[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6156 Engrossed in House (EH)]

112th CONGRESS
  2d Session
                                H. R. 6156

_______________________________________________________________________

                                 AN ACT


 
To authorize the extension of nondiscriminatory treatment (normal trade 
relations treatment) to products of the Russian Federation and Moldova 
and to require reports on the compliance of the Russian Federation with 
 its obligations as a member of the World Trade Organization, 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 ``Russia and Moldova 
Jackson-Vanik Repeal and Sergei Magnitsky Rule of Law Accountability 
Act of 2012''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
  TITLE I--PERMANENT NORMAL TRADE RELATIONS FOR THE RUSSIAN FEDERATION

Sec. 101. Findings.
Sec. 102. Termination of application of title IV of the Trade Act of 
                            1974 to products of the Russian Federation.
TITLE II--TRADE ENFORCEMENT MEASURES RELATING TO THE RUSSIAN FEDERATION

Sec. 201. Reports on implementation by the Russian Federation of 
                            obligations as a member of the World Trade 
                            Organization and enforcement actions by the 
                            United States Trade Representative.
Sec. 202. Promotion of the rule of law in the Russian Federation to 
                            support United States trade and investment.
Sec. 203. Reports on laws, policies, and practices of the Russian 
                            Federation that discriminate against United 
                            States digital trade.
Sec. 204. Efforts to reduce barriers to trade imposed by the Russian 
                            Federation.
        TITLE III--PERMANENT NORMAL TRADE RELATIONS FOR MOLDOVA

Sec. 301. Findings.
Sec. 302. Termination of application of title IV of the Trade Act of 
                            1974 to products of Moldova.
   TITLE IV--SERGEI MAGNITSKY RULE OF LAW ACCOUNTABILITY ACT OF 2012

Sec. 401. Short title.
Sec. 402. Findings; Sense of Congress.
Sec. 403. Definitions.
Sec. 404. Identification of persons responsible for the detention, 
                            abuse, and death of Sergei Magnitsky and 
                            other gross violations of human rights.
Sec. 405. Inadmissibility of certain aliens.
Sec. 406. Financial measures.
Sec. 407. Report to Congress.

  TITLE I--PERMANENT NORMAL TRADE RELATIONS FOR THE RUSSIAN FEDERATION

SEC. 101. FINDINGS.

    Congress finds the following:
            (1) The Russian Federation allows its citizens the right 
        and opportunity to emigrate, free of any heavy tax on 
        emigration or on the visas or other documents required for 
        emigration and free of any tax, levy, fine, fee, or other 
        charge on any citizens as a consequence of the desire of those 
        citizens to emigrate to the country of their choice.
            (2) The Russian Federation has been found to be in full 
        compliance with the freedom of emigration requirements under 
        title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.) 
        since 1994.
            (3) The Russian Federation has received normal trade 
        relations treatment since concluding a bilateral trade 
        agreement with the United States that entered into force in 
        1992.
            (4) On December 16, 2011, the Ministerial Conference of the 
        World Trade Organization invited the Russian Federation to 
        accede to the World Trade Organization.

SEC. 102. TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
              1974 TO PRODUCTS OF THE RUSSIAN FEDERATION.

    (a) Presidential Determinations and Extension of Nondiscriminatory 
Treatment.--Notwithstanding any provision of title IV of the Trade Act 
of 1974 (19 U.S.C. 2431 et seq.), the President may--
            (1) determine that such title should no longer apply to the 
        Russian Federation; and
            (2) after making a determination under paragraph (1) with 
        respect to the Russian Federation, proclaim the extension of 
        nondiscriminatory treatment (normal trade relations treatment) 
        to the products of the Russian Federation.
    (b) Effective Date of Nondiscriminatory Treatment.--The extension 
of nondiscriminatory treatment to the products of the Russian 
Federation pursuant to subsection (a) shall be effective not sooner 
than the effective date of the accession of the Russian Federation to 
the World Trade Organization.
    (c) Termination of Applicability of Title IV.--On and after the 
effective date under subsection (b) of the extension of 
nondiscriminatory treatment to the products of the Russian Federation, 
title IV of the Trade Act of 1974 (19 U.S.C. 2431 et seq.) shall cease 
to apply to the Russian Federation.

TITLE II--TRADE ENFORCEMENT MEASURES RELATING TO THE RUSSIAN FEDERATION

SEC. 201. REPORTS ON IMPLEMENTATION BY THE RUSSIAN FEDERATION OF 
              OBLIGATIONS AS A MEMBER OF THE WORLD TRADE ORGANIZATION 
              AND ENFORCEMENT ACTIONS BY THE UNITED STATES TRADE 
              REPRESENTATIVE.

    (a) Reports on Implementation.--
            (1) In general.--Not later than one year after the 
        effective date under section 102(b) of the extension of 
        nondiscriminatory treatment to the products of the Russian 
        Federation, and annually thereafter, the United States Trade 
        Representative shall submit to the Committee on Finance of the 
        Senate and the Committee on Ways and Means of the House of 
        Representatives a report assessing the following:
                    (A) The extent to which the Russian Federation is 
                implementing the WTO Agreement (as defined in section 2 
                of the Uruguay Round Agreements Act (19 U.S.C. 3501)) 
                and the following agreements annexed to that Agreement:
                            (i) The Agreement on the Application of 
                        Sanitary and Phytosanitary Measures (referred 
                        to in section 101(d)(3) of the Uruguay Round 
                        Agreements Act (19 U.S.C. 3511(d)(3))).
                            (ii) The Agreement on Trade-Related Aspects 
                        of Intellectual Property Rights (referred to in 
                        section 101(d)(15) of the Uruguay Round 
                        Agreements Act (19 U.S.C. 3511(d)(15))).
                    (B) The progress made by the Russian Federation in 
                acceding to, and the extent to which the Russian 
                Federation is implementing, the following:
                            (i) The Ministerial Declaration on Trade in 
                        Information Technology Products of the World 
                        Trade Organization, agreed to at Singapore 
                        December 13, 1996 (commonly referred to as the 
                        ``Information Technology Agreement'') (or a 
                        successor agreement).
                            (ii) The Agreement on Government 
                        Procurement (referred to in section 101(d)(17) 
                        of the Uruguay Round Agreements Act (19 U.S.C. 
                        3511(d)(17))).
            (2) Plan for action by trade representative.--
                    (A) In general.--If, in preparing a report required 
                by paragraph (1), the Trade Representative believes 
                that the Russian Federation is not fully implementing 
                an agreement specified in subparagraph (A) or (B) of 
                that paragraph or that the Russian Federation is not 
                making adequate progress in acceding to an agreement 
                specified in subparagraph (B) of that paragraph, the 
                Trade Representative shall, except as provided in 
                subparagraph (B) of this paragraph, include in the 
                report a description of the actions the Trade 
                Representative plans to take to encourage the Russian 
                Federation to improve its implementation of the 
                agreement or increase its progress in acceding to the 
                agreement, as the case may be.
                    (B) Classified information.--If any information 
                regarding a planned action referred to in subparagraph 
                (A) is classifiable under Executive Order 13526 (75 
                Fed. Reg. 707; relating to classified national security 
                information) or a subsequent Executive order, the Trade 
                Representative shall report that information to the 
                Committee on Finance of the Senate and the Committee on 
                Ways and Means of the House of Representatives by--
                            (i) including the information in a 
                        classified annex to the report required by 
                        paragraph (1); or
                            (ii) consulting with the Committee on 
                        Finance and the Committee on Ways and Means 
                        with respect to the information instead of 
                        including the information in the report or a 
                        classified annex to the report.
            (3) Public comments.--
                    (A) In general.--In developing the report required 
                by paragraph (1), the Trade Representative shall 
                provide an opportunity for the public to comment, 
                including by holding a public hearing.
                    (B) Publication in federal register.--The Trade 
                Representative shall publish notice of the opportunity 
                to comment and hearing required by subparagraph (A) in 
                the Federal Register.
    (b) Report on Enforcement Actions Taken by Trade Representative.--
Not later than 180 days after the effective date under section 102(b) 
of the extension of nondiscriminatory treatment to the products of the 
Russian Federation, and annually thereafter, the United States Trade 
Representative shall submit to the Committee on Finance of the Senate 
and the Committee on Ways and Means of the House of Representatives a 
report describing the enforcement actions taken by the Trade 
Representative against the Russian Federation to ensure the full 
compliance of the Russian Federation with its obligations as a member 
of the World Trade Organization, including obligations under agreements 
with members of the Working Party on the accession of the Russian 
Federation to the World Trade Organization.

SEC. 202. PROMOTION OF THE RULE OF LAW IN THE RUSSIAN FEDERATION TO 
              SUPPORT UNITED STATES TRADE AND INVESTMENT.

    (a) Reports on Promotion of Rule of Law.--Not later than one year 
after the effective date under section 102(b) of the extension of 
nondiscriminatory treatment to the products of the Russian Federation, 
and annually thereafter, the United States Trade Representative and the 
Secretary of State shall jointly submit to the Committee on Finance of 
the Senate and the Committee on Ways and Means of the House of 
Representatives a report--
            (1) on the measures taken by the Trade Representative and 
        the Secretary and the results achieved during the year 
        preceding the submission of the report with respect to 
        promoting the rule of law in the Russian Federation, including 
        with respect to--
                    (A) strengthening formal protections for United 
                States investors in the Russian Federation, including 
                through the negotiation of a new bilateral investment 
                treaty;
                    (B) advocating for United States investors in the 
                Russian Federation, including by promoting the claims 
                of United States investors in Yukos Oil Company;
                    (C) encouraging all countries that are parties to 
                the Convention on Combating Bribery of Foreign Public 
                Officials in International Business Transactions of the 
                Organisation for Economic Co-operation and Development, 
                done at Paris December 17, 1997 (commonly referred to 
                as the ``OECD Anti-Bribery Convention''), including the 
                Russian Federation, to fully implement their 
                commitments under the Convention to prevent overseas 
                business bribery by the nationals of those countries;
                    (D) promoting a customs administration, tax 
                administration, and judiciary in the Russia Federation 
                that are free of corruption; and
                    (E) increasing cooperation between the United 
                States and the Russian Federation to expand the 
                capacity for civil society organizations to monitor, 
                investigate, and report on suspected instances of 
                corruption; and
            (2) that discloses the status of any pending petition for 
        espousal filed with the Secretary by a United States investor 
        in the Russian Federation.
    (b) Anti-Bribery Reporting and Assistance.--
            (1) In general.--The Secretary of Commerce shall establish 
        and maintain a dedicated phone hotline and secure website, 
        accessible from within and outside the Russian Federation, for 
        the purpose of allowing United States entities--
                    (A) to report instances of bribery, attempted 
                bribery, or other forms of corruption in the Russian 
                Federation that impact or potentially impact their 
                operations; and
                    (B) to request the assistance of the United States 
                with respect to issues relating to corruption in the 
                Russian Federation.
            (2) Report required.--
                    (A) In general.--Not later than one year after the 
                effective date under section 102(b) of the extension of 
                nondiscriminatory treatment to the products of the 
                Russian Federation, and annually thereafter, the 
                Secretary of Commerce shall submit to the Committee on 
                Finance of the Senate and the Committee on Ways and 
                Means of the House of Representatives a report that 
                includes the following:
                            (i) The number of instances in which 
                        bribery, attempted bribery, or other forms of 
                        corruption have been reported using the hotline 
                        or website established pursuant to paragraph 
                        (1).
                            (ii) A description of the regions in the 
                        Russian Federation in which those instances are 
                        alleged to have occurred.
                            (iii) A summary of actions taken by the 
                        United States to provide assistance to United 
                        States entities pursuant to paragraph (1)(B).
                            (iv) A description of the efforts taken by 
                        the Secretary to inform United States entities 
                        conducting business in the Russian Federation 
                        or considering conducting business in the 
                        Russian Federation of the availability of 
                        assistance through the hotline and website.
                    (B) Confidentiality.--The Secretary shall not 
                include in the report required by subparagraph (A) the 
                identity of a United States entity that reports 
                instances of bribery, attempted bribery, or other forms 
                of corruption in the Russian Federation or requests 
                assistance pursuant to paragraph (1).

SEC. 203. REPORTS ON LAWS, POLICIES, AND PRACTICES OF THE RUSSIAN 
              FEDERATION THAT DISCRIMINATE AGAINST UNITED STATES 
              DIGITAL TRADE.

    Section 181(a) of the Trade Act of 1974 (19 U.S.C. 2241(a)) is 
amended--
            (1) by redesignating paragraph (3) as paragraph (4); and
            (2) by inserting after paragraph (2) the following:
            ``(3) Inclusion of certain discriminatory laws, policies, 
        and practices of the russian federation.--For calender year 
        2012 and each succeeding calendar year, the Trade 
        Representative shall include in the analyses and estimates 
        under paragraph (1) an identification and analysis of any laws, 
        policies, or practices of the Russian Federation that deny fair 
        and equitable market access to United States digital trade.''.

SEC. 204. EFFORTS TO REDUCE BARRIERS TO TRADE IMPOSED BY THE RUSSIAN 
              FEDERATION.

    The United States Trade Representative shall continue to pursue the 
reduction of barriers to trade imposed by the Russian Federation on 
articles exported from the United States to the Russian Federation 
through efforts--
            (1) to negotiate a bilateral agreement under which the 
        Russian Federation will accept the sanitary and phytosanitary 
        measures of the United States as equivalent to the sanitary and 
        phytosanitary measures of the Russian Federation; and
            (2) to obtain the adoption by the Russian Federation of an 
        action plan for providing greater protections for intellectual 
        property rights than the protections required by the Agreement 
        on Trade-Related Aspects of Intellectual Property Rights 
        (referred to in section 101(d)(15) of the Uruguay Round 
        Agreements Act (19 U.S.C. 3511(d)(15))).

        TITLE III--PERMANENT NORMAL TRADE RELATIONS FOR MOLDOVA

SEC. 301. FINDINGS.

    Congress finds the following:
            (1) Moldova allows its citizens the right and opportunity 
        to emigrate, free of any heavy tax on emigration or on the 
        visas or other documents required for emigration and free of 
        any tax, levy, fine, fee, or other charge on any citizens as a 
        consequence of the desire of those citizens to emigrate to the 
        country of their choice.
            (2) Moldova has been found to be in full compliance with 
        the freedom of emigration requirements under title IV of the 
        Trade Act of 1974 (19 U.S.C. 2431 et seq.) since 1997.
            (3) Moldova acceded to the World Trade Organization on July 
        26, 2001.

SEC. 302. TERMINATION OF APPLICATION OF TITLE IV OF THE TRADE ACT OF 
              1974 TO PRODUCTS OF MOLDOVA.

    (a) Presidential Determinations and Extension of Nondiscriminatory 
Treatment.--Notwithstanding any provision of title IV of the Trade Act 
of 1974 (19 U.S.C. 2431 et seq.), the President may--
            (1) determine that such title should no longer apply to 
        Moldova; and
            (2) after making a determination under paragraph (1) with 
        respect to Moldova, proclaim the extension of nondiscriminatory 
        treatment (normal trade relations treatment) to the products of 
        Moldova.
    (b) Termination of Applicability of Title IV.--On and after the 
date on which the President extends nondiscriminatory treatment to the 
products of Moldova pursuant to subsection (a), title IV of the Trade 
Act of 1974 (19 U.S.C. 2431 et seq.) shall cease to apply to Moldova.

   TITLE IV--SERGEI MAGNITSKY RULE OF LAW ACCOUNTABILITY ACT OF 2012

SEC. 401. SHORT TITLE.

    This title may be cited as the ``Sergei Magnitsky Rule of Law 
Accountability Act of 2012''.

SEC. 402. FINDINGS; SENSE OF CONGRESS.

    (a) Findings.--Congress finds the following:
            (1) The United States aspires to a mutually beneficial 
        relationship with the Russian Federation based on respect for 
        human rights and the rule of law, and supports the people of 
        the Russian Federation in their efforts to realize their full 
        economic potential and to advance democracy, human rights, and 
        the rule of law.
            (2) The Russian Federation--
                    (A) is a member of the United Nations, the 
                Organization for Security and Co-operation in Europe, 
                the Council of Europe, and the International Monetary 
                Fund;
                    (B) has ratified the Convention against Torture and 
                Other Cruel, Inhuman or Degrading Treatment or 
                Punishment, the International Covenant on Civil and 
                Political Rights, and the United Nations Convention 
                against Corruption; and
                    (C) is bound by the legal obligations set forth in 
                the European Convention on Human Rights.
            (3) States voluntarily commit themselves to respect 
        obligations and responsibilities through the adoption of 
        international agreements and treaties, which must be observed 
        in good faith in order to maintain the stability of the 
        international order. Human rights are an integral part of 
        international law, and lie at the foundation of the 
        international order. The protection of human rights, therefore, 
        particularly in the case of a country that has incurred 
        obligations to protect human rights under an international 
        agreement to which it is a party, is not left exclusively to 
        the internal affairs of that country.
            (4) Good governance and anti-corruption measures are 
        instrumental in the protection of human rights and in achieving 
        sustainable economic growth, which benefits both the people of 
        the Russian Federation and the international community through 
        the creation of open and transparent markets.
            (5) Systemic corruption erodes trust and confidence in 
        democratic institutions, the rule of law, and human rights 
        protections. This is the case when public officials are allowed 
        to abuse their authority with impunity for political or 
        financial gains in collusion with private entities.
            (6) The Russian nongovernmental organization INDEM has 
        estimated that bribes by individuals and businesses in the 
        Russian Federation amount to hundreds of billions of dollars a 
        year, an increasing share of the country's gross domestic 
        product.
            (7) Sergei Leonidovich Magnitsky died on November 16, 2009, 
        at the age of 37, in Matrosskaya Tishina Prison in Moscow, 
        Russia, and is survived by a mother, a wife, and 2 sons.
            (8) On July 6, 2011, Russian President Dimitry Medvedev's 
        Human Rights Council announced the results of its independent 
        investigation into the death of Sergei Magnitsky. The Human 
        Rights Council concluded that Sergei Magnitsky's arrest and 
        detention was illegal; he was denied access to justice by the 
        courts and prosecutors of the Russian Federation; he was 
        investigated by the same law enforcement officers whom he had 
        accused of stealing Hermitage Fund companies and illegally 
        obtaining a fraudulent $230,000,000 tax refund; he was denied 
        necessary medical care in custody; he was beaten by 8 guards 
        with rubber batons on the last day of his life; and the 
        ambulance crew that was called to treat him as he was dying was 
        deliberately kept outside of his cell for one hour and 18 
        minutes until he was dead. The report of the Human Rights 
        Council also states the officials falsified their accounts of 
        what happened to Sergei Magnitsky and, 18 months after his 
        death, no officials had been brought to trial for his false 
        arrest or the crime he uncovered. The impunity continued in 
        April 2012, when Russian authorities dropped criminal charges 
        against Larisa Litvinova, the head doctor at the prison where 
        Magnitsky died.
            (9) The systematic abuse of Sergei Magnitsky, including his 
        repressive arrest and torture in custody by officers of the 
        Ministry of the Interior of the Russian Federation that Mr. 
        Magnitsky had implicated in the embezzlement of funds from the 
        Russian Treasury and the misappropriation of 3 companies from 
        his client, Hermitage Capital Management, reflects how deeply 
        the protection of human rights is affected by corruption.
            (10) The politically motivated nature of the persecution of 
        Mr. Magnitsky is demonstrated by--
                    (A) the denial by all state bodies of the Russian 
                Federation of any justice or legal remedies to Mr. 
                Magnitsky during the nearly 12 full months he was kept 
                without trial in detention; and
                    (B) the impunity since his death of state officials 
                he testified against for their involvement in 
                corruption and the carrying out of his repressive 
                persecution.
            (11) The Public Oversight Commission of the City of Moscow 
        for the Control of the Observance of Human Rights in Places of 
        Forced Detention, an organization empowered by Russian law to 
        independently monitor prison conditions, concluded on December 
        29, 2009, ``A man who is kept in custody and is being detained 
        is not capable of using all the necessary means to protect 
        either his life or his health. This is a responsibility of a 
        state which holds him captive. Therefore, the case of Sergei 
        Magnitsky can be described as a breach of the right to life. 
        The members of the civic supervisory commission have reached 
        the conclusion that Magnitsky had been experiencing both 
        psychological and physical pressure in custody, and the 
        conditions in some of the wards of Butyrka can be justifiably 
        called torturous. The people responsible for this must be 
        punished.''.
            (12) Sergei Magnitsky's experience, while particularly 
        illustrative of the negative effects of official corruption on 
        the rights of an individual citizen, appears to be emblematic 
        of a broader pattern of disregard for the numerous domestic and 
        international human rights commitments of the Russian 
        Federation and impunity for those who violate basic human 
        rights and freedoms.
            (13) The second trial, verdict, and sentence against former 
        Yukos executives Mikhail Khodorkovsky and Platon Lebedev evoke 
        serious concerns about the right to a fair trial and the 
        independence of the judiciary in the Russian Federation. The 
        lack of credible charges, intimidation of witnesses, violations 
        of due process and procedural norms, falsification or 
        withholding of documents, denial of attorney-client privilege, 
        and illegal detention in the Yukos case are highly troubling. 
        The Council of Europe, Freedom House, and Amnesty 
        International, among others, have concluded that they were 
        charged and imprisoned in a process that did not follow the 
        rule of law and was politically influenced. Furthermore, senior 
        officials of the Government of the Russian Federation, 
        including First Deputy Prime Minister Igor Shuvalov, have 
        acknowledged that the arrest and imprisonment of Khodorkovsky 
        were politically motivated.
            (14) According to Freedom House's 2011 report entitled 
        ``The Perpetual Battle: Corruption in the Former Soviet Union 
        and the New EU Members'', ``[t]he highly publicized cases of 
        Sergei Magnitsky, a 37-year-old lawyer who died in pretrial 
        detention in November 2009 after exposing a multimillion-dollar 
        fraud against the Russian taxpayer, and Mikhail Khodorkovsky, 
        the jailed business magnate and regime critic who was sentenced 
        at the end of 2010 to remain in prison through 2017, put an 
        international spotlight on the Russian state's contempt for the 
        rule of law. . . . By silencing influential and accomplished 
        figures such as Khodorkovsky and Magnitsky, the Russian 
        authorities have made it abundantly clear that anyone in Russia 
        can be silenced.''.
            (15) The tragic and unresolved murders of Nustap 
        Abdurakhmanov, Maksharip Aushev, Natalya Estemirova, Akhmed 
        Hadjimagomedov, Umar Israilov, Paul Klebnikov, Anna 
        Politkovskaya, Saihadji Saihadjiev, and Magomed Y. Yevloyev, 
        the death in custody of Vera Trifonova, the disappearances of 
        Mokhmadsalakh Masaev and Said-Saleh Ibragimov, the torture of 
        Ali Israilov and Islam Umarpashaev, the near-fatal beatings of 
        Mikhail Beketov, Oleg Kashin, Arkadiy Lander, and Mikhail 
        Vinyukov, and the harsh and ongoing imprisonment of Mikhail 
        Khodorkovsky, Alexei Kozlov, Platon Lebedev, and Fyodor Mikheev 
        further illustrate the grave danger of exposing the wrongdoing 
        of officials of the Government of the Russian Federation, 
        including Chechen leader Ramzan Kadyrov, or of seeking to 
        obtain, exercise, defend, or promote internationally recognized 
        human rights and freedoms.
    (b) Sense of Congress.--It is the sense of Congress that the United 
States should continue to strongly support, and provide assistance to, 
the efforts of the Russian people to establish a vibrant democratic 
political system that respects individual liberties and human rights, 
including by enhancing the provision of objective information through 
all relevant media, such as Radio Liberty and the internet. The Russian 
Government's suppression of dissent and political opposition, the 
limitations it has imposed on civil society and independent media, and 
the deterioration of economic and political freedom inside Russia are 
of profound concern to the United States Government and to the American 
people.

SEC. 403. DEFINITIONS.

    In this title:
            (1) Admitted; alien.--The terms ``admitted'' and ``alien'' 
        have the meanings given those terms in section 101 of the 
        Immigration and Nationality Act (8 U.S.C. 1101).
            (2) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Armed Services, the Committee 
                on Financial Services, the Committee on Foreign 
                Affairs, the Committee on Homeland Security, and the 
                Committee on the Judiciary of the House of 
                Representatives; and
                    (B) the Committee on Armed Services, the Committee 
                on Banking, Housing, and Urban Affairs, the Committee 
                on Foreign Relations, the Committee on Homeland 
                Security and Governmental Affairs, and the Committee on 
                the Judiciary of the Senate.
            (3) Financial institution.--The term ``financial 
        institution'' has the meaning given that term in section 5312 
        of title 31, United States Code.
            (4) United states person.--The term ``United States 
        person'' means--
                    (A) a United States citizen or an alien lawfully 
                admitted for permanent residence to the United States; 
                or
                    (B) an entity organized under the laws of the 
                United States or of any jurisdiction within the United 
                States, including a foreign branch of such an entity.

SEC. 404. IDENTIFICATION OF PERSONS RESPONSIBLE FOR THE DETENTION, 
              ABUSE, AND DEATH OF SERGEI MAGNITSKY AND OTHER GROSS 
              VIOLATIONS OF HUMAN RIGHTS.

    (a) In General.--Not later than 120 days after the date of the 
enactment of this Act, the President shall submit to the appropriate 
congressional committees a list of each person who the President 
determines, based on credible information--
            (1) is responsible for the detention, abuse, or death of 
        Sergei Magnitsky, participated in efforts to conceal the legal 
        liability for the detention, abuse, or death of Sergei 
        Magnitsky, financially benefitted from the detention, abuse, or 
        death of Sergei Magnitsky, or was involved in the criminal 
        conspiracy uncovered by Sergei Magnitsky;
            (2) is responsible for extrajudicial killings, torture, or 
        other gross violations of internationally recognized human 
        rights committed against individuals seeking--
                    (A) to expose illegal activity carried out by 
                officials of the Government of the Russian Federation; 
                or
                    (B) to obtain, exercise, defend, or promote 
                internationally recognized human rights and freedoms, 
                such as the freedoms of religion, expression, 
                association, and assembly, and the rights to a fair 
                trial and democratic elections, in Russia; or
            (3) acted as an agent of or on behalf of a person in a 
        matter relating to an activity described in paragraph (1) or 
        (2).
    (b) Updates.--The President shall submit to the appropriate 
congressional committees an update of the list required by subsection 
(a) as new information becomes available.
    (c) Form.--
            (1) In general.--The list required by subsection (a) shall 
        be submitted in unclassified form.
            (2) Exception.--The name of a person to be included in the 
        list required by subsection (a) may be submitted in a 
        classified annex only if the President--
                    (A) determines that it is vital for the national 
                security interests of the United States to do so;
                    (B) uses the annex in such a manner consistent with 
                congressional intent and the purposes of this Act; and
                    (C) 15 days prior to submitting the name in a 
                classified annex, provides to the appropriate 
                congressional committees notice of, and a justification 
                for, including or continuing to include each person in 
                the classified annex despite any publicly available 
                credible information indicating that the person engaged 
                in an activity described in paragraph (1), (2), or (3) 
                of subsection (a).
            (3) Consideration of data from other countries and 
        nongovernmental organizations.--In preparing the list required 
        by subsection (a), the President shall consider information 
        provided by the chairperson and ranking member of each of the 
        appropriate congressional committees and credible data obtained 
        by other countries and nongovernmental organizations, including 
        organizations inside Russia, that monitor the human rights 
        abuses of the Government of the Russian Federation.
            (4) Public availability.--The unclassified portion of the 
        list required by subsection (a) shall be made available to the 
        public and published in the Federal Register.
    (d) Removal From List.--A person may be removed from the list 
required by subsection (a) if the President determines and reports to 
the appropriate congressional committees not less than 15 days prior to 
the removal of the person from the list that--
            (1) credible information exists that the person did not 
        engage in the activity for which the person was added to the 
        list;
            (2) the person has been prosecuted appropriately for the 
        activity in which the person engaged; or
            (3) the person has credibly demonstrated a significant 
        change in behavior, has paid an appropriate consequence for the 
        activities in which the person engaged, and has credibly 
        committed to not engage in the types of activities specified in 
        paragraphs (1) through (3) of subsection (a).
    (e) Requests by Chairperson and Ranking Member of Appropriate 
Congressional Committees.--
            (1) In general.--Not later than 120 days after receiving a 
        written request from the chairperson and ranking member of one 
        of the appropriate congressional committees with respect to 
        whether a person meets the criteria for being added to the list 
        required by subsection (a), the President shall submit a 
        response to the chairperson and ranking member of the committee 
        which made the request with respect to the status of the 
        person.
            (2) Form.--The President may submit a response required by 
        paragraph (1) in classified form if the President determines 
        that it is necessary for the national security interests of the 
        United States to do so.
            (3) Removal.--If the President removes from the list 
        required by subsection (a) a person who has been placed on the 
        list at the request of the chairperson and ranking member of 
        one of the appropriate congressional committees, the President 
        shall provide the chairperson and ranking member with any 
        information that contributed to the removal decision. The 
        President may submit such information in classified form if the 
        President determines that such is necessary for the national 
        security interests of the United States.
    (f) Nonapplicability of Confidentiality Requirement With Respect to 
Visa Records.--The President shall publish the list required by 
subsection (a) without regard to the requirements of section 222(f) of 
the Immigration and Nationality Act (8 U.S.C. 1202(f)) with respect to 
confidentiality of records pertaining to the issuance or refusal of 
visas or permits to enter the United States.

SEC. 405. INADMISSIBILITY OF CERTAIN ALIENS.

    (a) Ineligibility for Visas.--An alien is ineligible to receive a 
visa to enter the United States and ineligible to be admitted to the 
United States if the alien is on the list required by section 404(a).
    (b) Current Visas Revoked.--The Secretary of State shall revoke, in 
accordance with section 221(i) of the Immigration and Nationality Act 
(8 U.S.C. 1201(i)), the visa or other documentation of any alien who 
would be ineligible to receive such a visa or documentation under 
subsection (a) of this section.
    (c) Waiver for National Security Interests.--
            (1) In general.--The Secretary of State may waive the 
        application of subsection (a) or (b) in the case of an alien 
        if--
                    (A) the Secretary determines that such a waiver--
                            (i) is necessary to permit the United 
                        States to comply with the Agreement between the 
                        United Nations and the United States of America 
                        regarding the Headquarters of the United 
                        Nations, signed June 26, 1947, and entered into 
                        force November 21, 1947, or other applicable 
                        international obligations of the United States; 
                        or
                            (ii) is in the national security interests 
                        of the United States; and
                    (B) prior to granting such a waiver, the Secretary 
                provides to the appropriate congressional committees 
                notice of, and a justification for, the waiver.
            (2) Timing for certain waivers.--Notification under 
        subparagraph (B) of paragraph (1) shall be made not later than 
        15 days prior to granting a waiver under such paragraph if the 
        Secretary grants such waiver in the national security interests 
        of the United States in accordance with subparagraph (A)(ii) of 
        such paragraph.
    (d) Regulatory Authority.--The Secretary of State shall prescribe 
such regulations as are necessary to carry out this section.

SEC. 406. FINANCIAL MEASURES.

    (a) Freezing of Assets.--
            (1) In general.--The President shall exercise all powers 
        granted by the International Emergency Economic Powers Act (50 
        U.S.C. 1701 et seq.) (except that the requirements of section 
        202 of such Act (50 U.S.C. 1701) shall not apply) to the extent 
        necessary to freeze and prohibit all transactions in all 
        property and interests in property of a person who is on the 
        list required by section 404(a) of this Act if such property 
        and interests in property are in the United States, come within 
        the United States, or are or come within the possession or 
        control of a United States person.
            (2) Exception.--Paragraph (1) shall not apply to persons 
        included on the classified annex under section 404(c)(2) if the 
        President determines that such an exception is vital for the 
        national security interests of the United States.
    (b) Waiver for National Security Interests.--The Secretary of the 
Treasury may waive the application of subsection (a) if the Secretary 
determines that such a waiver is in the national security interests of 
the United States. Not less than 15 days prior to granting such a 
waiver, the Secretary shall provide to the appropriate congressional 
committees notice of, and a justification for, the waiver.
    (c) Enforcement.--
            (1) Penalties.--A person that violates, attempts to 
        violate, conspires to violate, or causes a violation of this 
        section or any regulation, license, or order issued to carry 
        out this section shall be subject to the penalties set forth in 
        subsections (b) and (c) of section 206 of the International 
        Emergency Economic Powers Act (50 U.S.C. 1705) to the same 
        extent as a person that commits an unlawful act described in 
        subsection (a) of such section.
            (2) Requirements for financial institutions.--Not later 
        than 120 days after the date of the enactment of this Act, the 
        Secretary of the Treasury shall prescribe or amend regulations 
        as needed to require each financial institution that is a 
        United States person and has within its possession or control 
        assets that are property or interests in property of a person 
        who is on the list required by section 404(a) if such property 
        and interests in property are in the United States to certify 
        to the Secretary that, to the best of the knowledge of the 
        financial institution, the financial institution has frozen all 
        assets within the possession or control of the financial 
        institution that are required to be frozen pursuant to 
        subsection (a).
    (d) Regulatory Authority.--The Secretary of the Treasury shall 
issue such regulations, licenses, and orders as are necessary to carry 
out this section.

SEC. 407. REPORT TO CONGRESS.

    Not later than one year after the date of the enactment of this Act 
and annually thereafter, the Secretary of State and the Secretary of 
the Treasury shall submit to the appropriate congressional committees a 
report on--
            (1) the actions taken to carry out this title, including--
                    (A) the number of persons added to or removed from 
                the list required by section 404(a) during the year 
                preceding the report, the dates on which such persons 
                have been added or removed, and the reasons for adding 
                or removing them; and
                    (B) if few or no such persons have been added to 
                that list during that year, the reasons for not adding 
                more such persons to the list; and
            (2) efforts by the executive branch to encourage the 
        governments of other countries to impose sanctions that are 
        similar to the sanctions imposed under this title.

            Passed the House of Representatives November 16, 2012.

            Attest:

                                                                 Clerk.
112th CONGRESS

  2d Session

                               H. R. 6156

_______________________________________________________________________

                                 AN ACT

To authorize the extension of nondiscriminatory treatment (normal trade 
relations treatment) to products of the Russian Federation and Moldova 
and to require reports on the compliance of the Russian Federation with 
 its obligations as a member of the World Trade Organization, and for 
                            other purposes.