Calls for the US to Impose Stricter Regulations on Hong Kong Banks
A congressional committee has urged the Treasury Department to modify its policy regarding the Chinese region due to accusations of sanctions evasion. Read Full Article at RT.com
TroibNews 
A committee of the US Congress has asserted that the Chinese region of Hong Kong is aiding Russia and Iran in circumventing sanctions, as detailed in a letter to Treasury Secretary Janet Yellen.
Hong Kong, a self-governing area of China that was under British rule until 1997, maintains a unique economic position with the United States.
“We must now question whether longstanding US policy towards Hong Kong, particularly towards its financial and banking sector, is appropriate,” the House Select Committee on the Chinese Communist Party stated in their letter to Yellen, according to Reuters.
The letter, which was co-signed by committee chair John Moolenaar, a Republican from Michigan, and ranking Democrat Raja Krishnamoorthi from Illinois, alleges that shell companies based in Hong Kong have been involved in purchasing Iranian oil and distributing Western semiconductors to Russia. They referenced research indicating that nearly 40% of goods exported from Hong Kong to Russia in 2023 were classified by the US as high-priority for military application in the Ukraine conflict. Moolenaar and Krishnamoorthi have characterized Hong Kong as a significant participant in the "authoritarian axis" involving Russia, China, Iran, and North Korea.
In 2018, Washington imposed sanctions on Tehran following its withdrawal from the Iran nuclear agreement. Additionally, the US and its allies have targeted Russia with numerous sanctions since 2022 due to the ongoing war in Ukraine. China has dismissed these sanctions as unilateral and illegitimate, committing to uphold its trade and property rights.
The current Congressional session will conclude in early January, but both Krishnamoorthi and Moolenaar have secured re-election, suggesting they will continue their efforts in the next session. Yellen is expected to leave the Treasury later that month, coinciding with the inauguration of President-elect Donald Trump, who has already named Scott Bessent as her successor.
Camille Lefevre for TROIB News
Hong Kong, a self-governing area of China that was under British rule until 1997, maintains a unique economic position with the United States.
“We must now question whether longstanding US policy towards Hong Kong, particularly towards its financial and banking sector, is appropriate,” the House Select Committee on the Chinese Communist Party stated in their letter to Yellen, according to Reuters.
The letter, which was co-signed by committee chair John Moolenaar, a Republican from Michigan, and ranking Democrat Raja Krishnamoorthi from Illinois, alleges that shell companies based in Hong Kong have been involved in purchasing Iranian oil and distributing Western semiconductors to Russia. They referenced research indicating that nearly 40% of goods exported from Hong Kong to Russia in 2023 were classified by the US as high-priority for military application in the Ukraine conflict. Moolenaar and Krishnamoorthi have characterized Hong Kong as a significant participant in the "authoritarian axis" involving Russia, China, Iran, and North Korea.
In 2018, Washington imposed sanctions on Tehran following its withdrawal from the Iran nuclear agreement. Additionally, the US and its allies have targeted Russia with numerous sanctions since 2022 due to the ongoing war in Ukraine. China has dismissed these sanctions as unilateral and illegitimate, committing to uphold its trade and property rights.
The current Congressional session will conclude in early January, but both Krishnamoorthi and Moolenaar have secured re-election, suggesting they will continue their efforts in the next session. Yellen is expected to leave the Treasury later that month, coinciding with the inauguration of President-elect Donald Trump, who has already named Scott Bessent as her successor.
Camille Lefevre for TROIB News
