[114th Congress Public Law 102]
[From the U.S. Government Publishing Office]
[[Page 129 STAT. 2205]]
Public Law 114-102
114th Congress
An Act
To prevent Hizballah and associated entities from gaining access to
international financial and other institutions, and for other
purposes. <<NOTE: Dec. 18, 2015 - [H.R. 2297]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: Hizballah
International Financing Prevention Act of 2015. 50 USC 1701 note.>>
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Hizballah
International Financing Prevention Act of 2015''.
(b) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Statement of policy.
TITLE I--PREVENTION OF ACCESS BY HIZBALLAH TO INTERNATIONAL FINANCIAL
AND OTHER INSTITUTIONS
Sec. 101. Report on imposition of sanctions on certain satellite
providers that carry al-Manar TV.
Sec. 102. Sanctions with respect to financial institutions that engage
in certain transactions.
TITLE II--REPORTS AND BRIEFINGS ON NARCOTICS TRAFFICKING AND SIGNIFICANT
TRANSNATIONAL CRIMINAL ACTIVITIES OF HIZBALLAH
Sec. 201. Report and briefing on narcotics trafficking by Hizballah.
Sec. 202. Report and briefing on significant transnational criminal
activities of Hizballah.
Sec. 203. Rewards for Justice and Hizballah's fundraising, financing,
and money laundering activities.
Sec. 204. Report on activities of foreign governments to disrupt global
logistics networks and fundraising, financing, and money
laundering activities of Hizballah.
TITLE III--MISCELLANEOUS PROVISIONS
Sec. 301. Rule of construction.
Sec. 302. Regulatory authority.
Sec. 303. Termination.
SEC. 2. STATEMENT OF POLICY.
It shall be the policy of the United States to--
(1) prevent Hizballah's global logistics and financial
network from operating in order to curtail funding of its
domestic and international activities; and
(2) utilize all available diplomatic, legislative, and
executive avenues to combat the global criminal activities of
Hizballah as a means to block that organization's ability to
fund its global terrorist activities.
[[Page 129 STAT. 2206]]
TITLE I--PREVENTION OF ACCESS BY HIZBALLAH TO INTERNATIONAL FINANCIAL
AND OTHER INSTITUTIONS
SEC. 101. REPORT ON IMPOSITION OF SANCTIONS ON CERTAIN SATELLITE
PROVIDERS THAT CARRY AL-MANAR TV.
(a) <<NOTE: President.>> In General.--Not later than 90 days after
the date of the enactment of this Act, the President shall submit to the
appropriate congressional committees and leadership a report on the
following:
(1) The activities of all satellite, broadcast, Internet, or
other providers that have knowingly entered into a contractual
relationship with al-Manar TV, and any affiliates or successors
thereof.
(2) With respect to all providers described in paragraph
(1)--
(A) an identification of those providers that have
been sanctioned pursuant to Executive Order 13224 (50
U.S.C. 1701 note; relating to blocking property and
prohibiting transactions with persons who commit,
threaten to commit, or support terrorism); and
(B) an identification of those providers that have
not been sanctioned pursuant to Executive Order 13224
and, with respect to each such provider, any information
indicating that the provider has knowingly entered into
a contractual relationship with al-Manar TV, and any
affiliates or successors of al-Manar TV.
(b) Form of Report.--The report required by subsection (a) shall be
submitted in unclassified form to the greatest extent possible, but may
include a classified annex.
(c) Appropriate Congressional Committees and Leadership Defined.--In
this section, the term ``appropriate congressional committees and
leadership'' means--
(1) the Speaker, the minority leader, the Committee on
Foreign Affairs, the Committee on Financial Services, and the
Permanent Select Committee on Intelligence of the House of
Representatives; and
(2) the majority leader, the minority leader, the Committee
on Foreign Relations, the Committee on Banking, Housing, and
Urban Affairs, and the Select Committee on Intelligence of the
Senate.
SEC. 102. SANCTIONS WITH RESPECT TO FINANCIAL INSTITUTIONS THAT
ENGAGE IN CERTAIN TRANSACTIONS.
(a) Prohibitions and Conditions With Respect to Certain Accounts
Held by Foreign Financial Institutions.--
(1) <<NOTE: Deadline. President. Regulations. Determination.>>
In general.--Not later than 120 days after the date of the
enactment of this Act, the President shall prescribe regulations
to prohibit, or impose strict conditions on, the opening or
maintaining in the United States of a correspondent account or a
payable-through account by a foreign financial institution that
the President determines, on or after such date of enactment,
engages in an activity described in paragraph (2).
[[Page 129 STAT. 2207]]
(2) Activities described.--A foreign financial institution
engages in an activity described in this paragraph if the
foreign financial institution--
(A) knowingly facilitates a significant transaction
or transactions for Hizballah;
(B) knowingly facilitates a significant transaction
or transactions of a person identified on the list of
specially designated nationals and blocked persons
maintained by the Office of Foreign Assets Control of
the Department of the Treasury and the property and
interests in property of which are blocked pursuant to
the International Emergency Economic Powers Act (50
U.S.C. 1701 et seq.) for acting on behalf of or at the
direction of, or being owned or controlled by,
Hizballah;
(C) knowingly engages in money laundering to carry
out an activity described in subparagraph (A) or (B); or
(D) knowingly facilitates a significant transaction
or transactions or provides significant financial
services to carry out an activity described in
subparagraph (A), (B), or (C).
(3) <<NOTE: Applicability.>> Penalties.--The penalties
provided for in subsections (b) and (c) of section 206 of the
International Emergency Economic Powers Act (50 U.S.C. 1705)
shall apply to a person that violates, attempts to violate,
conspires to violate, or causes a violation of regulations
prescribed under this subsection to the same extent that such
penalties apply to a person that commits an unlawful act
described in subsection (a) of such section 206.
(4) Procedures for judicial review of classified
information.--
(A) In general.--If a finding under this subsection,
or a prohibition, condition, or penalty imposed as a
result of any such finding, is based on classified
information (as defined in section 1(a) of the
Classified Information Procedures Act (18 U.S.C. App.))
and a court reviews the finding or the imposition of the
prohibition, condition, or penalty, the President may
submit such information to the court ex parte and in
camera.
(B) Rule of construction.--Nothing in this paragraph
shall be construed to confer or imply any right to
judicial review of any finding under this subsection or
any prohibition, condition, or penalty imposed as a
result of any such finding.
(b) Waiver.--
(1) <<NOTE: President. Time periods.>> In general.--The
President may waive, on a case-by-case basis, the application of
a prohibition or condition imposed with respect to a foreign
financial institution pursuant to subsection (a) for a period of
not more than 180 days, and may renew the waiver for additional
periods of not more than 180 days, on and after the date on
which the President--
(A) <<NOTE: Determination.>> determines that such a
waiver is in the national security interests of the
United States; and
(B) <<NOTE: Reports.>> submits to the appropriate
congressional committees a report describing the reasons
for such determination.
(2) Form.--The report required by paragraph (1)(B) shall be
submitted in unclassified form, but may contain a classified
annex.
[[Page 129 STAT. 2208]]
(c) <<NOTE: President. Certification.>> Special Rule To Allow for
Termination of Sanctionable Activity.--The President shall not be
required to apply sanctions to a foreign financial institution described
in subsection (a) if the President certifies in writing to the
appropriate congressional committees that--
(1) the foreign financial institution--
(A) is no longer engaging in the activity described
in subsection (a)(2); or
(B) has taken and is continuing to take significant
verifiable steps toward terminating the activity
described in that subsection; and
(2) the President has received reliable assurances from the
government with primary jurisdiction over the foreign financial
institution that the foreign financial institution will not
engage in any activity described in subsection (a)(2) in the
future.
(d) Report on Foreign Central Banks.--
(1) In general.--Not later than 90 days after the date of
the enactment of this Act, and every 180 days thereafter, the
Secretary of the Treasury shall submit to the appropriate
congressional committees a report that--
(A) <<NOTE: Determination.>> identifies each
foreign central bank that the Secretary determines
engages in one or more activities described in
subsection (a)(2)(D); and
(B) provides a detailed description of each such
activity.
(2) Form of report.--Each report required by paragraph (1)
shall be submitted in unclassified form, but may include a
classified annex.
(e) Implementation.--The President may exercise all authorities
provided under sections 203 and 205 of the International Emergency
Economic Powers Act (50 U.S.C. 1702 and 1704) to carry out this section.
(f) Definitions.--
(1) In general.--In this section:
(A) Account; correspondent account; payable-through
account.--The terms ``account'', ``correspondent
account'', and ``payable-through account'' have the
meanings given those terms in section 5318A of title 31,
United States Code.
(B) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(i) the Committee on Foreign Affairs and the
Committee on Financial Services of the House of
Representatives; and
(ii) the Committee on Foreign Relations and
the Committee on Banking, Housing, and Urban
Affairs of the Senate.
(C) Financial institution.--The term ``financial
institution'' means a financial institution specified in
subparagraph (A), (B), (C), (D), (E), (F), (G), (H),
(I), (J), (K), (M), (N), (P), (R), (T), (Y), or (Z) of
section 5312(a)(2) of title 31, United States Code.
(D) Foreign financial institution.--The term
``foreign financial institution'' has the meaning given
that term in section 1010.605 of title 31, Code of
Federal Regulations.
(E) Hizballah.--The term ``Hizballah'' means--
[[Page 129 STAT. 2209]]
(i) the entity known as Hizballah and
designated by the Secretary of State as a foreign
terrorist organization pursuant to section 219 of
the Immigration and Nationality Act (8 U.S.C.
1189); or
(ii) any person--
(I) the property or interests in
property of which are blocked pursuant
to the International Emergency Economic
Powers Act (50 U.S.C. 1701 et seq.); and
(II) who is identified on the list
of specially designated nationals and
blocked persons maintained by the Office
of Foreign Assets Control of the
Department of the Treasury as an agent,
instrumentality, or affiliate of
Hizballah.
(F) Money laundering.--The term ``money laundering''
includes the movement of illicit cash or cash equivalent
proceeds into, out of, or through a country, or into,
out of, or through a financial institution.
(2) Other definitions.--The President may further define the
terms used in this section in the regulations prescribed under
this section.
TITLE II--REPORTS AND BRIEFINGS ON NARCOTICS TRAFFICKING AND SIGNIFICANT
TRANSNATIONAL CRIMINAL ACTIVITIES OF HIZBALLAH
SEC. 201. <<NOTE: President.>> REPORT AND BRIEFING ON NARCOTICS
TRAFFICKING BY HIZBALLAH.
(a) Report.--
(1) In general.--Not later than 120 days after the date of
the enactment of this Act, the President shall submit to the
appropriate congressional committees and leadership a report on
the activities of Hizballah related to narcotics trafficking
worldwide.
(2) Form.--The report required by paragraph (1) shall be
submitted in unclassified form to the greatest extent possible,
but may include a classified annex.
(b) Briefing.--Not later than 30 days after the submission of the
report required by subsection (a), the President shall provide to the
appropriate congressional committees and leadership a briefing on--
(1) the report;
(2) <<NOTE: Procedures.>> procedures for designating
Hizballah as a significant foreign narcotics trafficker under
the Foreign Narcotics Kingpin Designation Act (21 U.S.C. 1901 et
seq.); and
(3) Government-wide efforts to combat the narcotics
trafficking activities of Hizballah.
(c) Appropriate Congressional Committees and Leadership Defined.--In
this section, the term ``appropriate congressional committees and
leadership'' means--
[[Page 129 STAT. 2210]]
(1) the Speaker, the minority leader, the Committee on
Foreign Affairs, the Committee on Financial Services, the
Committee on the Judiciary, and the Permanent Select Committee
on Intelligence of the House of Representatives; and
(2) the majority leader, the minority leader, the Committee
on Foreign Relations, the Committee on Banking, Housing, and
Urban Affairs, the Committee on Finance, the Committee on the
Judiciary, and the Select Committee on Intelligence of the
Senate.
SEC. 202. <<NOTE: President.>> REPORT AND BRIEFING ON SIGNIFICANT
TRANSNATIONAL CRIMINAL ACTIVITIES OF
HIZBALLAH.
(a) Report.--
(1) In general.--Not later than 120 days after the date of
the enactment of this Act, the President shall submit to the
appropriate congressional committees and leadership a report on
the significant transnational criminal activities of Hizballah,
including human trafficking.
(2) Form.--The report required by paragraph (1) shall be
submitted in unclassified form to the greatest extent possible,
but may include a classified annex.
(b) Briefing.--Not later than 30 days after the submission of the
report required by subsection (a), the President shall provide to the
appropriate congressional committees and leadership a briefing on--
(1) the report;
(2) <<NOTE: Procedures.>> procedures for designating
Hizballah as a significant transnational criminal organization
under Executive Order 13581 (75 Fed. Reg. 44,757); and
(3) Government-wide efforts to combat the transnational
criminal activities of Hizballah.
(c) Appropriate Congressional Committees and Leadership Defined.--In
this section, the term ``appropriate congressional committees and
leadership'' means--
(1) the Speaker, the minority leader, the Committee on
Foreign Affairs, the Committee on Financial Services, the
Committee on the Judiciary, and the Permanent Select Committee
on Intelligence of the House of Representatives; and
(2) the majority leader, the minority leader, the Committee
on Foreign Relations, the Committee on Banking, Housing, and
Urban Affairs, the Committee on Finance, the Committee on the
Judiciary, and the Select Committee on Intelligence of the
Senate.
SEC. 203. REWARDS FOR JUSTICE AND HIZBALLAH'S FUNDRAISING,
FINANCING, AND MONEY LAUNDERING
ACTIVITIES.
(a) Report.--Not later than 90 days after the date of the enactment
of this Act, the Secretary of State shall submit to the appropriate
congressional committees a report that details actions taken by the
Department of State through the Department of State rewards program
under section 36 of the State Department Basic Authorities Act (22
U.S.C. 2708) to obtain information on fundraising, financing, and money
laundering activities of Hizballah and its agents and affiliates.
(b) <<NOTE: Deadlines.>> Briefing.--Not later than 90 days after
the date of the enactment of this Act, and annually thereafter, the
Secretary of State shall provide a briefing to the appropriate
congressional
[[Page 129 STAT. 2211]]
committees on the status of the actions described in subsection (a).
(c) Appropriate Congressional Committees Defined.--In this section,
the term ``appropriate congressional committees'' means--
(1) the Committee on Foreign Affairs and the Committee on
Financial Services of the House of Representatives; and
(2) the Committee on Foreign Relations and the Committee on
Banking, Housing, and Urban Affairs of the Senate.
SEC. 204. REPORT ON ACTIVITIES OF FOREIGN GOVERNMENTS TO DISRUPT
GLOBAL LOGISTICS NETWORKS AND FUNDRAISING,
FINANCING, AND MONEY LAUNDERING ACTIVITIES
OF HIZBALLAH.
(a) Report.--
(1) <<NOTE: Lists. Assessments.>> In general.--Not later
than 90 days after the date of the enactment of this Act, the
President shall submit to the appropriate congressional
committees a report that includes--
(A) a list of countries that support Hizballah or in
which Hizballah maintains important portions of its
global logistics networks;
(B) with respect to each country on the list
required by subparagraph (A)--
(i) an assessment of whether the government of
the country is taking adequate measures to disrupt
the global logistics networks of Hizballah within
the territory of the country; and
(ii) in the case of a country the government
of which is not taking adequate measures to
disrupt such networks--
(I) an assessment of the reasons
that government is not taking such
adequate measures; and
(II) a description of measures being
taken by the United States to encourage
that government to improve measures to
disrupt such networks;
(C) a list of countries in which Hizballah, or any
of its agents or affiliates, conducts significant
fundraising, financing, or money laundering activities;
(D) with respect to each country on the list
required by subparagraph (C)--
(i) an assessment of whether the government of
the country is taking adequate measures to disrupt
the fundraising, financing, or money laundering
activities of Hizballah and its agents and
affiliates within the territory of the country;
and
(ii) in the case of a country the government
of which is not taking adequate measures to
disrupt such activities--
(I) an assessment of the reasons
that government is not taking such
adequate measures; and
(II) a description of measures being
taken by the United States to encourage
that government to improve measures to
disrupt such activities; and
(E) a list of methods that Hizballah, or any of its
agents or affiliates, utilizes to raise or transfer
funds,
[[Page 129 STAT. 2212]]
including trade-based money laundering, the use of
foreign exchange houses, and free-trade zones.
(2) Form.--The report required by paragraph (1) shall be
submitted in unclassified form to the greatest extent possible,
and may contain a classified annex.
(3) <<NOTE: Definition.>> Global logistics networks of
hizballah.--In this subsection, the term ``global logistics
networks of Hizballah'', ``global logistics networks'', or
``networks'' means financial, material, or technological support
for, or financial or other services in support of, Hizballah.
(b) Briefing on Hizballah's Assets and Activities Related To
Fundraising, Financing, and Money Laundering
Worldwide. <<NOTE: Deadlines.>> --Not later than 90 days after the date
of the enactment of this Act, and every 180 days thereafter, the
Secretary of State, the Secretary of the Treasury, and the heads of
other applicable Federal departments and agencies shall provide to the
appropriate congressional committees a briefing on the disposition of
Hizballah's assets and activities related to fundraising, financing, and
money laundering worldwide.
(c) Appropriate Congressional Committees Defined.--In this section,
the term ``appropriate congressional committees'' means--
(1) the Committee on Foreign Affairs, the Committee on
Financial Services, and the Permanent Select Committee on
Intelligence of the House of Representatives; and
(2) the Committee on Foreign Relations, the Committee on
Banking, Housing, and Urban Affairs, and the Select Committee on
Intelligence of the Senate.
TITLE III--MISCELLANEOUS PROVISIONS
SEC. 301. RULE OF CONSTRUCTION.
Nothing in this Act or any amendment made by this Act shall apply to
the authorized intelligence activities of the United States.
SEC. 302. <<NOTE: President. Deadlines.>> REGULATORY AUTHORITY.
(a) In General.--The President shall, not later than 120 days after
the date of the enactment of this Act, promulgate regulations as
necessary for the implementation of this Act and the amendments made by
this Act.
(b) Notification to Congress.--Not less than 10 days before the
promulgation of regulations under subsection (a), the President shall
notify the appropriate congressional committees of the proposed
regulations and the provisions of this Act and the amendments made by
this Act that the regulations are implementing.
(c) Appropriate Congressional Committees Defined.--In this section,
the term ``appropriate congressional committees'' means--
(1) the Committee on Foreign Affairs and the Committee on
Financial Services of the House of Representatives; and
(2) the Committee on Foreign Relations and the Committee on
Banking, Housing, and Urban Affairs of the Senate.
[[Page 129 STAT. 2213]]
SEC. 303. <<NOTE: President. Certification.>> TERMINATION.
This Act shall terminate on the date that is 30 days after the date
on which the President certifies to Congress that Hizballah--
(1) is no longer designated as a foreign terrorist
organization pursuant to section 219 of the Immigration and
Nationality Act (8 U.S.C. 1189); and
(2) is no longer designated for the imposition of sanctions
pursuant to Executive Order 13224 (50 U.S.C. 1701 note; relating
to blocking property and prohibiting transactions with persons
who commit, threaten to commit, or support terrorism).
Approved December 18, 2015.
LEGISLATIVE HISTORY--H.R. 2297:
---------------------------------------------------------------------------
CONGRESSIONAL RECORD, Vol. 161 (2015):
May 14, considered and passed House.
Nov. 17, considered and passed Senate, amended.
Dec. 16, House concurred in Senate amendments.
<all>