[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6029 Reported in House (RH)]

                                                 Union Calendar No. 443
112th CONGRESS
  2d Session
                                H. R. 6029

                          [Report No. 112-610]

    To amend title 18, United States Code, to provide for increased 
 penalties for foreign and economic espionage, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 27, 2012

Mr. Smith of Texas (for himself, Mr. Conyers, Mr. Goodlatte, Mr. Watt, 
Mr. Coble, Mr. Berman, Mr. Wolf, Mr. Schiff, Mr. Chaffetz, Mr. Deutch, 
Mr. Poe of Texas, and Mr. Chabot) introduced the following bill; which 
             was referred to the Committee on the Judiciary

                             July 19, 2012

Committed to the Committee of the Whole House on the State of the Union 
                       and ordered to be printed


_______________________________________________________________________

                                 A BILL


 
    To amend title 18, United States Code, to provide for increased 
 penalties for foreign and economic espionage, 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 ``Foreign and Economic Espionage 
Penalty Enhancement Act of 2012''.

SEC. 2. PROTECTING U.S. BUSINESSES FROM FOREIGN ESPIONAGE.

    (a) For Offenses Committed by Individuals.--Section 1831(a) of 
title 18, United States Code, is amended, in the matter after paragraph 
(5)--
            (1) by striking ``15 years'' and inserting ``20 years''; 
        and
            (2) by striking ``not more than $500,000'' and inserting 
        ``not more than $5,000,000''.
    (b) For Offenses Committed by Organizations.--Section 1831(b) of 
such title is amended by striking ``not more than $10,000,000'' and 
inserting ``not more than the greater of $10,000,000 or 3 times the 
value of the stolen trade secret to the organization, including 
expenses for research and design and other costs of reproducing the 
trade secret that the organization has thereby avoided''.

SEC. 3. REVIEW BY THE UNITED STATES SENTENCING COMMISSION.

    (a) In General.--Pursuant to its authority under section 994(p) of 
title 28, United States Code, the United States Sentencing Commission 
shall review and, if appropriate, amend the Federal sentencing 
guidelines and policy statements applicable to persons convicted of 
offenses relating to the transmission or attempted transmission of a 
stolen trade secret outside of the United States or economic espionage, 
in order to reflect the intent of Congress that penalties for such 
offenses under the Federal sentencing guidelines and policy statements 
appropriately, reflect the seriousness of these offenses, account for 
the potential and actual harm caused by these offenses, and provide 
adequate deterrence against such offenses.
    (b) Requirements.--In carrying out this section, the United States 
Sentencing Commission shall--
            (1) consider the extent to which the Federal sentencing 
        guidelines and policy statements appropriately account for the 
        simple misappropriation of a trade secret, including the 
        sufficiency of the existing enhancement for these offenses to 
        address the seriousness of this conduct;
            (2) consider whether additional enhancements in the Federal 
        sentencing guidelines and policy statements are appropriate to 
        account for--
                    (A) the transmission or attempted transmission of a 
                stolen trade secret outside of the United States; and
                    (B) the transmission or attempted transmission of a 
                stolen trade secret outside of the United States that 
                is committed or attempted to be committed for the 
                benefit of a foreign government, foreign 
                instrumentality, or foreign agent;
            (3) ensure the Federal sentencing guidelines and policy 
        statements reflect the seriousness of these offenses and the 
        need to deter such conduct;
            (4) ensure reasonable consistency with other relevant 
        directives, Federal sentencing guidelines and policy 
        statements, and related Federal statutes;
            (5) make any necessary conforming changes to the Federal 
        sentencing guidelines and policy statements; and
            (6) ensure that the Federal sentencing guidelines 
        adequately meet the purposes of sentencing as set forth in 
        section 3553(a)(2) of title 18, United States Code.
    (c) Consultation.--In carrying out the review required under this 
section, the Commission shall consult with individuals or groups 
representing law enforcement, owners of trade secrets, victims of 
economic espionage offenses, the United States Department of Justice, 
the United States Department of Homeland Security, the United States 
Department of State and the Office of the United States Trade 
Representative.
    (d) Review.--Not later than 180 days after the date of enactment of 
this Act, the Commission shall complete its consideration and review 
under this section.
                                                 Union Calendar No. 443

112th CONGRESS

  2d Session

                               H. R. 6029

                          [Report No. 112-610]

_______________________________________________________________________

                                 A BILL

    To amend title 18, United States Code, to provide for increased 
 penalties for foreign and economic espionage, and for other purposes.

_______________________________________________________________________

                             July 19, 2012

Committed to the Committee of the Whole House on the State of the Union 
                       and ordered to be printed