During a Senate Foreign Affairs Committee hearing on Wednesday, Sen. Ted Cruz (R-Texas) grilled Jacob J. Lew, President Joe Biden's nominee to be ambassador to Israel, over his role—as secretary of the Treasury—in the U.S.-Iran relationship during the Obama administration. “You are a critical player in the Obama administration’s campaign of appeasement with Iran,” Mr. Cruz said. He also criticized the Biden administration for “sending hundreds of millions of dollars to Gaza.”
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Mr. Secretary, welcome.
You and I had a vigorous conversation in my office yesterday.
You said at the time, nobody could have imagined what happened in Israel with this terror attack.
I have to say I disagreed then and I disagree now.
Many of us not only imagined, we predicted it.
You were a critical player in the Obama administration's campaign of appeasement with Iran.
You played a pivotal role in flooding over $100 billion to the Iranian regime.
The Biden administration has continued that policy, flooding nearly an additional $100
billion to the Iranian regime.
That policy of appeasement, sending hundreds of billions of dollars to a theocratic, homicidal,
genocidal maniac who leads chants of death to America and death to Israel, has proven
catastrophic.
The death squads in Israel from Hamas are funded in real and meaningful ways by the
billions of dollars the Obama administration and now the Biden administration has flowed
directly to Iran.
That has proven disastrous.
We also have drones.
As you know, today the U.N. arms embargo on Iran expires, today, ironically the day of
your hearing.
You were pivotal in advocating for U.N. Resolution 2231, the Iran deal, which is why the arms
embargo is expiring today.
On October 7th, Hamas used swarms of sophisticated drones in their October 7th attack.
Do you believe the world is safer today because of 2231 and the expiration of the arms embargo
allowing Iran now to sell inter-ballistic missiles and long-range drones?
Senator, I think you would have to agree that the history of the U.S. engagement on JCPOA
has changed substantially since I sat in this room.
Do you think the world is better and safer with the arms embargo expiring?
But Senator, if the U.S. was not-
Yes or no, are we safer today with no arms embargo?
I think it's a bunch more complicated than that because we're not part of JCPOA, therefore
there was no extension of the arms embargo.
I would have advocated for an extension of the arms embargo and we might well have-
And by the way, the Biden administration has been in power two and a half years.
The arms embargo is expiring today and you were pivotal in that happening.
Let's shift to another thing because the Biden administration didn't just send money to Iran
in massive numbers, it has also sent money to Gaza that went to Hamas.
And at the time, I led a coalition of senators urging the Biden administration, do not send
money to Gaza because it is controlled by Hamas.
It will be used by Hamas for acts of terrorism.
We now know that the Biden administration reached the following determination and I
quote, due to its overall strength and level of control over Gaza, we assess that there
is a high risk Hamas could potentially derive indirect unintentional benefit from U.S. assistance
to Gaza.
High risk.
Now, as treasury secretary, you're familiar with these determinations.
Under ordinary anti-terrorism laws, you can't send money where there's a high risk it'll
be used for terrorism.
But what did the Biden administration do?
It waived our anti-terrorism law because their political agenda was so important they
were willing to take that high risk.
Was it a mistake to send hundreds of millions of dollars to Gaza that in a very real and
practical way funded the death squads and funded the rockets that are being used to
murder Israelis?
Senator, I was not in government at the time these decisions were made.
Was it a mistake?
I'm not familiar with the back and forth that you're referring to, but my understanding
is the funding that went to Gaza was for things like the hospital and humanitarian.
So was OFAC wrong when it concluded there's a high risk that Hamas could derive benefits?
Senator, I would have to look at the document to have high regard.
You are one of few people that has the expertise to do this.
I have high regard for OFAC.
I just am not familiar with the document.
So is the world safer or less safe because hundreds of millions of dollars were sent
to Gaza when it's controlled by Hamas?
Senator, Hamas's activities have proven how evil they are and how important it is to deny
them resources.
Let me ask you a question.
Let me ask this question.
I will say this, Senator.
The Biden administration and the Biden State Department has repeatedly undermined Israel
as this attack was ongoing.
Within hours of the attack commencing, the State Department sent out a tweet from the
Office of Palestinian Affairs, an office that would report to you if you're confirmed, that
said, we unequivocally condemn the attack of Hamas terrorists and the loss of life that
is incurred.
We urge all sides to refrain from violence and retaliatory attacks.
Terror and violence solve nothing.
Do you agree with this tweet that was sent by the Biden State Department?
Senator, I would have to read it.
I'm not familiar with it.
You're not familiar with it?
I want to go back to the last point.
Hold on a second.
You're not familiar with this tweet.
They sent it out at three in the morning while the attacks were unfolding.
I blasted it at three in the morning and they deleted it within the hour because it was
shameful.
You're telling, telling Israel do not respond while your citizens are being murdered.
And by the way, the president of the United States has stated clearly the policy of the
United States.
I agree.
I agree with the president.
I understand.
But at the same time, this administration repeatedly walks back what he says.
So here's another tweet sent from the State Department.
Turkish foreign minister and I spoke, this is from Secretary Blinken, spoke further on
Hamas's terrorist attack on Israel.
I encourage Turkey's advocacy for a ceasefire and the release of all hostages held by Hamas
immediately.
Do you agree with this tweet from the secretary of state calling for a ceasefire immediately
after this attack began?
I think the president and the secretary of state have made clear that Israel has a right
and a responsibility to defend itself.
Do you agree with this tweet from the State Department?
Senator, I can't respond to tweets that you're reading to me.
Why are you not familiar with it?
I'm telling you, you haven't followed what the administration has said on this.
By the way, they deleted this tweet as well.
Day after day after day, this administration has systematically undermined Israel.
And finally, you advocated for UN Resolution 2334, which declared much of Israel illegally
occupied territory, including the Jewish quarter in Jerusalem and the Western Wall.
Do you believe the Jewish quarter and the Western Wall are illegally occupied territory?
Senator, I do not believe that it is illegally occupied territory.
Then why did you support a UN resolution saying that it is?
I think we could have a conversation about that, but it's going to take me more than
10 seconds to respond to it, which I'll be happy to do.
All the time you like.
Allow the witness to respond, if you allow the witness to respond.
So first, if I can respond, you've said a lot of things that you have not given me a
chance to respond to.
I sanctioned Hamas in 2015.
Hamas was sanctioned again today.
So I don't think it was a fair characterization of either what I did or this administration.
Second of all, the issue of a UN resolution is it was a UN resolution that all the parties
had to agree to that was negotiated to take out the most offensive provisions.
Whether it was a good or a bad resolution in the end, the president decided to abstain
rather than have a worse resolution come out.
You can agree or disagree with that.
You could have vetoed it.
But he was trying to prevent a worse resolution.
You could have vetoed it.
Nope.
The time has expired.
Senator Duckworth.
Thank you, Mr. Chairman.
Thank you for being here, Secretary Lew.
