[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2978 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2978

    To strengthen existing Federal laws and provide law enforcement 
  agencies with enhanced enforcement tools necessary to combat money 
                  laundering, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 2, 2001

 Mrs. Roukema introduced the following bill; which was referred to the 
 Committee on Financial Services, and in addition to the Committees on 
    the Judiciary, and International Relations, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
  of such provisions as fall within the jurisdiction of the committee 
                               concerned

_______________________________________________________________________

                                 A BILL


 
    To strengthen existing Federal laws and provide law enforcement 
  agencies with enhanced enforcement tools necessary to combat money 
                  laundering, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Money Laundering 
Prevention Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
        TITLE I--INTERNATIONAL COUNTER-MONEY LAUNDERING MEASURES

Sec. 101. Special measures for jurisdictions, financial institutions, 
                            or international transactions of primary 
                            money laundering concern.
    TITLE II--CURRENCY TRANSACTION REPORTING AMENDMENTS AND RELATED 
                              IMPROVEMENTS

Sec. 201. Amendments relating to reporting of suspicious activities.
Sec. 202. Penalties for violations of geographic targeting orders and 
                            certain recordkeeping requirements, and 
                            lengthening effective period of geographic 
                            targeting orders.
Sec. 203. Authorization to include suspicions of illegal activity in 
                            written employment references.
Sec. 204. Bank Secrecy Act advisory group.
Sec. 205. Agency reports on reconciling penalty amounts.
Sec. 206. Bulk cash smuggling into or out of the United States.
Sec. 207. Forfeiture in currency reporting cases.
Sec. 208. Interstate currency couriers.
Sec. 209. Anti-money laundering measures for United States bank 
                            accounts involving foreign persons.
                  TITLE III--ENHANCED LAW ENFORCEMENT

Sec. 301. Long-arm jurisdiction over foreign money launderers.
Sec. 302. Laundering money through a foreign bank.
Sec. 303. Specified unlawful activity for money laundering.
Sec. 304. Subpoenas for bank records.
Sec. 305. Charging money laundering as a course of conduct.
Sec. 306. Fungible property in bank accounts.
Sec. 307. Prohibition on false statements to financial institutions 
                            concerning the identity of a customer.
Sec. 308. Forfeiture of funds in United States interbank accounts.
                   TITLE IV--ANTICORRUPTION MEASURES

Sec. 401. Corruption of foreign governments and ruling elites.
Sec. 402. Support for the financial action task force on money 
                            laundering.

        TITLE I--INTERNATIONAL COUNTER-MONEY LAUNDERING MEASURES

SEC. 101. SPECIAL MEASURES FOR JURISDICTIONS, FINANCIAL INSTITUTIONS, 
              OR INTERNATIONAL TRANSACTIONS OF PRIMARY MONEY LAUNDERING 
              CONCERN.

    (a) In General.--Subchapter II of chapter 53 of title 31, United 
States Code, is amended by inserting after section 5318 the following 
new section:
``Sec. 5318A. Special measures for jurisdictions, financial 
              institutions, or international transactions of primary 
              money laundering concern
    ``(a) International Counter-Money Laundering Requirements.--
            ``(1) In general.--The Secretary may require domestic 
        financial institutions and domestic financial agencies to take 
        1 or more of the special measures described in subsection (b) 
        if the Secretary finds that reasonable grounds exist for 
        concluding that a jurisdiction outside the United States, 1 or 
        more financial institutions operating outside the United 
        States, or 1 or more classes of transactions within, or 
        involving, a jurisdiction outside the United States is of 
        primary money laundering concern, in accordance with subsection 
        (c).
            ``(2) Form of requirement.--The special measures described 
        in subsection (b) may be imposed by regulation, order, or 
        otherwise as permitted by law, and in such sequence or 
        combination, as the Secretary shall determine.
            ``(3) Process for selecting special measures.--
                    ``(A) Consultation.--In selecting which special 
                measure or measures to take under this subsection, the 
                Secretary shall consult with the Chairman of the Board 
                of Governors of the Federal Reserve System and, in the 
                Secretary's sole discretion, such other agencies and 
                interested parties as the Secretary may find to be 
                appropriate.
                    ``(B) Factors.--The Secretary also shall consider--
                            ``(i) whether similar action has been or is 
                        being taken by other nations or multilateral 
                        groups;
                            ``(ii) whether the imposition of any 
                        particular special measure would create a 
                        significant competitive disadvantage, including 
                        any undue cost or burden associated with 
                        compliance, for financial institutions 
                        organized or licensed in the United States; and
                            ``(iii) the extent to which the action 
                        would have a significant adverse systemic 
                        impact on the international payment, clearance 
                        and settlement system, or on legitimate 
                        business activities involving the particular 
                        jurisdiction, institution, or class of 
                        transactions.
            ``(4) No limitation on other authority.--This section shall 
        not be construed as superseding or otherwise restricting any 
        other authority granted to the Secretary, or to any other 
        agency, by this subchapter or otherwise.
    ``(b) Special Measures.--The special measures referred to in 
subsection (a), with respect to a jurisdiction outside the United 
States, financial institution operating outside the United States, or 
class of transaction within, or involving, a jurisdiction outside the 
United States, are as follows:
            ``(1) Recordkeeping and reporting of certain financial 
        transactions.--
                    ``(A) In general.--The Secretary may require any 
                domestic financial institution or domestic financial 
                agency to maintain records, file reports, or both, 
                concerning the aggregate amount of transactions, or 
                concerning each transaction, with respect to a 
                jurisdiction outside the United States, 1 or more 
                financial institutions operating outside the United 
                States, or 1 or more classes of transactions within, or 
                involving, a jurisdiction outside the United States, if 
                the Secretary finds any such jurisdiction, institution, 
                or class of transactions to be of primary money 
                laundering concern.
                    ``(B) Form of records and reports.--Such records 
                and reports shall be made and retained at such time, in 
                such manner, and for such period of time, as the 
                Secretary shall determine, and shall include such 
                information as the Secretary may determine, including--
                            ``(i) the identity and address of the 
                        participants in a transaction or relationship, 
                        including the identity of the originator of any 
                        funds transfer;
                            ``(ii) the legal capacity in which a 
                        participant in any transaction is acting;
                            ``(iii) information concerning the 
                        beneficial ownership of the funds involved in 
                        any transaction, in accordance with steps the 
                        Secretary has determined to be reasonable and 
                        practicable to obtain and retain such 
                        information; and
                            ``(iv) a description of any transaction.
            ``(2) Information relating to beneficial ownership.--In 
        addition to any other requirement under any other law, the 
        Secretary may require any domestic financial institution or 
        domestic financial agency to take such steps as the Secretary 
        may determine to be reasonable and practicable to obtain and 
        retain information concerning the beneficial ownership of any 
        account opened or maintained in the United States by a foreign 
        person (other than a foreign entity whose shares are subject to 
        public reporting requirements or are listed and traded on a 
        regulated exchange or trading market), or a representative of 
        such a foreign person, that involves a jurisdiction outside the 
        United States, 1 or more financial institutions operating 
        outside the United States, or 1 or more classes of transactions 
        within, or involving, a jurisdiction outside the United States, 
        if the Secretary finds any such jurisdiction, institution, or 
        transaction to be of primary money laundering concern.
            ``(3) Information relating to certain payable-through 
        accounts.--If the Secretary finds a jurisdiction outside the 
        United States, 1 or more financial institutions operating 
        outside the United States, or 1 or more classes of transactions 
        within, or involving, a jurisdiction outside the United States 
        to be of primary money laundering concern, the Secretary may 
        require any domestic financial institution or domestic 
        financial agency that opens or maintains a payable-through 
        account in the United States for a foreign financial 
        institution involving any such jurisdiction or any such 
        financial institution operating outside the United States, or a 
        payable-through account through which any such transaction may 
        be conducted, as a condition of opening or maintaining such 
        account, to--
                    ``(A) identify each customer (and representative of 
                such customer) of such financial institution who is 
                permitted to use, or whose transactions are routed 
                through, such payable-through account; and
                    ``(B) obtain, with respect to each such customer 
                (and each such representative), the same information 
                that the depository institution obtains in the ordinary 
                course of business with respect to its customers 
                residing in the United States.
            ``(4) Information relating to certain correspondent 
        accounts.--If the Secretary finds a jurisdiction outside the 
        United States, 1 or more financial institutions operating 
        outside the United States, or 1 or more classes of transactions 
        within, or involving, a jurisdiction outside the United States 
        to be of primary money laundering concern, the Secretary may 
        require any domestic financial institution or domestic 
        financial agency that opens or maintains a correspondent 
        account in the United States for a foreign financial 
        institution involving any such jurisdiction or any such 
        financial institution operating outside the United States, or a 
        correspondent account through which any such transaction may be 
        conducted, as a condition of opening or maintaining such 
        account, to--
                    ``(A) identify each customer (and representative of 
                such customer) of any such financial institution who is 
                permitted to use, or whose transactions are routed 
                through, such correspondent account; and
                    ``(B) obtain, with respect to each such customer 
                (and each such representative), the same information 
                that the depository institution obtains in the ordinary 
                course with respect to its customers residing in the 
                United States.
            ``(5) Prohibitions or conditions on opening or maintaining 
        certain correspondent or payable-through accounts.--If the 
        Secretary finds a jurisdiction outside the United States, 1 or 
        more financial institutions operating outside the United 
        States, or 1 or more classes of transactions within, or 
        involving, a jurisdiction outside the United States to be of 
        primary money laundering concern, the Secretary, in 
        consultation with the Secretary of State, the Attorney General, 
        and the Chairman of the Board of Governors of the Federal 
        Reserve System, may prohibit, or impose conditions upon, the 
        opening or maintaining in the United States of a correspondent 
        account or payable-through account by any domestic financial 
        institution or domestic financial agency for or on behalf of a 
        foreign banking institution if such correspondent account or 
        payable-through account involves any such jurisdiction or 
        institution, or if any such transaction may be conducted 
        through such correspondent account or payable-through account.
    ``(c) Consultations and Information To Be Considered in Finding 
Jurisdictions, Institutions, or Transactions To Be of Primary Money 
Laundering Concern.--
            ``(1) In general.--In making a finding that reasonable 
        grounds exist for concluding that a jurisdiction outside the 
        United States, 1 or more financial institutions operating 
        outside the United States, or 1 or more classes of transactions 
        within, or involving, a jurisdiction outside the United States 
        is of primary money laundering concern so as to authorize the 
        Secretary to invoke 1 or more of the special measures of 
        subsection (b), the Secretary shall consult with the Secretary 
        of State, the Attorney General, the Secretary of Commerce, and 
        the United States Trade Representative.
            ``(2) Information.--The Secretary also shall consider such 
        information as the Secretary considers to be relevant, 
        including the following potentially relevant factors:
                    ``(A) In the case of a particular jurisdiction--
                            ``(i) the extent to which that jurisdiction 
                        or financial institutions operating therein 
                        offer bank secrecy or special tax or regulatory 
                        advantages to nonresidents or nondomiciliaries 
                        of such jurisdiction;
                            ``(ii) the substance and quality of 
                        administration of that jurisdiction's bank 
                        supervisory and counter-money laundering laws;
                            ``(iii) the relationship between the volume 
                        of financial transactions occurring in that 
                        jurisdiction and the size of the jurisdiction's 
                        economy;
                            ``(iv) the extent to which that 
                        jurisdiction is characterized as a tax haven or 
                        offshore banking or secrecy haven by credible 
                        international organizations or multilateral 
                        expert groups;
                            ``(v) whether the United States has a 
                        mutual legal assistance treaty with that 
                        jurisdiction, and the experience of United 
                        States law enforcement officials, regulatory 
                        officials, and tax administrators in obtaining 
                        information about transactions originating in 
                        or routed through or to such jurisdiction; and
                            ``(vi) the extent to which that 
                        jurisdiction is characterized by high levels of 
                        official or institutional corruption.
                    ``(B) In the case of a decision to apply 1 or more 
                of the special measures described in subsection (b) 
                only to a financial institution or institutions, or to 
                a transaction or class of transactions, or to both, 
                within, or involving, a particular jurisdiction--
                            ``(i) the extent to which such financial 
                        institutions or transactions are used to 
                        facilitate or promote money laundering in or 
                        through the jurisdiction;
                            ``(ii) the extent to which such 
                        institutions or transactions are used for 
                        legitimate business purposes in such 
                        jurisdiction; and
                            ``(iii) the extent to which such action is 
                        sufficient to ensure, with respect to 
                        transactions involving such jurisdiction and 
                        institutions operating in such jurisdiction, 
                        that the purposes of this subchapter continue 
                        to be fulfilled, and to guard against 
                        international money laundering and other 
                        financial crimes.
    ``(d) Notification of Special Measures Invoked By the Secretary.--
Within 10 days after the date of any action taken by the Secretary 
under subsection (a)(1), the Secretary shall notify, in writing, the 
Committee on Banking and Financial Services of the House of 
Representatives and the Committee on Banking, Housing, and Urban 
Affairs of the Senate of any such action.
    ``(e) Definitions.--Notwithstanding any other provision of this 
subchapter, for purposes of this section, the following definitions 
shall apply:
            ``(1) Defined terms.--
                    ``(A) Bank definitions.--The following definitions 
                shall apply with respect to a bank:
                            ``(i) Account.--The term `account'--
                                    ``(I) means a formal banking or 
                                business relationship established to 
                                provide regular services, dealings, and 
                                other financial transactions; and
                                    ``(II) includes a demand deposit, 
                                savings deposit, or other transaction 
                                or asset account and a credit account 
                                or other extension of credit.
                            ``(ii) Correspondent account.--The term 
                        `correspondent account' means an account 
                        established to receive deposits from and make 
                        payments on behalf of a foreign financial 
                        institution.
                            ``(iii) Payable-through account.--The term 
                        `payable-through account' means an account, 
                        including a transaction account (as defined in 
                        section 19(b)(1)(C) of the Federal Reserve 
                        Act), opened at a depository institution by a 
                        foreign financial institution by means of which 
                        the foreign financial institution permits its 
                        customers to engage, either directly or through 
                        a sub-account, in banking activities usual in 
                        connection with the business of banking in the 
                        United States.
                    ``(B) Definitions applicable to institutions other 
                than banks.--With respect to any financial institution 
                other than a bank, the Secretary shall define, by 
                regulation, order, or otherwise as permitted by law, 
                the term `account' and shall include within the meaning 
                of such term arrangements similar to payable-through 
                and correspondent accounts.
            ``(2) Other terms.--The Secretary may, by regulation, 
        order, or otherwise as permitted by law, further define the 
        terms in paragraph (1) and define other terms for the purposes 
        of this section, as the Secretary deems appropriate.''.
    (b) Clerical Amendment.--The table of sections for subchapter II of 
chapter 53 of title 31, United States Code, is amended by inserting 
after the item relating to section 5318 the following new item:

``5318A. Special measures for jurisdictions, financial institutions, or 
                            international transactions of primary money 
                            laundering concern.''.

    TITLE II--CURRENCY TRANSACTION REPORTING AMENDMENTS AND RELATED 
                              IMPROVEMENTS

SEC. 201. AMENDMENTS RELATING TO REPORTING OF SUSPICIOUS ACTIVITIES.

    (a) Amendment Relating to Civil Liability Immunity for 
Disclosures.--Section 5318(g)(3) of title 31, United States Code, is 
amended to read as follows:
            ``(3) Liability for disclosures.--
                    ``(A) In general.--Any financial institution that 
                makes a voluntary disclosure of any possible violation 
                of law or regulation to a government agency or makes a 
                disclosure pursuant to this subsection or any other 
                authority, and any director, officer, employee, or 
agent of such institution who makes, or requires another to make any 
such disclosure, shall not be liable to any person under any law or 
regulation of the United States, any constitution, law, or regulation 
of any State or political subdivision of any State, or under any 
contract or other legally enforceable agreement (including any 
arbitration agreement), for such disclosure or for any failure to 
provide notice of such disclosure to the person who is the subject of 
such disclosure or any other person identified in the disclosure.
                    ``(B) Rule of construction.--Subparagraph (A) shall 
                not be construed as creating--
                            ``(i) any inference that the term `person', 
                        as used in such subparagraph, may be construed 
                        more broadly than its ordinary usage so to 
                        include any government or agency of government; 
                        or
                            ``(ii) any immunity against, or otherwise 
                        affecting, any civil or criminal action brought 
                        by any government or agency of government to 
                        enforce any constitution, law, or regulation of 
                        such government or agency.''.
    (b) Prohibition on Notification of Disclosures.--Section 5318(g)(2) 
of title 31, United States Code, is amended to read as follows:
            ``(2) Notification prohibited.--
                    ``(A) In general.--If a financial institution or 
                any director, officer, employee, or agent of any 
                financial institution, voluntarily or pursuant to this 
                section or any other authority, reports a suspicious 
                transaction to a government agency--
                            ``(i) the financial institution, director, 
                        officer, employee, or agent may not notify any 
                        person involved in the transaction that the 
                        transaction has been reported; and
                            ``(ii) no officer or employee of the 
                        Federal Government or of any State, local, 
                        tribal, or territorial government within the 
                        United States, who has any knowledge that such 
                        report was made may disclose to any person 
                        involved in the transaction that the 
                        transaction has been reported other than as 
                        necessary to fulfill the official duties of 
                        such officer or employee.
                    ``(B) Disclosures in certain employment 
                references.--Notwithstanding the application of 
                subparagraph (A) in any other context, subparagraph (A) 
                shall not be construed as prohibiting any financial 
                institution, or any director, officer, employee, or 
                agent of such institution, from including, in a written 
                employment reference that is provided in accordance 
                with section 18(v) of the Federal Deposit Insurance Act 
                in response to a request from another financial 
                institution or a written termination notice or 
                employment reference that is provided in accordance 
                with the rules of the self-regulatory organizations 
                registered with the Securities and Exchange Commission, 
                information that was included in a report to which 
                subparagraph (A) applies, but such written employment 
                reference may not disclose that such information was 
                also included in any such report or that such report 
                was made.''.

SEC. 202. PENALTIES FOR VIOLATIONS OF GEOGRAPHIC TARGETING ORDERS AND 
              CERTAIN RECORDKEEPING REQUIREMENTS, AND LENGTHENING 
              EFFECTIVE PERIOD OF GEOGRAPHIC TARGETING ORDERS.

    (a) Civil Penalty for Violation of Targeting Order.--Section 
5321(a)(1) of title 31, United States Code, is amended--
            (1) by inserting ``or order issued'' after ``subchapter or 
        a regulation prescribed''; and
            (2) by inserting ``, or willfully violating a regulation 
        prescribed under section 21 of the Federal Deposit Insurance 
        Act or section 123 of Public Law 91-508,'' after ``section 5314 
        and 5315)''.
    (b) Criminal Penalties for Violation of Targeting Order.--Section 
5322 of title 31, United States Code, is amended--
            (1) in subsection (a)--
                    (A) by inserting ``or order issued'' after 
                ``willfully violating this subchapter or a regulation 
                prescribed''; and
                    (B) by inserting ``, or willfully violating a 
                regulation prescribed under section 21 of the Federal 
                Deposit Insurance Act or section 123 of Public Law 91-
                508,'' after ``under section 5315 or 5324)'';
            (2) in subsection (b)--
                    (A) by inserting ``or order issued'' after 
                ``willfully violating this subchapter or a regulation 
                prescribed''; and
                    (B) by inserting ``or willfully violating a 
                regulation prescribed under section 21 of the Federal 
                Deposit Insurance Act or section 123 of Public Law 91-
                508,'' after ``under section 5315 or 5324),''.
    (c) Structuring Transactions To Evade Targeting Order or Certain 
Recordkeeping Requirements.--Section 5324(a) of title 31, United States 
Code, is amended--
            (1) by inserting a comma after ``shall'';
            (2) by striking ``section--'' and inserting ``section, the 
        reporting or recordkeeping requirements imposed by any order 
        issued under section 5326, or the recordkeeping requirements 
        imposed by any regulation prescribed under section 21 of the 
        Federal Deposit Insurance Act or section 123 of Public Law 91-
        508--'';
            (3) in paragraph (1) by inserting ``, to file a report or 
        to maintain a record required by an order issued under section 
        5326, or to maintain a record required pursuant to any 
        regulation prescribed under section 21 of the Federal Deposit 
Insurance Act or section 123 of Public Law 91-508'' after ``regulation 
prescribed under any such section''; and
            (4) in paragraph (2) by inserting ``, to file a report or 
        to maintain a record required by any order issued under section 
        5326, or to maintain a record required pursuant to any 
        regulation prescribed under section 5326, or to maintain a 
        record required pursuant to any regulation prescribed under 
        section 21 of the Federal Deposit Insurance Act or section 123 
        of Public Law 91-508,'' after ``regulation prescribed under any 
        such section''.
    (d) Lengthening Effective Period of Geographic Targeting Orders.--
Section 5326(d) of title 31, United States Code, is amended by striking 
``60'' after ``shall be effective for more than'' and inserting 
``180''.

SEC. 203. AUTHORIZATION TO INCLUDE SUSPICIONS OF ILLEGAL ACTIVITY IN 
              WRITTEN EMPLOYMENT REFERENCES.

    Section 18 of the Federal Deposit Insurance Act (12 U.S.C. 1828) is 
amended by adding at the end the following new subsection:
    ``(v) Written Employment References May Contain Suspicions of 
Involvement in Illegal Activity.--
            ``(1) In general.--Notwithstanding any other provision of 
        law, any insured depository institution, and any director, 
        officer, employee, or agent of such institution, may disclose 
        in any written employment reference relating to a current or 
        former institution-affiliated party of such institution which 
        is provided to another insured depository institution in 
        response to a request from such other institution, information 
        concerning the possible involvement of such institution-
        affiliated party in potentially unlawful activity.
            ``(2) Definition.--For purposes of this subsection, the 
        term `insured depository institution' includes any uninsured 
        branch or agency of a foreign bank.''.

SEC. 204. BANK SECRECY ACT ADVISORY GROUP.

    Section 1564 of the Annunzio-Wylie Anti-Money Laundering Act (31 
U.S.C. 5311 note) is amended--
            (1) in subsection (a), by inserting ``, of nongovernmental 
        organizations advocating financial privacy,'' after ``Drug 
        Control Policy''; and
            (2) in subsection (c), by inserting ``, other than 
        subsections (a) and (d) of such Act which shall apply'' before 
        the period at the end.

SEC. 205. AGENCY REPORTS ON RECONCILING PENALTY AMOUNTS.

    Before the end of the 1-year period beginning on the date of the 
enactment of this Act, the Secretary of the Treasury and the Federal 
banking agencies (as defined in section 3 of the Federal Deposit 
Insurance Act) shall each submit their respective reports to the 
Congress containing recommendations on possible legislation to conform 
the penalties imposed on depository institutions (as defined in section 
3 of the Federal Deposit Insurance Act) for violations of subchapter II 
of chapter 53 of title 31, United States Code, to the penalties imposed 
on such institutions under section 8 of the Federal Deposit Insurance 
Act.

SEC. 206. BULK CASH SMUGGLING INTO OR OUT OF THE UNITED STATES.

    (a) Enactment of Bulk Cash Smuggling Offense.--Subchapter II of 
chapter 53 of title 31, United States Code, is amended by adding at the 
end the following:
``Sec. 5331. Bulk cash smuggling into or out of the United States
    ``(a) Criminal Offense.--
            ``(1) In general.--Whoever, with the intent to evade a 
        currency reporting requirement under section 5316, knowingly 
        conceals more than $10,000 in currency or other monetary 
        instruments on the person of such individual or in any 
        conveyance, article of luggage, merchandise, or other 
        container, and transports or transfers or attempts to transport 
        or transfer such currency or monetary instruments from a place 
        within the United States to a place outside of the United 
        States, or from a place outside the United States to a place 
        within the United States, shall be guilty of a currency 
        smuggling offense and subject to punishment pursuant to 
        subsection (b).
            ``(2) Concealment on person.--For purposes of this section, 
        the concealment of currency on the person of any individual 
        includes concealment in any article of clothing worn by the 
        individual or in any luggage, backpack, or other container worn 
        or carried by such individual.
    ``(b) Penalty.--
            ``(1) Term of imprisonment.--A person convicted of a 
        currency smuggling offense under subsection (a), or a 
        conspiracy to commit such offense, shall be imprisoned for not 
        more than 5 years.
            ``(2) Forfeiture.--In addition, the court, in imposing 
        sentence under paragraph (1), shall order that the defendant 
        forfeit to the United States, any property, real or personal, 
        involved in the offense, and any property traceable to such 
property, subject to subsection (d) of this section.
            ``(3) Procedure.--The seizure, restraint, and forfeiture of 
        property under this section shall be governed by section 413 of 
        the Controlled Substances Act.
            ``(4) Personal money judgment.--If the property subject to 
        forfeiture under paragraph (2) is unavailable, and the 
        defendant has insufficient substitute property that may be 
        forfeited pursuant to section 413(p) of the Controlled 
        Substances Act, the court shall enter a personal money judgment 
        against the defendant for the amount that would be subject to 
        forfeiture.
    ``(c) Civil Forfeiture.--
            ``(1) In general.--Any property involved in a violation of 
        subsection (a), or a conspiracy to commit such violation, and 
        any property traceable to such violation or conspiracy, may be 
        seized and, subject to subsection (d) of this section, 
        forfeited to the United States.
            ``(2) Procedure.--The seizure and forfeiture shall be 
        governed by the procedures governing civil forfeitures in money 
        laundering cases pursuant to section 981(a)(1)(A) of title 18, 
        United States Code.
            ``(3) Treatment of certain property as involved in the 
        offense.--For purposes of this subsection and subsection (b), 
        any currency or other monetary instrument that is concealed or 
        intended to be concealed in violation of subsection (a) or a 
        conspiracy to commit such violation, any article, container, or 
        conveyance used, or intended to be used, to conceal or 
        transport the currency or other monetary instrument, and any 
        other property used, or intended to be used, to facilitate the 
        offense, shall be considered property involved in the offense.
    ``(d) Proportionality of Forfeiture.--
            ``(1) In general.--Upon a showing by the property owner by 
        a preponderance of the evidence that the currency or monetary 
        instruments involved in the offense giving rise to the 
        forfeiture were derived from a legitimate source, and were 
        intended for a lawful purpose, the court shall reduce the 
        forfeiture to the maximum amount that is not grossly 
        disproportional to the gravity of the offense.
            ``(2) Factors to be considered.--In determining the amount 
        of the forfeiture, the court shall consider all aggravating and 
        mitigating facts and circumstances that have a bearing on the 
        gravity of the offense, including the following:
                    ``(A) The value of the currency or other monetary 
                instruments involved in the offense.
                    ``(B) Efforts by the person committing the offense 
                to structure currency transactions, conceal property, 
                or otherwise obstruct justice.
                    ``(C) Whether the offense is part of a pattern of 
                repeated violations of Federal law.''.
    (b) Conforming Amendment.--The table of sections for subchapter II 
of chapter 53 of title 31, United States Code, is amended by inserting 
after the item relating to section 5330, the following new item:

``5331. Bulk cash smuggling into or out of the United States.''.

SEC. 207. FORFEITURE IN CURRENCY REPORTING CASES.

    (a) In General.--Subsection (c) of section 5317 of title 31, United 
States Code, is amended to read as follows:
    ``(c) Forfeiture.--
            ``(1) In general.--The court in imposing sentence for any 
        violation of section 5313, 5316, or 5324, or any conspiracy to 
        commit such violation, shall order the defendant to forfeit all 
        property, real or personal, involved in the offense and any 
        property traceable thereto.
            ``(2) Procedure.--Forfeitures under this subsection shall 
        be governed by the procedures established in section 413 of the 
        Controlled Substances Act and the guidelines established in 
        paragraph (4).
            ``(3) Civil forfeiture.--Any property involved in a 
        violation of section 5313, 5316, or 5324, or any conspiracy to 
        commit any such violation, and any property traceable to any 
        such violation or conspiracy, may be seized and, subject to 
        paragraph (4), forfeited to the United States in accordance 
        with the procedures governing civil forfeitures in money 
        laundering cases pursuant to section 981(a)(1)(A) of title 18, 
        United States Code.
            ``(4) Proportionality of forfeiture.--
                    ``(A) In general.--Upon a showing by the property 
                owner by a preponderance of the evidence that any 
                currency or monetary instruments involved in the 
                offense giving rise to the forfeiture were derived from 
                a legitimate source, and were intended for a lawful 
                purpose, the court shall reduce the forfeiture to the 
                maximum amount that is not grossly disproportional to 
                the gravity of the offense.
                    ``(B) Factors to be considered.--In determining the 
                amount of the forfeiture, the court shall consider all 
                aggravating and mitigating facts and circumstances that 
                have a bearing on the gravity of the offense, including 
the following:
                            ``(i) The value of the currency or other 
                        monetary instruments involved in the offense.
                            ``(ii) Efforts by the person committing the 
                        offense to structure currency transactions, 
                        conceal property, or otherwise obstruct 
                        justice.
                            ``(iii) Whether the offense is part of a 
                        pattern of repeated violations of Federal 
                        law.''.
    (b) Conforming Amendments.--(1) Section 981(a)(1)(A) of title 18, 
United States Code, is amended by striking ``of section 5313(a) or 
5324(a) of title 31, or''.
    (2) Section 982(a)(1) of title 18, United States Code, is amended 
by striking ``of 5313(a), 5316, or 5324 of title 31, or''.

SEC. 208. INTERSTATE CURRENCY COURIERS.

    Section 1957 of title 18, United States Code, is amended by adding 
at the end the following new subsection:
    ``(g) Any person who conceals more than $10,000 in currency on his 
or her person, in any vehicle, in any compartment or container within 
any vehicle, or in any container placed in a common carrier, and 
transports, attempts to transport, or conspires to transport such 
currency in interstate commerce on any public road or highway or on any 
bus, train, airplane, vessel, or other common carrier, knowing that the 
currency was derived from some form of unlawful activity, or knowing 
that the currency was intended to be used to promote some form of 
unlawful activity, shall be punished as provided in subsection (b). The 
defendant's knowledge may be established by proof that the defendant 
was willfully blind to the source or intended use of the currency. For 
purposes of this subsection, the concealment of currency on the person 
of any individual includes concealment in any article of clothing worn 
by the individual or in any luggage, backpack, or other container worn 
or carried by such individual.''.

SEC. 209. ANTI-MONEY LAUNDERING MEASURES FOR UNITED STATES BANK 
              ACCOUNTS INVOLVING FOREIGN PERSONS.

    (a) Requirements Relating to United States Bank Accounts Involving 
Foreign Persons.--Subchapter II of chapter 53 of title 31, United 
States Code, is amended by inserting after section 5318 the following:
``Sec. 5318A. Requirements relating to United States bank accounts 
              involving foreign persons
    ``(a) Definitions.--
            ``(1) In general.--In this section, the following 
        definitions shall apply:
                    ``(A) Account.--The term `account'--
                            ``(i) means a formal banking or business 
                        relationship established to provide regular 
                        services, dealings, or financial transactions; 
                        and
                            ``(ii) includes a demand deposit, savings 
                        deposit, or other transaction or asset account, 
                        and a credit account or other extension of 
                        credit.
                    ``(B) Branch or agency of a foreign bank.--The term 
                `branch or agency of a foreign bank' has the meanings 
                given those terms in section 1 of the International 
                Banking Act of 1978 (12 U.S.C. 3101).
                    ``(C) Correspondent account.--The term 
                `correspondent account' means an account established 
                for a depository institution, credit union, or foreign 
                bank.
                    ``(D) Correspondent bank.--The term `correspondent 
                bank' means a depository institution, credit union, or 
                foreign bank that establishes a correspondent account 
                for and provides banking services to a depository 
                institution, credit union, or foreign bank.
                    ``(E) Covered financial institution.--The term 
                `covered financial institution' means--
                            ``(i) a depository institution;
                            ``(ii) a credit union; and
                            ``(iii) a branch or agency of a foreign 
                        bank.
                    ``(F) Credit union.--The term `credit union' means 
                any insured credit union, as defined in section 101 of 
                the Federal Credit Union Act (12 U.S.C. 1752), or any 
                credit union that is eligible to make application to 
                become an insured credit union pursuant to section 201 
                of the Federal Credit Union Act (12 U.S.C. 1781).
                    ``(G) Depository institution.--The term `depository 
                institution' has the same meaning as in section 3 of 
                the Federal Deposit Insurance Act (12 U.S.C. 1813).
                    ``(H) Foreign bank.--The term `foreign bank' has 
                the same meaning as in section 1 of the International 
                Banking Act of 1978 (12 U.S.C. 3101).
                    ``(I) Foreign country.--The term `foreign country' 
                has the same meaning as in section 1 of the 
                International Banking Act of 1978 (12 U.S.C. 3101).
                    ``(J) Foreign person.--The term `foreign person' 
                means any foreign organization or any individual 
                resident in a foreign country or any organization or 
                individual owned or controlled by such an organization 
                or individual.
                    ``(K) Offshore banking license.--The term `offshore 
                banking license' means a license to conduct banking 
                activities which, as a condition of the license, 
                prohibits the licensed entity from conducting banking 
                activities with the citizens of, or with the local 
                currency of, the foreign country which issued the 
                license.
                    ``(L) Private bank account.--The term `private bank 
                account' means an account (or combination of accounts) 
                that--
                            ``(i) requires a minimum aggregate deposit 
                        of funds or assets in an amount equal to not 
                        less than $1,000,000;
                            ``(ii) is established on behalf of 1 or 
                        more individuals who have a direct or 
                        beneficial ownership interest in the account; 
                        and
                            ``(iii) is assigned to, administered, or 
                        managed in whole or in part by an employee of a 
                        financial institution acting as a liaison 
                        between the institution and the direct or 
                        beneficial owner of the account.
            ``(2) Other terms.--After consultation with the Board of 
        Governors of the Federal Reserve System, the Secretary may, by 
        regulation, order, or otherwise as permitted by law, define any 
        term that is used in this section and that is not otherwise 
        defined in this section or section 5312, as the Secretary deems 
        appropriate.
    ``(b) United States Bank Accounts With Unidentified Foreign 
Owners.--
            ``(1) Records.--
                    ``(A) In general.--A covered financial institution 
                shall not establish, maintain, administer, or manage an 
                account in the United States for a foreign person or a 
                representative of a foreign person, unless the covered 
                financial institution maintains in the United States, 
                for each such account, a record identifying, by a 
                verifiable name and account number, each individual or 
                entity having a direct or beneficial ownership interest 
                in the account.
                    ``(B) Publicly traded corporations.--A record 
                required under subparagraph (A) that identifies an 
                entity, the shares of which are publicly traded on a 
                stock exchange regulated by an organization or agency 
                that is a member of and endorses the principles of the 
                International Organization of Securities Commissions 
                (in this section referred to as `publicly traded'), is 
                not required to identify individual shareholders of the 
                entity.
                    ``(C) Foreign banks.--In the case of a 
                correspondent account that is established for a foreign 
bank, the shares of which are not publicly traded, the record required 
under subparagraph (A) shall identify each of the owners of the foreign 
bank, and the nature and extent of the ownership interest of each such 
owner.
            ``(2) Complex ownership interests.--The Secretary may, by 
        regulation, order, or otherwise as permitted by law, further 
        delineate the information to be maintained in the United States 
        under paragraph (1)(A), including information for accounts with 
        multiple, complex, or changing ownership interests.
    ``(c) Prohibition on United States Correspondent Accounts With 
Foreign Shell Banks.--
            ``(1) In general.--A covered financial institution shall 
        not establish, maintain, administer, or manage a correspondent 
        account in the United States for, or on behalf of, a foreign 
        bank that does not have a physical presence in any country.
            ``(2) Prevention of indirect service to foreign shell 
        banks.--A covered financial institution shall take reasonable 
        steps to ensure that any correspondent account established, 
        maintained, administered, or managed by that covered financial 
        institution in the United States for a foreign bank is not 
        being used by that foreign bank to indirectly provide banking 
        services to another foreign bank that does not have a physical 
        presence in any country.
            ``(3) Exception.--Paragraphs (1) and (2) do not prohibit a 
        covered financial institution from providing a correspondent 
        account to a foreign bank, if the foreign bank--
                    ``(A) is an affiliate of a depository institution, 
                credit union, or other foreign bank that maintains a 
                physical presence in the United States or a foreign 
                country, as applicable; and
                    ``(B) is subject to supervision by a banking 
                authority in the country regulating the affiliated 
                depository institution, credit union, or foreign bank, 
                described in subparagraph (A), as applicable.
            ``(4) Definitions.--For purposes of this subsection--
                    ``(A) the term `affiliate' means a foreign bank 
                that is controlled by or is under common control with a 
                depository institution, credit union, or foreign bank; 
                and
                    ``(B) the term `physical presence' means a place of 
                business that--
                            ``(i) is maintained by a foreign bank;
                            ``(ii) is located at a fixed address (other 
                        than solely an electronic address) in a country 
                        in which the foreign bank is authorized to 
                        conduct banking activities, at which location 
                        the foreign bank--
                                    ``(I) employs 1 or more individuals 
                                on a full-time basis; and
                                    ``(II) maintains operating records 
                                related to its banking activities; and
                            ``(iii) is subject to inspection by the 
                        banking authority which licensed the foreign 
                        bank to conduct banking activities.
    ``(d) Due Diligence for United States Private Bank and 
Correspondent Bank Accounts Involving Foreign Persons.--
            ``(1) In general.--Each covered financial institution that 
        establishes, maintains, administers, or manages a private bank 
        account or a correspondent account in the United States for a 
        foreign person or a representative of a foreign person shall 
        establish enhanced due diligence policies, procedures, and 
        controls to prevent, detect, and report possible instances of 
        money laundering through those accounts.
            ``(2) Minimum standards.--The enhanced due diligence 
        policies, procedures, and controls required under paragraph (1) 
        of this subsection, shall, at a minimum, ensure that the 
        covered financial institution--
                    ``(A) ascertains the identity of each individual or 
                entity having a direct or beneficial ownership interest 
                in the account, and obtains sufficient information 
                about the background of the individual or entity and 
the source of funds deposited into the account as is needed to guard 
against money laundering;
                    ``(B) monitors such accounts on an ongoing basis to 
                prevent, detect, and report possible instances of money 
                laundering;
                    ``(C) conducts enhanced scrutiny of any private 
                bank account requested or maintained by, or on behalf 
                of, a senior foreign political figure, or any immediate 
                family member or close associate of a senior foreign 
                political figure, to prevent, detect, and report 
                transactions that may involve the proceeds of foreign 
                corruption;
                    ``(D) conducts enhanced scrutiny of any 
                correspondent account requested or maintained by, or on 
                behalf of, a foreign bank operating--
                            ``(i) under an offshore banking license; or
                            ``(ii) under a banking license issued by a 
                        foreign country that has been designated--
                                    ``(I) as noncooperative with 
                                international anti-money laundering 
                                principles or procedures by an 
                                intergovernmental group or organization 
                                of which the United States is a member; 
                                or
                                    ``(II) by the Secretary as 
                                warranting special measures due to 
                                money laundering concerns; and
                    ``(E) ascertains, as part of the enhanced scrutiny 
                under subparagraph (D), whether the foreign bank 
                provides correspondent accounts to other foreign banks 
                and, if so, the identity of those foreign banks and 
                related due diligence information, as appropriate, 
                under paragraph (1).''.
    (b) Regulatory Authority.--After consultation with the Board of 
Governors of the Federal Reserve System, the Secretary of the Treasury 
may, by regulation, order, or otherwise as permitted by law, take 
measures that the Secretary deems appropriate to carry out section 
5318A of title 31, United States Code (as added by this section).
    (c) Conforming Amendments.--Section 5312(a) of title 31, United 
States Code, is amended--
            (1) by redesignating paragraph (5) as paragraph (6); and
            (2) by inserting after paragraph (4) the following:
            ``(5) `Secretary' means the Secretary of the Treasury, 
        except as otherwise provided in this subchapter.''.
    (d) Clerical Amendment.--The table of sections for subchapter II of 
chapter 53 of title 31, United States Code, is amended by inserting 
after the item related to section 5318 the following:

``5318A. Requirements relating to United States bank accounts involving 
                            foreign persons.''.
    (e) Effective Date.--Section 5318A of title 31, United States Code, 
as added by this section, shall take effect beginning 180 days after 
the date of enactment of this Act with respect to accounts covered by 
that section that are opened before, on, or after the date of enactment 
of this Act.

                  TITLE III--ENHANCED LAW ENFORCEMENT

SEC. 301. LONG-ARM JURISDICTION OVER FOREIGN MONEY LAUNDERERS.

    Section 1956(b) of title 18, United States Code, is amended--
            (1) by striking ``(b) Whoever'' and inserting ``(b)(1) 
        Whoever'';
            (2) by redesignating paragraphs (1) and (2) as 
        subparagraphs (A) and (B), respectively;
            (3) by striking ``subsection (a)(1) or (a)(3),'' and 
        inserting ``subsection (a)(1) or (a)(3)(2) or section 1957,''; 
        and
            (4) by adding at the end the following new paragraph:
            ``(2) For purposes of adjudicating an action filed or 
        enforcing a penalty ordered under this section, the district 
        courts shall have jurisdiction over any foreign person, 
        including any financial institution authorized under the laws 
        of a foreign country, against whom the action is brought, if--
                    ``(A) service of process upon such foreign person 
                is made under the Federal Rules of Civil Procedure or 
                the laws of the country where the foreign person is 
                found; and
                    ``(B) the foreign person--
                            ``(i) commits an offense under subsection 
                        (a) involving a financial transaction that 
                        occurs in whole or in part in the United 
                        States;
                            ``(ii) converts to such person's own use 
                        property in which the United States has an 
                        ownership interest by virtue of the entry of an 
                        order of forfeiture by a court of the United 
                        States; or
                            ``(iii) is a financial institution that 
                        maintains a correspondent bank account at a 
                        financial institution in the United States.
            ``(3) The court may issue a pretrial restraining order or 
        take any other action necessary to ensure that any bank account 
        or other property held by the defendant in the United States is 
        available to satisfy a judgment under this section.''.

SEC. 302. LAUNDERING MONEY THROUGH A FOREIGN BANK.

    Section 1956(c)(6) of title 18, United States Code, is amended to 
read as follows:
            ``(6) the term `financial institution' includes any 
        financial institution described in section 5312(a)(2) of title 
        31, United States Code, or the regulations promulgated 
        thereunder, as well as any foreign bank, as defined in 
        paragraph (7) of section 1(b) of the International Banking Act 
        of 1978 (12 U.S.C. 3101(7)).''.

SEC. 303. SPECIFIED UNLAWFUL ACTIVITY FOR MONEY LAUNDERING.

    (a) In General.--Section 1956(c)(7) of title 18, United States 
Code, is amended--
            (1) in subparagraph (B)--
                    (A) by striking clause (ii) and inserting the 
                following new clause:
                            ``(ii) any act or acts constituting a crime 
                        of violence, as defined in Section 16 of this 
                        title;''; and
                    (B) by inserting after clause (iii) the following 
                new clauses:
                            ``(iv) fraud or any scheme to defraud 
                        committed against an individual or entity 
                        (other than a foreign government or government 
                        entity) provided such conduct would constitute 
                        a fraud or scheme to defraud under the laws of 
                        the United States or its constituent parts if 
                        committed in the United States;
                            ``(v) fraud or any scheme to defraud 
                        against a foreign government or foreign 
                        government entity, provided such conduct would 
                        constitute a violation of Title 18 of the 
                        United States Code if it were committed in 
                        interstate commerce in the United States and 
                        against the United States government or a 
                        United States governmental entity;
                            ``(vi) bribery of a public official, or the 
                        misappropriation, theft, or embezzlement of 
                        public funds by or for the benefit of a public 
                        official;
                            ``(vii) smuggling or export control 
                        violations involving munitions listed in the 
                        United States Munitions List or technologies 
                        with military applications as defined in the 
                        Commerce Control List of the Export 
                        Administration Regulations; or
                            ``(viii) an offense with respect to which 
                        the United States would be obligated by a 
                        multilateral treaty either to extradite the 
                        alleged offender or to submit the case for 
                        prosecution, if the offender were found within 
                        the territory of the United States.''; and
            (2) in subparagraph (D)--
                    (A) by inserting ``section 541 (relating to goods 
                falsely classified),'' before ``section 542'';
                    (B) by inserting ``section 922(1) (relating to the 
                unlawful importation of firearms), section 924(n) 
                (relating to firearms trafficking),'' before ``section 
                956'';
                    (C) by inserting ``section 1030 (relating to 
                computer fraud and abuse),'' before ``1032'';
                    (D) by inserting ``any felony violation of the 
                Foreign Agents Registration Act of 1938, as amended,'' 
                before ``or any felony violation of the Foreign Corrupt 
                Practices Act''; and
                    (E) by striking ``fraud in the sale of securities'' 
                and inserting ``fraud in the purchase or sale of 
                securities''.
            (3) in paragraph (E), by striking ``or'' and inserting ``, 
        or the Clean Air Act (42 U.S.C. 7401 et seq.), or any wildlife 
        protection offense, as defined in section 49,'' after ``the 
        Resources Conservation and Recovery Act (42 U.S.C. 6901 et 
        seq.)''.
            (4) by inserting the following after paragraph (F):
                    ``(G) any violation of the Archeological Resources 
                Protection Act (16 U.S.C. 470aa, et seq.), or the 
                Native American Graves Protection and Repatriation Act 
                (25 U.S.C. 3001, et seq.).
    (b)(1) Burglary and Embezzlement.--Section 1961(1)(A) of title 18, 
United States Code, is amended by inserting ``burglary, embezzlement,'' 
after ``robbery,''.
    (2) Alien Smuggling.--Section 1961(1)(F) of title 18, United States 
Code, is amended by inserting ``and 274A'' after ``274''.
    (c) Wildlife Protection Offense.--
            (1) Chapter 3 of title 18, United States Code, is amended 
        by inserting after section 48 the following new section:
``Sec. 49. DEFINITION OF WILDLIFE PROTECTION OFFENSE.
    ``(a) As used in this title, the term `wildlife protection 
offense'' means any violation of a provision of this chapter or of any 
Act listed in subsection (b), or any regulation promulgated thereunder, 
that may be prosecuted as a criminal offense.
    ``(b) The statutes referred to in subsection (a) include the 
following:
            ``(1) the Lacey Act (16 U.S.C. 3371-78 and 18 U.S.C. 42;
            ``(2) the Endangered Species Act (16 U.S.C. 1538);
            ``(3) the Marine Mammal Protection Act (16 U.S.C. 1372);
            ``(4) the African Elephant Conservation Act (16 U.S.C. 
        4222-23);
            ``(5) the Wild Exotic Bird Conservation Act (16 U.S.C. 
        4910);
            ``(6) the Eagle Protection Act (16 U.S.C. 668);
            ``(7) the Migratory Bird Treaty Act (16 U.S.C. 703);
            ``(8) the Migratory Bird Conservation Stamp Act (16 U.S.C. 
        718f);
            ``(9) the Airborne Hunting Act (16 U.S.C. 742j-1);
            ``(10) the Antarctic Conservation Act (16 U.S.C. 2403);
            ``(11) the National Wildlife Refuge System Administration 
        Act (16 U.S.C. 668dd);
            ``(12) the Rhinoceros and Tiger Conservation Act (16 U.S.C. 
        5305a);
            ``(13) the Federal Cave Resources Protection Act (16 U.S.C. 
        4306); or
            ``(14) the Antarctic Marine Living Resources Convention (16 
        U.S.C. 2435).''.
            (2) The table of sections for Chapter 3 of title 18, United 
        States Code, is amended by inserting after the item relating to 
        section 48 the following new item:

``49. Definition of wildlife protection offense.''.

SEC. 304. SUBPOENAS FOR BANK RECORDS.

    Section 986 of title 18, United States Code, is amended--
            (1) in subsection (a)--
                    (A) by inserting ``(1)'' before ``At any time'';
                    (B) by striking ``section 1956, 1957, or 1960 of 
                this title, section 5322 or 5324 of title 31, United 
                States Code'' and inserting ``section 981 or 982 of 
                this title'';
                    (C) by striking ``in rem''; and
                    (D) by striking the last sentence and inserting the 
                following:
            ``(2) The United States may request the Clerk of the Court 
        in any district where a civil forfeiture action may be filed 
        pursuant to 28 U.S.C. 1355(b) to issue a subpoena duces tecum 
        under paragraph (1) before the filing of the verified 
        complaint.''
            (2) in subsection (c), by inserting ``or the Federal Rules 
        of Criminal Procedure'' after ``Procedure''.

SEC. 305. CHARGING MONEY LAUNDERING AS A COURSE OF CONDUCT.

    Section 1956(h) of title 18, United States Code, is amended--
            (1) by striking ``any person'' and inserting ``(1) Any 
        person''; and
            (2) by adding at the end the following new paragraph:
            ``(2) Any person who commits multiple violations of this 
        section or Section 1957 that are part of the same scheme or 
        continuing course of conduct may be charged, at the election of 
        the Government, in a single count in an indictment or 
        information.''.

SEC. 306. FUNGIBLE PROPERTY IN BANK ACCOUNTS.

    (a) In General.--Section 984 of title 18, United States Code, is 
amended by striking subsection (b) and inserting the following:
    ``(b) The provisions of this section may be invoked only if the 
action for forfeiture was commenced by the seizure or restraint of the 
property, or by the filing of a complaint, within 2 years of the 
completion of the offense that is the basis for the forfeiture.''.
    (b) Application.--The amendments made by this section shall apply 
to any offense whether or not committed before the effective date of 
the Act.

SEC. 307. PROHIBITION ON FALSE STATEMENTS TO FINANCIAL INSTITUTIONS 
              CONCERNING THE IDENTITY OF A CUSTOMER.

    (a) In General.--Chapter 47 of title 18, United States Code, is 
amended by inserting after section 1007 the following:
``Sec. 1008. False statements concerning the identity of customers of 
              financial institutions
    ``(a) In General.--Whoever knowingly in any manner--
            ``(1) falsifies, conceals, or covers up, or attempts to 
        falsify, conceal, or cover up, the identity of any person in 
        connection with any transaction with a financial institution;
            ``(2) makes, or attempts to make, any materially false, 
        fraudulent, or fictitious statement or representation of the 
        identity of any person in connection with a transaction with a 
        financial institution;
            ``(3) makes or uses, or attempts to make or use, any false 
        writing or document knowing the same to contain any materially 
        false, fictitious, or fraudulent statement or entry concerning 
        the identity of any person in connection with a transaction 
        with a financial institution; or
            ``(4) uses or presents, or attempts to use or present, in 
        connection with a transaction with a financial institution, an 
        identification document or means of identification the 
        possession of which is a violation of section 1028;
shall be fined under this title, imprisoned not more than 5 years, or 
both.
    ``(b) Definitions.--In this section, the following definitions 
shall apply:
            ``(1) Financial institution.--The term `financial 
        institution'--
                    ``(A) has the same meaning as in section 20; and
                    ``(B) in addition, has the same meaning as in 
                section 5312(a)(2) of title 31, United States Code.
            ``(2) Identification document.--The term `identification 
        document' has the same meaning as in section 1028(d).
            ``(3) Means of identification.--The term `means of 
        identification' has the same meaning as in section 1028(d).''.
    (b) Technical and Conforming Amendments.--
            (1) Title 18, united states code.--Section 1956(c)(7)(D) of 
        title 18, United States Code, is amended by striking ``1014 
        (relating to fraudulent loan'' and inserting ``section 1008 
        (relating to false statements concerning the identity of 
        customers of financial institutions), section 1014 (relating to 
        fraudulent loan''.
            (2) Table of sections.--The table of sections for chapter 
        47 of title 18, United States Code, is amended by inserting 
        after the item relating to section 1007 the following:

``1008. False statements concerning the identity of customers of 
                            financial institutions.''.

SEC. 308. FORFEITURE OF FUNDS IN UNITED STATES INTERBANK ACCOUNTS.

    (a) Forfeiture From United States Interbank Account.--Section 981 
of title 18, United States Code, is amended by adding at the end the 
following:
    ``(k) Interbank Accounts.--
            ``(1) In general.--For the purpose of a forfeiture under 
        this section or under the Controlled Substances Act (21 U.S.C. 
        801 et seq.), if funds are deposited into an account at a 
        foreign bank, and that foreign bank has an interbank account in 
        the United States with a covered financial institution (as 
        defined in section 5318A of title 31), the funds shall be 
        deemed to have been deposited into the interbank account in the 
        United States, and any restraining order, seizure warrant, or 
        arrest warrant in rem regarding the funds may be served on the 
        covered financial institution, and funds in the interbank 
        account, up to the value of the funds deposited into the 
        account at the foreign bank, may be restrained, seized, or 
        arrested.
            ``(2) No requirement for government to trace funds.--If a 
        forfeiture action is brought against funds that are restrained, 
        seized, or arrested under paragraph (1), it shall not be 
        necessary for the Government to establish that the funds are 
        directly traceable to the funds that were deposited into the 
        foreign bank, nor shall it be necessary for the Government to 
        rely on the application of section 984.
            ``(3) Claims brought by owner of the funds.--If a 
        forfeiture action is instituted against funds restrained, 
        seized, or arrested under paragraph (1), the owner of the funds 
        deposited into the account at the foreign bank may contest the 
        forfeiture by filing a claim under section 983.
            ``(4) Definitions.--For purposes of this subsection, the 
        following definitions shall apply:
                    ``(A) Interbank account.--The term `interbank 
                account' has the same meaning as in section 
                984(c)(2)(B).
                    ``(B) Owner.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the term `owner'--
                                    ``(I) has the same meaning as in 
                                section 983(d)(6); and
                                    ``(II) does not include any foreign 
                                bank or other financial institution 
                                acting as an intermediary in the 
                                transfer of funds into the interbank 
                                account and having no ownership 
                                interest in the funds sought to be 
                                forfeited.
                            ``(ii) Exception.--The foreign bank may be 
                        considered the `owner' of the funds (and no 
                        other person shall qualify as the owner of such 
                        funds) only if--
                                    ``(I) the basis for the forfeiture 
                                action is wrongdoing committed by the 
                                foreign bank; or
                                    ``(II) the foreign bank 
                                establishes, by a preponderance of the 
                                evidence, that prior to the restraint, 
                                seizure, or arrest of the funds, the 
                                foreign bank had discharged all or part 
                                of its obligation to the prior owner of 
                                the funds, in which case the foreign 
                                bank shall be deemed the owner of the 
                                funds to the extent of such discharged 
                                obligation.''.
    (b) Bank Records.--Section 5318 of title 31, United States Code, is 
amended by adding at the end the following:
    ``(i) Bank Records Related to Anti-Money Laundering Programs.--
            ``(1) Definitions.--For purposes of this subsection, the 
        following definitions shall apply:
                    ``(A) Appropriate federal banking agency.--The term 
                `appropriate Federal banking agency' has the same 
                meaning as in section 3 of the Federal Deposit 
                Insurance Act (12 U.S.C. 1813).
                    ``(B) Incorporated terms.--The terms `correspondent 
                account', `covered financial institution', and `foreign 
                bank' have the same meanings as in section 5318A.
            ``(2) 48-hour rule.--Not later than 48 hours after 
        receiving a request by an appropriate Federal banking agency 
        for information related to anti-money laundering compliance by 
        a covered financial institution or a customer of such 
        institution, a covered financial institution shall provide to 
        the appropriate Federal banking agency, or make available at a 
        location specified by the representative of the appropriate 
        Federal banking agency, information and account documentation 
        for any account opened, maintained, administered or managed in 
        the United States by the covered financial institution.
            ``(3) Foreign bank records.--
                    ``(A) Summons or subpoena of records.--
                            ``(i) In general.--The Secretary or the 
                        Attorney General may issue a summons or 
                        subpoena to any foreign bank that maintains a 
                        correspondent account in the United States and 
                        request records related to such correspondent 
                        account.
                            ``(ii) Service of summons or subpoena.--A 
                        summons or subpoena referred to in clause (i) 
                        may be served on the foreign bank in the United 
                        States if the foreign bank has a representative 
                        in the United States, or in a foreign country 
                        pursuant to any mutual legal assistance treaty, 
                        multilateral agreement, or other request for 
                        international law enforcement assistance.
                    ``(B) Acceptance of service.--
                            ``(i) Maintaining records in the united 
                        states.--Any covered financial institution 
which maintains a correspondent account in the United States for a 
foreign bank shall maintain records in the United States identifying 
the owners of such foreign bank and the name and address of a person 
who resides in the United States and is authorized to accept service of 
legal process for records regarding the correspondent account.
                            ``(ii) Law enforcement request.--Upon 
                        receipt of a written request from a Federal law 
                        enforcement officer for information required to 
                        be maintained under this paragraph, the covered 
                        financial institution shall provide the 
                        information to the requesting officer not later 
                        than 7 days after receipt of the request.
                    ``(C) Termination of correspondent relationship.--
                            ``(i) Termination upon receipt of notice.--
                        A covered financial institution shall terminate 
                        any correspondent relationship with a foreign 
                        bank not later than 10 days after receipt of 
                        written notice from the Secretary or the 
                        Attorney General that the foreign bank has 
                        failed--
                                    ``(I) to comply with a summons or 
                                subpoena issued under subparagraph (A); 
                                or
                                    ``(II) to initiate proceedings in a 
                                United States court contesting such 
                                summons or subpoena.
                            ``(ii) Limitation on liability.--A covered 
                        financial institution shall not be liable to 
                        any person in any court or arbitration 
                        proceeding for terminating a correspondent 
                        relationship in accordance with this 
                        subsection.
                            ``(iii) Failure to terminate 
                        relationship.--Failure to terminate a 
                        correspondent relationship in accordance with 
                        this subsection shall render the covered 
                        financial institution liable for a civil 
                        penalty of up to $10,000 per day until the 
                        correspondent relationship is so terminated.''.
    (c) Authority To Order Convicted Criminal To Return Property 
Located Abroad.--
            (1) Forfeiture of substitute property.--Section 413 of the 
        Controlled Substances Act (21 U.S.C. 853) is amended by 
        striking subsection (p) and inserting the following:
    ``(p) Forfeiture of Substitute Property.--
            ``(1) In general.--Paragraph (2) of this subsection shall 
        apply, if any property described in subsection (a), as a result 
        of any act or omission of the defendant--
                    ``(A) cannot be located upon the exercise of due 
                diligence;
                    ``(B) has been transferred or sold to, or deposited 
                with, a third party;
                    ``(C) has been placed beyond the jurisdiction of 
                the court;
                    ``(D) has been substantially diminished in value; 
                or
                    ``(E) has been commingled with other property which 
                cannot be divided without difficulty.
            ``(2) Substitute property.--In any case described in any of 
        subparagraphs (A) through (E) of paragraph (1), the court shall 
        order the forfeiture of any other property of the defendant, up 
        to the value of any property described in subparagraphs (A) 
        through (E) of paragraph (1), as applicable.
            ``(3) Return of property to jurisdiction.--In the case of 
        property described in paragraph (1)(C), the court may, in 
        addition to any other action authorized by this subsection, 
        order the defendant to return the property to the jurisdiction 
        of the court so that the property may be seized and 
        forfeited.''.
            (2) Protective orders.--Section 413(e) of the Controlled 
        Substances Act (21 U.S.C. 853(e)) is amended by adding at the 
        end the following:
            ``(4) Order to repatriate and deposit.--
                    ``(A) In general.--Pursuant to its authority to 
                enter a pretrial restraining order under this section, 
                including its authority to restrain any property 
                forfeitable as substitute assets, the court may order a 
                defendant to repatriate any property that may be seized 
                and forfeited, and to deposit that property pending 
                trial in the registry of the court, or with the United 
                States Marshals Service or the Secretary of the 
                Treasury, in an interest-bearing account, if 
                appropriate.
                    ``(B) Failure to comply.--Failure to comply with an 
                order under this subsection, or an order to repatriate 
                property under subsection (p), shall be punishable as a 
                civil or criminal contempt of court, and may also 
                result in an enhancement of the sentence of the 
                defendant under the obstruction of justice provision of 
                the Federal Sentencing Guidelines.''.

                   TITLE IV--ANTICORRUPTION MEASURES

SEC. 401. CORRUPTION OF FOREIGN GOVERNMENTS AND RULING ELITES.

    It is the sense of the Congress that, in deliberations between the 
United States Government and any other country on money laundering and 
corruption issues, the United States Government should--
            (1) emphasize an approach that addresses not only the 
        laundering of the proceeds of traditional criminal activity but 
        also the increasingly endemic problem of governmental 
        corruption and the corruption of ruling elites;
            (2) encourage the enactment and enforcement of laws in such 
        country to prevent money laundering and systemic corruption;
            (3) make clear that the United States will take all steps 
        necessary to identify the proceeds of foreign government 
        corruption which have been deposited in United States financial 
        institutions and return such proceeds to the citizens of the 
        country to whom such assets belong; and
            (4) advance policies and measures to promote good 
        government and to prevent and reduce corruption and money 
        laundering, including through instructions to the United States 
        Executive Director of each international financial institution 
        (as defined in section 1701(c) of the International Financial 
        Institutions Act) to advocate such policies as a systematic 
        element of economic reform programs and advice to member 
        governments.

SEC. 402. SUPPORT FOR THE FINANCIAL ACTION TASK FORCE ON MONEY 
              LAUNDERING.

    It is the sense of the Congress that--
            (1) the United States should continue to actively and 
        publicly support the objectives of the Financial Action Task 
        Force on Money Laundering (hereafter in this section referred 
        to as the ``FATF'') with regard to combating international 
        money laundering;
            (2) the FATF should identify noncooperative jurisdictions 
        in as expeditious a manner as possible and publicly release a 
        list directly naming those jurisdictions identified;
            (3) the United States should support the public release of 
        the list naming noncooperative jurisdictions identified by the 
        FATF;
            (4) the United States should encourage the adoption of the 
        necessary international action to encourage compliance by the 
        identified noncooperative jurisdictions; and
            (5) the United States should take the necessary 
        countermeasures to protect the United States economy against 
        money of unlawful origin and encourage other nations to do the 
        same.
                                 <all>