A group of US Democrats has introduced a new bill to sanction El Salvador President Naive Bukere and members of his administration.
The law, entitled El Salvador Accountability Act (s.2058), was proposed by Senators Chris Van Hollen, Tim Kane and Alex Padilla.
If passed, the bill requires President Donald Trump to impose sanctions on alleged human rights violations and the Salvador government’s misuse of Bitcoin.
Invoice details
The proposed law accuses the Salvadoran government of violating the internationally recognized human rights, particularly through the state’s ongoing exceptional situation.
Therefore, sanctions against President Bukkere, cabinet members, and other individuals working on behalf of the government, including government officials and leaders of government agencies, are based on credible information about fraud.
The bill proposes strong penalties, including a freeze on US assets, denial of visas, and suspension of financial aid.
Lawmakers allege that Salvadoran institutions committed these violations while benefiting from US taxpayer dollars.
The bill also requires the President to provide an annual update starting with a detailed report on individuals approved within 90 days of its passage.
Meanwhile, the law also directs the US Secretary of State to submit a comprehensive report on El Salvador’s encryption within 90 days of the bill’s enactment.
The report allegedly Salvadora officials have used Bitcoin and other digital assets to engage in corruption, avoid sanctions and misuse government resources.
It should include estimating the public funds that El Salvador spent on Bitcoin acquisitions, identifying the exchanges used to purchase them, listing relevant wallet addresses, and highlighting actors who have access to the funds.
Additionally, the report should assess potential loopholes in El Salvador’s crypto strategy that could be misused for illegal purposes, such as efforts to bypass international financial sanctions.
Bukere’s reaction
In response to the bill, President Bukere dismissed the US lawmakers’ attempts to impose sanctions on him and his government.
On June 8, Bukele laughed at the proposal in a post on X (formerly Twitter), suggesting that the efforts of lawmakers were driven by frustration.
This response is not surprising given the growing relationship between the two presidents. This includes their collaboration on El Salvador’s efforts to combat criminal gangs and a shared procrypt stance.
President Trump invited Bucquere to the White House in April to discuss support for US immigration. Two months later, Trump’s advisor, Beau Hines, met with Bukel to explore a potential crypto partnership.