[Congressional Record Volume 157, Number 84 (Monday, June 13, 2011)]
[Senate]
[Pages S3728-S3732]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. JOHNSON of South Dakota (for himself, Mr. Shelby, Mr. 
        Kerry, Mr. McCain, Mr. Levin, Mr. Lieberman, and Mr. Reed):
  S. 1180. A bill to authorize the President to confiscate and vest 
certain property of the Government of Libya and to authorize the use of 
that property to provide humanitarian relief to and for the benefit of 
the people of

[[Page S3729]]

Libya, and for other purposes; to the Committee on Banking, Housing, 
and Urban Affairs.
  Mr. JOHNSON of South Dakota. Mr. President, today I join Senator 
Shelby and other senior Senators to introduce the Libyan Assets for 
Humanitarian Relief Act of 2011, designed to explicitly authorize the 
President to confiscate and distribute some of the assets of Muammar 
Qaddafi's government to be used to provide urgent humanitarian relief 
for the people of Libya. This issue lies within the jurisdiction of the 
Committee on Banking, Housing and Urban Affairs because it involves 
frozen assets being held by U.S. banks and other financial 
institutions. We are joined by Chairman Kerry of the Senate Foreign 
Relations Committee, Armed Services Committee Chairman Levin and 
Ranking Minority Member John McCain, and Homeland Security and 
Government Affairs Committee Chairman Lieberman as original cosponsors 
of this measure.
  A few weeks ago the President's senior advisors from the Treasury 
Department, the State Department, and the White House came to Congress 
and provided draft legislation to explicitly authorize the President to 
seize and vest the Qaddafi government's assets to be used to benefit 
the Libyan people. This measure is an updated version of that 
legislation, imposing certain conditions on that authority, and 
providing for certain reporting, tracking and auditing requirements on 
the use of the funds.
  Currently, there are approximately $36 billion in Libyan Government 
assets in banks and other financial institutions subject to the 
jurisdiction of the United States, both here and abroad. According to 
the Treasury Department, a little over $8.1 billion is physically 
present in the U.S.--and of that, a little over $200 million is in cash 
and available for immediate seizure and use to support humanitarian 
efforts in Libya. This measure would allow for confiscation of up to $8 
billion of the Qaddafi government's assets--plus an additional $2 
billion if necessary to avert an imminent humanitarian emergency.
  The bill provides for the confiscation and distribution of the funds 
in two batches--the first $4 billion could be seized, vested and 
distributed upon the bill's enactment, and a second $4 billion could be 
confiscated and released after a 30-day notification period designed to 
give Congress an opportunity to deny the seizure of the funds via 
enactment of a joint resolution of disapproval. The additional $2 
billion could be released upon certification of a humanitarian 
emergency.
  Notwithstanding how my colleagues feel about the current military 
situation, or U.S. involvement in Libya--and I know there is a wide 
range of opinions in Congress on that issue, which we'll likely debate 
on the Senate floor soon--one thing is clear: in the wake of continuing 
violence perpetrated by the Libyan regime against its own people, there 
is a real, urgent and growing need for humanitarian relief and 
assistance.
  The U.S. has already provided tens of millions of dollars of its own 
funds in relief aid for Libya's citizens, and last week pledged 
additional aid. This bill would simply authorize the confiscation of 
certain assets of the Government of Libya, already frozen by the U.S. 
government under existing legal authorities, to be used to provide 
additional humanitarian relief to meet urgent needs there. It would 
effectively give the true owners of these assets--the Libyan people--
access to some of their own money to provide relief for Libya's 
citizens.
  The bill authorizes the President to seize and distribute these 
assets. I understand the Administration intends the funds to be 
overseen by the State Department, and to go mainly through non-
governmental humanitarian relief and development organizations 
currently active in Libya; this measure ultimately allows the President 
to decide who the recipients are, with some limitations. It also 
requires that the funds be used only for purposes related to 
humanitarian relief, consistent with UN Security Council resolutions on 
this matter, and imposes a set of accounting, recordkeeping and 
Congressional reporting requirements on the funds.
  It requires that the funds not go to anyone or any organization whose 
assets are blocked under U.S. law, or those identified as terrorists or 
affiliated with terrorist organizations, or those complicit in human 
rights abuses. It also provides the President with powerful 
investigative and penalty authorities, to ensure appropriate 
distribution of the funding and to combat any potential fraud in the 
distribution of aid. The Administration has made clear that such assets 
would be disbursed only through partners that meet U.S. legal and 
policy standards that the United States generally applies to the 
provision of assistance, including those relating to human rights and 
transparent oversight of the disbursements. While these are not U.S. 
taxpayer funds, I believe we still have a fiduciary responsibility for 
its efficient and effective distribution, and that's why we have 
imposed these important accountability measures.
  Such seizure of another government's assets is not unprecedented. In 
the past, the U.S. government has seized and frozen the assets of other 
governments with whom we were involved in a conflict, going all the way 
back to World War I. The latest example is when we seized and used a 
portion of Iraqi government assets in 2003 to provide urgent 
reconstruction assistance and other forms of support for the people of 
Iraq.
  I hope we can move quickly on this legislation to authorize the 
release of these funds and show that Congress and the Executive branch 
are working together on this issue and that despite our differences on 
U.S. military action there we can act promptly and decisively to 
provide needed humanitarian assistance to the people of Libya. I urge 
my colleagues to join us in this effort.
  Mr. President, I ask unanimous consent that the text of the bill and 
a letter of support be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                S. 1180

       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 ``Libyan Assets for 
     Humanitarian Relief Act of 2011''.

     SEC. 2. FINDINGS.

       Congress makes the following findings:
       (1) On February 26, 2011, the United Nations Security 
     Council adopted Resolution 1970, which imposed an asset 
     freeze on Colonel Muammar Qaddafi and members of his family.
       (2) On March 17, 2011, the United Nations Security Council 
     adopted Resolution 1973, which expanded the asset freeze to 
     include the Central Bank of Libya, the Libyan Investment 
     Authority, the Libyan Foreign Bank, the Libyan Africa 
     Investment Portfolio, and the Libyan National Oil 
     Corporation.
       (3) The United Nations Security Council stated in 
     Resolution 1973 that the assets frozen would ``at a later 
     stage, as soon as possible, be made available to and for the 
     benefit of the people of the Libyan Arab Jamahiriya''.
       (4) On March 3, 2011, the President of the United States 
     stated that ``Muammar Qaddafi has lost the legitimacy to 
     lead, and he must leave''.
       (5) On March 29, 2011, the Transitional National Council of 
     the Libyan Republic issued ``A Vision of a Democratic 
     Libya'', which stated that its goal is ``building a free and 
     democratic society and ensuring the supremacy of 
     international humanitarian law and human rights 
     declarations'', and that ``[t]his can only be achieved 
     through dialogue, tolerance, co-operation, national 
     cohesiveness and the active participation of all citizens''. 
     In that statement, the Transitional National Council pledged 
     itself, without reservation, to the establishment of ``a 
     constitutional civil and free state'' that upholds 
     intellectual and political pluralism and the peaceful 
     transfer of power and guarantees full citizenship rights to 
     all Libyans.
       (6) On April 7, 2011, Ali Aujali, the Official 
     Representative to the United States of the Transitional 
     National Council of the Libyan Republic, wrote to the United 
     States Secretary of the Treasury and requested ``immediate 
     access to some of the frozen Qaddafi regime funds to purchase 
     needed humanitarian supplies and to support critical services 
     such as hospitals, water distribution and sanitation''.
       (7) On May 19, 2011, the President of the United States, 
     referring to the Transitional National Council of the Libyan 
     Republic, stated that ``the opposition has organized a 
     legitimate and credible interim council''.

     SEC. 3. AUTHORIZATION OF CONFISCATION OF PROPERTY OF THE 
                   GOVERNMENT OF LIBYA.

       (a) In General.--The International Emergency Economic 
     Powers Act (50 U.S.C. 1701 et seq.) is amended by adding at 
     the end the following:

[[Page S3730]]

     ``SEC. 209. AUTHORIZATION OF CONFISCATION OF PROPERTY OF THE 
                   GOVERNMENT OF LIBYA.

       ``(a) Definitions.--In this section:
       ``(1) Appropriate congressional committees.--The term 
     `appropriate congressional committees' means--
       ``(A) the Committee on Banking, Housing, and Urban Affairs 
     and the Committee on Foreign Relations of the Senate; and
       ``(B) the Committee on Financial Services and the Committee 
     on Foreign Affairs of the House of Representatives.
       ``(2) Executive agency.--The term `executive agency' has 
     the meaning given that term in section 133 of title 41, 
     United States Code.
       ``(3) Government of libya.--The term `Government of 
     Libya'--
       ``(A) means the Government of Libya on the date of the 
     enactment of the Libyan Assets for Humanitarian Relief Act of 
     2011, including any agency or instrumentality of that 
     Government, any entity controlled by that Government, and the 
     Central Bank of Libya; and
       ``(B) does not include a successor government of Libya.
       ``(4) Successor government of libya.--The term `successor 
     government of Libya' means a successor government to the 
     Government of Libya (as defined in paragraph (3)) that is 
     recognized as the legitimate governing authority of Libya by 
     the Government of the United States.
       ``(b) Statement of Policy.--It is the policy of the United 
     States to provide humanitarian relief to and for the benefit 
     of the people of Libya and to support the aspirations of the 
     people of Libya for democratic self-government.
       ``(c) Authorization of Confiscation of Property of the 
     Government of Libya.--
       ``(1) In general.--The President--
       ``(A) may confiscate and vest, through instructions or 
     licenses or in such other manner as the President determines 
     appropriate, funds and other property of the Government of 
     Libya that are subject to the jurisdiction of the United 
     States in the amounts specified in subsection (f);
       ``(B) may liquidate or sell any of such property; and
       ``(C) shall deposit any funds confiscated and vested under 
     subparagraph (A) and any funds resulting from the liquidation 
     or sale of property under subparagraph (B) in the account 
     established under subsection (d).
       ``(2) Vesting.--All right, title, and interest in funds and 
     other property confiscated under paragraph (1) shall vest in 
     the Government of the United States.
       ``(d) Establishment of Account for Confiscated Property.--
       ``(1) In general.--The President shall establish a non-
     interest-bearing account to consist of the funds deposited 
     into the account under subsection (c)(1)(C).
       ``(2) Use of funds.--The funds in the account established 
     under paragraph (1) shall be available to be used only as 
     specified in subsection (e)(1).
       ``(e) Use of Confiscated Property to Provide Humanitarian 
     Relief to the People of Libya.--
       ``(1) In general.--Subject to paragraph (2), the President 
     may transfer funds from the account established under 
     subsection (d)--
       ``(A) to such executive agencies and, subject to paragraph 
     (3), such other persons as the President determines 
     appropriate, to be used only for costs related to providing 
     humanitarian relief to and for the benefit of the people of 
     Libya, consistent with the purposes of United Nations 
     Security Council Resolutions 1970 (2011) and 1973 (2011); and
       ``(B) on and after the date on which a successor government 
     of Libya is recognized by the Government of the United 
     States, to the successor government of Libya.
       ``(2) Limitations on transfer of funds.--
       ``(A) Limitations on transfer to certain persons and 
     organizations.--None of the funds transferred under this 
     subsection may knowingly be provided to--
       ``(i) an organization designated as a foreign terrorist 
     organization under section 219(a) of the Immigration and 
     Nationality Act (8 U.S.C. 1189(a));
       ``(ii) a person that provides support for acts of 
     international terrorism or for an organization described in 
     clause (i);
       ``(iii) a person whose property or interests in property 
     are blocked pursuant to this Act, unless the transfer is 
     authorized by the Secretary of the Treasury; or
       ``(iv) a person the President determines is responsible for 
     violations of internationally recognized human rights.
       ``(B) Prohibition on use of funds for military purposes.--
     None of the funds transferred under this subsection may be 
     used to purchase weapons or military equipment of either a 
     lethal or nonlethal nature.
       ``(3) Certifications by certain persons.--The President may 
     not transfer funds to any person, other than an executive 
     agency, under paragraph (1)(A) unless that person certifies 
     to the President that the person--
       ``(A) will use such funds only for the costs described in 
     paragraph (1)(A); and
       ``(B) will not--
       ``(i) transfer any of such funds to a person or 
     organization described in paragraph (2)(A); or
       ``(ii) use any of such funds to purchase weapons or 
     military equipment of either a lethal or nonlethal nature.
       ``(4) Terms and conditions.--If the President exercises the 
     authority provided under this section, the President shall 
     impose such additional terms and conditions as the President 
     determines appropriate with respect to the transfer of funds 
     under this subsection and with respect to the use of such 
     funds.
       ``(5) Use by executive agencies.--Notwithstanding any other 
     provision of law, any funds transferred to an executive 
     agency under this subsection--
       ``(A) shall remain available until expended;
       ``(B) shall be used only for the costs described in 
     paragraph (1)(A);
       ``(C) may be distributed in such manner as the head of the 
     executive agency determines appropriate to accomplish the 
     purposes of this section, including through grants and 
     contributions; and
       ``(D) may be transferred among executive agencies.
       ``(f) Initial and Subsequent Authorizations of Confiscation 
     of Property.--
       ``(1) Authority.--The authority of the President to 
     confiscate and vest funds and other property under subsection 
     (c) shall be limited as follows:
       ``(A) Initial limitation.--Effective on and after the date 
     of the enactment of the Libyan Assets for Humanitarian Relief 
     Act of 2011, the President may confiscate and vest not more 
     than $4,000,000,000 under subsection (c).
       ``(B) Confiscation and vesting of additional amounts.--
       ``(i) In general.--If, at any one time after the date of 
     the enactment of the Libyan Assets for Humanitarian Relief 
     Act of 2011, the President submits to Congress the 
     notification described in clause (ii), effective on and after 
     the day after the end of the 30-day period beginning on the 
     date on which that notification is submitted, the President 
     may confiscate and vest not more than an additional 
     $4,000,000,000 under subsection (c) over the amount 
     authorized to be confiscated and vested under subparagraph 
     (A), unless a joint resolution of disapproval described in 
     paragraph (2) is enacted within the 30-day period after the 
     notification is submitted.
       ``(ii) Notification described.--The notification described 
     in this clause is a notification--

       ``(I) that the President intends to confiscate and vest the 
     additional amount specified in clause (i) to be used for the 
     costs described in subsection (e)(1)(A); and
       ``(II) submitted with a report--

       ``(aa) describing the necessity of confiscating and vesting 
     that additional amount; and
       ``(bb) detailing the plan of the President with respect to 
     the use of that additional amount.
       ``(C) Emergency certification; confiscation and vesting to 
     address emergency humanitarian needs.--
       ``(i) In general.--If, at any one time after the date of 
     the enactment of the Libyan Assets for Humanitarian Relief 
     Act of 2011, the President submits to Congress the 
     certification described in clause (ii), effective on and 
     after the date on which that certification is submitted, the 
     President may confiscate and vest not more than an additional 
     $2,000,000,000 under subsection (c) over the amounts 
     otherwise authorized to be confiscated and vested under this 
     paragraph.
       ``(ii) Certification described.--The certification 
     described in this clause is a certification by the President 
     that it is necessary to confiscate and vest the additional 
     amount specified in clause (i) to address an emergency need 
     for additional humanitarian assistance.
       ``(2) Joint resolution of disapproval.--
       ``(A) Joint resolution of disapproval.--In this paragraph, 
     the term `joint resolution of disapproval' means only a joint 
     resolution of the 2 Houses of Congress, the sole matter after 
     the resolving clause of which is as follows: `That Congress 
     disapproves of the confiscation and vesting of the amount of 
     funds or other property specified in section 209(f)(1)(B)(i) 
     of the International Emergency Economic Powers Act.'.
       ``(B) Procedures for considering resolutions.--
       ``(i) Introduction.--A joint resolution of disapproval--

       ``(I) may be introduced in the House of Representatives or 
     the Senate during the 10-day period beginning on the date on 
     which a notification described in paragraph (1)(B)(ii) is 
     submitted;
       ``(II) in the House of Representatives, may be introduced 
     by any Member of the House of Representatives;
       ``(III) in the Senate, may be introduced by any Member of 
     the Senate; and
       ``(IV) may not be amended.

       ``(ii) Referral to committees.--A joint resolution of 
     disapproval introduced in the Senate shall be referred to the 
     Committee on Banking, Housing, and Urban Affairs and a joint 
     resolution of disapproval introduced in the House of 
     Representatives shall be referred to the Committee on Foreign 
     Affairs.
       ``(iii) Committee discharge and floor consideration.--The 
     provisions of subsections (c) through (f) of section 152 of 
     the Trade Act of 1974 (19 U.S.C. 2192) (relating to committee 
     discharge and floor consideration of certain resolutions in 
     the House of Representatives and the Senate) apply to a 
     resolution of disapproval under this paragraph to the same 
     extent as such subsections apply to joint resolutions under 
     such section 152, except that--

       ``(I) subsection (c)(1) of such section 152 shall be 
     applied and administered by substituting `10 days' for `30 
     days'; and
       ``(II) subsection (f)(1)(A)(i) of such section 152 shall be 
     applied and administered by substituting `Committee on 
     Banking, Housing,

[[Page S3731]]

     and Urban Affairs' for `Committee on Finance'.

       ``(C) Rules of house of representatives and senate.--This 
     paragraph is enacted by Congress--
       ``(i) as an exercise of the rulemaking power of the Senate 
     and the House of Representatives, respectively, and as such 
     is deemed a part of the rules of each House, respectively, 
     but applicable only with respect to the procedure to be 
     followed in that House in the case of a joint resolution, and 
     it supersedes other rules only to the extent that it is 
     inconsistent with such rules; and
       ``(ii) with full recognition of the constitutional right of 
     either House to change the rules (so far as relating to the 
     procedure of that House) at any time, in the same manner and 
     to the same extent as in the case of any other rule of that 
     House.
       ``(g) Recordkeeping.--
       ``(1) In general.--The President may, in exercising the 
     authority provided under this section, require any person to 
     keep a full record of--
       ``(A) any act or transaction carried out pursuant to any 
     regulation, instruction, license, order, or direction issued 
     under this section, either before, during, or after the 
     completion of the act or transaction;
       ``(B) any property in which any foreign country or any 
     national of a foreign country has or has had any interest; 
     and
       ``(C) any other information the President determines 
     necessary to carry out the provisions of this section.
       ``(2) Production of information.--The President may require 
     any person--
       ``(A) to provide any information required to be kept by the 
     person under paragraph (1) under oath and in the form of 
     reports or any other form; and
       ``(B) to produce any books of account, records, contracts, 
     letters, memoranda, or other papers in the custody or control 
     of the person that relate to any information required to be 
     kept under paragraph (1).
       ``(h) Reports on Use of Funds.--
       ``(1) In general.--Not later than 90 days after the 
     President first confiscates and vests funds or other property 
     under subsection (c), and every 90 days thereafter, the 
     President shall submit to the appropriate congressional 
     committees a report detailing, for the 90-day period 
     preceding the submission of the report--
       ``(A) the amount of funds and other property confiscated 
     and transferred under this section;
       ``(B) the executive agencies and other persons to which 
     such funds were transferred;
       ``(C) the manner in which such funds were used; and
       ``(D) the amount remaining in the account established under 
     subsection (d) at the end of the 90-day period.
       ``(2) Special rule with respect to report relating to 
     authorization of confiscation of additional amounts.--If, 
     after the date on which a report is required to be submitted 
     by paragraph (1) and before the next such report is required 
     to be submitted, the President submits to the appropriate 
     congressional committees the report described in subsection 
     (f)(1)(B)(ii)(II), the President--
       ``(A) shall include in the report described in subsection 
     (f)(1)(B)(ii)(II) the information required to be included in 
     the report required by paragraph (1) for the period that--
       ``(i) begins on the date on which the last report required 
     by paragraph (1) was required to be submitted; and
       ``(ii) ends on the date on which the President submits the 
     report described in subsection (f)(1)(B)(ii)(II); and
       ``(B) may include in the next report required by paragraph 
     (1) only the information required by paragraph (1) for the 
     period--
       ``(i) beginning on the date on which the report described 
     in subsection (f)(1)(B)(ii)(II) is submitted; and
       ``(ii) ending on the date on which the report required by 
     paragraph (1) is required to be submitted.
       ``(i) Government Accountability Office Report.--Not later 
     than 180 days after the date of the enactment of the Libyan 
     Assets for Humanitarian Relief Act of 2011, and every 180 
     days thereafter, the Comptroller General of the United States 
     shall submit to the appropriate congressional committees a 
     report assessing the confiscation and vesting of funds and 
     other property under subsection (c) and the use of funds 
     under subsection (e).
       ``(j) Penalties.--The penalties provided for in subsections 
     (b) and (c) of section 206 shall apply to a person that 
     violates, attempts to violate, conspires to violate, or 
     causes a violation of this section or any regulation, 
     instruction, license, order, or direction issued under this 
     section to the same extent that such penalties apply to a 
     person that commits an unlawful act described in section 
     206(a).
       ``(k) Judicial Review.--
       ``(1) Safe harbor.--A person that complies fully with a 
     regulation, instruction, license, order, or direction issued 
     under this section may not be held liable for a violation of 
     this section.
       ``(2) Good faith compliance.--A person may not be held 
     liable in any court for or with respect to any act or 
     omission done in good faith in connection with the 
     administration of, or pursuant to and in reliance on, this 
     section, or any regulation, instruction, license, order, or 
     direction issued under this section.
       ``(3) No legal process with respect to confiscated 
     property.--Any funds or other property confiscated and vested 
     under subsection (c), including any proceeds from the 
     liquidation or sale of such property, shall be immune from 
     any legal process or attachment.
       ``(4) Actions taken under this section.--No action taken 
     under this section, other than the imposition of penalties 
     with respect to a person under subsection (j), shall be 
     reviewable in any court in the United States.
       ``(5) Rule of construction.--This section does not create 
     any right or benefit, substantive or procedural, that is 
     enforceable at law or in equity by any party against the 
     United States, any agency of the United States, any officer 
     or employee of the United States, or any other person.
       ``(l) Termination.--
       ``(1) In general.--Except to the extent necessary to carry 
     out the plan required by paragraph (2), the provisions of 
     this section (other than subsections (a), (g), (j), (k), and 
     (m)) shall terminate on the date described in paragraph (3).
       ``(2) Plan for distribution of remaining amounts.--On the 
     date described in paragraph (3), the President shall submit 
     to the appropriate congressional committees a report 
     describing the plan of the President for using any funds 
     remaining of the amounts confiscated and vested under this 
     section that--
       ``(A) describes how any of such funds that are obligated as 
     of that date will be expended; and
       ``(B) provides for the distribution of any of such funds 
     that are unobligated as of that date to a successor 
     government of Libya.
       ``(3) Date described.--The date described in this paragraph 
     is the date on which the national emergency declared by the 
     President with respect to Libya pursuant to section 202 
     expires and is not continued by the President.
       ``(m) Regulations.--The President shall prescribe such 
     regulations as may be necessary to carry out the provisions 
     of this section.''.
       (b) Clerical Amendment.--Section 204 of the International 
     Emergency Economic Powers Act (50 U.S.C. 1703) is amended--
       (1) in subsection (b), by striking ``Whenever'' and 
     inserting ``Except as provided in subsection (e), whenever''; 
     and
       (2) by adding at the end the following:
       ``(e) Reports Relating to Confiscation of Assets of the 
     Government of Libya.--If the President exercises the 
     authority provided under section 209, the President shall 
     submit reports in accordance with subsection (h) of that 
     section.''.
                                  ____


      Summary of Libyan Assets for Humanitarian Relief Act of 2011

       Authorization of Confiscation: The measure authorizes the 
     President to confiscate and vest certain funds and other 
     property of the Government of Libya currently frozen by the 
     U.S. government, allows liquidation of the assets and sale of 
     any property, and directs the proceeds to be used solely for 
     humanitarian purposes to benefit the Libyan people. The 
     Government of Libya is defined to include Libya's Central 
     Bank.
       Account Established for Confiscated Funds: The bill 
     requires the President to establish a U.S. government account 
     to hold confiscated funds and the proceeds from any asset or 
     property sales. The Secretary of the Treasury may hold in 
     escrow funds that are not needed immediately to meet urgent 
     humanitarian needs.
       Use of Confiscated Funds for Humanitarian Purposes to 
     Benefit the Libyan People: Libyan Government funds 
     confiscated may only be used for humanitarian purposes to 
     benefit the Libyan people, consistent with United Nations 
     Security Council resolutions. None may be used to purchase 
     weapons or military equipment. The President must designate 
     recipients of funds and impose appropriate terms and 
     conditions, which may include detailed recordkeeping 
     requirements, on recipients. The measure prohibits the 
     knowing transfer of funds to: 1) foreign terrorist 
     organizations; 2) supporters of acts of terrorism or of 
     terrorist organizations; 3) a person whose assets are blocked 
     by the International Emergency Economics Powers Act (IEEPA); 
     or 4) a person the President determines to be responsible for 
     violations of internationally recognized human rights.
       Framework for Confiscation of Funds: The bill authorizes an 
     initial confiscation and distribution of $4 billion; if 
     additional funds are needed, the President may notify 
     Congress of his intent to confiscate an additional $4 
     billion, to be released within 30 days unless Congress 
     objects via enactment of a Joint Resolution of Disapproval. 
     The President's request for the additional funds must include 
     information about how prior confiscated funds were disbursed, 
     a description of the need for additional funds, a plan of how 
     the additional funds will be used, and other information. In 
     the event of a humanitarian emergency, the measure also 
     authorizes the President to notify Congress of his intent to 
     confiscate, on an expedited basis and upon certification of 
     need, an additional $2 billion to meet emergency needs.
       Investigations and Recordkeeping: The President may conduct 
     appropriate investigations of recipients as necessary, and 
     require recordkeeping from recipients of these funds, which 
     could include books of account, records, contracts, letters, 
     memoranda, or other papers related to distributions under the 
     Act.
       Audit and Reporting Requirements: The President must 
     provide detailed reports to Congress every 90 days describing 
     the amount of funds confiscated and transferred

[[Page S3732]]

     to designated recipients, the recipients of these funds, and 
     the manner in which these funds were used. If the President 
     notifies Congress of an additional confiscation in the middle 
     of a 90-day period, the President must only include any new 
     information on fund distribution. GAO is required to conduct 
     and provide to Congress periodic audits of the program.
       Penalties: Substantial penalties apply to persons who 
     violate provisions of the Act, including huge fines provided 
     for under section 206 of IEEPA.
       Legal Protections/Judicial Review: Decisions made with 
     respect to confiscated assets are not subject to judicial 
     review; a ``good faith'' exception is provided for those 
     acting consistent with the requirements of the Act; and any 
     funds or property confiscated under the Act are immune from 
     any legal process or attachment.
       Termination: The authorities provided for in the bill 
     terminate once the existing emergency determination of the 
     President under IEEPA with respect to Libya expires. Upon 
     termination, the President must submit to Congress a report 
     describing a plan for use of any remaining unspent funds, 
     including return of such funds to a successor government of 
     Libya.
       Regulations: The bill requires the President to prescribe 
     regulations as necessary under the Act.
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