[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2820 Introduced in House (IH)]

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115th CONGRESS
  1st Session
                                H. R. 2820

To direct the Secretary of State to establish within the Department of 
    State the Office of Anti-Corruption relating to Illicit Russian 
        Financial Activities in Europe, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              June 7, 2017

     Mr. Suozzi (for himself, Mr. Roskam, Mr. Meeks, and Mr. Hill) 
 introduced the following bill; which was referred to the Committee on 
 Foreign Affairs, and in addition to the Permanent Select Committee on 
    Intelligence, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To direct the Secretary of State to establish within the Department of 
    State the Office of Anti-Corruption relating to Illicit Russian 
        Financial Activities in Europe, 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 ``Fight Russian Corruption Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Russian Federation uses corruption as a strategic 
        tool to erode democratic governance from within and discredit 
        the liberal democratic system, thereby strengthening Russia's 
        sphere of influence.
            (2) Russia's ultimate goal is to dissolve the transatlantic 
        union by capitalizing on and exacerbating existing tensions 
        within European countries.
            (3) In 2016, the Center for Strategic and International 
        Studies (CSIS) and the Centre for the Study of Democracy 
        concluded that Russia has cultivated an opaque network of 
        patronage across the region that it uses to influence and 
        direct decision-making. Russia seeks to gain influence over if 
        not control of critical state institutions, bodies, and the 
        economy and uses this influence to shape national policies and 
        decisions.
            (4) Central and Eastern European leaders, including those 
        from Romania, the Czech Republic, Latvia, and Poland, have 
        warned that Russia engages in economic warfare by using 
        politically motivated investments to advance its agenda, and 
        seeks to challenge the transatlantic orientation of Central and 
        Eastern Europe.
            (5) While countries along Russia's border, especially the 
        Baltic countries, Ukraine, and Georgia, are under threat from 
        Moscow's malign influence and military aggression, corruption 
        is also part of Russia's hybrid warfare strategy to use direct 
        and indirect action to coerce, destabilize and exercise malign 
        influence over other countries.
            (6) Much like a virus, malign Russian-fueled corruption 
        inconspicuously penetrates a country through what appears to be 
        a host of legitimate financial transactions.
            (7) According to CSIS, the corruption, often through opaque 
        financial transactions, infects various strategic sectors of 
        host economies, particularly energy, media, and financial 
        sectors. Over time, the host countries' institutions become 
        compromised and can no longer self-police or resist Russian 
        influence, thereby allowing Russian control over the 
        government.
            (8) In France, Austria, Germany, and the United Kingdom, 
        Russia directly supports entities that feed directly off lack 
        of confidence and trust in democratic systems, which enhances 
        the popularity of extreme parties.
            (9) The United States intelligence community concluded that 
        Russia deployed similar tactics in the 2016 United States 
        elections in order to erode public confidence and trust in the 
        United States political system.
            (10) This strategy exploits the inherent openness and 
        vulnerabilities within Western capitalist systems. To combat 
        it, the United States must support efforts of foreign partner 
        countries to investigate corruption and strengthen fiscal 
        transparency.
            (11) Only through strengthening Western governance and 
        institutions will the United States and its partners thwart 
        Russian tactics of corruption and exploitation and prevent 
        Russia's virus-like corruption from eroding democracy in the 
        United States.

SEC. 3. OFFICE OF ANTI-CORRUPTION RELATING TO ILLICIT RUSSIAN FINANCIAL 
              ACTIVITIES IN EUROPE.

    Title I of the State Department Basic Authorities Act of 1956 (22 
U.S.C. 2651a et seq.) is amended by adding at the end the following new 
section:

``SEC. 64. OFFICE OF ANTI-CORRUPTION RELATING TO ILLICIT RUSSIAN 
              FINANCIAL ACTIVITIES IN EUROPE.

    ``(a) Establishment.--The Secretary of State shall establish within 
the Department of State the Office of Anti-Corruption relating to 
Illicit Russian Financial Activities in Europe (in this section 
referred to as the `Office').
    ``(b) Head of Office.--The head of the Office shall be the Director 
of Anti-Corruption relating to Illicit Russian Financial Activities in 
Europe (in this section referred to as the `Director'). The Director 
shall be appointed by Secretary, in consultation with the Assistant 
Secretary of State for European Affairs.
    ``(c) Functions.--The Office shall carry out the following 
functions:
            ``(1) In coordination with the intelligence community, 
        analyze financial networks of the Russian Federation that 
        operate in European countries relating to investments in the 
        real estate, energy, media, infrastructure, philanthropy, civil 
        society, sports, nongovernmental organization, and other 
        sectors.
            ``(2) In coordination with the Secretary of the Treasury, 
        train United States liaison officers to serve in key United 
        States diplomatic and consular posts in European countries to 
        cooperate with foreign partners in the uncovering and 
        prosecution of illicit Russian financial activity.
    ``(d) Report.--
            ``(1) In general.--The Office shall develop and submit to 
        the appropriate congressional committees on an annual basis a 
        report on the conduct and results of activities of the Office 
        carried out under subsection (c) during the prior year.
            ``(2) Form.--The report required under this subsection 
        shall be submitted in unclassified form but may contain a 
        classified annex.
    ``(e) Personnel.--The Secretary of State is authorized to accept 
details or assignments of any personnel on a reimbursable or 
nonreimbursable basis for the purpose of carrying out this section, and 
the head of any Federal agency is authorized to detail or assign 
personnel of such agency on a reimbursable or nonreimbursable basis to 
the Secretary for purposes of carrying out this section.
    ``(f) Appropriate Congressional Committees Defined.--The term 
`appropriate congressional committees' means--
            ``(1) the Committee on Foreign Affairs and the Committee on 
        Financial Services of the House of Representatives; and
            ``(2) the Committee on Foreign Relations and the Committee 
        on Banking, Housing, and Urban Affairs, and the Committee on 
        Finance of the Senate.''.

SEC. 4. FOREIGN ASSISTANCE AND RELATED MATTERS.

    (a) Authority To Provide Foreign Assistance.--
            (1) In general.--The Secretary of State is authorized to 
        provide assistance to European countries to combat corruption.
            (2) Types of assistance.--Assistance authorized to be 
        provided under paragraph (1) may include the following:
                    (A) Support for activities described in paragraphs 
                (1) and (2) of section 64(c) of the State Department 
                Basic Authorities Act of 1956 (as added by section 3 of 
                this Act).
                    (B) Support for and strengthening of foreign 
                programs focused on investigative journalism and 
                independence of the media environment to expose Russian 
                corruption.
                    (C) Support for activities in Europe relating to 
                anti-corruption, anti-propaganda, and anti-Russian 
                malign influence.
    (b) Matters Relating to NATO.--The Secretary of State shall seek to 
work with the North Atlantic Treaty Organization (NATO) to carry out 
the following actions:
            (1) Elevate anti-corruption as an element of NATO's 
        Readiness Action Plan.
            (2) Task the NATO Assistant Secretary General for 
        Intelligence and Warning with monitoring Russian influence in 
        NATO member states.
            (3) Prioritizing the combating of Russian influence under 
        the NATO-European Union framework.
    (c) EU-US Summit.--The Secretary of State, in coordination with the 
Secretary of the Treasury, is authorized to host a summit between the 
United States and the European Union on preventing undeclared, cross-
border money flows invested in strategic areas or economic sectors of 
European countries.

SEC. 5. NATIONAL INTELLIGENCE ESTIMATE.

    (a) In General.--Not later than 180 days after the date of the 
enactment of this Act, the Director of National Intelligence shall 
develop and submit to the appropriate congressional committees a 
National Intelligence Estimate on the matters described in subsection 
(b).
    (b) Matters Described.--The matters described in this subsection 
are the following:
            (1) Any purchases made in the 5-year period ending on the 
        date of the enactment of this Act by individuals and entities 
        of key sectors in European countries, particularly purchases 
        that provide monopolistic control of a sector.
            (2) A detailed analysis of the individuals and entities 
        making such purchases, including sources of revenue for each 
        individual and entity and any links to the Russian Federation.

SEC. 6. REPORT.

    Not later than 180 days after the date of the enactment of this 
Act, the Secretary of State and the Secretary of Treasury shall jointly 
submit to the appropriate congressional committees a report on the 
implementation of this Act.

SEC. 7. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Foreign Affairs and the 
                Committee on Financial Services of the House of 
                Representatives; and
                    (B) the Committee on Foreign Relations and the 
                Committee on Banking, Housing, and Urban Affairs, and 
                the Committee on Finance of the Senate.
            (2) Intelligence community.--The term ``intelligence 
        community'' has the meaning given the term in section 3 of the 
        National Security Act of 1947 (50 U.S.C. 3003).
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