    [United States Statutes at Large, Volume 132, 115th Congress, 2nd Session]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    Public Law 115-272
    115th Congress

    An Act

    To amend the Hizballah International Financing Prevention Act of 2015 to
    impose additional sanctions with respect to Hizballah, and for other
    purposes. <>

    Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled, <>
    SECTION 1. <>  SHORT TITLE; TABLE OF
    CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Hizballah
    International Financing Prevention Amendments Act of 2018''.
    (b) Table of Contents.--The table of contents for this Act is as
    follows:

    Sec. 1. Short title; table of contents.

    TITLE I--PREVENTION OF ACCESS BY HIZBALLAH TO INTERNATIONAL FINANCIAL
    AND OTHER INSTITUTIONS

    Sec. 101. Mandatory sanctions with respect to fundraising and
    recruitment activities for Hizballah.
    Sec. 102. Modification of report with respect to financial institutions
    that engage in certain transactions.
    Sec. 103. Sanctions against certain agencies and instrumentalities of
    foreign states.
    Sec. 104. Diplomatic initiatives to prevent hostile activities by Iran
    and disrupt and degrade Hizballah's illicit networks.

    TITLE II--NARCOTICS TRAFFICKING AND TRANSNATIONAL CRIMINAL ACTIVITIES OF
    HIZBALLAH

    Sec. 201. Imposition of sanctions with respect to affiliated networks of
    Hizballah for transnational criminal activities.
    Sec. 202. Report on racketeering activities engaged in by Hizballah.
    Sec. 203. Modification of report on activities of foreign governments to
    disrupt activities of Hizballah; reports on membership in
    Hizballah.

    TITLE III--GENERAL PROVISIONS

    Sec. 301. Regulatory authority.
    Sec. 302. Implementation; penalties; judicial review; exemptions; rule
    of construction; exception relating to importation of goods.
    Sec. 303. Report consolidation and modification.

    TITLE I--PREVENTION OF ACCESS BY HIZBALLAH TO INTERNATIONAL FINANCIAL
    AND OTHER INSTITUTIONS

    SEC. 101. MANDATORY SANCTIONS WITH RESPECT TO FUNDRAISING AND
    RECRUITMENT ACTIVITIES FOR HIZBALLAH.

    (a) In General.--Section 101 of the Hizballah International
    Financing Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701
    note) is amended to read as follows:

    [[Page 4145]]

    ``SEC. 101. <>  MANDATORY SANCTIONS WITH RESPECT
    TO FUNDRAISING AND RECRUITMENT ACTIVITIES
    FOR HIZBALLAH.

    ``(a) In General.-- <> The
    President shall, on or after the date of the enactment of the Hizballah
    International Financing Prevention Amendments Act of 2018, impose the
    sanctions described in subsection (b) with respect to any foreign person
    that the President determines knowingly provides significant financial,
    material, or technological support for or to--
    ``(1) Bayt al-Mal, Jihad al-Bina, the Islamic Resistance
    Support Association, the Foreign Relations Department of
    Hizballah, the External Security Organization of Hizballah, or
    any successor or affiliate thereof as designated by the
    President;
    ``(2) al-Manar TV, al Nour Radio, or the Lebanese Media
    Group, or any successor or affiliate thereof as designated by
    the President;
    ``(3) a foreign person determined by the President to be
    engaged in fundraising or recruitment activities for Hizballah;
    or
    ``(4) a foreign person owned or controlled by a person
    described in paragraph (1), (2), or (3).

    ``(b) Sanctions Described.--The sanctions described in this
    subsection are the following:
    ``(1) Asset blocking.--The exercise of all powers granted to
    the President by the International Emergency Economic Powers Act
    (50 U.S.C. 1701 et seq.) (except that the requirements of
    section 202 of such Act (50 U.S.C. 1701) shall not apply) to the
    extent necessary to block and prohibit all transactions in all
    property and interests in property of a foreign person
    determined by the President to be subject to subsection (a) if
    such property and interests in property are in the United
    States, come within the United States, or are or come within the
    possession or control of a United States person.
    ``(2) <> Aliens ineligible for visas,
    admission, or parole.--
    ``(A) Visas, admission, or parole.--An alien who the
    Secretary of State or the Secretary of Homeland Security
    (or designee of one of such Secretaries) determines is
    subject to subsection (a) is--
    ``(i) inadmissible to the United States;
    ``(ii) ineligible to receive a visa or other
    documentation to enter the United States; and
    ``(iii) otherwise ineligible to be admitted or
    paroled into the United States or to receive any
    other benefit under the Immigration and
    Nationality Act (8 U.S.C. 1101 et seq.).
    ``(B) Current visas revoked.--
    ``(i) In general.--The Secretary of State or
    the Secretary of Homeland Security (or designee of
    one of such Secretaries) shall revoke any visa or
    other entry documentation issued to an alien who
    the President determines is subject to subsection
    (a), regardless of when issued.
    ``(ii) Effect of revocation.--A revocation
    under clause (i) shall take effect immediately and
    shall automatically cancel any other valid visa or
    entry documentation that is in the possession of
    the alien.

    ``(c) Waiver. <> --

    [[Page 4146]]

    ``(1) In general.-- <> The President
    may, for periods not to exceed 180 days, waive the imposition of
    sanctions under this section if the President certifies to the
    appropriate congressional committees that such waiver is in the
    national security interests of the United States.
    ``(2) Briefing.-- <> Not later than 30 days
    after the issuance of a waiver under paragraph (1) with respect
    to a foreign person, and every 180 days thereafter while the
    waiver remains in effect, the President shall brief the
    appropriate congressional committees on the status of the
    involvement of the foreign person in activities described in
    subsection (a).

    ``(d) Definitions.--In this section:
    ``(1) Admitted; alien.--The terms `admitted' and `alien'
    have meanings given those terms in section 101 of the
    Immigration and Nationality Act (8 U.S.C. 1101).
    ``(2) Appropriate congressional committees.--The term
    `appropriate congressional committees' means--
    ``(A) the Committee on Foreign Affairs, the
    Committee on Ways and Means, the Committee on the
    Judiciary, the Committee on Financial Services, and the
    Permanent Select Committee on Intelligence of the House
    of Representatives; and
    ``(B) the Committee on Foreign Relations, the
    Committee on Finance, the Committee on Banking, Housing,
    and Urban Affairs, the Committee on the Judiciary, and
    the Select Committee on Intelligence of the Senate.
    ``(3) Entity.--The term `entity' means a partnership,
    association, corporation, or other organization, group, or
    subgroup.
    ``(4) Foreign person.--The term `foreign person' means any
    person that is not a United States person.
    ``(5) Hizballah.--The term `Hizballah' has the meaning given
    such term in section 102(e).
    ``(6) Person.--The term `person' means an individual or
    entity.
    ``(7) United states person.--The term `United States person'
    means a United States citizen, an alien lawfully admitted for
    permanent residence, an entity organized under the laws of the
    United States (including foreign branches), or a person in the
    United States.''.

    (b) Clerical Amendment.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015 is amended by striking
    the item relating to section 101 and inserting the following new item:

    ``Sec. 101. Mandatory sanctions with respect to fundraising and
    recruitment activities for Hizballah.''.

    SEC. 102. MODIFICATION OF REPORT WITH RESPECT TO FINANCIAL
    INSTITUTIONS THAT ENGAGE IN CERTAIN
    TRANSACTIONS.

    Section 102(d) of the Hizballah International Financing Prevention
    Act of 2015 (Public Law 114-102; 50 U.S.C. 1701 note) is amended to read
    as follows:
    ``(d) Report on Financial Institutions Organized Under the Laws of
    State Sponsors of Terrorism.--
    ``(1) In general.-- <> Not
    later than 180 days after the date of the enactment of the
    Hizballah International Financing

    [[Page 4147]]

    Prevention Amendments Act of 2018, and every 2 years thereafter
    for a period not to exceed 4 years, the President shall submit
    to the appropriate congressional committees a report that--
    ``(A) identifies each foreign financial institution
    described in paragraph (2) that the President determines
    engages in one or more activities described in
    subsection (a)(2); and
    ``(B) provides a detailed description of each such
    activity.
    ``(2) Foreign financial institution described.--
    ``(A) In general.--A foreign financial institution
    described in this paragraph is a foreign financial
    institution--
    ``(i) that, wherever located, is--
    ``(I) organized under the laws of a
    state sponsor of terrorism or any
    jurisdiction within a state sponsor of
    terrorism;
    ``(II) owned or controlled by the
    government of a state sponsor of
    terrorism;
    ``(III) located in the territory of
    a state sponsor of terrorism; or
    ``(IV) owned or controlled by a
    foreign financial institution described
    in subclause (I), (II), or (III); and
    ``(ii) the capitalization of which exceeds
    $10,000,000.
    ``(B) State sponsor of terrorism defined.--In this
    paragraph, the term `state sponsor of terrorism' means a
    country the government of which the Secretary of State
    has determined is a government that has repeatedly
    provided support for acts of international terrorism for
    purposes of--
    ``(i) section 1754(c) of the Export Control
    Reform Act of 2018;
    ``(ii) section 620A of the Foreign Assistance
    Act of 1961 (22 U.S.C. 2371);
    ``(iii) section 40 of the Arms Export Control
    Act (22 U.S.C. 2780); or
    ``(iv) any other provision of law.''.
    SEC. 103. SANCTIONS AGAINST CERTAIN AGENCIES AND INSTRUMENTALITIES
    OF FOREIGN STATES.

    (a) In General.--Title I of the Hizballah International Financing
    Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701 note) is
    amended by adding at the end the following:
    ``SEC. 103. SANCTIONS AGAINST CERTAIN AGENCIES AND
    INSTRUMENTALITIES OF FOREIGN STATES.

    ``(a) Sanctions. <> --
    ``(1) In general.-- <> Not later than 180
    days after the date of the enactment of the Hizballah
    International Financing Prevention Amendments Act of 2018, and
    as appropriate thereafter, the President shall impose the
    sanctions described in paragraph (3) with respect to an agency
    or instrumentality of a foreign state described in paragraph
    (2).
    ``(2) Agency or instrumentality of a foreign state
    described.-- <> An agency
    or instrumentality of a foreign state

    [[Page 4148]]

    is described in this paragraph if the President determines that
    the agency or instrumentality has, on or after the date of the
    enactment of the Hizballah International Financing Prevention
    Amendments Act of 2018, knowingly--
    ``(A) conducted significant joint combat operations
    with, or significantly supported combat operations of,
    Hizballah; or
    ``(B) provided significant financial support for or
    to, or significant arms or related materiel to,
    Hizballah.
    ``(3) Sanctions described.--The sanctions described in this
    paragraph are the exercise of all powers granted to the
    President by the International Emergency Economic Powers Act (50
    U.S.C. 1701 et seq.) (except that the requirements of section
    202 of such Act (50 U.S.C. 1701) shall not apply) to the extent
    necessary to block and prohibit all transactions in all property
    and interests in property of an agency or instrumentality of a
    foreign state if such property and interests in property are in
    the United States, come within the United States, or are or come
    within the possession or control of a United States person.

    ``(b) <>  Waiver.--
    ``(1) In general.-- <> The President
    may, for periods not to exceed 180 days, waive the imposition of
    sanctions under this section with respect to an agency or
    instrumentality of a foreign state if the President certifies to
    the appropriate congressional committees that such waiver is
    vital to the national security interests of the United States.
    ``(2) Briefing.-- <> Not later than 30 days
    after the issuance of a waiver under paragraph (1) with respect
    to an agency or instrumentality of a foreign state, and every
    180 days thereafter while the waiver remains in effect, the
    President shall brief the appropriate congressional committees
    on the status of the involvement of the agency or
    instrumentality in activities described in subsection (a)(2).

    ``(c) <>  Special Rule.--The President shall
    not be required to impose sanctions under this section with respect to
    an agency or instrumentality of a foreign state if the Secretary
    certifies in writing to the appropriate congressional committees that--
    ``(1) the agency or instrumentality--
    ``(A) is no longer engaging in activities described
    in subsection (a)(2); or
    ``(B) has taken and is continuing to take
    significant verifiable steps toward terminating such
    activities; and
    ``(2) the President has received reliable assurances from
    the government of the foreign state that the agency or
    instrumentality will not engage in any activity described in
    subsection (a)(2) in the future.

    ``(d) Definitions.--In this section:
    ``(1) Agency or instrumentality of a foreign state.--The
    term `agency or instrumentality of a foreign state' has the
    meaning given the term in section 1603(b) of title 28, United
    States Code.
    ``(2) Appropriate congressional committees.--The term
    `appropriate congressional committees' means--
    ``(A) the Committee on Foreign Affairs, the
    Committee on Financial Services, the Committee on Ways
    and Means,

    [[Page 4149]]

    the Committee on the Judiciary, the Committee on
    Appropriations, and the Permanent Select Committee on
    Intelligence of the House of Representatives; and
    ``(B) the Committee on Foreign Relations, the
    Committee on Banking, Housing, and Urban Affairs, the
    Committee on the Judiciary, Committee on Finance,
    Committee on Appropriations, and the Select Committee on
    Intelligence of the Senate.
    ``(3) Arms or related materiel.--The term `arms or related
    materiel' means--
    ``(A) nuclear, biological, chemical, or radiological
    weapons or materials or components of such weapons;
    ``(B) ballistic or cruise missile weapons or
    materials or components of such weapons; and
    ``(C) destabilizing numbers and types of advanced
    conventional weapons.
    ``(4) Hizballah.--The term `Hizballah' has the meaning given
    such term in section 102(e).
    ``(5) United states person.--The term `United States person'
    has the meaning given such term in section 101(d).''.

    (b) Clerical Amendment.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015 is amended by inserting
    after the item relating to section 102 the following new item:

    ``Sec. 103. Sanctions against certain agencies and instrumentalities of
    foreign states.''.

    SEC. 104. DIPLOMATIC INITIATIVES TO PREVENT HOSTILE ACTIVITIES BY
    IRAN AND DISRUPT AND DEGRADE HIZBALLAH'S
    ILLICIT NETWORKS.

    (a) Diplomatic Engagement.--Title I of the Hizballah International
    Financing Prevention Act of 2015 (Public Law 114-102; 129 Stat. 2206; 50
    U.S.C. 1701 note), as amended by section 103 of this Act, is further
    amended by adding at the end the following:
    ``SEC. 104. DIPLOMATIC INITIATIVES TO PREVENT HOSTILE ACTIVITIES
    BY IRAN AND DISRUPT AND DEGRADE
    HIZBALLAH'S ILLICIT NETWORKS.

    `` <> Not later than 180
    days after the date of the enactment of the Hizballah International
    Financing Prevention Amendments Act of 2018, the President shall
    instruct the Secretary of State, in consultation with the Secretary of
    the Treasury, to increase cooperation with foreign governments to assist
    in strengthening the capacity of such governments to prevent hostile
    activity by Iran and disrupt and degrade Hizballah's illicit activities,
    including diplomatic engagement that involves--
    ``(1) efforts to target and expose illicit finance networks,
    arrest perpetrators, freeze assets, and address Iran and
    Hizballah's use of illicit financial networks using
    international trade and banking systems;
    ``(2) efforts to assist willing governments with the
    development of counter-organized crime legislation, the
    strengthening of financial investigative capacity, and a fully-
    vetted counter-organized crime judicial model in jurisdictions
    plagued with corruption; and
    ``(3) efforts to persuade governments to list Hizballah as a
    terrorist organization.''.

    [[Page 4150]]

    (b) Clerical Amendment.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015 is amended by inserting
    after the item related to section 103, as added by section 103(b) of
    this Act, the following new item:

    ``Sec. 104. Diplomatic initiatives to prevent hostile activities by Iran
    and disrupt and degrade Hizballah's illicit networks.''.

    TITLE II--NARCOTICS TRAFFICKING AND TRANSNATIONAL CRIMINAL ACTIVITIES OF
    HIZBALLAH

    SEC. 201. IMPOSITION OF SANCTIONS WITH RESPECT TO AFFILIATED
    NETWORKS OF HIZBALLAH FOR TRANSNATIONAL
    CRIMINAL ACTIVITIES.

    (a) <> Statement of Policy.--It is the
    policy of the United States to determine if individuals and entities
    that are designated by the United States Government on or after the date
    of the enactment of this Act as being associated with Hizballah are
    engaged in transnational organized crime or related activities on or
    after such date of enactment.

    (b) In General.--Section 201 of the Hizballah International
    Financing Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701
    note) is amended to read as follows:
    ``SEC. 201. IMPOSITION OF SANCTIONS WITH RESPECT TO AFFILIATED
    NETWORKS OF HIZBALLAH FOR TRANSNATIONAL
    CRIMINAL ACTIVITIES.

    ``(a) <> In General.--The
    President shall, on or after the date of the enactment of the Hizballah
    International Financing Prevention Amendments Act of 2018, impose the
    sanctions described in subsection (b) with respect to affiliated
    networks of Hizballah, including, as appropriate, by reason of
    significant transnational criminal activities engaged in by such
    networks.

    ``(b) Sanctions Described.--The sanctions described in this
    subsection are sanctions applicable with respect to Hizballah pursuant
    to any provision of law, including Executive Order 13581 (50 U.S.C. 1701
    note; relating to blocking property of transnational criminal
    organizations) (as such Executive Order was in effect on the day before
    the date of the enactment of the Hizballah International Financing
    Prevention Amendments Act of 2018).
    ``(c) Waiver.-- <> The
    President may, for periods not to exceed 180 days, waive the imposition
    of sanctions under this section if the President certifies to the
    appropriate congressional committees that such waiver is in the national
    security interests of the United States.

    ``(d) Definitions.--In this section:
    ``(1) Appropriate congressional committees.--The term
    `appropriate congressional committees' means--
    ``(A) the Committee on Foreign Affairs, the
    Committee on Ways and Means, the Committee on
    Appropriations, the Committee on Financial Services, and
    the Permanent Select Committee on Intelligence of the
    House of Representatives; and

    [[Page 4151]]

    ``(B) the Committee on Foreign Relations, the
    Committee on Banking, Housing, and Urban Affairs, the
    Committee on Appropriations, and the Select Committee on
    Intelligence of the Senate.
    ``(2) Hizballah.--The term `Hizballah' has the meaning given
    such term in section 102(e).''.

    (c) Conforming Amendment.--The title heading for title II of
    the <> Hizballah International Financing
    Prevention Act of 2015 is amended to read as follows:

    ``TITLE II--SANCTIONS AND REPORTS RELATING TO NARCOTICS TRAFFICKING AND
    SIGNIFICANT TRANSNATIONAL CRIMINAL ACTIVITIES OF HIZBALLAH''.

    (d) Clerical Amendments.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015 is amended--
    (1) by striking the item relating to title II and inserting
    the following:

    ``TITLE II--SANCTIONS AND REPORTS RELATING TO NARCOTICS TRAFFICKING AND
    SIGNIFICANT TRANSNATIONAL CRIMINAL ACTIVITIES OF HIZBALLAH''; and

    (2) by striking the item relating to section 201 and
    inserting the following:

    ``Sec. 201. Imposition of sanctions with respect to affiliated networks
    of Hizballah for transnational criminal activities.''.

    SEC. 202. REPORT ON RACKETEERING ACTIVITIES ENGAGED IN BY
    HIZBALLAH.

    (a) In General.--Section 202 of the Hizballah International
    Financing Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701
    note) is amended to read as follows:
    ``SEC. 202. REPORT ON RACKETEERING ACTIVITIES ENGAGED IN BY
    HIZBALLAH.

    ``(a) <> In General.--Not later than 180 days
    after the date of the enactment of the Hizballah International Financing
    Prevention Amendments Act of 2018, the President shall submit to the
    appropriate congressional committees a report on information regarding
    activities that Hizballah, and agents and affiliates of Hizballah, have
    engaged in that are racketeering activities, including any patterns
    regarding such racketeering activities.

    ``(b) Form of Report.--Each report required under subsection (a)
    shall be submitted in an unclassified form but may contain a classified
    annex.
    ``(c) Definitions.--In this section:
    ``(1) Appropriate congressional committees.--The term
    `appropriate congressional committees' means--
    ``(A) the Committee on the Judiciary, the Committee
    on Foreign Affairs, the Committee on Financial Services,
    and the Committee on Appropriations of the House of
    Representatives; and

    [[Page 4152]]

    ``(B) the Committee on the Judiciary, the Committee
    on Foreign Relations, the Committee on Banking, Housing,
    and Urban Affairs, and the Committee on Appropriations
    of the Senate.
    ``(2) Hizballah.--The term `Hizballah' has the meaning given
    such term in section 102(e).
    ``(3) Racketeering activity.--The term `racketeering
    activity' means any activity that would be considered a
    racketeering activity (as defined in section 1961(1) of title
    18, United States Code) if the activity were engaged in the
    United States or by a United States person.
    ``(4) United states person.--The term `United States person'
    has the meaning given such term in section 101(d).''.

    (b) Clerical Amendment.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015 is amended by striking
    the item relating to section 202 and inserting the following:

    ``Sec. 202. Report on racketeering activities engaged in by
    Hizballah.''.

    SEC. 203. MODIFICATION OF REPORT ON ACTIVITIES OF FOREIGN
    GOVERNMENTS TO DISRUPT ACTIVITIES OF
    HIZBALLAH; REPORTS ON MEMBERSHIP IN
    HIZBALLAH.

    (a) In General.--Section 204 of the Hizballah International
    Financing Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701
    note) is amended--
    (1) in subsection (a)(1)--
    (A) in the matter preceding subparagraph (A), by
    striking ``this Act'' and inserting ``the Hizballah
    International Financing Prevention Amendments Act of
    2018, and once every 2 years thereafter for the
    following 4 years'';
    (B) in subparagraph (D)(ii)(II), by striking ``and''
    at the end;
    (C) in subparagraph (E), by striking ``and free-
    trade zones.'' and inserting ``free-trade zones,
    business partnerships and joint ventures, and other
    investments in small and medium-sized enterprises;'';
    and
    (D) <>  by adding at the end
    the following:
    ``(F) a list of jurisdictions outside of Lebanon
    that expressly consent to, or with knowledge allow, the
    use of their territory by Hizballah to carry out
    terrorist activities, including training, financing, and
    recruitment;
    ``(G) a description of the total aggregate revenues
    and remittances that Hizballah receives from the global
    logistics networks of Hizballah;
    ``(H) <>  a list of Hizballah's sources
    of revenue, including sources of revenue based on
    illicit activity, revenues from Iran, charities, and
    other business activities;
    ``(I) a list of Hizballah's expenditures, including
    expenditures for ongoing military operations, social
    networks, and external operations;
    ``(J) a description of steps to be taken by Federal
    agencies to combat the illicit tobacco trafficking
    networks used by Hizballah;
    ``(K) <>  an
    assessment of Hizballah's financial operations in areas
    under its operational or political control in Lebanon
    and Syria and available measures to target Hizballah's
    financial operations in those areas;

    [[Page 4153]]

    ``(L) a review of Hizballah's international
    operational capabilities, including in the United
    States;
    ``(M) a review of--
    ``(i) the total number and value of Hizballah-
    related assets seized and forfeited; and
    ``(ii) the total number of indictments,
    prosecutions, and extraditions of Hizballah
    members or affiliates; and
    ``(N) <>  a review of
    efforts by the United States to prevent hostile
    activities by Iran and disrupt and degrade Hizballah's
    illicit networks in the Western Hemisphere, including
    interagency coordination to ensure that information-
    sharing, interdictions, arrests, investigations,
    indictments, sanctions, and designations related to
    Hizballah individuals or networks in the Western
    Hemisphere are integrated, coordinated, and publicly
    communicated by the United States in a manner that
    supports United States interests.'';
    (2) by redesignating subsections (b) and (c) as subsections
    (c) and (d), respectively;
    (3) by inserting after subsection (a) the following:

    ``(b) <>  Enhanced Due Diligence.--
    ``(1) In general.--The President is authorized to require
    each financial institution in the United States that knowingly
    maintains a correspondent account or a payable-through account
    in the United States for a foreign financial institution
    described in paragraph (2) to establish enhanced due diligence
    policies, procedures, and controls in accordance with section
    5318(i)(2)(B) of title 31, United States Code, and regulations
    to implement such section with respect to such accounts.
    ``(2) Foreign financial institution described.--
    <> A foreign financial institution
    described in this paragraph is a foreign financial institution
    that the President determines provides significant financial
    services to persons operating in a jurisdiction identified in
    unclassified form in the list required under subsection
    (a)(1)(F).
    ``(3) Definitions.--In this subsection, the terms
    `correspondent account' and `payable-through account' have the
    meanings given those terms in section 5318A of title 31, United
    States Code.''; and
    (4) in subsection (c), as redesignated by paragraph (2)--
    (A) by striking ``this Act, and every 180 days
    thereafter,'' and inserting ``the Hizballah
    International Financing Prevention Amendments Act of
    2018, and every 180 days thereafter for the following 4
    years,''; and
    (B) by adding before the period at the end the
    following: ``and on any requirements for enhanced due
    diligence prescribed under subsection (b)''.

    (b) Report on Estimated Net Worth of Senior Hizballah Members.--
    (1) <> In general.--Not later than 180
    days after the date of the enactment of this Act, the President
    shall submit to the appropriate congressional committees a
    report that contains--
    (A) <>  the estimated total net
    worth of each individual described in paragraph (2); and

    [[Page 4154]]

    (B) to the extent feasible, a description of how
    funds of each individual described in paragraph (2) were
    acquired, and how such funds have been used or employed.
    (2) Individuals described.--
    <> The individuals described
    in this paragraph are the following:
    (A) The Secretary General of Hizballah.
    (B) Members of Hizballah's senior leadership or
    senior associates of Hizballah that the President
    determines materially assist or support Hizballah.
    (C) Any other individual that the President
    determines is a senior foreign political figure of
    Hizballah.
    (3) Form of report; public availability.--
    (A) Form.--The report required under paragraph (1)
    shall be submitted in unclassified form but may contain
    a classified annex.
    (B) Public availability.--The unclassified portion
    of the report required under paragraph (1) shall be made
    available to the public in precompressed, easily
    downloadable versions that are made available in all
    appropriate formats.
    (4) Definitions.--In this subsection:
    (A) Appropriate congressional committees.--The term
    ``appropriate congressional committees'' means--
    (i) the Committee on Foreign Affairs, the
    Committee on Financial Services, and the Permanent
    Select Committee on Intelligence of the House of
    Representatives; and
    (ii) the Committee on Foreign Relations, the
    Committee on Banking, Housing, and Urban Affairs,
    and the Select Committee on Intelligence of the
    Senate.
    (B) Funds.--The term ``funds'' means--
    (i) cash;
    (ii) equity;
    (iii) any other intangible asset the value of
    which is derived from a contractual claim,
    including bank deposits, bonds, stocks, a security
    (as defined in section 2(a) of the Securities Act
    of 1933 (15 U.S.C. 77b(a))), or a security or an
    equity security (as those terms are defined in
    section 3(a) of the Securities Exchange Act of
    1934 (15 U.S.C. 78c(a))); and
    (iv) anything else of value that the Secretary
    of the Treasury determines to be appropriate.
    (C) Senior foreign political figure.--The term
    ``senior foreign political figure'' has the meaning
    given that term in section 1010.605 of title 31, Code of
    Federal Regulations (or any successor regulation).

    (c) Report on Individuals Who Are Members of the Lebanese Parliament
    and Who Identify as Members of Hizballah.--
    (1) In general.-- <> Not later than 180
    days after the date of the enactment of this Act, the President
    shall transmit to the appropriate congressional committees a
    report that contains the following:
    (A) <>  A list of individuals who are
    members of the Lebanese Parliament and who identify as
    members of Hizballah.
    (B) A description of any significant conduct of
    individuals on the list required under subparagraph (A)
    that the President determines may be grounds for
    designation

    [[Page 4155]]

    pursuant to Executive Order 13224 (50 U.S.C. 1701 note;
    relating to blocking property and prohibiting
    transactions with persons who commit, threaten to
    commit, or support terrorism).
    (2) Form.--The report required under paragraph (1) shall be
    transmitted in unclassified form, but may include a classified
    annex.
    (3) Appropriate congressional committees defined.--In this
    subsection, the term ``appropriate congressional committees''
    means--
    (A) the Committee on Foreign Affairs, the Committee
    on Financial Services, and the Permanent Select
    Committee on Intelligence of the House of
    Representatives; and
    (B) the Committee on Foreign Relations, the
    Committee on Banking, Housing, and Urban Affairs, and
    the Select Committee on Intelligence of the Senate.

    TITLE III--GENERAL PROVISIONS

    SEC. 301. <>  REGULATORY AUTHORITY.

    (a) In General.-- <> The President shall,
    not later than 180 days after the date of the enactment of this Act,
    prescribe regulations as necessary for the implementation of this Act
    and the amendments made by this Act.

    (b) Notification to Congress.--Not later than 10 days before the
    prescription of regulations under subsection (a), the President shall
    notify the appropriate congressional committees regarding the proposed
    regulations and the provisions of this Act and the amendments made by
    this Act that the regulations are implementing.
    (c) Appropriate Congressional Committees Defined.--In this section,
    the term ``appropriate congressional committees'' means--
    (1) the Committee on Foreign Affairs and the Committee on
    Financial Services of the House of Representatives; and
    (2) the Committee on Foreign Relations and the Committee on
    Banking, Housing, and Urban Affairs of the Senate.
    SEC. 302. IMPLEMENTATION; PENALTIES; JUDICIAL REVIEW; EXEMPTIONS;
    RULE OF CONSTRUCTION; EXCEPTION RELATING
    TO IMPORTATION OF GOODS.

    (a) In General.--Title I of the Hizballah International Financing
    Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701 note), as
    amended by sections 103 and 104 of this Act, is further amended by
    adding at the end the following:
    ``SEC. 105. IMPLEMENTATION; PENALTIES; JUDICIAL REVIEW;
    EXEMPTIONS; RULE OF CONSTRUCTION.

    ``(a) Implementation.--The President may exercise all authorities
    provided under sections 203 and 205 of the International Emergency
    Economic Powers Act (50 U.S.C. 1702 and 1704) to carry out sections 101,
    102, 103, and 201 of this Act.
    ``(b) Penalties.-- <> The penalties provided
    for in subsections (b) and (c) of section 206 of the International
    Emergency Economic Powers Act (50 U.S.C. 1705) shall apply to a person
    that violates, attempts to violate, conspires to violate, or causes a
    violation of

    [[Page 4156]]

    regulations prescribed to carry out section 101, 102, 103, or 201 of
    this Act to the same extent that such penalties apply to a person that
    commits an unlawful act described in subsection (a) of such section 206.

    ``(c) Procedures for Judicial Review of Classified Information.--
    ``(1) In general.--If a finding under section 101, 102, 103,
    or 201 of this Act, or a prohibition, condition, or penalty
    imposed as a result of any such finding, is based on classified
    information (as defined in section 1(a) of the Classified
    Information Procedures Act (18 U.S.C. App.)) and a court reviews
    the finding or the imposition of the prohibition, condition, or
    penalty, the President may submit such information to the court
    ex parte and in camera.
    ``(2) Rule of construction.--Nothing in this subsection
    shall be construed to confer or imply any right to judicial
    review of any finding under section 101, 102, 103, or 201 of
    this Act, or any prohibition, condition, or penalty imposed as a
    result of any such finding.

    ``(d) Exemptions.--The following activities shall be exempt from
    sections 101, 102, 103, and 201 of this Act:
    ``(1) Any authorized intelligence, law enforcement, or
    national security activities of the United States.
    ``(2) Any transaction necessary to comply with United States
    obligations under the Agreement between the United Nations and
    the United States of America regarding the Headquarters of the
    United States, signed at Lake Success June 26, 1947, and entered
    into force November 21, 1947, or the Convention on Consular
    Relations, done at Vienna April 24, 1963, and entered into force
    March 19, 1967, or any other United States international
    agreement.

    ``(e) Rule of Construction.--Nothing in section 101, 102, 103, or
    201 of this Act shall be construed to limit the authority of the
    President under the International Emergency Economic Powers Act (50
    U.S.C. 1701 et seq.) or under any other provision of law.
    ``(f) Exception Relating to Importation of Goods.--
    ``(1) In general.--The authorities and requirements to
    impose sanctions under this Act shall not include the authority
    or requirement to impose sanctions on the importation of goods.
    ``(2) Definition.--In this subsection, the term `good' means
    any article, natural or manmade substance, material, supply or
    manufactured product, including inspection and test equipment,
    and excluding technical data.''.

    (b) Clerical Amendment.--The table of contents for the Hizballah
    International Financing Prevention Act of 2015, as amended by this Act,
    is further amended by inserting after the item relating to section 104,
    as added by section 104(b) of this Act, the following new item:

    ``Sec. 105. Implementation; penalties; judicial review; exemptions; rule
    of construction.''.

    (c) Conforming Amendments.--Section 102 of the Hizballah
    International Financing Prevention Act of 2015 (Public Law 114-102; 50
    U.S.C. 1701 note) is amended--
    (1) in subsection (a), by striking paragraphs (3) and (4);
    (2) by striking subsection (e); and

    [[Page 4157]]

    (3) by redesignating subsection (f) as subsection (e).
    SEC. 303. REPORT CONSOLIDATION AND MODIFICATION.

    (a) In General.--Any and all reports required to be submitted to
    Congress under this Act or the Hizballah International Financing
    Prevention Act of 2015 (Public Law 114-102; 50 U.S.C. 1701 note) that
    are subject to a deadline for submission consisting of the same unit of
    time may be consolidated into a single report that is submitted to
    Congress pursuant to such deadline.
    (b) Matters to Be Included.--Any report that is consolidated into a
    single report as described in subsection (a) shall contain all
    information required under this Act or the Hizballah International
    Financing Prevention Act of 2015 in addition to all other elements
    required by previous law.
    (c) Reports Modification.--The North Korea Sanctions and Policy
    Enhancement Act of 2016 is amended as follows:
    (1) In section 209(a)(3)(A) (22 U.S.C. 9229(a)(3)(A)), by
    striking ``not later than 90 days after the date of the
    enactment of this Act, and every 180 days thereafter'' and
    inserting ``not later than 90 days after the date of the
    enactment of the Hizballah International Financing Prevention
    Amendments Act of 2018, and every 180 days thereafter for 5
    years''.
    (2) In section 302(a) (22 U.S.C. 9241(a)), by striking ``Not
    later than 180 days after the date of the enactment of this
    Act'' and inserting ``Not later than 120 days after the date of
    the enactment of the Hizballah International Financing
    Prevention Amendments Act of 2018, and periodically
    thereafter''.

    Approved October 25, 2018.

    LEGISLATIVE HISTORY--S. 1595 (H.R. 3329):
    ---------------------------------------------------------------------------

    HOUSE REPORTS: No. 115-366, Pt. 1 (Comm. on Foreign Affairs)
    accompanying H.R. 3329.
    CONGRESSIONAL RECORD:
    Vol. 163 (2017):
    Oct. 5, considered and passed
    Senate.
    Vol. 164 (2018):
    Sept. 25, considered and passed
    House, amended.
    Oct. 11, Senate concurred in House
    amendment.
    DAILY COMPILATION OF PRESIDENTIAL DOCUMENTS (2018):
    Oct. 25, Presidential statement.