The United States Senate passed a bill that will impose economic sanctions against Iran Friday despite warnings from President Obama's administration.
The amendment will restrict companies that do business with financial institutions in Iran from having accounts in the U.S. Waivers will be granted to companies that handle national security affairs.
Officials in the administration said the sanctions could harm America. They claim the bill could cause the price of oil to increase and will not deter Iran in their pursuit of a nuclear weapon.
Treasury Secretary Timothy Geithner opposed the amendment and told CNN the legislation "threatens to undermine the effective, carefully phased and sustainable approach" the administration wants to see.
Wendy Sherman, the State Department's undersecretary for political affairs, agreed with Geithner.
"There is absolutely a risk that in fact the price of oil would go up, which would mean that Iran would in fact have more money to fuel its nuclear ambitions, not less," said Sherman
Republican Illinois Sen. Mark Kirk sponsored the amendment and said America needs to take action against Iran.
"The Central Bank of Iran is the primary bankroller of Iran's global terror network, its nuclear program and other illicit activities," said Kirk. "The time has come to impose crippling sanctions on this terrorist and nuclear-financing institution."
The amendment comes in response to a recent report indicating Iran is close to acquiring a nuclear weapon. To strain the relationship further, protesters convened outside the British embassy in Tehran earlier this week to burn the British flag and yell “Death to England” and “Death to Israel.”
The European Union imposed sanctions Thursday. It also approved the addition of 180 entities to a list that will freeze their assets in Europe; thus, banning them from traveling to the states of the European Union.