[Congressional Record Volume 144, Number 146 (Wednesday, October 14, 1998)]
[Senate]
[Pages S12601-S12604]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                 INTERNATIONAL ANTI-BRIBERY ACT OF 1998

  Mr. JEFFORDS. Mr. President, I ask the Chair lay before the Senate a 
message from the House of Representatives on the bill (S. 2375) to 
amend the Securities Exchange Act of 1934 and the Foreign Corrupt 
Practices Act of 1977, to strengthen prohibitions on international 
bribery and other corrupt practices, and for other purposes.
  The PRESIDING OFFICER laid before the Senate the following message 
from the House of Representatives:

       Resolved, That the bill from the Senate (S. 2375) entitled 
     ``An Act to amend the Securities Exchange Act of 1934 and the 
     Foreign Corrupt Practices Act of 1977, to strengthen 
     prohibitions on international bribery and other corrupt 
     practices, and for other purposes'', do pass with the 
     following amendments:
       Strike out all after the enacting clause and insert:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``International Anti-Bribery 
     and Fair Competition Act of 1998''.

     SEC. 2. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT 
                   GOVERNING ISSUERS.

       (a) Prohibited Conduct.--Section 30A(a) of the Securities 
     Exchange Act of 1934 (15 U.S.C. 78dd-1(a)) is amended--
       (1) by amending subparagraph (A) of paragraph (1) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such foreign 
     official in his official capacity, (ii) inducing such foreign 
     official to do or omit to do any act in violation of the 
     lawful duty of such official, or (iii) securing any improper 
     advantage; or'';
       (2) by amending subparagraph (A) of paragraph (2) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such party, 
     official, or candidate in its or his official capacity, (ii) 
     inducing such party, official, or candidate to do or omit to 
     do an act in violation of the lawful duty of such party, 
     official, or candidate, or (iii) securing any improper 
     advantage; or''; and
       (3) by amending subparagraph (A) of paragraph (3) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such foreign 
     official, political party, party official, or candidate in 
     his or its official capacity, (ii) inducing such foreign 
     official, political party, party official, or candidate to do 
     or omit to do any act in violation of the lawful duty of such 
     foreign official, political party, party official, or 
     candidate, or (iii) securing any improper advantage; or''.
       (b) Officials of International Organizations.--Paragraph 
     (1) of section 30A(f) of the Securities Exchange Act of 1934 
     (15 U.S.C. 78dd-1(f)(1)) is amended to read as follows:
       ``(1)(A) The term `foreign official' means any officer or 
     employee of a foreign government or any department, agency, 
     or instrumentality thereof, or of a public international 
     organization, or any person acting in an official capacity 
     for or on behalf of any such government or department, 
     agency, or instrumentality, or for or on behalf of any such 
     public international organization.
       ``(B) For purposes of subparagraph (A), the term `public 
     international organization' means--
       ``(i) an organization that is designated by Executive order 
     pursuant to section 1 of the International Organizations 
     Immunities Act (22 U.S.C. 288); or
       ``(ii) any other international organization that is 
     designated by the President by Executive order for the 
     purposes of this section, effective as of the date of 
     publication of such order in the Federal Register.''.
       (c) Alternative Jurisdiction Over Acts Outside the United 
     States.--Section 30A of the Securities Exchange Act of 1934 
     (15 U.S.C. 78dd-1) is amended--
       (1) by adding at the end the following:
       ``(g) Alternative Jurisdiction.--
       ``(1) It shall also be unlawful for any issuer organized 
     under the laws of the United States, or a State, territory, 
     possession, or commonwealth of the United States or a 
     political subdivision thereof and which has a class of 
     securities registered pursuant to section 12 of this title or 
     which is required to file reports under section 15(d) of this 
     title, or for any United States person that is an officer, 
     director, employee, or agent of such issuer or a stockholder 
     thereof acting on behalf of such issuer, to corruptly do any 
     act outside the United States in furtherance of an offer, 
     payment, promise to pay, or authorization of the payment of 
     any money, or offer, gift, promise to give, or authorization 
     of the giving of anything of value to any of the persons or 
     entities set forth in paragraphs (1), (2), and (3) of 
     subsection (a) of this section for the purposes set forth 
     therein, irrespective of whether such issuer or such officer, 
     director, employee, agent, or stockholder makes use of the 
     mails or any means or instrumentality of interstate commerce 
     in furtherance of such offer, gift, payment, promise, or 
     authorization.
       ``(2) As used in this subsection, the term `United States 
     person' means a national of the United States (as defined in 
     section 101 of the Immigration and Nationality Act (8 U.S.C. 
     1101)) or any corporation, partnership, association, joint-
     stock company, business trust, unincorporated organization, 
     or sole proprietorship organized under the laws of the United 
     States or any State, territory, possession, or commonwealth 
     of the United States, or any political subdivision 
     thereof.'';
       (2) in subsection (b), by striking ``Subsection (a)'' and 
     inserting ``Subsections (a) and (g)''; and
       (3) in subsection (c), by striking ``subsection (a)'' and 
     inserting ``subsection (a) or (g)''.

[[Page S12602]]

       (d) Penalties.--Section 32(c) of the Securities Exchange 
     Act of 1934 (15 U.S.C. 78ff(c)) is amended--
       (1) in paragraph (1)(A), by striking ``section 30A(a)'' and 
     inserting ``subsection (a) or (g) of section 30A'';
       (2) in paragraph (1)(B), by striking ``section 30A(a)'' and 
     inserting ``subsection (a) or (g) of section 30A''; and
       (3) by amending paragraph (2) to read as follows:
       ``(2)(A) Any officer, director, employee, or agent of an 
     issuer, or stockholder acting on behalf of such issuer, who 
     willfully violates subsection (a) or (g) of section 30A of 
     this title shall be fined not more than $100,000, or 
     imprisoned not more than 5 years, or both.
       ``(B) Any officer, director, employee, or agent of an 
     issuer, or stockholder acting on behalf of such issuer, who 
     violates subsection (a) or (g) of section 30A of this title 
     shall be subject to a civil penalty of not more than $10,000 
     imposed in an action brought by the Commission.''.

     SEC. 3. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT 
                   GOVERNING DOMESTIC CONCERNS.

       (a) Prohibited Conduct.--Section 104(a) of the Foreign 
     Corrupt Practices Act of 1977 (15 U.S.C. 78dd-2(a)) is 
     amended--
       (1) by amending subparagraph (A) of paragraph (1) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such foreign 
     official in his official capacity, (ii) inducing such foreign 
     official to do or omit to do any act in violation of the 
     lawful duty of such official, or (iii) securing any improper 
     advantage; or'';
       (2) by amending subparagraph (A) of paragraph (2) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such party, 
     official, or candidate in its or his official capacity, (ii) 
     inducing such party, official, or candidate to do or omit to 
     do an act in violation of the lawful duty of such party, 
     official, or candidate, or (iii) securing any improper 
     advantage; or''; and
       (3) by amending subparagraph (A) of paragraph (3) to read 
     as follows:
       ``(A)(i) influencing any act or decision of such foreign 
     official, political party, party official, or candidate in 
     his or its official capacity, (ii) inducing such foreign 
     official, political party, party official, or candidate to do 
     or omit to do any act in violation of the lawful duty of such 
     foreign official, political party, party official, or 
     candidate, or (iii) securing any improper advantage; or''.
       (b) Penalties.--Section 104(g) of the Foreign Corrupt 
     Practices Act of 1977 (15 U.S.C. 78dd-2(g)) is amended--
       (1) by amending subsection (g)(1) to read as follows:
       ``(g)(1)(A) Penalties.--Any domestic concern that is not a 
     natural person and that violates subsection (a) or (i) of 
     this section shall be fined not more than $2,000,000.
       ``(B) Any domestic concern that is not a natural person and 
     that violates subsection (a) or (i) of this section shall be 
     subject to a civil penalty of not more than $10,000 imposed 
     in an action brought by the Attorney General.''; and
       (2) by amending paragraph (2) to read as follows:
       ``(2)(A) Any natural person that is an officer, director, 
     employee, or agent of a domestic concern, or stockholder 
     acting on behalf of such domestic concern, who willfully 
     violates subsection (a) or (i) of this section shall be fined 
     not more than $100,000 or imprisoned not more than 5 years, 
     or both.
       ``(B) Any natural person that is an officer, director, 
     employee, or agent of a domestic concern, or stockholder 
     acting on behalf of such domestic concern, who violates 
     subsection (a) or (i) of this section shall be subject to a 
     civil penalty of not more than $10,000 imposed in an action 
     brought by the Attorney General.''.
       (c) Officials of International Organizations.--Paragraph 
     (2) of section 104(h) of the Foreign Corrupt Practices Act of 
     1977 (15 U.S.C. 78dd-2(h)) is amended to read as follows:
       ``(2)(A) The term `foreign official' means any officer or 
     employee of a foreign government or any department, agency, 
     or instrumentality thereof, or of a public international 
     organization, or any person acting in an official capacity 
     for or on behalf of any such government or department, 
     agency, or instrumentality, or for or on behalf of any such 
     public international organization.
       ``(B) For purposes of subparagraph (A), the term `public 
     international organization' means--
       ``(i) an organization that is designated by Executive order 
     pursuant to section 1 of the International Organizations 
     Immunities Act (22 U.S.C. 288); or
       ``(ii) any other international organization that is 
     designated by the President by Executive order for the 
     purposes of this section, effective as of the date of 
     publication of such order in the Federal Register.''.
       (d) Alternative Jurisdiction Over Acts Outside the United 
     States.--Section 104 of the Foreign Corrupt Practices Act of 
     1977 (15 U.S.C. 78dd-2) is further amended--
       (1) by adding at the end the following:
       ``(i) Alternative Jurisdiction.--
       ``(1) It shall also be unlawful for any United States 
     person to corruptly do any act outside the United States in 
     furtherance of an offer, payment, promise to pay, or 
     authorization of the payment of any money, or offer, gift, 
     promise to give, or authorization of the giving of anything 
     of value to any of the persons or entities set forth in 
     paragraphs (1), (2), and (3) of subsection (a), for the 
     purposes set forth therein, irrespective of whether such 
     United States person makes use of the mails or any means or 
     instrumentality of interstate commerce in furtherance of such 
     offer, gift, payment, promise, or authorization.
       ``(2) As used in this subsection, the term `United States 
     person' means a national of the United States (as defined in 
     section 101 of the Immigration and Nationality Act (8 U.S.C. 
     1101)) or any corporation, partnership, association, joint-
     stock company, business trust, unincorporated organization, 
     or sole proprietorship organized under the laws of the United 
     States or any State, territory, possession, or commonwealth 
     of the United States, or any political subdivision 
     thereof.'';
       (2) in subsection (b), by striking ``Subsection (a)'' and 
     inserting ``Subsections (a) and (i)'';
       (3) in subsection (c), by striking ``subsection (a)'' and 
     inserting ``subsection (a) or (i)''; and
       (4) in subsection (d)(1), by striking ``subsection (a)'' 
     and inserting ``subsection (a) or (i)''.
       (e) Technical Amendment.--Section 104(h)(4)(A) of the 
     Foreign Corrupt Practices Act of 1977 (15 U.S.C. 78dd-
     2(h)(4)(A)) is amended by striking ``For purposes of 
     paragraph (1), the'' and inserting ``The''.

     SEC. 4. AMENDMENTS TO THE FOREIGN CORRUPT PRACTICES ACT 
                   GOVERNING OTHER PERSONS.

       Title I of the Foreign Corrupt Practices Act of 1977 is 
     amended by inserting after section 104 (15 U.S.C. 78dd-2) the 
     following new section:

     ``SEC. 104A. PROHIBITED FOREIGN TRADE PRACTICES BY PERSONS 
                   OTHER THAN ISSUERS OR DOMESTIC CONCERNS.

       ``(a) Prohibition.--It shall be unlawful for any person 
     other than an issuer that is subject to section 30A of the 
     Securities Exchange Act of 1934 or a domestic concern (as 
     defined in section 104 of this Act), or for any officer, 
     director, employee, or agent of such person or any 
     stockholder thereof acting on behalf of such person, while in 
     the territory of the United States, corruptly to make use of 
     the mails or any means or instrumentality of interstate 
     commerce or to do any other act in furtherance of an offer, 
     payment, promise to pay, or authorization of the payment of 
     any money, or offer, gift, promise to give, or authorization 
     of the giving of anything of value to--
       ``(1) any foreign official for purposes of--
       ``(A)(i) influencing any act or decision of such foreign 
     official in his official capacity, (ii) inducing such foreign 
     official to do or omit to do any act in violation of the 
     lawful duty of such official, or (iii) securing any improper 
     advantage; or
       ``(B) inducing such foreign official to use his influence 
     with a foreign government or instrumentality thereof to 
     affect or influence any act or decision of such government or 
     instrumentality,

     in order to assist such person in obtaining or retaining 
     business for or with, or directing business to, any person;
       ``(2) any foreign political party or official thereof or 
     any candidate for foreign political office for purposes of--
       ``(A)(i) influencing any act or decision of such party, 
     official, or candidate in its or his official capacity, (ii) 
     inducing such party, official, or candidate to do or omit to 
     do an act in violation of the lawful duty of such party, 
     official, or candidate, or (iii) securing any improper 
     advantage; or
       ``(B) inducing such party, official, or candidate to use 
     its or his influence with a foreign government or 
     instrumentality thereof to affect or influence any act or 
     decision of such government or instrumentality,

     in order to assist such person in obtaining or retaining 
     business for or with, or directing business to, any person; 
     or
       ``(3) any person, while knowing that all or a portion of 
     such money or thing of value will be offered, given, or 
     promised, directly or indirectly, to any foreign official, to 
     any foreign political party or official thereof, or to any 
     candidate for foreign political office, for purposes of--
       ``(A)(i) influencing any act or decision of such foreign 
     official, political party, party official, or candidate in 
     his or its official capacity, (ii) inducing such foreign 
     official, political party, party official, or candidate to do 
     or omit to do any act in violation of the lawful duty of such 
     foreign official, political party, party official, or 
     candidate, or (iii) securing any improper advantage; or
       ``(B) inducing such foreign official, political party, 
     party official, or candidate to use his or its influence with 
     a foreign government or instrumentality thereof to affect or 
     influence any act or decision of such government or 
     instrumentality,

     in order to assist such person in obtaining or retaining 
     business for or with, or directing business to, any person.
       ``(b) Exception for Routine Governmental Action.--
     Subsection (a) of this section shall not apply to any 
     facilitating or expediting payment to a foreign official, 
     political party, or party official the purpose of which is to 
     expedite or to secure the performance of a routine 
     governmental action by a foreign official, political party, 
     or party official.
       ``(c) Affirmative Defenses.--It shall be an affirmative 
     defense to actions under subsection (a) of this section 
     that--
       ``(1) the payment, gift, offer, or promise of anything of 
     value that was made, was lawful under the written laws and 
     regulations of the foreign official's, political party's, 
     party official's, or candidate's country; or
       ``(2) the payment, gift, offer, or promise of anything of 
     value that was made, was a reasonable and bona fide 
     expenditure, such as travel and lodging expenses, incurred by 
     or on behalf of a foreign official, party, party official, or 
     candidate and was directly related to--
       ``(A) the promotion, demonstration, or explanation of 
     products or services; or
       ``(B) the execution or performance of a contract with a 
     foreign government or agency thereof.

[[Page S12603]]

       ``(d) Injunctive Relief.--
       ``(1) When it appears to the Attorney General that any 
     person to which this section applies, or officer, director, 
     employee, agent, or stockholder thereof, is engaged, or about 
     to engage, in any act or practice constituting a violation of 
     subsection (a) of this section, the Attorney General may, in 
     his discretion, bring a civil action in an appropriate 
     district court of the United States to enjoin such act or 
     practice, and upon a proper showing, a permanent injunction 
     or a temporary restraining order shall be granted without 
     bond.
       ``(2) For the purpose of any civil investigation which, in 
     the opinion of the Attorney General, is necessary and proper 
     to enforce this section, the Attorney General or his designee 
     are empowered to administer oaths and affirmations, subpoena 
     witnesses, take evidence, and require the production of any 
     books, papers, or other documents which the Attorney General 
     deems relevant or material to such investigation. The 
     attendance of witnesses and the production of documentary 
     evidence may be required from any place in the United States, 
     or any territory, possession, or commonwealth of the United 
     States, at any designated place of hearing.
       ``(3) In case of contumacy by, or refusal to obey a 
     subpoena issued to, any person, the Attorney General may 
     invoke the aid of any court of the United States within the 
     jurisdiction of which such investigation or proceeding is 
     carried on, or where such person resides or carries on 
     business, in requiring the attendance and testimony of 
     witnesses and the production of books, papers, or other 
     documents. Any such court may issue an order requiring such 
     person to appear before the Attorney General or his designee, 
     there to produce records, if so ordered, or to give testimony 
     touching the matter under investigation. Any failure to obey 
     such order of the court may be punished by such court as a 
     contempt thereof.
       ``(4) All process in any such case may be served in the 
     judicial district in which such person resides or may be 
     found. The Attorney General may make such rules relating to 
     civil investigations as may be necessary or appropriate to 
     implement the provisions of this subsection.
       ``(e) Penalties.--
       ``(1)(A) Any juridical person that violates subsection (a) 
     of this section shall be fined not more than $2,000,000.
       ``(B) Any juridical person that violates subsection (a) of 
     this section shall be subject to a civil penalty of not more 
     than $10,000 imposed in an action brought by the Attorney 
     General.
       ``(2)(A) Any natural person who willfully violates 
     subsection (a) of this section shall be fined not more than 
     $100,000 or imprisoned not more than 5 years, or both.
       ``(B) Any natural person who violates subsection (a) of 
     this section shall be subject to a civil penalty of not more 
     than $10,000 imposed in an action brought by the Attorney 
     General.
       ``(3) Whenever a fine is imposed under paragraph (2) upon 
     any officer, director, employee, agent, or stockholder of a 
     person, such fine may not be paid, directly or indirectly, by 
     such person.
       ``(f) Definitions.--For purposes of this section:
       ``(1) The term `person', when referring to an offender, 
     means any natural person other than a national of the United 
     States (as defined in section 101 of the Immigration and 
     Nationality Act (8 U.S.C. 1101) or any corporation, 
     partnership, association, joint-stock company, business 
     trust, unincorporated organization, or sole proprietorship 
     organized under the law of a foreign nation or a political 
     subdivision thereof.
       ``(2)(A) The term `foreign official' means any officer or 
     employee of a foreign government or any department, agency, 
     or instrumentality thereof, or of a public international 
     organization, or any person acting in an official capacity 
     for or on behalf of any such government or department, 
     agency, or instrumentality, or for or on behalf of any such 
     public international organization.
       ``(B) For purposes of subparagraph (A), the term `public 
     international organization' means--
       ``(i) an organization that is designated by Executive order 
     pursuant to section 1 of the International Organizations 
     Immunities Act (22 U.S.C. 288); or
       ``(ii) any other international organization that is 
     designated by the President by Executive order for the 
     purposes of this section, effective as of the date of 
     publication of such order in the Federal Register.
       ``(3)(A) A person's state of mind is knowing, with respect 
     to conduct, a circumstance or a result if--
       ``(i) such person is aware that such person is engaging in 
     such conduct, that such circumstance exists, or that such 
     result is substantially certain to occur; or
       ``(ii) such person has a firm belief that such circumstance 
     exists or that such result is substantially certain to occur.
       ``(B) When knowledge of the existence of a particular 
     circumstance is required for an offense, such knowledge is 
     established if a person is aware of a high probability of the 
     existence of such circumstance, unless the person actually 
     believes that such circumstance does not exist.
       ``(4)(A) The term `routine governmental action' means only 
     an action which is ordinarily and commonly performed by a 
     foreign official in--
       ``(i) obtaining permits, licenses, or other official 
     documents to qualify a person to do business in a foreign 
     country;
       ``(ii) processing governmental papers, such as visas and 
     work orders;
       ``(iii) providing police protection, mail pick-up and 
     delivery, or scheduling inspections associated with contract 
     performance or inspections related to transit of goods across 
     country;
       ``(iv) providing phone service, power and water supply, 
     loading and unloading cargo, or protecting perishable 
     products or commodities from deterioration; or
       ``(v) actions of a similar nature.
       ``(B) The term `routine governmental action' does not 
     include any decision by a foreign official whether, or on 
     what terms, to award new business to or to continue business 
     with a particular party, or any action taken by a foreign 
     official involved in the decision-making process to encourage 
     a decision to award new business to or continue business with 
     a particular party.
       ``(5) The term `interstate commerce' means trade, commerce, 
     transportation, or communication among the several States, or 
     between any foreign country and any State or between any 
     State and any place or ship outside thereof, and such term 
     includes the intrastate use of--
       ``(A) a telephone or other interstate means of 
     communication, or
       ``(B) any other interstate instrumentality.''.

     SEC. 5. TREATMENT OF INTERNATIONAL ORGANIZATIONS PROVIDING 
                   COMMERCIAL COMMUNICATIONS SERVICES.

       (a) Definition.--For purposes of this section:
       (1) International organization providing commercial 
     communications services.--The term ``international 
     organization providing commercial communications services'' 
     means--
       (A) the International Telecommunications Satellite 
     Organization established pursuant to the Agreement Relating 
     to the International Telecommunications Satellite 
     Organization; and
       (B) the International Mobile Satellite Organization 
     established pursuant to the Convention on the International 
     Maritime Satellite Organization.
       (2) Pro-Competitive privatization.--The term ``pro-
     competitive privatization'' means a privatization that the 
     President determines to be consistent with the United States 
     policy of obtaining full and open competition to such 
     organizations (or their successors), and nondiscriminatory 
     market access, in the provision of satellite services.
       (b) Treatment as Public International Organizations.--
       (1) Treatment.--An international organization providing 
     commercial communications services shall be treated as a 
     public international organization for purposes of section 30A 
     of the Securities Exchange Act of 1934 (15 U.S.C. 78dd-1) and 
     sections 104 and 104A of the Foreign Corrupt Practices Act of 
     1977 (15 U.S.C. 78dd-2) until such time as the President 
     certifies to the Committee on Commerce of the House of 
     Representatives and the Committees on Banking, Housing and 
     Urban Affairs and Commerce, Science, and Transportation that 
     such international organization providing commercial 
     communications services has achieved a pro-competitive 
     privatization.
       (2) Limitation on effect of treatment.--The requirement for 
     a certification under paragraph (1), and any certification 
     made under such paragraph, shall not be construed to affect 
     the administration by the Federal Communications Commission 
     of the Communications Act of 1934 in authorizing the 
     provision of services to, from, or within the United States 
     over space segment of the international satellite 
     organizations, or the privatized affiliates or successors 
     thereof.
       (c) Extension of Legal Process.--
       (1) In general.--Except as specifically and expressly 
     required by mandatory obligations in international agreements 
     to which the United States is a party, an international 
     organization providing commercial communications services, 
     its officials and employees, and its records shall not be 
     accorded immunity from suit or legal process for any act or 
     omission taken in connection with such organization's 
     capacity as a provider, directly or indirectly, of commercial 
     telecommunications services to, from, or within the United 
     States.
       (2) No effect on personal liability.--Paragraph (1) shall 
     not affect any immunity from personal liability of any 
     individual who is an official or employee of an international 
     organization providing commercial communications services.
       (d) Elimination or Limitation of Exceptions.--The President 
     and the Federal Communications Commission shall, in a manner 
     that is consistent with specific and express requirements in 
     mandatory obligations in international agreements to which 
     the United States is a party--
       (1) expeditiously take all actions necessary to eliminate 
     or to limit substantially any privileges or immunities 
     accorded to an international organization providing 
     commercial communications services, its officials, its 
     employees, or its records from suit or legal process for any 
     act or omission taken in connection with such organization's 
     capacity as a provider, directly or indirectly, of commercial 
     telecommunications services to, from, or within the United 
     States, that are not eliminated by subsection (c);
       (2) expeditiously take all appropriate actions necessary to 
     eliminate or to reduce substantially all privileges and 
     immunities not eliminated pursuant to paragraph (1); and
       (3) report to the Committee on Commerce of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate on any remaining privileges and 
     immunities of an international organization providing 
     commercial communications services within 90 days of the 
     effective date of this act and semiannually thereafter.
       (e) Preservation of Law Enforcement and Intelligence 
     Functions.--Nothing in subsection (c) or (d) of this section 
     shall affect any immunity from suit or legal process of an 
     international organization providing commercial 
     communications services, or the privatized affiliates or 
     successors thereof, for acts or omissions--
       (1) under chapters 119, 121, 206, or 601 of title 18, 
     United States Code, the Foreign Intelligence Surveillance Act 
     of 1978 (50 U.S.C. 1801 et seq.), section 514 of the 
     Comprehensive Drug Abuse

[[Page S12604]]

     Prevention and Control Act of 1970 (21 U.S.C. 884), or Rules 
     104, 501, or 608 of the Federal Rules of Evidence;
       (2) under similar State laws providing protection to 
     service providers cooperating with law enforcement agencies 
     pursuant to State electronic surveillance or evidence laws, 
     rules, regulations, or procedures; or
       (3) pursuant to a court order.
       (f) Rules of Construction.--
       (1) Negotiations.--Nothing in this section shall affect the 
     President's existing constitutional authority regarding the 
     time, scope, and objectives of international negotiations.
       (2) Privatization.--Nothing in this section shall be 
     construed as legislative authorization for the privatization 
     of INTELSAT or Inmarsat, nor to increase the President's 
     authority with respect to negotiations concerning such 
     privatization.

     SEC. 6. ENFORCEMENT AND MONITORING.

       (a) Reports Required.--Not later than July 1 of 1999 and 
     each of the 5 succeeding years, the Secretary of Commerce 
     shall submit to the House of Representatives and the Senate a 
     report that contains the following information with respect 
     to implementation of the Convention:
       (1) Ratification.--A list of the countries that have 
     ratified the Convention, the dates of ratification by such 
     countries, and the entry into force for each such country.
       (2) Domestic legislation.--A description of domestic laws 
     enacted by each party to the Convention that implement 
     commitments under the Convention, and assessment of the 
     compatibility of such laws with the Convention.
       (3) Enforcement.--As assessment of the measures taken by 
     each party to the Convention during the previous year to 
     fulfill its obligations under the Convention and achieve its 
     object and purpose including--
       (A) an assessment of the enforcement of the domestic laws 
     described in paragraph (2);
       (B) an assessment of the efforts by each such party to 
     promote public awareness of such domestic laws and the 
     achievement of such object and purpose; and
       (C) an assessment of the effectiveness, transparency, and 
     viability of the monitoring process for the Convention, 
     including its inclusion of input from the private sector and 
     non-governmental organizations.
       (4) Laws prohibiting tax deduction of bribes.--An 
     explanation of the domestic laws enacted by each party to the 
     Convention that would prohibit the deduction of bribes in the 
     computation of domestic taxes.
       (5) New signatories.--A description of efforts to expand 
     international participation in the Convention by adding new 
     signatories to the Convention and by assuring that all 
     countries which are or become members of the Organization for 
     Economic Cooperation and Development are also parties to the 
     Convention.
       (6) Subsequent efforts.--An assessment of the status of 
     efforts to strengthen the Convention by extending the 
     prohibitions contained in the Convention to cover bribes to 
     political parties, party officials, and candidates for 
     political office.
       (7) Advantages.--Advantages, in terms of immunities, market 
     access, or otherwise, in the countries or regions served by 
     the organizations described in section 5(a), the reason for 
     such advantages, and an assessment of progress toward 
     fulfilling the policy described in that section.
       (8) Bribery and transparency.--An assessment of anti-
     bribery programs and transparency with respect to each of the 
     international organizations covered by this Act.
       (9) Private sector review.--A description of the steps 
     taken to ensure full involvement of United States private 
     sector participants and representatives of nongovernmental 
     organizations in the monitoring and implementation of the 
     Convention.
       (10) Additional information.--In consultation with the 
     private sector participants and representatives of 
     nongovernmental organizations described in paragraph (9), a 
     list of additional means for enlarging the scope of the 
     Convention and otherwise increasing its effectiveness. Such 
     additional means shall include, but not be limited to, 
     improved recordkeeping provisions and the desirability of 
     expanding the applicability of the Convention to additional 
     individuals and organizations and the impact on United States 
     business of section 30A of the Securities Exchange Act of 
     1934 and sections 104 and 104A of the Foreign Corrupt 
     Practices Act of 1977.
       (b) Definition.--For purposes of this section, the term 
     ``Convention'' means the Convention on Combating Bribery of 
     Foreign Public Officials in International Business 
     Transactions adopted on November 21, 1997, and signed on 
     December 17, 1997, by the United States and 32 other nations.


                           Amendment No. 3826

 (Purpose: To strike provisions relating to treatment of international 
  organizations providing commercial communications services, and for 
                            other purposes.)

  Mr. JEFFORDS. Mr. President, I ask unanimous consent that the Senate 
concur in the House amendments with a further amendment by Senators 
D'Amato and Sarbanes.
  The PRESIDING OFFICER. The clerk will report.
  The legislative clerk read as follows:

       The Senator from Vermont [Mr. Jeffords] for Mr. D'Amato, 
     for himself and Mr. Sarbanes, proposes an amendment numbered 
     3826.

  The amendment is as follows:

       Strike section 5 of the bill.
       In section 6(a) of the bill, strike paragraph (7) and 
     redesignate paragraphs (8), (9), and (10), as paragraphs (7), 
     (8), and (9).
       Redesignate section 6 of the bill as section 5.

  The PRESIDING OFFICER. Without objection, it is so ordered.

                          ____________________