[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 1563 Introduced in Senate (IS)]







110th CONGRESS
  1st Session
                                S. 1563

    To require the disclosure of certain activities relating to the 
 petroleum industry of Sudan, to increase the penalties for violations 
            of sanctions provisions, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              June 7, 2007

   Mr. Durbin (for himself, Mr. Brownback, Mr. Dodd, Mr. Obama, Mr. 
  Lieberman, Ms. Klobuchar, Ms. Mikulski, Mrs. Murray, Mr. Nelson of 
 Florida, Mr. Wyden, and Mrs. Clinton) introduced the following bill; 
which was read twice and referred to the Committee on Banking, Housing, 
                           and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
    To require the disclosure of certain activities relating to the 
 petroleum industry of Sudan, to increase the penalties for violations 
            of sanctions provisions, 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 ``Sudan Disclosure and Enforcement Act 
of 2007''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) On July 22, 2004, the Senate passed Senate Concurrent 
        Resolution 133, 108th Congress, and the House of 
        Representatives passed House Concurrent Resolution 467, 108th 
        Congress, both resolutions declaring that ``the atrocities 
        unfolding in Darfur, Sudan, are genocide''.
            (2) On September 9, 2004, President Bush declared that ``we 
        have concluded that genocide has taken place in Darfur''.
            (3) On June 30, 2005, President Bush affirmed that ``the 
        violence in Darfur region is clearly genocide [and t]he human 
        cost is beyond calculation''.
            (4) On May 8, 2006, President Bush reaffirmed, ``We will 
        call genocide by its rightful name, and we will stand up for 
        the innocent until the peace of Darfur is secured.''.
            (5) On November 20, 2006, the Presidential Special Envoy to 
        Sudan, Andrew S. Natsios, stated in a briefing to members of 
        the press, ``And there's a point--January 1st is either we see 
        a change or we go to Plan B.''.
            (6) On February 20, 2007, Special Envoy Natsios stated in 
        an interview with the Council on Foreign Relations, ``We needed 
        to send a message to the Sudanese government that we were no 
        longer simply going to continue with the situation the way it's 
        been the last four years, that there was a change. We are 
        considering more aggressive measures should we make no progress 
        in the humanitarian area, in the political negotiations, and in 
        the implementation of Kofi Annan and Ban Ki-moon's plan to 
        introduce . . . additional forces.''.
            (7) On April 18, 2007, President Bush stated, ``It is evil 
        we are now seeing in Sudan--and we're not going to back 
        down.''.
            (8) The Government of Sudan, as of the date of the 
        introduction of this Act, has announced its willingness to 
        accept 3,000 United Nations peacekeepers and their equipment, 
        but has continued to obstruct the full-scale joint United 
        Nations-African Union peacekeeping mission authorized under 
        United Nations Security Council Resolution 1706 (2006) and to 
        prevent sufficient humanitarian access to meet the urgent needs 
        of the people of Darfur.
            (9) Congress supports the objectives of a ``Plan B'' as 
        outlined in the press and elsewhere to increase pressure on the 
        Government of Sudan to accept a greatly expanded peacekeeping 
        mission with a mandate to protect the people of Darfur.

SEC. 3. SENSE OF CONGRESS.

    It is the sense of Congress that the President should--
            (1) continue to work with other members of the 
        international community, including the Permanent Members of the 
        United Nations Security Council, the African Union, the 
        European Union, the Arab League, and the Government of Sudan to 
        facilitate the urgent deployment of a peacekeeping force as 
        called for by United Nations Security Council Resolution 1706 
        (2006); and
            (2) bring before the United Nations Security Council, and 
        call for a vote on, a resolution requiring meaningful 
        multilateral sanctions against the Government of Sudan in 
        response to its acts of genocide against the people of Darfur 
        and its continued refusal to allow the implementation of a 
        peacekeeping force as called for by Resolution 1706.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Appropriations, the Committee 
                on Foreign Relations, and the Committee on Banking, 
                Housing, and Urban Affairs of the Senate; and
                    (B) the Committee on Appropriations, the Committee 
                on Foreign Affairs, and the Committee on Financial 
                Services of the House of Representatives.
            (2) Person.--The term ``person'' means an individual, 
        partnership, corporation, or other entity, including a 
        government or an agency of a government.
            (3) Sudan.--
                    (A) Sudan.--The term ``Sudan'' means the Republic 
                of Sudan and any territory under the administration or 
                control of the Government of Sudan.
                    (B) Southern sudan and designated areas.--The term 
                ``Southern Sudan and designated areas'' means Southern 
                Sudan, Southern Kordofan/Nuba Mountains State, Blue 
                Nile State, Abyei, or Darfur.

SEC. 5. DISCLOSURE TO THE SEC OF ACTIVITIES RELATING TO THE PETROLEUM 
              INDUSTRY IN SUDAN.

    Section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) 
is amended by adding at the end the following new subsection:
    ``(m) Disclosure of Activities Relating to the Petroleum Industry 
in Sudan.--
            ``(1) In general.--Not later than 90 days after the date of 
        the enactment of this subsection, the Securities and Exchange 
        Commission shall promulgate rules requiring any person 
        described in paragraph (2) to disclose to the Securities and 
        Exchange Commission--
                    ``(A) activities described in paragraph (3) if such 
                activities result in gross receipts to or total 
                investments from such person of $1,000,000 or more a 
                year; and
                    ``(B) the geographic area within Sudan where such 
                activities occurred, and specifically if such 
                activities took place solely within Southern Sudan and 
                designated areas.
            ``(2) Person described.--A person, as defined in paragraph 
        (6)(C), is described in this paragraph if the person--
                    ``(A) is an issuer of securities registered under 
                section 12; and
                    ``(B) either--
                            ``(i) engages in or facilitates activities 
                        described in paragraph (3); or
                            ``(ii) controls or is controlled by a 
                        person that engages in or facilitates 
                        activities described in paragraph (3).
            ``(3) Activities described.--An activity described in this 
        paragraph is the exploration, development, extraction, 
        processing, exportation, or sale of petroleum products produced 
        in Sudan.
            ``(4) Waiver.--The President may waive the disclosure 
        requirements described in paragraph (1) for periods not to 
        exceed 1 year if the President--
                    ``(A) determines that such a waiver is in the 
                national interest of the United States; and
                    ``(B) not later than 7 days before granting the 
                waiver, reports to the appropriate congressional 
                committees regarding the intention of the President to 
                waive the disclosure requirements described in 
                paragraph (1) and the reasons the waiver is in the 
                national interest of the United States.
            ``(5) Termination of disclosure requirements.--The 
        disclosure requirements described in paragraph (1) shall 
        terminate if the Secretary of State--
                    ``(A) determines that the Government of Sudan no 
                longer provides support for acts of international 
                terrorism for purposes of--
                            ``(i) section 40 of the Arms Export Control 
                        Act (22 U.S.C. 2780);
                            ``(ii) section 620A of the Foreign 
                        Assistance Act of 1961 (22 U.S.C. 2371); and
                            ``(iii) section 6(j) of the Export 
                        Administration Act of 1979 (50 U.S.C. App. 
                        2405(j)), as in effect pursuant to the 
                        International Emergency Economic Powers Act (50 
                        U.S.C. 1701 et seq.); and
                    ``(B) certifies to the appropriate congressional 
                committees that the Government of Sudan has 
                demonstrated significant improvement in protecting the 
                civilian population of Darfur, such as by allowing a 
                substantial United Nations-African Union peacekeeping 
                mission with the mandate and means to protect civilians 
                and allow for the safe return of persons displaced by 
                the violence in Darfur.
            ``(6) Definitions.--In this subsection:
                    ``(A) Appropriate congressional committees.--The 
                term `appropriate congressional committees' means--
                            ``(i) the Committee on Appropriations, the 
                        Committee on Foreign Relations, and the 
                        Committee on Banking, Housing, and Urban 
                        Affairs of the Senate; and
                            ``(ii) the Committee on Appropriations, the 
                        Committee on Foreign Affairs, and the Committee 
                        on Financial Services of the House of 
                        Representatives.
                    ``(B) Control.--The term `control' means--
                            ``(i) in the case of a corporation, to hold 
                        at least 50 percent (by vote or value) of the 
                        capital structure of the corporation; and
                            ``(ii) in the case of any other entity, to 
                        hold interests representing at least 50 percent 
                        of the capital structure of the entity.
                    ``(C) Is controlled by.--The term `is controlled 
                by' means--
                            ``(i) in the case of a corporation, to have 
                        at least 50 percent (by vote or value) of the 
                        capital structure of the corporation held by 
                        another person; and
                            ``(ii) in the case of any other entity, to 
                        have interests representing at least 50 percent 
                        of the capital structure of the entity held by 
                        another person.
                    ``(D) Foreign person.--The term `foreign person' 
                means a person--
                            ``(i) in the case of an individual, who is 
                        an alien; or
                            ``(ii) in the case of a partnership, 
                        corporation, or other entity, that is organized 
                        under the laws of a foreign country or that has 
                        its principal place of business in a foreign 
                        country.
                    ``(E) Person.--
                            ``(i) In general.--The term `person' means 
                        an individual, partnership, corporation, or 
                        other entity, including a government or an 
                        agency of a government.
                            ``(ii) Exception.--The term `person' does 
                        not include--
                                    ``(I) any person engaging solely in 
                                transactions or activities in Sudan 
                                that are authorized or exempted 
                                pursuant to the Sudanese Sanctions 
                                Regulations (part 538 of title 31, Code 
                                of Federal Regulations);
                                    ``(II) foreign nongovernmental 
                                organizations (except agencies of the 
                                Government of Sudan) that--
                                            ``(aa) have consultative 
                                        status with the United Nations 
                                        Economic and Social Council; or
                                            ``(bb) have been accredited 
                                        by a department or specialized 
                                        agency of the United Nations; 
                                        or
                                    ``(III) a foreign person whose 
                                business activities in Sudan are 
                                strictly limited to providing goods and 
                                services that are--
                                            ``(aa) intended to relieve 
                                        human suffering;
                                            ``(bb) intended to promote 
                                        welfare, health, religious, or 
                                        spiritual activities;
                                            ``(cc) used for educational 
                                        or humanitarian purposes;
                                            ``(dd) used for 
                                        journalistic activities; or
                                            ``(ee) used for such other 
                                        purposes as the Secretary of 
                                        State may determine serve the 
                                        foreign policy interests of the 
                                        United States.
                    ``(F) Sudan.--
                            ``(i) Sudan.--The term `Sudan' means the 
                        Republic of Sudan and any territory under the 
                        administration or control of the Government of 
                        Sudan.
                            ``(ii) Southern sudan and designated 
                        areas.--The term `Southern Sudan and designated 
                        areas' means Southern Sudan, Southern Kordofan/
                        Nuba Mountains State, Blue Nile State, Abyei, 
                        or Darfur.''.

SEC. 6. INCREASED PENALTIES FOR VIOLATIONS OF IEEPA.

    (a) In General.--Section 206 of the International Emergency 
Economic Powers Act (50 U.S.C. 1705) is amended to read as follows:

``SEC. 206. PENALTIES.

    ``(a) Unlawful Acts.--It shall be unlawful for a person to violate, 
attempt to violate, conspire to violate, or cause a violation of any 
license, order, regulation, or prohibition issued under this title.
    ``(b) Civil Penalty.--A civil penalty may be imposed on any person 
who commits an unlawful act described in subsection (a) in an amount 
not to exceed the greater of--
            ``(1) $250,000; or
            ``(2) an amount that is twice the amount of the transaction 
        that is the basis of the violation with respect to which the 
        penalty is imposed.
    ``(c) Criminal Penalty.--A person who willfully commits, willfully 
attempts to commit, or willfully conspires to commit, or aids or abets 
in the commission of, an unlawful act described in subsection (a) 
shall, upon conviction, be fined not more than $1,000,000, or if a 
natural person, may be imprisoned for not more than 20 years, or 
both.''.
    (b) Effective Date.--The amendment made by subsection (a) applies 
to violations described in section 206 of the International Emergency 
Economic Powers Act (50 U.S.C. 1705) with respect to which enforcement 
action is pending or commenced on or after the date of the enactment of 
this Act.

SEC. 7. REPORT ON AND PUBLIC DISCLOSURE OF ACTIVITIES IN THE PETROLEUM 
              INDUSTRY OF SUDAN.

    (a) Report on Activities Relating to the Petroleum Industry of 
Sudan.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of the Treasury, in 
        consultation with the Secretary of State, the Secretary of 
        Energy, and the Director of National Intelligence, shall 
        prepare and submit to the appropriate congressional committees 
        a written report on the overall impact of economic sanctions on 
        the Government of Sudan and the crisis in Darfur.
            (2) Contents of report.--The report required by paragraph 
        (1) shall include--
                    (A) the name of persons identified by the Office of 
                Foreign Assets Control as specially designated 
                nationals; and
                    (B) the economic and political impact of sanctions 
                on the Government of Sudan.
            (3) Form of report.--The report shall be submitted in 
        unclassified form, but may contain a classified annex relating 
        to the assessment under paragraph (2)(B).
    (b) Briefing on Report.--Not later than 14 days after submitting 
the report required by subsection (a), the Secretary of the Treasury, 
the Secretary of State, the Secretary of Energy, the Director of 
National Intelligence, and representatives of the Securities and 
Exchange Commission shall brief the appropriate congressional 
committees on the contents of the report.
    (c) Disclosure on SEC Website.--
            (1) In general.--Not later than 14 days after promulgating 
        the rules required by section 13(m) of the Securities Exchange 
        Act of 1934, as added by section 5, the Securities and Exchange 
        Commission shall make available on its website, in an easily 
        accessible and searchable format, the information collected 
        pursuant to the disclosure requirements of such section 13(m), 
        including--
                    (A) the names of persons that made disclosures 
                under such section 13(m);
                    (B) the specific activities related to the 
                petroleum industry of Sudan in which such persons 
                engaged; and
                    (C) the geographic area within Sudan where such 
                activities occurred, and specifically if such 
                activities took place solely within Southern Sudan and 
                designated areas.
            (2) Maintenance.--The Securities and Exchange Commission 
        shall maintain and update regularly the information on the 
        website of the Commission under paragraph (1).
    (d) Government Procurement Contracts.--
            (1) In general.--Not later than 45 days after the 
        submission of the report required by subsection (a), the 
        Administrator of General Services shall determine whether the 
        United States Government has in effect a contract for the 
        procurement of goods or services with any person identified in 
        the report required by subsection (a).
            (2) Report.--If the Administrator determines that the 
        United States Government has in effect a contract for the 
        procurement of goods or services with a person identified in 
        the report required by subsection (a), the Administrator shall 
        submit to the appropriate congressional committees a report--
                    (A) naming each person identified in the report 
                required by subsection (a);
                    (B) the nature of the contract; and
                    (C) the dollar amount of the contract.

SEC. 8. AUTHORIZATION OF ADDITIONAL APPROPRIATIONS FOR OFAC.

    (a) In General.--There are authorized to be appropriated $2,000,000 
to the Office of Foreign Assets Control for fiscal year 2008, to 
support intelligence gathering, licensing, compliance, and 
administrative activities associated with the enforcement of sanctions 
against Sudan and persons operating in Sudan.
    (b) Supplement Not Supplant.--Funds appropriated pursuant to the 
authority of subsection (a) shall be used to supplement and not 
supplant other amounts authorized to be appropriated for the Office of 
Foreign Assets Control.

SEC. 9. NOTIFICATION OF TERMINATION OF SANCTIONS.

    (a) In General.--Not later than 15 days after the date on which any 
sanction described in subsection (b) is terminated, the President shall 
publish in the Federal Register notice that such sanction has been 
terminated.
    (b) Sanctions Described.--A sanction described in this subsection 
is a sanction imposed pursuant to--
            (1) the Darfur Peace and Accountability Act of 2006 (Public 
        Law 109-344; 50 U.S.C. 1701 note);
            (2) the Comprehensive Peace in Sudan Act of 2004 (Public 
        Law 108-497; 50 U.S.C. 1701 note);
            (3) the Sudan Peace Act (Public Law 107-245; 50 U.S.C. 1701 
        note);
            (4) the International Emergency Economic Powers Act (50 
        U.S.C. 1701 et seq.);
            (5) chapter 5 of title 31, Code of Federal Regulations; or
            (6) any other provision of law, regulation, or executive 
        order relating to Sudan.

SEC. 10. REPEAL.

    Section 6305 of the U.S. Troop Readiness, Veterans' Care, Katrina 
Recovery, and Iraq Accountability Appropriations Act, 2007 (Public Law 
110-28) is repealed.
                                 <all>