US President Joe Biden may use the International Emergency Economic Powers Act (IEEPA) of 1977 to gain access to them. The law states that the president may block, regulate, direct, annul, prevent, or prohibit property transfer from one owner to another.
“These powers refer to the transfer of any right, authority, or privilege over property in which a foreign state has an interest and which is under the jurisdiction of the US,” the NYT reported.
For example, George Bush Jr. used this method when he froze Iraqi assets in the US after the invasion of Kuwait and turned them over to the UN Compensation Commission.
Meanwhile, the US Treasury Secretary is pushing for a tax on the proceeds of frozen Russian assets instead of confiscating them. She called it a “sensible proposal” and noted that the US is discussing the idea with the EU. Yellen backed an EU plan to introduce a windfall tax on profits from frozen Russian sovereign assets, calling it a “sensible” way to help fund Ukraine’s recovery.