113 S2329 IS: Hezbollah International Financing Prevention Act of 2014
U.S. Senate
2014-05-13
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.
Short title; table of contents(a)
This Act may be cited as the Hezbollah International Financing Prevention Act of 2014
.
(b)The table of contents for this Act is as follows:Sec. 1. Short title; table of contents.
TITLE I—Prevention of access by Hezbollah to international financial and other institutions
Sec. 101. Findings; statement of policy.
Sec. 102. Sanctions with respect to financial institutions that engage in certain transactions.
Sec. 103. Report on imposition of sanctions on certain satellite providers that carry al-Manar TV.
Sec. 104. Report on activities of foreign governments to disrupt global logistics networks and
fundraising, financing, and money laundering activities of Hezbollah.
Sec. 105. Appropriate congressional committees defined.
TITLE II—Designation of Hezbollah as a major drug smuggling enterprise and a transnational criminal
organization
Sec. 201. Designation of Hezbollah as significant foreign narcotics traffickers.
Sec. 202. Designation of Hezbollah as a significant transnational criminal organization.
Sec. 203. Appropriate congressional committees defined.
TITLE III—Miscellaneous provisions
Sec. 301. Rule of construction.
Sec. 302. Regulatory authority.
Sec. 303. Termination.
<enum>I</enum>
<header>Prevention of access by Hezbollah to international financial and other institutions</header>
<section id="H667FBF3ED2E04989A0AF053AA7F9EC40">
<enum>101.</enum>
<header>Findings; statement of policy</header>
<subsection id="HA2CF639D87D64158BCA143E485FA2E8F">
<enum>(a)</enum>
<header>Findings</header>
<text display-inline="yes-display-inline">Congress finds the following:</text>
<paragraph id="HD670337908A246918B209B98455E8743">
<enum>(1)</enum>
<text>The United States Government holds Hezbollah responsible for the largest number of American deaths
overseas by a terrorist organization prior to the attacks of September
11, 2001, including a number of attacks on and hostage takings targeting
Americans in Lebanon during the 1980s, including the bombing of the United
States Embassy in Beirut in April 1983 and the bombing of the United
States Marine barracks in October 1983.</text>
</paragraph><paragraph id="HED3850FB963A4AB48BA961F02C411BA4">
<enum>(2)</enum>
<text>Hezbollah’s operations outside of Lebanon, including its participation in bombings of Israeli and
Jewish institutions in Argentina during the 1990s, recent support to
Shiite insurgents in Iraq, recent attacks and attempted attacks in Europe,
Southeast Asia, and elsewhere, and extensive international operational,
logistical, and financial networks have rendered it a capable and deadly
adversary with global reach.</text>
</paragraph><paragraph id="H4BC9ACFD42FA475F8F939B31705D10E0">
<enum>(3)</enum>
<text>Hezbollah has been designated as a terrorist organization by the United States since 1995, and
remains on foreign terrorist organization and Specially Designated
Terrorist lists.</text>
</paragraph><paragraph id="HA011AE9EDE8F4B60B33C8B2E13C02023">
<enum>(4)</enum>
<text display-inline="yes-display-inline">In March 2013, a Cypriot court convicted a Hezbollah member for participation in a criminal
organization, planning to commit a crime and money laundering. In June
2013, the Government of Bulgaria concluded that Hezbollah was responsible
for the 2012 Burgas bombing, which killed 6 people.</text>
</paragraph><paragraph id="HCEEEAA9627A1467CA62F6889426F00BC">
<enum>(5)</enum>
<text>In July 2013, the European Union designated the military wing of Hezbollah as a terrorist
organization. The designation helps to facilitate European law enforcement
agencies’ actions against Hezbollah’s fundraising, logistical activity,
and terrorist plotting on European soil.</text>
</paragraph><paragraph id="HF37D7314CB5645CC895CE79CCAB8377E">
<enum>(6)</enum>
<text>In July 2013, the Gulf Cooperation Council, consisting of Saudi Arabia, Qatar, Bahrain, Kuwait,
Oman, and the United Arab Emirates, declared Hezbollah a terrorist
organization.</text>
</paragraph><paragraph id="H3507F7C113FA482F991D63AEC6E5DDCC">
<enum>(7)</enum>
<text>Hezbollah continues to provide material assistance, including assuming a combat role, in Syria, and
aids the Government of Iran and the Government of Syria in their human
rights and other abuses perpetrated against the Syrian people.</text>
</paragraph><paragraph id="H099B234FF8D64A84A4330C8E929B259F">
<enum>(8)</enum>
<text display-inline="yes-display-inline">An estimated 5,000 Hezbollah fighters are supporting the regime of Bashar al-Assad in Syria by
fighting on his
behalf and by providing military training, advice, and logistical support
to regime forces.</text>
</paragraph><paragraph id="H8CBDA241188A4202A553A8A46B3C628A">
<enum>(9)</enum>
<text>Hezbollah continues to serve as a proxy of Iran, in its effort to target the United States and its
allies and interests.</text>
</paragraph><paragraph id="HBA8E9930E2AA434D9B55FEE34C4A8D76">
<enum>(10)</enum>
<text>Hezbollah’s global logistics and financial network serves as a lifeline to the organization, and
enables it to consolidate power within Lebanon and provides it with the
capabilities to perpetrate complex attacks internationally.</text>
</paragraph><paragraph id="H2D902B00EB994D3280FD22FB7C6C9303">
<enum>(11)</enum>
<text display-inline="yes-display-inline">Hezbollah has evolved into a significant drug smuggling organization, and also engages in other
serious criminal activity, including money laundering, counterfeiting
pharmaceuticals, and trade in conflict diamonds.</text>
</paragraph><paragraph id="H2464CC26FDB24C4FAA50412F5A10D76F">
<enum>(12)</enum>
<text display-inline="yes-display-inline">In April 2013, the Department of the Treasury blacklisted two Lebanese exchange houses, Kassem
Rmeiti & Co. and Halawi Exchange Co., for laundering drug profits for Hezbollah.</text>
</paragraph><paragraph id="HC0965AF431CC4D49BA12439FD20809B3">
<enum>(13)</enum>
<text display-inline="yes-display-inline">In February 2011, the Department of the Treasury blacklisted the Lebanese Canadian Bank as of
primary money
laundering concern, alleging that it moved approximately $200,000,000 as
part of a drug trafficking network
that profited Hezbollah.</text>
</paragraph><paragraph id="H6F813C299179458DBF2EEBCA2E42AADD">
<enum>(14)</enum>
<text display-inline="yes-display-inline">The Department of Justice reports that 29 of the 63 organizations on its Fiscal Year 2010
Consolidated
Priority Organization Targets list, which includes the most significant
international drug trafficking organizations threatening the United
States, were associated with terrorist groups. There is concern about
Hezbollah’s drug and criminal activities, as well as indications of links
between al-Qaeda in the Lands of the Islamic Maghreb and the drug trade.</text>
</paragraph><paragraph id="HA56C4E944BFE49F982E33EB1153B337F">
<enum>(15)</enum>
<text display-inline="yes-display-inline">Al-Manar, the Lebanese satellite television station affiliated with Hezbollah broadcasting from
Beirut, Lebanon, was designated as a Specially Designated Global Terrorist
entity in May 2006, but continues to be carried by international
broadcasting
agents.</text>
</paragraph><paragraph id="HE43A6D61B54A4A9293FA570737D1708B">
<enum>(16)</enum>
<text>Hezbollah continues to present a threat to the United States and its allies and interests.</text>
</paragraph></subsection><subsection id="HE5AA70D4CC9F4A29B6C7B3B84D66B6FF">
<enum>(b)</enum>
<header>Statement of policy</header>
<text>It shall be the policy of the United States to—</text>
<paragraph id="H5BADCC7CB5FD478B8378DA0F5911D6C8">
<enum>(1)</enum>
<text>prevent Hezbollah’s global logistics and financial network from operating in order to curtail
funding of its domestic and international activities; and</text>
</paragraph><paragraph id="HA841EA1FED4A4F35A073404EA8D6D876">
<enum>(2)</enum>
<text display-inline="yes-display-inline">utilize all available diplomatic, legislative, and executive avenues to combat the criminal
activities of Hezbollah as a means to block the ability of Hezbollah to
fund its global terrorist activities.</text>
</paragraph></subsection></section><section id="H05526CFCB3F74D8E973375C14EDE0961">
<enum>102.</enum>
<header>Sanctions with respect to financial institutions that engage in certain transactions</header>
<subsection id="H300FC53A6BD74F639A9050A06B546790">
<enum>(a)</enum>
<header>Prohibitions and conditions with respect to certain accounts held by foreign financial institutions</header>
<paragraph id="H017AE669F7734F33B045EF823245F5B5">
<enum>(1)</enum>
<header>In general</header>
<text>Not later than 90 days after the date of the enactment of this Act, the Secretary of the Treasury,
in consultation with the Secretary of State, shall 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 Secretary finds engages in an
activity described in paragraph (2).</text>
</paragraph><paragraph id="HDE6B99DFECBF47019443BD6621825E04">
<enum>(2)</enum>
<header>Activities described</header>
<text>A foreign financial institution engages in an activity described in this paragraph if the foreign
financial institution—</text><subparagraph id="H19026309C0E34FF8B604F2A0930C572B">
<enum>(A)</enum>
<text>knowingly facilitates the activities of Hezbollah or any of its agents or affiliates the property
or interests in property of which are blocked pursuant to the
International Emergency Economic Powers Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1701">50 U.S.C. 1701 et seq.</external-xref>);</text>
</subparagraph><subparagraph id="H97A9E8B42D3E4D35BC5433A5B401268B">
<enum>(B)</enum>
<text display-inline="yes-display-inline">knowingly facilitates the activities of a person acting on behalf of or at the direction of, or
owned or controlled by, a person described in subparagraph (A);</text>
</subparagraph><subparagraph id="HF4EDD3B0BCBD417D8237D5A3A4C93B4E">
<enum>(C)</enum>
<text display-inline="yes-display-inline">knowingly engages in money laundering to carry out an activity described in subparagraph (A) or
(B); or</text>
</subparagraph><subparagraph id="H872DDC88220E408CBD6892D04878D1C4">
<enum>(D)</enum>
<text display-inline="yes-display-inline">knowingly facilitates a significant transaction or transactions or provides significant financial
services to carry out an activity described in subparagraph (A), (B), or
(C).</text></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id262835E059C344159673771FC10BE83B"><enum>(3)</enum><header display-inline="yes-display-inline">Penalties</header><text>The penalties provided for in subsections (b) and (c) of section 206 of the International Emergency
Economic Powers Act (<external-xref legal-doc="usc" parsable-cite="usc/50/1705">50 U.S.C. 1705</external-xref>) shall apply to a person that
violates, attempts to violate, conspires to violate, or causes a violation
of this subsection, or an order
or regulation prescribed under this subsection, to the same extent that
such penalties apply to a person that commits an unlawful act described in
section 206(a) of that Act.</text></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDC6A1348B2A3A487A804E071F00F1D6CE"><enum>(4)</enum><header display-inline="yes-display-inline">Procedures for judicial review of classified information</header><subparagraph commented="no" display-inline="no-display-inline" id="ID5E14089561B14A84ACD993509FDC9A5C"><enum>(A)</enum><header>In general</header><text>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 Secretary of the Treasury may
submit such information to the court ex parte and in camera.</text></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDE981B64D6B71489484651167C8E72D67"><enum>(B)</enum><header>Rule of construction</header><text>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.</text></subparagraph></paragraph><paragraph id="HE927B9C5433D4FE7A6F946DDD2309FE8">
<enum>(5)</enum>
<header>Regulations</header>
<text display-inline="yes-display-inline">The Secretary of the Treasury shall prescribe and implement regulations to carry out this
subsection.</text>
</paragraph></subsection><subsection id="H88E00EC0662449A495171035A27C7342">
<enum>(b)</enum>
<header>Requirements for financial institutions maintaining accounts for foreign financial institutions</header>
<paragraph id="H9219682933AA45E2AF55681C7C86D85B">
<enum>(1)</enum>
<header>In general</header>
<text>Not later than 180 days after the date of the enactment of this Act, the Secretary of the Treasury
shall prescribe regulations to require a domestic financial institution
maintaining a correspondent account or payable-through account in the
United States for a foreign financial institution to do one or more of the
following:</text>
<subparagraph id="HEA7BA3FD59234108BF38B2F92076C6BB">
<enum>(A)</enum>
<text>Report to the Department of the Treasury with respect to financial transactions or other financial
services provided with respect to any activity described in subsection
(a)(2).</text>
</subparagraph><subparagraph id="H7ED6DA4CB5C94441BDF6A54281F8BAFD">
<enum>(B)</enum>
<text display-inline="yes-display-inline">Provide timely and accurate information to domestic financial institutions maintaining a
correspondent account or payable-through account in the United States for
a foreign financial institution with respect to any activity described in
subsection (a)(2).</text>
</subparagraph><subparagraph commented="no" id="H2F811E324DB24E6DA95CA6598DF8343A">
<enum>(C)</enum>
<text>Establish due diligence policies, procedures, and controls, such as the due diligence policies,
procedures, and controls described in <external-xref legal-doc="usc" parsable-cite="usc/31/5318">section 5318(i)</external-xref> of title 31, United
States Code, reasonably designed to detect whether the Secretary of the
Treasury has found the foreign financial institution to knowingly engage
in any activity described in subsection (a)(2).</text>
</subparagraph></paragraph><paragraph id="HF51EA9AC0EE54E8EB7434AAEF813AD5F">
<enum>(2)</enum>
<header>Penalties</header>
<text>The penalties provided for in sections <external-xref legal-doc="usc" parsable-cite="usc/31/5321">5321(a)</external-xref> and <external-xref legal-doc="usc" parsable-cite="usc/31/5322">5322</external-xref> of title 31, United States Code, shall
apply to a person that violates a regulation prescribed under paragraph
(1) of this subsection, in the same manner and to the same extent as such
penalties would apply to any person that is otherwise subject to such
section 5321(a) or 5322.</text>
</paragraph></subsection><subsection id="H5F59FC70D2CA44409676FC25AED38284">
<enum>(c)</enum>
<header>Waiver</header>
<text display-inline="yes-display-inline">The Secretary of the Treasury, in consultation with the Secretary of State, may waive the
application of a prohibition or condition imposed with respect to a
foreign financial institution pursuant to subsection (a) on and after the
date that is 30 days after the Secretary of the Treasury, with the
concurrence of the Secretary of State—</text>
<paragraph id="HF513F9BEE0C44D50828DA0352EB0C5C2">
<enum>(1)</enum>
<text>determines that such a waiver is vital to the national security interests of the United States; and</text>
</paragraph><paragraph id="H7F07725AA0204F6D8E9B143781AE9740">
<enum>(2)</enum>
<text>submits to the appropriate congressional committees a report describing the reasons for the
determination.</text>
</paragraph></subsection><subsection id="H8C7A8C15426849139D960E72E24C75DA">
<enum>(d)</enum>
<header>Provisions relating to foreign central banks</header>
<paragraph id="H40C3FC02427A4C85A871FE55D945912C">
<enum>(1)</enum>
<header>Report</header>
<text display-inline="yes-display-inline">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—</text>
<subparagraph id="HB55248B676F34EB1BBFF4A34631F905C">
<enum>(A)</enum>
<text>identifies each foreign central bank that the Secretary finds engages in one or more activities
described in subsection (a)(2)(D); and</text>
</subparagraph><subparagraph id="HC738DFFE9E69421CAF33551A986D299E">
<enum>(B)</enum>
<text>provides a detailed description of each such activity.</text>
</subparagraph></paragraph><paragraph commented="no" id="H9193620115624DD7A80CC42055BD2AB0">
<enum>(2)</enum>
<header>Special rule to allow for termination of sanctionable activity</header>
<text display-inline="yes-display-inline">The Secretary of the Treasury shall not be required to apply sanctions under subsection (a) to a
foreign central bank
described in the report required under paragraph (1) if the Secretary of
the Treasury, in consultation with the Secretary of State,
certifies in writing to the appropriate congressional committees that—</text>
<subparagraph id="HF8EDAED26B534657890FAE680F611F72">
<enum>(A)</enum>
<text>the foreign central bank—</text>
<clause id="HD2B4D066A5504FEA870D0916F9A64628">
<enum>(i)</enum>
<text>is no longer engaging in the activity described in subsection (a)(2)(D) for which the bank was
identified in the report; or</text>
</clause><clause id="H107FB838C9F14BB7BCFE88613C32B32C">
<enum>(ii)</enum>
<text>has taken significant verifiable steps toward terminating the activity not later than 90 days after
the date on which the Secretary
makes such certification; and</text>
</clause></subparagraph><subparagraph id="H3EC109DD56EB4328AD18DF334FB5413F">
<enum>(B)</enum>
<text>the Secretary has received reliable assurances from the government with primary jurisdiction over
the foreign central bank that the foreign central bank will not engage in
any activity described in subsection (a)(2)(D) in the future.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="P14C64A674C3B3F18A68D6CBE1FF4D2B"><enum>(e)</enum><header>Implementation</header><text>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.</text></subsection><subsection id="H6A02131A02CC4B0B882B9735861D8F8E">
<enum>(f)</enum>
<header>Definitions</header>
<paragraph display-inline="no-display-inline" id="HDFB055F38CB94FBEB4F0609A64D86B53">
<enum>(1)</enum>
<header>In general</header>
<text>In this section:</text>
<subparagraph id="H126DB64FC9D445128CDC54338B8F1FEF">
<enum>(A)</enum>
<header>Account; correspondent account; payable-through account</header>
<text>The terms <term>account</term>, <term>correspondent account</term>, and <term>payable-through account</term> have the meanings given those terms in <external-xref legal-doc="usc" parsable-cite="usc/31/5318A">section 5318A</external-xref> of title 31, United States Code.</text>
</subparagraph><subparagraph id="H2A57AF77C6AE4A069056F5CADCE9B4C7">
<enum>(B)</enum>
<header>Agent</header>
<text>The term <term>agent</term> includes an entity established by a person for purposes of conducting transactions on behalf of
the person in order to conceal the identity of the person.</text>
</subparagraph><subparagraph id="HE92CB38CB2ED4D829CEFC381DB4E0E44">
<enum>(C)</enum>
<header>Financial institution</header>
<text>The term <term>financial institution</term> means a financial institution specified in subparagraph (A), (B), (C), (D), (E), (F), (G), (H),
(I), (J), (K), (M), (N), (R), or (Y) of <external-xref legal-doc="usc" parsable-cite="usc/31/5312">section 5312(a)(2)</external-xref> of title 31,
United States Code.</text>
</subparagraph><subparagraph id="H2F3DEA6CD3D349D483B86C819B56222A">
<enum>(D)</enum>
<header>Foreign financial institution; domestic financial institution</header>
<clause id="HC434C2335A824CDE81CC974DDE95A12C">
<enum>(i)</enum>
<header>Foreign financial institution</header>
<text>The term <term>foreign financial institution</term>—</text>
<subclause id="HE969890A477E436798A014E76FE10CFC">
<enum>(I)</enum>
<text>has the meaning of that term as determined by the Secretary of the Treasury; and</text>
</subclause><subclause id="H8D0D317DC41145C49C757B8ABEC774F0">
<enum>(II)</enum>
<text>includes a foreign central bank.</text>
</subclause></clause><clause id="H757AF340CD6C4119B14E37489BBD3857">
<enum>(ii)</enum>
<header>Domestic financial institution</header>
<text display-inline="yes-display-inline">The term <quote>domestic financial institution</quote> has the meaning of that term as determined by the Secretary of the Treasury.</text>
</clause></subparagraph><subparagraph commented="no" id="H9B3B84ADD6A844AD9BC08FCB43F0B2A0">
<enum>(E)</enum>
<header>Money laundering</header>
<text>The term <term>money laundering</term> means any of the activities described in paragraph (1), (2), or (3) of section 1956(a) of title
18, United States Code, with respect to which penalties may be imposed
pursuant to that section.</text>
</subparagraph></paragraph><paragraph id="H9E62BDCA780046658E9C1D876E781772">
<enum>(2)</enum>
<header>Other definitions</header>
<text>The Secretary of the Treasury may further define the terms used in this section in the regulations
prescribed under this section.</text></paragraph></subsection></section><section commented="no" id="H28817A1D8A2047BFAB038FA353471379">
<enum>103.</enum>
<header>Report on imposition of sanctions on certain satellite providers that carry al-Manar TV</header>
<subsection commented="no" id="H8DC1B5FA0020492180B3A547B303CF6B">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">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—</text>
<paragraph id="HF0548DA706134E6CA4CDFF77DECDEAB5">
<enum>(1)</enum>
<text>a list of all satellite, broadcast, Internet, or other providers that knowingly transmit or
otherwise
broadcast the content of al-Manar TV, and any affiliates or successors
thereof; and</text>
</paragraph><paragraph id="H5B2F085D795C4EF6851555F4086668CE">
<enum>(2)</enum>
<text>with respect to all providers included on the list pursuant to paragraph (1)—</text>
<subparagraph id="H110FC79B0D654083BE64A52763735384">
<enum>(A)</enum>
<text display-inline="yes-display-inline">an identification of those providers that have been sanctioned pursuant to Executive Order 13224
(66 Fed. Reg. 49079; relating to blocking property and prohibiting
transactions with persons
who commit, threaten to commit, or support terrorism); and</text>
</subparagraph><subparagraph id="H8D9A1D35A9CF4B429DD87CE6D4E936AC">
<enum>(B)</enum>
<text>an identification of those providers that have not been sanctioned pursuant to Executive Order
13224 and, with respect to each such provider, the reason why sanctions
have not been imposed.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="H7771DEB9460F459585D51807993D581E"><enum>(b)</enum><header>Form</header><text display-inline="yes-display-inline">The report required by subsection (a) shall be submitted in unclassified form to the greatest
extent possible, and may contain a classified annex.</text></subsection></section><section id="idfe30a60ee57d442b8666c5de7693a622"><enum>104.</enum><header>Report on activities of foreign governments to disrupt global logistics networks and fundraising,
financing, and money laundering activities of Hezbollah</header><subsection id="idf8064f037dc642b8a8c43be3e663485f"><enum>(a)</enum><header>In general</header><text>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—</text><paragraph id="id0bd121def65b4bffa315209f543cc01f"><enum>(1)</enum><text>a list of countries in which Hezbollah maintains important portions of its global logistics
networks;</text></paragraph><paragraph id="idac3bf441850942f1bf4c58795db13848"><enum>(2)</enum><text>with respect to each country on the list required by paragraph (1)—</text><subparagraph id="id9F76F9A8B5CE48A496702B5DC2A24E72"><enum>(A)</enum><text>an assessment of whether the government of the country is taking adequate measures to disrupt the
global logistics networks of Hezbollah within the territory of the
country; and</text></subparagraph><subparagraph id="idbb162e38e0df4079927dc7f0c88bb5e8"><enum>(B)</enum><text>in the case of a country the government of which is not taking adequate measures to disrupt those
networks—</text><clause id="idC63284DBFD2C4B24B2A5AD74830F068D"><enum>(i)</enum><text>an assessment of the reasons that government is not taking adequate measures to disrupt those
networks; and</text></clause><clause commented="no" display-inline="no-display-inline" id="id7392d81b014b47a2ab58a0abe319f5a8"><enum>(ii)</enum><text>a description of measures being taken by the United States Government to encourage that government
to improve measures to disrupt those networks;</text></clause></subparagraph></paragraph><paragraph id="iddb27936428284e328ed952480f65bd1b"><enum>(3)</enum><text>a list of countries in which Hezbollah, or any of its agents or affiliates, conducts significant
fundraising, financing, or money laundering activities; and</text></paragraph><paragraph id="id6f699cabc170481eb41f620bd98f6b19"><enum>(4)</enum><text>with respect to each country on the list required by paragraph (3)—</text><subparagraph id="id6909bc33b92d4eb9a6313d56dbb39856"><enum>(A)</enum><text>an assessment of whether the government of the country is taking adequate measures to disrupt the
fundraising, financing, or money laundering activities of Hezbollah and
its agents and affiliates within the territory of the country; and</text></subparagraph><subparagraph id="id0cb93847820846fabff3bb2ac3644af9"><enum>(B)</enum><text>in the case of a country the government of which is not taking adequate measures to disrupt those
activities—</text><clause id="idF14FC40214F64697B047072B0BA7B4B0"><enum>(i)</enum><text>an assessment of the reasons that government is not taking adequate measures to disrupt those
activities; and</text></clause><clause id="idf70788ca346e4d4db72850874f9a5e0a"><enum>(ii)</enum><text>a description of measures being taken by the United States Government to encourage the government
of that country to improve measures to disrupt those activities.</text></clause></subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="id91ABA0036E6D4D2BAE0500009DDD2F8A"><enum>(b)</enum><header>Form</header><text display-inline="yes-display-inline">The report required by subsection (a) shall be submitted in unclassified form to the greatest
extent possible, and may contain a classified annex.</text></subsection></section><section id="id42F34AAFDAF643748DFA926DEEB910B9"><enum>105.</enum><header>Appropriate congressional committees defined</header><text display-inline="no-display-inline">In this title, the term <term>appropriate congressional committees</term> means—</text><paragraph id="H2EFD486DA5174C448658C00BA798BB42">
<enum>(1)</enum>
<text>the Committee on Foreign Affairs and the Committee on Financial Services of the House of
Representatives; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="HC1CB105B63A145FA978C8831C289209F"><enum>(2)</enum><text>the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the
Senate.</text></paragraph></section>
<enum>II</enum>
<header>Designation of Hezbollah as a major drug smuggling enterprise and a transnational criminal
organization</header>
<section commented="no" id="H914FD5A0C7B74C82B9F1EB12B588ADEA">
<enum>201.</enum>
<header>Designation of Hezbollah as significant foreign narcotics traffickers</header>
<subsection commented="no" id="H7EC88868340A4885909FA174A3DB563A">
<enum>(a)</enum>
<header>In general</header>
<text>Not later than 90 days after the date of the enactment of this Act, the President shall determine
if Hezbollah meets the criteria specified for designation as a significant
foreign narcotics trafficker under section 804 of the Foreign Narcotics
Kingpin
Designation Act (<external-xref legal-doc="usc" parsable-cite="usc/21/1903">21 U.S.C. 1903</external-xref>).</text>
</subsection><subsection commented="no" id="H18F90F0A36F94C4AA978946F72856EC2">
<enum>(b)</enum>
<header>Affirmative determination</header>
<text display-inline="yes-display-inline">If the President determines under subsection (a) that Hezbollah meets the criteria specified for
designation as a significant
foreign narcotics trafficker under section 804 of
the Foreign Narcotics Kingpin Designation Act (<external-xref legal-doc="usc" parsable-cite="usc/21/1903">21 U.S.C. 1903</external-xref>),
the President shall designate Hezbollah as a significant foreign narcotics
trafficker under that section.</text>
</subsection><subsection commented="no" id="HEEAAA5E33C864B3B9BE5358CECE31019">
<enum>(c)</enum>
<header>Negative Determination</header>
<paragraph commented="no" id="H4ED9AA10327D46D480881693DEDEB52A">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">If the President determines under subsection (a) that Hezbollah does not meet the criteria
specified for designation as a significant
foreign narcotics trafficker under section 804 of the Foreign Narcotics
Kingpin Designation Act (<external-xref legal-doc="usc" parsable-cite="usc/21/1903">21 U.S.C. 1903</external-xref>), the President shall submit to
the appropriate congressional
committees a report that contains a detailed justification as to which
criteria have not been met.</text>
</paragraph><paragraph commented="no" id="H830891BE103B430293495863E1040B9A">
<enum>(2)</enum>
<header>Form</header>
<text>The report required under paragraph (1) shall be submitted in unclassified form, but may contain a
classified annex, if necessary.</text>
</paragraph></subsection></section><section commented="no" id="H6B5990AE3F1D46D3A38043D85F291462">
<enum>202.</enum>
<header>Designation of Hezbollah as a significant transnational criminal organization</header>
<subsection commented="no" id="H7368E7124B354D56B1E2BD6295A58A04">
<enum>(a)</enum>
<header>In general</header>
<text>Not later than 90 days after the date of the enactment of this Act, the President shall determine
if Hezbollah meets the criteria specified for designation as a significant
transnational criminal organization under Executive Order 13581 (76 Fed.
Reg. 44757; relating to blocking property of transnational criminal
organizations).</text>
</subsection><subsection commented="no" id="HE7BEEC26C11F4F6196A028045AA108ED">
<enum>(b)</enum>
<header>Affirmative determination</header>
<text>If the President determines under subsection (a) that Hezbollah meets the criteria specified for
designation as a significant
transnational criminal organization under Executive Order 13581, the
President shall
designate Hezbollah a significant transnational criminal organization
under that order.</text>
</subsection><subsection commented="no" id="H1CF34A0C64BC4D149CC91EEAF72B4AAE">
<enum>(c)</enum>
<header>Negative Determination</header>
<paragraph commented="no" id="H8C99BC7002B547E9986637DE112AF778">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">If the President determines under subsection (a) that Hezbollah does not meet the criteria
specified for designation as a significant
transnational criminal organization under Executive Order 13581, the
President shall submit to the appropriate congressional committees a
report that contains a detailed justification as to which criteria have
not been met.</text>
</paragraph><paragraph commented="no" id="H232B54577AB84B03842FFBEE6B4C1B0E">
<enum>(2)</enum>
<header>Form</header>
<text>The report required under paragraph (1) shall be submitted in unclassified form, but may contain a
classified annex, if necessary.</text>
</paragraph></subsection></section><section commented="no" id="H26D68117D7764AEA84DED3838A919A33">
<enum>203.</enum>
<header>Appropriate congressional committees defined</header>
<text display-inline="no-display-inline">In this title, the term <term>appropriate congressional committees</term> means—</text>
<paragraph commented="no" id="H60516C0E06E2449C931D96C730A95F41">
<enum>(1)</enum>
<text>the Committee on Foreign Affairs, the Committee on Financial Services, and the Committee on the
Judiciary of the House of Representatives; and</text>
</paragraph><paragraph commented="no" id="HD09FB8F050BC4E3987E676464A91EC47">
<enum>(2)</enum>
<text>the Committee on Foreign Relations, the Committee on Banking, Housing, and Urban Affairs, and the
Committee on the Judiciary of
the Senate.</text>
</paragraph></section>
<enum>III</enum>
<header>Miscellaneous provisions</header>
<section commented="no" display-inline="no-display-inline" id="id25D29E4D23DC48EF853BEAE1CF44E838" section-type="subsequent-section"><enum>301.</enum><header display-inline="yes-display-inline">Rule of construction</header><text display-inline="no-display-inline">Nothing in this Act shall apply to the authorized intelligence
activities of the United States.</text></section><section id="H8E8A2C2E46754E3EA4621BEF48A413FE">
<enum>302.</enum>
<header>Regulatory authority</header><text display-inline="no-display-inline">The President shall, not later than 90 days after the date of the enactment of this Act, promulgate
regulations as necessary for the implementation of this Act.</text></section><section id="HD40050979E11405689F8D343950EA898">
<enum>303.</enum>
<header>Termination</header>
<text display-inline="no-display-inline">Each provision of this Act shall cease to be in effect beginning 30
days after the date on which the President certifies to Congress that
Hezbollah—</text>
<paragraph id="H17E29FEF98084E1E895B9A47CC18C0CB">
<enum>(1)</enum>
<text>is no longer designated as a foreign terrorist organization pursuant to section 219 of the
Immigration and Nationality Act (<external-xref legal-doc="usc" parsable-cite="usc/8/1189">8 U.S.C. 1189</external-xref>); and</text>
</paragraph><paragraph id="HE699FFA3661F405DB4ABD260444B53C9">
<enum>(2)</enum>
<text display-inline="yes-display-inline">is no longer listed in the Annex to Executive Order 13224 (66 Fed. Reg. 49079; relating to blocking
property and prohibiting transactions with persons who commit, threaten to
commit, or support terrorism).</text>
</paragraph></section>