Title

The Magnitsky Act at Five

Thursday, December 14, 2017
9:30am
Dirksen Senate Office Building, Room 562
Washington, DC
United States
Assessing Accomplishments and Challenges
Official Transcript: 
Members: 
Name: 
Senator Roger Wicker
Title Text: 
Chairman
Body: 
Commission on Security and Cooperation in Europe
Name: 
Representative Chris Smith
Title Text: 
Co-Chairman
Body: 
Commission on Security and Cooperation in Europe
Name: 
Senator Ben Cardin
Title Text: 
Ranking Member
Body: 
Commission on Security and Cooperation in Europe
Name: 
Senator Cory Gardner
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Senator Jeanne Shaheen
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Senator Sheldon Whitehouse
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Representative Steve Cohen
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Representative Sheila Jackson Lee
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Name: 
Representative Gwen Moore
Title Text: 
Commissioner
Body: 
Commission on Security and Cooperation in Europe
Witnesses: 
Name: 
William Browder
Title: 
CEO
Body: 
Hermitage Capital Management
Name: 
Hon. Irwin Cotler, PC, OC
Title: 
Chair
Body: 
Raoul Wallenberg Center for Human Rights
Name: 
Garry Kasparov
Title: 
Chairman
Body: 
Human Rights Foundation

In 2009, Russian tax lawyer Sergei Magnitsky was brutally murdered in prison after uncovering the theft of $230 million by corrupt Russian officials. On December 14, 2012, the Sergei Magnitsky Rule of Law Accountability Act was signed into law in the United States, establishing punitive sanctions – including financial freezes and visa restrictions – for those complicit in Magnitsky’s murder and other human rights abuses in the Russian Federation.  For the past five years, the Magnitsky Act has served as a basis for fighting corruption in Russia and the Putin regime’s systematic violations of the human rights of Russian citizens.

On the fifth anniversary of the Magnitsky Act, the Helsinki Commission examined the implementation of the legislation, the resistance of the Russian government to it, and the impact of sanctions on senior members of Putin’s inner circle. The Commissioners heard testimony from William Browder, CEO of Hermitage Capital Management, Garry Kasparov, Chair of the Human Rights Foundation, and the Hon. Irwin Cotler, PC, OC, Chair of the Raoul Wallenberg Centre for Human Rights.

Sen. Roger Wicker (MS), Chairman of the Helsinki Commission, began by recognizing the retirement of Amb. David Killion, Chief of Staff of the Commission since 2014, and thanking Amb. Killion for his service. Before introducing the witnesses, Sen. Wicker condemned the corruption plaguing the Russian government, and quoted the murdered Russian opposition politician Boris Nemtsov, who called the Magnitsky Act “the most pro-Russian law passed in the United States.”

Rep. Chris Smith (NJ-04), Co-Chairman of the Commission, criticized the Russian government’s response to the Magnitsky Act. He described the harm done to vulnerable Russian orphans by their government’s decision to ban American parents from adopting children from Russia. Mr. Smith also noted that he and many other Americans involved in the passage of the Magnitsky Act have since been denied visas to enter Russia. This response, he said, shows that the Magnitsky Act “struck right to the heart of the Kremlin’s elite.”

Sen. Ben Cardin (MD), the Helsinki Commission’s ranking senator, praised the witnesses for their commitment to promoting human rights in Russia, and thanked the members of the Helsinki Commission and other members of Congress who played a role in the passage of the Magnitsky Act. Mr. Cardin also recognized the passage of Magnitsky legislation in Canada, Estonia, Lithuania, and the United Kingdom, and recalled the power of American leadership on human rights, noting that, “when we lead, we find that other countries follow.”

William Browder, the first witness to testify, recalled the historic nature of the Magnitsky Act.

“On the day it passed, I could never have predicted how far the Magnitsky Act would spread around the world,” he said. “Without exaggeration, it has become the most important piece of human rights legislation passed in this century.”

He also called attention to the future of the Magnitsky movement, noting that the parliaments of Ukraine, South Africa, and Gibraltar are considering introducing similar legislation. In closing, Mr. Browder presented several suggestions to the Commission, including adding additional names to the list of sanctioned individuals, and encouraging other G7 countries to adopt Magnitsky legislation.

Garry Kasparov reiterated that the targeted sanctions imposed by the Magnitsky Act only apply to corrupt officials, and not the Russian people.

“Russian national interest and Putin’s interests are diametrically opposed in nearly every way,” he said. “This is why legislation that targets Putin and his mafia is pro-Russian, not anti-Russia.”

Mr. Kasparov observed that the Kremlin’s reaction proved the worth of the Magnitsky Act, and that, “it is essential to increase the pressure, to continue with what works now that the right path has been confirmed.” 

At the conclusion of his testimony, Kasparov observed that “Putin and his gang . . . aren’t jihadists or ideologues, they are billionaires. . . .  Follow the money, the real estate, the stock and reveal it, freeze it, so that one day it can be returned to the Russian people from whom it was looted.”  More succinctly in a follow-up question, he quipped, “Banks, not tanks.”

Irwin Cotler gave an overview of the passage of the Canadian Magnitsky Act, and described the goals of the global Magnitsky movement.

The aim of Magnitsky legislation is “to combat the persistent and pervasive culture of corruption, criminality, and impunity and the externalized aggression abroad, of which Putin’s Russia is a case study” and “to deter thereby other prospective violators,” he said.

Passing such legislation also “tells human rights defenders, the Magnitskys of today, that they are not alone, that we stand in solidarity with them, that we will not relent in our pursuit of justice for them, and that we will undertake our international responsibilities in the pursuit of justice.”

Relevant countries: 
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