[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2384 Introduced in Senate (IS)]

113th CONGRESS
  2d Session
                                S. 2384

 To require the President to develop a watch list and a priority watch 
    list of foreign countries that engage in economic or industrial 
espionage in cyberspace with respect to United States trade secrets or 
  proprietary information, to provide for the imposition of sanctions 
   with respect to foreign persons that knowingly benefit from such 
                   espionage, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 22, 2014

 Mr. Levin (for himself, Mr. McCain, Mr. Rockefeller, and Mr. Coburn) 
introduced the following bill; which was read twice and referred to the 
            Committee on Banking, Housing, and Urban Affairs

_______________________________________________________________________

                                 A BILL


 
 To require the President to develop a watch list and a priority watch 
    list of foreign countries that engage in economic or industrial 
espionage in cyberspace with respect to United States trade secrets or 
  proprietary information, to provide for the imposition of sanctions 
   with respect to foreign persons that knowingly benefit from such 
                   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 ``Deter Cyber Theft Act of 2014''.

SEC. 2. ACTIONS TO ADDRESS ECONOMIC OR INDUSTRIAL ESPIONAGE IN 
              CYBERSPACE.

    (a) Report Required.--
            (1) In general.--Not later than 180 days after the date of 
        the enactment of this Act, and annually thereafter, the 
        President shall submit to the appropriate congressional 
        committees a report on foreign economic and industrial 
        espionage in cyberspace during the 12-month period preceding 
        the submission of the report that--
                    (A) identifies--
                            (i) foreign countries that engage in 
                        economic or industrial espionage in cyberspace 
                        with respect to trade secrets or proprietary 
                        information owned by United States persons;
                            (ii) foreign countries identified under 
                        clause (i) that the President determines engage 
                        in the most egregious economic or industrial 
                        espionage in cyberspace with respect to such 
                        trade secrets or proprietary information (in 
                        this section referred to as ``priority foreign 
                        countries'');
                            (iii) technologies or proprietary 
                        information developed by United States persons 
                        that--
                                    (I) are targeted for economic or 
                                industrial espionage in cyberspace; and
                                    (II) to the extent practicable, 
                                have been appropriated through such 
                                espionage;
                            (iv) articles manufactured or otherwise 
                        produced using technologies or proprietary 
                        information described in clause (iii)(II); and
                            (v) to the extent practicable, services 
                        provided using such technologies or proprietary 
                        information;
                    (B) describes the economic or industrial espionage 
                engaged in by the foreign countries identified under 
                clauses (i) and (ii) of subparagraph (A); and
                    (C) describes--
                            (i) actions taken by the President to 
                        decrease the prevalence of economic or 
                        industrial espionage in cyberspace; and
                            (ii) the progress made in decreasing the 
                        prevalence of such espionage.
            (2) Determination of foreign countries engaging in economic 
        or industrial espionage in cyberspace.--For purposes of clauses 
        (i) and (ii) of paragraph (1)(A), the President shall identify 
        a foreign country as a foreign country that engages in economic 
        or industrial espionage in cyberspace with respect to trade 
        secrets or proprietary information owned by United States 
        persons if the government of the foreign country--
                    (A) engages in economic or industrial espionage in 
                cyberspace with respect to trade secrets or proprietary 
                information owned by United States persons; or
                    (B) facilitates, supports, fails to prosecute, or 
                otherwise permits such espionage by--
                            (i) individuals who are citizens or 
                        residents of the foreign country; or
                            (ii) entities that are organized under the 
                        laws of the foreign country or are otherwise 
                        subject to the jurisdiction of the government 
                        of the foreign country.
            (3) Form of report.--Each report required by paragraph (1) 
        shall be submitted in unclassified form but may contain a 
        classified annex.
    (b) Imposition of Sanctions.--
            (1) In general.--The President may, pursuant to the 
        International Emergency Economic Powers Act (50 U.S.C. 1701 et 
        seq.), block and prohibit all transactions in all property and 
        interests in property of each person described in paragraph 
        (2), 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) Persons described.--A person described in this 
        paragraph is a foreign person the President determines 
        knowingly requests, engages in, supports, facilitates, or 
        benefits from the significant appropriation, through economic 
        or industrial espionage in cyberspace, of technologies or 
        proprietary information developed by United States persons.
            (3) Exception.--The authority to impose sanctions under 
        paragraph (1) shall not include the authority to impose 
        sanctions on the importation of goods.
    (c) Definitions.--In this section:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Armed Services, the Committee 
                on Banking, Housing, and Urban Affairs, the Committee 
                on Homeland Security and Governmental Affairs, the 
                Committee on Finance, the Committee on Foreign 
                Relations, and the Select Committee on Intelligence of 
                the Senate; and
                    (B) the Committee on Armed Services, the Committee 
                on Homeland Security, the Committee on Financial 
                Services, the Committee on Foreign Affairs, the 
                Committee on Ways and Means, and the Permanent Select 
                Committee on Intelligence of the House of 
                Representatives.
            (2) Cyberspace.--The term ``cyberspace''--
                    (A) means the interdependent network of information 
                technology infrastructures; and
                    (B) includes the Internet, telecommunications 
                networks, computer systems, and embedded processors and 
                controllers.
            (3) Economic or industrial espionage.--The term ``economic 
        or industrial espionage'' means--
                    (A) stealing a trade secret or proprietary 
                information or appropriating, taking, carrying away, or 
                concealing, or by fraud, artifice, or deception 
                obtaining, a trade secret or proprietary information 
                without the authorization of the owner of the trade 
                secret or proprietary information;
                    (B) copying, duplicating, downloading, uploading, 
                destroying, transmitting, delivering, sending, 
                communicating, or conveying a trade secret or 
                proprietary information without the authorization of 
                the owner of the trade secret or proprietary 
                information; or
                    (C) knowingly receiving, buying, or possessing a 
                trade secret or proprietary information that has been 
                stolen or appropriated, obtained, or converted without 
                the authorization of the owner of the trade secret or 
                proprietary information.
            (4) Knowingly.--The term ``knowingly'', with respect to 
        conduct, a circumstance, or a result, means that a person has 
        actual knowledge, or should have known, of the conduct, the 
        circumstance, or the result.
            (5) Own.--The term ``own'', with respect to a trade secret 
        or proprietary information, means to hold rightful legal or 
        equitable title to, or license in, the trade secret or 
        proprietary information.
            (6) Person.--The term ``person'' means an individual or 
        entity.
            (7) Proprietary information.--The term ``proprietary 
        information'' means competitive bid preparations, negotiating 
        strategies, executive emails, internal financial data, 
        strategic business plans, technical designs, manufacturing 
        processes, source code, data derived from research and 
        development investments, and other commercially valuable 
        information that a person has developed or obtained if--
                    (A) the person has taken reasonable measures to 
                keep the information confidential; and
                    (B) the information is not generally known or 
                readily ascertainable through proper means by the 
                public.
            (8) Technology.--The term ``technology'' has the meaning 
        given that term in section 16 of the Export Administration Act 
        of 1979 (50 U.S.C. App. 2415) (as in effect pursuant to the 
        International Emergency Economic Powers Act (50 U.S.C. 1701 et 
        seq.)).
            (9) Trade secret.--The term ``trade secret'' has the 
        meaning given that term in section 1839 of title 18, United 
        States Code.
            (10) United states person.--The term ``United States 
        person'' means--
                    (A) an individual who is a citizen or resident of 
                the United States; or
                    (B) an entity organized under the laws of the 
                United States or any jurisdiction within the United 
                States.
                                 <all>