[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1837 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                S. 1837

   To combat money laundering and terrorist financing and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 6, 2003

 Mr. Grassley introduced the following bill; which was read twice and 
               referred to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
   To combat money laundering and terrorist financing 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.

    This Act may be cited as the ``Combating Money Laundering and 
Terrorist Financing Act of 2003''.

SEC. 2. SPECIFIED ACTIVITIES FOR MONEY LAUNDERING.

    (a) RICO Definitions.--Section 1961(1) of title 18, United States 
Code, is amended--
            (1) in subparagraph (A), by inserting ``burglary, 
        embezzlement,'' after ``robbery,'';
            (2) in subparagraph (B), by--
                    (A) inserting ``section 1960 (relating to illegal 
                money transmitters),'' before ``sections 2251'';
                    (B) striking ``1588'' and inserting ``1592'';
                    (C) inserting ``and 1470'' after ``1461-1465''; and
                    (D) inserting ``2252A,'' after ``2252,'';
            (3) in subparagraph (D), by striking ``fraud in the sale of 
        securities'' and inserting ``fraud in the purchase or sale of 
        securities''; and
            (4) in subparagraph (F), by inserting ``and 274A'' after 
        ``274''.
    (b) Monetary Investments.--Section 1956(c)(7)(D) of title 18, 
United States Code, is amended by--
            (1) inserting ``, or section 2339C (relating to financing 
        of terrorism)'' before ``of this title''; and
            (2) striking ``or any felony violation of the Foreign 
        Corrupt Practices Act'' and inserting ``any felony violation of 
        the Foreign Corrupt Practices Act, or any violation of section 
        208 of the Social Security Act (42 U.S.C. 408) (relating to 
        obtaining funds through misuse of a social security number)''.
    (c) Conforming Amendments.--
            (1) Monetary instruments.--Section 1956(e) of title 18, 
        United States Code, is amended to read as follows:
    ``(e) Violations of this section may be investigated by such 
components of the Department of Justice as the Attorney General may 
direct, and by such components of the Department of the Treasury as the 
Secretary of the Treasury may direct, as appropriate, and, with respect 
to offenses over which the Department of Homeland Security has 
jurisdiction, by such components of the Department of Homeland Security 
as the Secretary of Homeland Security may direct, with respect to the 
offenses over which the Social Security Administration has 
jurisdiction, as the Commissioner of Social Security may direct, and 
with respect to offenses over which the United States Postal Service 
has jurisdiction, as the Postmaster General may direct. The authority 
under this subsection of the Secretary of the Treasury, the Secretary 
of Homeland Security, the Commissioner of Social Security, and the 
Postmaster General shall be exercised in accordance with an agreement 
which shall be entered into by the Secretary of the Treasury, the 
Secretary of Homeland Security, the Commissioner of Social Security, 
the Postmaster General, and the Attorney General. Violations of this 
section involving offenses described in subsection (c)(7)(E) may be 
investigated by such components of the Department of Justice as the 
Attorney General may direct, and the National Enforcement 
Investigations Center of the Environmental Protection Agency.''.
            (2) Property from unlawful activity.--Section 1957(e) of 
        title 18, United States Code, is amended to read as follows:
    ``(e) Violations of this section may be investigated by such 
components of the Department of Justice as the Attorney General may 
direct, and by such components of the Department of the Treasury as the 
Secretary of the Treasury may direct, as appropriate, and, with respect 
to offenses over which the Department of Homeland Security has 
jurisdiction, by such components of the Department of Homeland Security 
as the Secretary of Homeland Security may direct, and, with respect to 
offenses over which the United States Postal Service has jurisdiction, 
by the Postmaster General. The authority under this subsection of the 
Secretary of the Treasury, the Secretary of Homeland Security, and the 
Postmaster General shall be exercised in accordance with an agreement 
which shall be entered into by the Secretary of the Treasury, the 
Secretary of Homeland Security, the Postmaster General, and the 
Attorney General.''.

SEC. 3. ILLEGAL MONEY TRANSMITTING BUSINESSES.

    (a) Technical Amendments.--Section 1960 of title 18, United States 
Code, is amended--
            (1) in the caption by striking ``unlicensed'' and inserting 
        ``illegal'';
            (2) in subsection (a), by striking ``unlicensed'' and 
        inserting ``illegal'';
            (3) in subsection (b)(1), by striking ``unlicensed'' and 
        inserting ``illegal''; and
            (4) in subsection (b)(1)(C), by striking ``to be used to be 
        used'' and inserting ``to be used''.
    (b) Prohibition of unlicensed money transmitting businesses.--
Section 1960(b)(1)(B) of title 18, United States Code, is amended by 
inserting the following before the semicolon: ``, whether or not the 
defendant knew that the operation was required to comply with such 
registration requirements''.
    (c) Authority To Investigate.--Section 1960 of title 18, United 
States Code, is amended by adding at the end the following:
    ``(c) Violations of this section may be investigated by the 
Attorney General, the Secretary of the Treasury, and the Secretary of 
the Department of Homeland Security.''.

SEC. 4. ASSETS OF PERSONS COMMITTING TERRORIST ACTS AGAINST FOREIGN 
              COUNTRIES OR INTERNATIONAL ORGANIZATIONS.

    Section 981(a)(1)(G) of title 18, United States Code, is amended 
by--
            (1) striking ``or'' at the end of clause (ii);
            (2) striking the period at the end of clause (iii) and 
        inserting ``; or''; and
            (3) inserting after clause (iii) the following:
                            ``(iv) of any individual, entity, or 
                        organization engaged in planning or 
                        perpetrating any act of international terrorism 
                        (as defined in section 2331) against any 
                        international organization (as defined in 
                        section 209 of the State Department Basic 
                        Authorities Act of 1956 (22 U.S.C. 4309(b))) or 
                        against any foreign government. Where the 
                        property sought for forfeiture is located 
                        beyond the territorial boundaries of the United 
                        States, an act in furtherance of such planning 
                        or perpetration must have occurred within the 
                        jurisdiction of the United States.''.

SEC. 5. MONEY LAUNDERING THROUGH INFORMAL VALUE TRANSFER SYSTEMS.

    Section 1956(a) of title 18, United States Code, is amended by 
adding at the end the following:
    ``(4) A transaction described in paragraph (1) or a transportation, 
transmission, or transfer described in paragraph (2) shall be deemed to 
involve the proceeds of specified unlawful activity, if the 
transaction, transportation, transmission, or transfer is part of a 
single plan or arrangement whose purpose is described in either of 
those paragraphs and one part of such plan or arrangement actually 
involves the proceeds of specified unlawful activity.''.

SEC. 6. TECHNICAL CORRECTIONS TO FINANCING OF TERRORISM STATUTE.

    (a) Concealment.--Section 2339C(c)(2) of title 18, United States 
Code, is amended--
            (1) by striking ``resources, or funds'' and inserting 
        ``resources, or any funds or proceeds of such funds'';
            (2) in subparagraph (A), by striking ``were provided'' and 
        inserting ``are to be provided, or knowing that the support or 
        resources were provided,''; and
            (3) in subparagraph (B)--
                    (A) by striking ``or any proceeds of such funds''; 
                and
                    (B) by striking ``were provided or collected'' and 
                inserting ``are to be provided or collected, or knowing 
                that the funds were provided or collected,''.
    (b) Definitions.--Section 2339C(e) is amended by--
            (1) striking ``and'' at the end of paragraph (12);
            (2) redesignating paragraph (13) as paragraph (14); and
            (3) inserting after paragraph (12) the following new 
        paragraph:
            ``(13) the term `material support or resources' has the 
        same meaning as in section 2339A(b) of this title; and''.
    (c) International Terrorism.--Section 2332b(g)(5)(B) of title 18, 
United States Code, is amended by inserting ``)'' after ``2339C 
(relating to financing of terrorism''.

SEC. 7. MISCELLANEOUS AND TECHNICAL AMENDMENTS.

    (a) Criminal Forfeiture.--Section 982(b) of title 18, United States 
Code, is amended in subsection (b)(2), by striking ``The substitution'' 
and inserting ``With respect to a forfeiture under subsection (a)(1), 
the substitution''.
    (b) Technical Amendments to Sections 1956 and 1957.--
            (1) Unlawful activity.--Section 1956(c)(7)(F) of title 18, 
        United States Code, is amended by inserting ``, as defined in 
        section 24'' before the period.
            (2) Property from unlawful activity.--Section 1957 of title 
        18, United States Code, is amended--
                    (A) in subsection (a), by striking ``engages or 
                attempts to engage in'' and inserting ``conducts or 
                attempts to conduct''; and
                    (B) in subsection (f), by inserting the following 
                after paragraph (3):
            ``(4) the term `conducts' has the same meaning as it does 
        for purposes of section 1956 of this title.''.
    (c) Obstruction of Justice.--Section 1510(b)(3)(B) of title 18, 
United States Code, is amended by striking ``or'' the first time it 
appears and inserting ``, a subpoena issued pursuant to section 1782 of 
title 28, or''.

SEC. 8. EXTENSION OF THE MONEY LAUNDERING AND FINANCIAL CRIMES STRATEGY 
              ACT OF 1998.

    (a) Transmittal to Congress.--Section 5341(a)(2) of title 31, 
United States Code, is amended by striking ``and 2003'' and inserting 
``2003, 2004, 2005, and 2006''.
    (b) Authorization of Appropriations.--Section 5355 of title 31, 
United States Code is amended by inserting after the item for fiscal 
year 2003 the following:

    ``2004.........................
                                        $15,000,000
    ``2005.........................
                                        $15,000,000
    ``2006.........................
                                        $15,000,000.''.
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