[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 14 Reported in Senate (RS)]

<DOC>





                                                        Calendar No. 88
117th CONGRESS
  1st Session
                                 S. 14

 To identify and combat corruption in countries, to establish a tiered 
   system of countries with respect to levels of corruption by their 
    governments and their efforts to combat such corruption, and to 
 evaluate foreign persons engaged in grand corruption for inclusion as 
specially designated nationals under the Global Magnitsky Human Rights 
                          Accountability Act.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 22, 2021

Mr. Cardin (for himself, Mr. Young, Mr. Merkley, Mr. Durbin, Mr. Wyden, 
Mr. Coons, Mr. Whitehouse, Ms. Sinema, and Ms. Collins) introduced the 
 following bill; which was read twice and referred to the Committee on 
                           Foreign Relations

                             June 24, 2021

              Reported by Mr. Menendez, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
 To identify and combat corruption in countries, to establish a tiered 
   system of countries with respect to levels of corruption by their 
    governments and their efforts to combat such corruption, and to 
 evaluate foreign persons engaged in grand corruption for inclusion as 
specially designated nationals under the Global Magnitsky Human Rights 
                          Accountability Act.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Combating Global Corruption 
Act of 2021''.</DELETED>

<DELETED>SEC. 2. DEFINITIONS.</DELETED>

<DELETED>    In this Act:</DELETED>
        <DELETED>    (1) Appropriate congressional committees.--The 
        term ``appropriate congressional committees'' means--</DELETED>
                <DELETED>    (A) the Committee on Foreign Relations of 
                the Senate;</DELETED>
                <DELETED>    (B) the Committee on Armed Services of the 
                Senate;</DELETED>
                <DELETED>    (C) the Committee on Appropriations of the 
                Senate;</DELETED>
                <DELETED>    (D) the Committee on Foreign Affairs of 
                the House of Representatives;</DELETED>
                <DELETED>    (E) the Committee on Armed Services of the 
                House of Representatives; and</DELETED>
                <DELETED>    (F) the Committee on Appropriations of the 
                House of Representatives.</DELETED>
        <DELETED>    (2) Corrupt actor.--The term ``corrupt actor'' 
        means--</DELETED>
                <DELETED>    (A) any foreign person or entity that is a 
                government official or government entity responsible 
                for, or complicit in, an act of corruption; 
                and</DELETED>
                <DELETED>    (B) any company, in which a person or 
                entity described in subparagraph (A) has a significant 
                stake, which is responsible for, or complicit in, an 
                act of corruption.</DELETED>
        <DELETED>    (3) Corruption.--The term ``corruption'' means the 
        exercise of public power for private gain, including by 
        bribery, nepotism, fraud, or embezzlement.</DELETED>
        <DELETED>    (4) Grand corruption.--The term ``grand 
        corruption'' means corruption committed at a high level of 
        government that--</DELETED>
                <DELETED>    (A) distorts policies or the central 
                functioning of the country; and</DELETED>
                <DELETED>    (B) enables leaders to benefit at the 
                expense of the public good.</DELETED>
        <DELETED>    (5) Petty corruption.--The term ``petty 
        corruption'' means the abuse of entrusted power by low- or mid-
        level public officials in their interactions with ordinary 
        citizens.</DELETED>

<DELETED>SEC. 3. PUBLICATION OF TIERED RANKING LIST.</DELETED>

<DELETED>    (a) In General.--The Secretary of State shall annually 
publish, on a publicly accessible website, a tiered ranking of all 
foreign countries.</DELETED>
<DELETED>    (b) Tier 1 Countries.--A country shall be ranked as a tier 
1 country in the ranking published under subsection (a) if the 
government of such country is complying with the minimum standards set 
forth in section 4.</DELETED>
<DELETED>    (c) Tier 2 Countries.--A country shall be ranked as a tier 
2 country in the ranking published under subsection (a) if the 
government of such country is making efforts to comply with the minimum 
standards set forth in section 4, but is not achieving the requisite 
level of compliance to be ranked as a tier 1 country.</DELETED>
<DELETED>    (d) Tier 3 Countries.--A country shall be ranked as a tier 
3 country in the ranking published under subsection (a) if the 
government of such country is making de minimis or no efforts to comply 
with the minimum standards set forth in section 4.</DELETED>

<DELETED>SEC. 4. MINIMUM STANDARDS FOR THE ELIMINATION OF CORRUPTION 
              AND ASSESSMENT OF EFFORTS TO COMBAT CORRUPTION.</DELETED>

<DELETED>    (a) In General.--The government of a country is complying 
with the minimum standards for the elimination of corruption if the 
government--</DELETED>
        <DELETED>    (1) has enacted laws and established government 
        structures, policies, and practices that prohibit corruption, 
        including grand corruption and petty corruption;</DELETED>
        <DELETED>    (2) enforces the laws described in paragraph (1) 
        by punishing any person who is found, through a fair judicial 
        process, to have violated such laws;</DELETED>
        <DELETED>    (3) prescribes punishment for grand corruption 
        that is commensurate with the punishment prescribed for serious 
        crimes;</DELETED>
        <DELETED>    (4) prescribes punishment for petty corruption 
        that--</DELETED>
                <DELETED>    (A) provides a sufficiently stringent 
                deterrent; and</DELETED>
                <DELETED>    (B) adequately reflects the nature of the 
                offense; and</DELETED>
        <DELETED>    (5) is making serious and sustained efforts to 
        eliminate corruption.</DELETED>
<DELETED>    (b) Factors for Assessing Government Efforts To Combat 
Corruption.--In determining whether a government is making serious and 
sustained efforts to eliminate corruption, the Secretary of State shall 
consider--</DELETED>
        <DELETED>    (1) whether the government of the country 
        vigorously investigates and prosecutes acts of corruption and 
        convicts and sentences persons responsible for such acts that 
        take place wholly or partly within such country, including, as 
        appropriate, requiring incarceration of individuals convicted 
        of such acts;</DELETED>
        <DELETED>    (2) whether the government of the country 
        vigorously investigates, prosecutes, convicts, and sentences 
        public officials who participate in or facilitate corruption, 
        including nationals of the country who are deployed in foreign 
        military assignments, trade delegations abroad, or other 
        similar missions, who engage in or facilitate severe forms of 
        corruption;</DELETED>
        <DELETED>    (3) whether the government of the country has 
        adopted measures to prevent corruption, such as measures to 
        inform and educate the public, including potential victims, 
        about the causes and consequences of corruption;</DELETED>
        <DELETED>    (4) what steps the government of the country has 
        taken to prohibit government officials from participating in, 
        facilitating, or condoning corruption, including the 
        investigation, prosecution, and conviction of such 
        officials;</DELETED>
        <DELETED>    (5) the extent to which the country provides 
        access, or, as appropriate, makes adequate resources available, 
        to civil society organizations and other institutions to combat 
        corruption, including reporting, investigating, and 
        monitoring;</DELETED>
        <DELETED>    (6) whether an independent judiciary or judicial 
        body in the country responsible for, and effectively capable 
        of, deciding corruption cases impartially, on the basis of 
        facts and in accordance with the law, without any restrictions, 
        improper influences, inducements, pressures, threats, or 
        interferences (direct or indirect) from any quarter or for any 
        reason;</DELETED>
        <DELETED>    (7) whether the government of the country is 
        assisting in international investigations of transnational 
        corruption networks and in other cooperative efforts to combat 
        grand corruption, including cooperating with the governments of 
        other countries to extradite corrupt actors;</DELETED>
        <DELETED>    (8) whether the government of the country 
        recognizes the rights of victims of corruption, ensures their 
        access to justice, and takes steps to prevent victims from 
        being further victimized or persecuted by corrupt actors, 
        government officials, or others;</DELETED>
        <DELETED>    (9) whether the government of the country refrains 
        from prosecuting victims of corruption or whistleblowers due to 
        such persons having assisted in exposing corruption, and 
        refrains from other discriminatory treatment of such persons; 
        and</DELETED>
        <DELETED>    (10) such other information relating to corruption 
        as the Secretary of State considers appropriate.</DELETED>

<DELETED>SEC. 5. IMPOSITION OF SANCTIONS UNDER GLOBAL MAGNITSKY HUMAN 
              RIGHTS ACCOUNTABILITY ACT.</DELETED>

<DELETED>    (a) In General.--The Secretary of State, in coordination 
with the Secretary of the Treasury, shall evaluate foreign persons 
engaged in grand corruption in all countries identified as tier 3 
countries under section 3 for the imposition of sanctions under the 
Global Magnitsky Human Rights Accountability Act (subtitle F of title 
XII of Public Law 114-328; 22 U.S.C. 2656 note).</DELETED>
<DELETED>    (b) Report Required.--Not later than 60 days after 
publishing the list required by section 3(a), the Secretary of State 
shall submit to the committees specified in subsection (e) a report 
that includes--</DELETED>
        <DELETED>    (1) a list of foreign persons evaluated under 
        subsection (a);</DELETED>
        <DELETED>    (2) a list of foreign persons with respect to 
        which the President imposed sanctions pursuant to that 
        evaluation;</DELETED>
        <DELETED>    (3) the dates on which such sanctions were 
        imposed; and</DELETED>
        <DELETED>    (4) the reasons for imposing such 
        sanctions.</DELETED>
<DELETED>    (c) Form of Report.--</DELETED>
        <DELETED>    (1) In general.--Each report required by 
        subsection (b) shall be submitted in unclassified form but may 
        include a classified annex.</DELETED>
        <DELETED>    (2) Exception.--The name of a foreign person to be 
        included in the list required by subsection (b)(1) may be 
        submitted in the classified annex authorized by paragraph (1) 
        only if the President--</DELETED>
                <DELETED>    (A) determines that it is vital for the 
                national security interests of the United States to do 
                so;</DELETED>
                <DELETED>    (B) uses the annex in a manner consistent 
                with congressional intent and the purposes of this Act; 
                and</DELETED>
                <DELETED>    (C) not later than 15 days before 
                submitting the name in the classified annex, provides 
                to the committees specified in subsection (e) notice 
                of, and a justification for, including the name in the 
                classified annex despite any publicly available 
                credible information indicating that the person engaged 
                in an activity that would subject the person to the 
                imposition of sanctions under the Global Magnitsky 
                Human Rights Accountability Act.</DELETED>
<DELETED>    (d) Public Availability of Report.--</DELETED>
        <DELETED>    (1) In general.--The unclassified portion of the 
        report required by subsection (b) shall be made available to 
        the public, including through publication in the Federal 
        Register.</DELETED>
        <DELETED>    (2) Nonapplicability of confidentiality 
        requirement with respect to visa records.--The President shall 
        publish the list required by subsection (b)(1) 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.</DELETED>
<DELETED>    (e) Committees Specified.--The committees specified in 
this subsection are--</DELETED>
        <DELETED>    (1) the Committee on Appropriations, the Committee 
        on Banking, Housing, and Urban Affairs, the Committee on 
        Foreign Relations, and the Committee on the Judiciary of the 
        Senate; and</DELETED>
        <DELETED>    (2) the Committee on Appropriations, the Committee 
        on Financial Services, the Committee on Foreign Affairs, and 
        the Committee on the Judiciary of the House of 
        Representatives.</DELETED>

<DELETED>SEC. 6. DESIGNATION OF EMBASSY ANTI-CORRUPTION POINTS OF 
              CONTACT.</DELETED>

<DELETED>    (a) In General.--The Secretary of State shall annually 
designate an anti-corruption point of contact at the United States 
diplomatic post to each country identified as tier 2 or tier 3 under 
section 3, or which the Secretary otherwise determines is in need of 
such a point of contact. The point of contact shall be the chief of 
mission or the chief of mission's designee.</DELETED>
<DELETED>    (b) Responsibilities.--Each anti-corruption point of 
contact designated under subsection (a) shall be responsible for 
coordinating and overseeing the implementation of a whole-of-government 
approach among the relevant Federal departments and agencies operating 
programs that--</DELETED>
        <DELETED>    (1) promote good governance in foreign countries; 
        and</DELETED>
        <DELETED>    (2) enhance the ability of such countries--
        </DELETED>
                <DELETED>    (A) to combat public corruption; 
                and</DELETED>
                <DELETED>    (B) to develop and implement corruption 
                risk assessment tools and mitigation 
                strategies.</DELETED>
<DELETED>    (c) Training.--The Secretary of State shall implement 
appropriate training for anti-corruption points of contact designated 
under subsection (a).</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Combating Global Corruption Act of 
2021''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Corrupt actor.--The term ``corrupt actor'' means--
                    (A) any foreign person or entity that is a 
                government official or government entity responsible 
                for, or complicit in, an act of corruption; and
                    (B) any company, in which a person or entity 
                described in subparagraph (A) has a significant stake, 
                which is responsible for, or complicit in, an act of 
                corruption.
            (2) Corruption.--The term ``corruption'' means the unlawful 
        exercise of entrusted public power for private gain, including 
        by bribery, nepotism, fraud, or embezzlement.
            (3) Significant corruption.--The term ``significant 
        corruption'' means corruption committed at a high level of 
        government that has some or all of the following 
        characteristics:
                    (A) Illegitimately distorts major decision-making, 
                such as policy or resource determinations, or other 
                fundamental functions of governance.
                    (B) Involves economically or socially large-scale 
                government activities.

SEC. 3. PUBLICATION OF TIERED RANKING LIST.

    (a) In General.--The Secretary of State shall annually publish, on 
a publicly accessible website, a tiered ranking of all foreign 
countries.
    (b) Tier 1 Countries.--A country shall be ranked as a tier 1 
country in the ranking published under subsection (a) if the government 
of such country is complying with the minimum standards set forth in 
section 4.
    (c) Tier 2 Countries.--A country shall be ranked as a tier 2 
country in the ranking published under subsection (a) if the government 
of such country is making efforts to comply with the minimum standards 
set forth in section 4, but is not achieving the requisite level of 
compliance to be ranked as a tier 1 country.
    (d) Tier 3 Countries.--A country shall be ranked as a tier 3 
country in the ranking published under subsection (a) if the government 
of such country is making de minimis or no efforts to comply with the 
minimum standards set forth in section 4.

SEC. 4. MINIMUM STANDARDS FOR THE ELIMINATION OF CORRUPTION AND 
              ASSESSMENT OF EFFORTS TO COMBAT CORRUPTION.

    (a) In General.--The government of a country is complying with the 
minimum standards for the elimination of corruption if the government--
            (1) has enacted and implemented laws and established 
        government structures, policies, and practices that prohibit 
        corruption, including significant corruption;
            (2) enforces the laws described in paragraph (1) by 
        punishing any person who is found, through a fair judicial 
        process, to have violated such laws;
            (3) prescribes punishment for significant corruption that 
        is commensurate with the punishment prescribed for serious 
        crimes; and
            (4) is making serious and sustained efforts to address 
        corruption, including through prevention.
    (b) Factors for Assessing Government Efforts To Combat 
Corruption.--In determining whether a government is making serious and 
sustained efforts to address corruption, the Secretary of State shall 
consider, to the extent relevant or appropriate, factors such as--
            (1) whether the government of the country has criminalized 
        corruption, investigates and prosecutes acts of corruption, and 
        convicts and sentences persons responsible for such acts over 
        which it has jurisdiction, including, as appropriate, 
        incarcerating individuals convicted of such acts;
            (2) whether the government of the country vigorously 
        investigates, prosecutes, convicts, and sentences public 
        officials who participate in or facilitate corruption, 
        including nationals of the country who are deployed in foreign 
        military assignments, trade delegations abroad, or other 
        similar missions, who engage in or facilitate significant 
        corruption;
            (3) whether the government of the country has adopted 
        measures to prevent corruption, such as measures to inform and 
        educate the public, including potential victims, about the 
        causes and consequences of corruption;
            (4) what steps the government of the country has taken to 
        prohibit government officials from participating in, 
        facilitating, or condoning corruption, including the 
        investigation, prosecution, and conviction of such officials;
            (5) the extent to which the country provides access, or, as 
        appropriate, makes adequate resources available, to civil 
        society organizations and other institutions to combat 
        corruption, including reporting, investigating, and monitoring;
            (6) whether an independent judiciary or judicial body in 
        the country is responsible for, and effectively capable of, 
        deciding corruption cases impartially, on the basis of facts 
        and in accordance with the law, without any improper 
        restrictions, influences, inducements, pressures, threats, or 
        interferences (direct or indirect);
            (7) whether the government of the country is assisting in 
        international investigations of transnational corruption 
        networks and in other cooperative efforts to combat significant 
        corruption, including, as appropriate, cooperating with the 
        governments of other countries to extradite corrupt actors;
            (8) whether the government of the country recognizes the 
        rights of victims of corruption, ensures their access to 
        justice, and takes steps to prevent victims from being further 
        victimized or persecuted by corrupt actors, government 
        officials, or others;
            (9) whether the government of the country protects victims 
        of corruption or whistleblowers from reprisal due to such 
        persons having assisted in exposing corruption, and refrains 
        from other discriminatory treatment of such persons;
            (10) whether the government of the country is willing and 
        able to recover and, as appropriate, return the proceeds of 
        corruption;
            (11) whether the government of the country is taking steps 
        to implement financial transparency measures in line with the 
        Financial Action Task Force recommendations, including due 
        diligence and beneficial ownership transparency requirements;
            (12) whether the government of the country is facilitating 
        corruption in other countries in connection with state-directed 
        investment, loans or grants for major infrastructure, or other 
        initiatives; and
            (13) such other information relating to corruption as the 
        Secretary of State considers appropriate.
    (c) Assessing Government Efforts to Combat Corruption in Relation 
to Relevant International Commitments.--In determining whether a 
government is making serious and sustained efforts to address 
corruption, the Secretary of State shall consider the government of a 
country's compliance with the following, as relevant:
            (1) The Inter-American Convention against Corruption of the 
        Organization of American States, done at Caracas March 29, 
        1996.
            (2) The Convention on Combating Bribery of Foreign Public 
        Officials in International Business Transactions of the 
        Organisation of Economic Co-operation and Development, done at 
        Paris December 21, 1997 (commonly referred to as the ``Anti-
        Bribery Convention'').
            (3) The United Nations Convention against Transnational 
        Organized Crime, done at New York November 15, 2000.
            (4) The United Nations Convention against Corruption, done 
        at New York October 31, 2003.
            (5) Such other treaties, agreements, and international 
        standards as the Secretary of State considers appropriate.

SEC. 5. IMPOSITION OF SANCTIONS UNDER GLOBAL MAGNITSKY HUMAN RIGHTS 
              ACCOUNTABILITY ACT.

    (a) In General.--The Secretary of State, in coordination with the 
Secretary of the Treasury, should evaluate whether there are foreign 
persons engaged in significant corruption for the purposes of potential 
imposition of sanctions under the Global Magnitsky Human Rights 
Accountability Act (subtitle F of title XII of Public Law 114-328; 22 
U.S.C. 2656 note)--
            (1) in all countries identified as tier 3 countries under 
        section 3; or
            (2) in relation to the planning or construction or any 
        operation of the Nord Stream 2 pipeline.
    (b) Report Required.--Not later than 180 days after publishing the 
list required by section 3(a) and annually thereafter, the Secretary of 
State shall submit to the committees specified in subsection (f) a 
report that includes--
            (1) a list of foreign persons with respect to which the 
        President imposed sanctions pursuant to the evaluation under 
        subsection (a);
            (2) the dates on which such sanctions were imposed;
            (3) the reasons for imposing such sanctions; and
            (4) a list of all foreign persons found to have been 
        engaged in significant corruption in relation to the planning, 
        construction, or operation of the Nord Stream 2 pipeline.
    (c) Form of Report.--Each report required by subsection (b) shall 
be submitted in unclassified form but may include a classified annex.
    (d) Briefing in Lieu of Report.--The Secretary of State, in 
coordination with the Secretary of the Treasury, may (except with 
respect to the list required by subsection (b)(4)) provide a briefing 
to the committees specified in subsection (f) instead of submitting a 
written report required under subsection (b), if doing so would better 
serve existing United States anti-corruption efforts or the national 
interests of the Untied States.
    (e) Termination of Requirements Relating to Nord Stream 2.--The 
requirements under subsections (a)(2) and (b)(4) shall terminate on the 
date that is 5 years after the date of the enactment of this Act.
    (f) Committees Specified.--The committees specified in this 
subsection are--
            (1) the Committee on Foreign Relations, the Committee on 
        Appropriations, the Committee on Banking, Housing, and Urban 
        Affairs, and the Committee on the Judiciary of the Senate; and
            (2) the Committee on Foreign Affairs, the Committee on 
        Appropriations, the Committee on Financial Services, and the 
        Committee on the Judiciary of the House of Representatives.

SEC. 6. DESIGNATION OF EMBASSY ANTI-CORRUPTION POINTS OF CONTACT.

    (a) In General.--The Secretary of State shall annually designate an 
anti-corruption point of contact at the United States diplomatic post 
to each country identified as tier 2 or tier 3 under section 3, or 
which the Secretary otherwise determines is in need of such a point of 
contact. The point of contact shall be the chief of mission or the 
chief of mission's designee.
    (b) Responsibilities.--Each anti-corruption point of contact 
designated under subsection (a) shall be responsible for enhancing 
coordination and promoting the implementation of a whole-of-government 
approach among the relevant Federal departments and agencies 
undertaking efforts to--
            (1) promote good governance in foreign countries; and
            (2) enhance the ability of such countries--
                    (A) to combat public corruption; and
                    (B) to develop and implement corruption risk 
                assessment tools and mitigation strategies.
    (c) Training.--The Secretary of State shall implement appropriate 
training for anti-corruption points of contact designated under 
subsection (a).
                                                        Calendar No. 88

117th CONGRESS

  1st Session

                                 S. 14

_______________________________________________________________________

                                 A BILL

 To identify and combat corruption in countries, to establish a tiered 
   system of countries with respect to levels of corruption by their 
    governments and their efforts to combat such corruption, and to 
 evaluate foreign persons engaged in grand corruption for inclusion as 
specially designated nationals under the Global Magnitsky Human Rights 
                          Accountability Act.

_______________________________________________________________________

                             June 24, 2021

                       Reported with an amendment