[115th Congress Public Law 272]
[From the U.S. Government Publishing Office]
[[Page 4143]]
HIZBALLAH INTERNATIONAL FINANCING
PREVENTION AMENDMENTS ACT OF 2018
[[Page 132 STAT. 4144]]
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. <<NOTE: Oct. 25, 2018 - [S. 1595]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: Hizballah
International Financing Prevention Amendments Act of 2018.>>
SECTION 1. <<NOTE: 50 USC 1701 note.>> 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 132 STAT. 4145]]
``SEC. 101. <<NOTE: President.>> MANDATORY SANCTIONS WITH RESPECT
TO FUNDRAISING AND RECRUITMENT ACTIVITIES
FOR HIZBALLAH.
``(a) In General.-- <<NOTE: Effective date. Determinations.>> 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) <<NOTE: Determinations.>> 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. <<NOTE: Time periods.>> --
[[Page 132 STAT. 4146]]
``(1) In general.-- <<NOTE: Certification.>> 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.-- <<NOTE: Deadline.>> 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.-- <<NOTE: Time period. President.>> Not
later than 180 days after the date of the enactment of the
Hizballah International Financing
[[Page 132 STAT. 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. <<NOTE: President.>> --
``(1) In general.-- <<NOTE: Deadline.>> 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.-- <<NOTE: Determination. Effective date.>> An agency
or instrumentality of a foreign state
[[Page 132 STAT. 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) <<NOTE: President. Time periods.>> Waiver.--
``(1) In general.-- <<NOTE: Certification.>> 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.-- <<NOTE: Deadline.>> 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) <<NOTE: Certification.>> 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 132 STAT. 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.
`` <<NOTE: Deadline. President. Consultation.>> 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 132 STAT. 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) <<NOTE: 50 USC 1701 note.>> 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) <<NOTE: President. Effective date.>> 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.-- <<NOTE: President. Time period. Certification.>> 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 132 STAT. 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 <<NOTE: 50 USC 1701 note.>> 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) <<NOTE: President.>> 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 132 STAT. 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) <<NOTE: Lists. Reviews.>> 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) <<NOTE: Iran.>> 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) <<NOTE: Assessment. Lebanon. Syria.>> 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 132 STAT. 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) <<NOTE: Iran. Coordination.>> 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) <<NOTE: President.>> 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.--
<<NOTE: Determination.>> 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) <<NOTE: President.>> 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) <<NOTE: Estimates.>> the estimated total net
worth of each individual described in paragraph (2); and
[[Page 132 STAT. 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.--
<<NOTE: President. Determinations.>> 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.-- <<NOTE: President.>> 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) <<NOTE: Lists.>> 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 132 STAT. 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. <<NOTE: President. Deadlines.>> REGULATORY AUTHORITY.
(a) In General.-- <<NOTE: 50 USC 1701 note.>> 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.-- <<NOTE: Applicability.>> 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 132 STAT. 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 132 STAT. 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.
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