran. if iran completes the nuclear steps in this deal, which will take at least 6-9 months, the united stat