Mnuchin warns Russian companies will face 'real and swift consequences' if they violate sanctions relief terms

Mnuchin is due to meet with House Democrats on Capitol Hill Thursday for a classified briefing on Treasury's decision last month to drop sanctions on Rusal, the world's second-largest aluminum producer, as well as EN+ Group, the company that holds Deripaska's stake in both Rusal and GAZ Group, a Russian automotive conglomerate.

The December notification to Congress of plans to delist those entities kicked off a 30-day review period by lawmakers.

"Treasury will be vigilant in ensuring that En+ and Rusal meet these commitments," Mnuchin said in a statement. "If these companies fail to comply with the terms, they will face very real and swift consequences, including the reimposition of sanctions."

Mnuchin said he was committed to providing House Speaker Nancy Pelosi and several committee chairs a full briefing to answer their questions and concerns.

The briefing marks a first step toward tougher oversight of the Trump administration on Russia-related matters. It comes as Democrats mull whether to formally push back against the sanctions relief for the Russian companies, announced last month.

In the statement, Mnuchin said En+, Rusal and ESE had been designated for sanctions because they were majority-owned or controlled by Deripaska.

These firms he said have undergone "significant restructuring and governance changes" that have cut Deripaska's ties and "significantly diminish his ownership."

"They have committed to provide Treasury with an unprecedented level of transparency into their dealings to ensure that Deripaska does not reassert control," said Mnuchin.

On Monday, seven House Democratic committee chairmen sent a letter to Mnuchin raising concerns about terminating the sanctions and demanding a briefing.

"As the chairs of committees with oversight jurisdiction over the US response to Russia's attempts to interfere in our elections and other hostile actions, we have a number of concerns about the agreement that the US has reached with Mr. Deripaska," the lawmakers wrote.

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