Congressional Record: October 4, 2001 (Senate)
Page S10289-S10334
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. DASCHLE (for himself, Mr. Lott, Mr. Leahy, Mr. Hatch, Mr.
Graham, Mr. Shelby, and Mr. Sarbanes):
S. 1510. A bill to deter and punish terrorist acts in the United
States and around the world, to enhance law enforcement investigatory
tools, and for other purposes; read the first time.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
Mr. DASCHLE. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
S. 1510
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the "Uniting
and Strengthening America Act" or the "USA Act of 2001".
(b) Table of Contents.-- The table of contents for this Act
is as follows:
Sec. 1. Short title and table of contents.
Sec. 2. Construction; severability.
TITLE I--ENHANCING DOMESTIC SECURITY AGAINST TERRORISM
Sec. 101. Counterterrorism fund.
Sec. 102. Sense of Congress condemning discrimination against Arab and
Muslim Americans.
Sec. 103. Increased funding for the technical support center at the
Federal Bureau of Investigation.
Sec. 104. Requests for military assistance to enforce prohibition in
certain emergencies.
Sec. 105. Expansion of national electronic crime task force initiative.
Sec. 106. Presidential authority.
TITLE II--ENHANCED SURVEILLANCE PROCEDURES
Sec. 201. Authority to intercept wire, oral, and electronic
communications relating to terrorism.
Sec. 202. Authority to intercept wire, oral, and electronic
communications relating to computer fraud and abuse
offenses.
Sec. 203. Authority to share criminal investigative information.
Sec. 204. Clarification of intelligence exceptions from limitations on
interception and disclosure of wire, oral, and electronic
communications.
[[Page S10308]]
Sec. 205. Employment of translators by the Federal Bureau of
Investigation.
Sec. 206. Roving surveillance authority under the Foreign Intelligence
Surveillance Act of 1978.
Sec. 207. Duration of FISA surveillance of non-United States persons
who are agents of a foreign power.
Sec. 208. Designation of judges.
Sec. 209. Seizure of voice-mail messages pursuant to warrants.
Sec. 210. Scope of subpoenas for records of electronic communications.
Sec. 211. Clarification of scope.
Sec. 212. Emergency disclosure of electronic communications to protect
life and limb.
Sec. 213. Authority for delaying notice of the execution of a warrant.
Sec. 214. Pen register and trap and trace authority under FISA.
Sec. 215. Access to records and other items under the Foreign
Intelligence Surveillance Act.
Sec. 216. Modification of authorities relating to use of pen registers
and trap and trace devices.
Sec. 217. Interception of computer trespasser communications.
Sec. 218. Foreign intelligence information.
Sec. 219. Single-jurisdiction search warrants for terrorism.
Sec. 220. Nationwide service of search warrants for electronic
evidence.
Sec. 221. Trade sanctions.
Sec. 222. Assistance to law enforcement agencies.
TITLE III--INTERNATIONAL MONEY LAUNDERING ABATEMENT AND ANTI-TERRORIST
FINANCING ACT OF 2001
Sec. 301. Short title.
Sec. 302. Findings and purposes.
Sec. 303. 4-Year congressional review-expedited consideration.
Subtitle A--International Counter Money Laundering and Related Measures
Sec. 311. Special measures for jurisdictions, financial institutions,
or international transactions of primary money laundering
concern.
Sec. 312. Special due diligence for correspondent accounts and private
banking accounts.
Sec. 313. Prohibition on United States correspondent accounts with
foreign shell banks.
Sec. 314. Cooperative efforts to deter money laundering.
Sec. 315. Inclusion of foreign corruption offenses as money laundering
crimes.
Sec. 316. Anti-terrorist forfeiture protection.
Sec. 317. Long-arm jurisdiction over foreign money launderers.
Sec. 318. Laundering money through a foreign bank.
Sec. 319. Forfeiture of funds in United States interbank accounts.
Sec. 320. Proceeds of foreign crimes.
Sec. 321. Exclusion of aliens involved in money laundering.
Sec. 322. Corporation represented by a fugitive.
Sec. 323. Enforcement of foreign judgments.
Sec. 324. Increase in civil and criminal penalties for money
laundering.
Sec. 325. Report and recommendation.
Sec. 326. Report on effectiveness.
Sec. 327. Concentration accounts at financial institutions.
Subtitle B--Currency Transaction Reporting Amendments and Related
Improvements
Sec. 331. Amendments relating to reporting of suspicious activities.
Sec. 332. Anti-money laundering programs.
Sec. 333. Penalties for violations of geographic targeting orders and
certain recordkeeping requirements, and lengthening
effective period of geographic targeting orders.
Sec. 334. Anti-money laundering strategy.
Sec. 335. Authorization to include suspicions of illegal activity in
written employment references.
Sec. 336. Bank Secrecy Act advisory group.
Sec. 337. Agency reports on reconciling penalty amounts.
Sec. 338. Reporting of suspicious activities by securities brokers and
dealers.
Sec. 339. Special report on administration of Bank Secrecy provisions.
Sec. 340. Bank Secrecy provisions and anti-terrorist activities of
United States intelligence agencies.
Sec. 341. Reporting of suspicious activities by hawala and other
underground banking systems.
Sec. 342. Use of Authority of the United States Executive Directors.
Subtitle D--Currency Crimes
Sec. 351. Bulk cash smuggling.
Subtitle E--Anticorruption Measures
Sec. 361. Corruption of foreign governments and ruling elites.
Sec. 362. Support for the financial action task force on money
laundering.
Sec. 363. Terrorist funding through money laundering.
TITLE IV--PROTECTING THE BORDER
Subtitle A--Protecting the Northern Border
Sec. 401. Ensuring adequate personnel on the northern border.
Sec. 402. Northern border personnel.
Sec. 403. Access by the Department of State and the INS to certain
identifying information in the criminal history records
of visa applicants and applicants for admission to the
United States.
Sec. 404. Limited authority to pay overtime.
Sec. 405. Report on the integrated automated fingerprint identification
system for points of entry and overseas consular posts.
Subtitle B--Enhanced Immigration Provisions
Sec. 411. Definitions relating to terrorism.
Sec. 412. Mandatory detention of suspected terrorists; habeas corpus;
judicial review.
Sec. 413. Multilateral cooperation against terrorists.
TITLE V--REMOVING OBSTACLES TO INVESTIGATING TERRORISM
Sec. 501. Professional Standards for Government Attorneys Act of 2001.
Sec. 502. Attorney General's authority to pay rewards to combat
terrorism.
Sec. 503. Secretary of State's authority to pay rewards.
Sec. 504. DNA identification of terrorists and other violent offenders.
Sec. 505. Coordination with law enforcement.
Sec. 506. Miscellaneous national security authorities.
Sec. 507. Extension of Secret Service jurisdiction.
Sec. 508. Disclosure of educational records.
Sec. 509. Disclosure of information from NCES surveys.
TITLE VI--PROVIDING FOR VICTIMS OF TERRORISM, PUBLIC SAFETY OFFICERS,
AND THEIR FAMILIES
Subtitle A--Aid to Families of Public Safety Officers
Sec. 611. Expedited payment for public safety officers involved in the
prevention, investigation, rescue, or recovery efforts
related to a terrorist attack.
Sec. 612. Technical correction with respect to expedited payments for
heroic public safety officers.
Sec. 613. Public Safety Officers Benefit Program payment increase.
Sec. 614. Office of justice programs.
Subtitle B--Amendments to the Victims of Crime Act of 1984
Sec. 621. Crime Victims Fund.
Sec. 622. Crime victim compensation.
Sec. 623. Crime victim assistance.
Sec. 624. Victims of terrorism.
TITLE VII--INCREASED INFORMATION SHARING FOR CRITICAL INFRASTRUCTURE
PROTECTION
Sec. 711. Expansion of regional information sharing system to
facilitate Federal-State-local law enforcement response
related to terrorist attacks.
TITLE VIII--STRENGTHENING THE CRIMINAL LAWS AGAINST TERRORISM
Sec. 801. Terrorist attacks and other acts of violence against mass
transportation systems.
Sec. 802. Expansion of the biological weapons statute.
Sec. 803. Definition of domestic terrorism.
Sec. 804. Prohibition against harboring terrorists.
Sec. 805. Jurisdiction over crimes committed at U.S. facilities abroad.
Sec. 806. Material support for terrorism.
Sec. 807. Assets of terrorist organizations.
Sec. 808. Technical clarification relating to provision of material
support to terrorism.
Sec. 809. Definition of Federal crime of terrorism.
Sec. 810. No statute of limitation for certain terrorism offenses.
Sec. 811. Alternate maximum penalties for terrorism offenses.
Sec. 812. Penalties for terrorist conspiracies.
Sec. 813. Post-release supervision of terrorists.
Sec. 814. Inclusion of acts of terrorism as racketeering activity.
Sec. 815. Deterrence and prevention of cyberterrorism.
Sec. 816. Additional defense to civil actions relating to preserving
records in response to government requests.
Sec. 817. Development and support of cybersecurity forensic
capabilities.
TITLE IX--IMPROVED INTELLIGENCE
Sec. 901. Responsibilities of Director of Central Intelligence
regarding foreign intelligence collected under Foreign
Intelligence Surveillance Act of 1978.
Sec. 902. Inclusion of international terrorist activities within scope
of foreign intelligence under National Security Act of
1947.
Sec. 903. Sense of Congress on the establishment and maintenance of
intelligence relationships to acquire information on
terrorists and terrorist organizations.
Sec. 904. Temporary authority to defer submittal to Congress of reports
on intelligence and intelligence-related matters.
[[Page S10309]]
Sec. 905. Disclosure to director of central intelligence of foreign
intelligence-related information with respect to criminal
investigations.
Sec. 906. Foreign terrorist asset tracking center.
Sec. 907. National virtual translation center.
Sec. 908. Training of government officials regarding identification and
use of foreign intelligence.
SEC. 2. CONSTRUCTION; SEVERABILITY.
Any provision of this Act held to be invalid or
unenforceable by its terms, or as applied to any person or
circumstance, shall be construed so as to give it the maximum
effect permitted by law, unless such holding shall be one of
utter invalidity or unenforceability, in which event such
provision shall be deemed severable from this Act and shall
not affect the remainder thereof or the application of such
provision to other persons not similarly situated or to
other, dissimilar circumstances.
TITLE I--ENHANCING DOMESTIC SECURITY AGAINST TERRORISM
SEC. 101. COUNTERTERRORISM FUND.
(a) Establishment; Availability.--There is hereby
established in the Treasury of the United States a separate
fund to be known as the "Counterterrorism Fund", amounts in
which shall remain available without fiscal year limitation--
(1) to reimburse any Department of Justice component for
any costs incurred in connection with--
(A) reestablishing the operational capability of an office
or facility that has been damaged or destroyed as the result
of any domestic or international terrorism incident;
(B) providing support to counter, investigate, or prosecute
domestic or international terrorism, including, without
limitation, paying rewards in connection with these
activities; and
(C) conducting terrorism threat assessments of Federal
agencies and their facilities; and
(2) to reimburse any department or agency of the Federal
Government for any costs incurred in connection with
detaining in foreign countries individuals accused of acts of
terrorism that violate the laws of the United States.
(b) No Effect on Prior Appropriations.--Subsection (a)
shall not be construed to affect the amount or availability
of any appropriation to the Counterterrorism Fund made before
the date of enactment of this Act.
SEC. 102. SENSE OF CONGRESS CONDEMNING DISCRIMINATION AGAINST
ARAB AND MUSLIM AMERICANS.
(a) Findings.--Congress makes the following findings:
(1) Arab Americans, Muslim Americans, and Americans from
South Asia play a vital role in our Nation and are entitled
to nothing less than the full rights of every American.
(2) The acts of violence that have been taken against Arab
and Muslim Americans since the September 11, 2001, attacks
against the United States should be and are condemned by all
Americans who value freedom.
(3) The concept of individual responsibility for wrongdoing
is sacrosanct in American society, and applies equally to all
religious, racial, and ethnic groups.
(4) When American citizens commit acts of violence against
those who are, or are perceived to be, of Arab or Muslim
descent, they should be punished to the full extent of the
law.
(5) Muslim Americans have become so fearful of harassment
that many Muslim women are changing the way they dress to
avoid becoming targets.
(6) Many Arab Americans and Muslim Americans have acted
heroically during the attacks on the United States, including
Mohammed Salman Hamdani, a 23-year-old New Yorker of
Pakistani descent, who is believed to have gone to the World
Trade Center to offer rescue assistance and is now missing.
(b) Sense of Congress.--It is the sense of Congress that--
(1) the civil rights and civil liberties of all Americans,
including Arab Americans, Muslim Americans, and Americans
from South Asia, must be protected, and that every effort
must be taken to preserve their safety;
(2) any acts of violence or discrimination against any
Americans be condemned; and
(3) the Nation is called upon to recognize the patriotism
of fellow citizens from all ethnic, racial, and religious
backgrounds.
SEC. 103. INCREASED FUNDING FOR THE TECHNICAL SUPPORT CENTER
AT THE FEDERAL BUREAU OF INVESTIGATION.
There are authorized to be appropriated for the Technical
Support Center established in section 811 of the
Antiterrorism and Effective Death Penalty Act of 1996 (Public
Law 104-132) to help meet the demands for activities to
combat terrorism and support and enhance the technical
support and tactical operations of the FBI, $200,000,000 for
each of the fiscal years 2002, 2003, and 2004.
SEC. 104. REQUESTS FOR MILITARY ASSISTANCE TO ENFORCE
PROHIBITION IN CERTAIN EMERGENCIES.
Section 2332e of title 18, United States Code, is amended--
(1) by striking "2332c" and inserting "2332a"; and
(2) by striking "chemical".
SEC. 105. EXPANSION OF NATIONAL ELECTRONIC CRIME TASK FORCE
INITIATIVE.
The Director of the United States Secret Service shall take
appropriate actions to develop a national network of
electronic crime task forces, based on the New York
Electronic Crimes Task Force model, throughout the United
States, for the purpose of preventing, detecting, and
investigating various forms of electronic crimes, including
potential terrorist attacks against critical infrastructure
and financial payment systems.
SEC. 106. PRESIDENTIAL AUTHORITY.
Section 203 of the International Emergency Powers Act (50
U.S.C. 1702) is amended--
(1) in subsection (a)(1)--
(A) at the end of subparagraph (A) (flush to that
subparagraph), by striking "; and" and inserting a comma
and the following:
"by any person, or with respect to any property, subject to
the jurisdiction of the United States;";
(B) in subparagraph (B)--
(i) by inserting ", block during the pendency of an
investigation" after "investigate"; and
(ii) by striking "interest;" and inserting "interest by
any person, or with respect to any property, subject to the
jurisdiction of the United States; and"; and
(C) by inserting at the end the following:
"(C) when the United States is engaged in armed
hostilities or has been attacked by a foreign country or
foreign nationals, confiscate any property, subject to the
jurisdiction of the United States, of any foreign person,
foreign organization, or foreign country that he determines
has planned, authorized, aided, or engaged in such
hostilities or attacks against the United States; and all
right, title, and interest in any property so confiscated
shall vest, when, as, and upon the terms directed by the
President, in such agency or person as the President may
designate from time to time, and upon such terms and
conditions as the President may prescribe, such interest or
property shall be held, used, administered, liquidated, sold,
or otherwise dealt with in the interest of and for the
benefit of the United States, and such designated agency or
person may perform any and all acts incident to the
accomplishment or furtherance of these purposes."; and
(2) by inserting at the end the following:
"(c) Classified Information.--In any judicial review of a
determination made under this section, if the determination
was based on classified information (as defined in section
1(a) of the Classified Information Procedures Act) such
information may be submitted to the reviewing court ex parte
and in camera. This subsection does not confer or imply any
right to judicial review.".
TITLE II--ENHANCED SURVEILLANCE PROCEDURES
SEC. 201. AUTHORITY TO INTERCEPT WIRE, ORAL, AND ELECTRONIC
COMMUNICATIONS RELATING TO TERRORISM.
Section 2516(1) of title 18, United States Code, is
amended--
(1) by redesignating paragraph (p), as so redesignated by
section 434(2) of the Antiterrorism and Effective Death
Penalty Act of 1996 (Public Law 104-132; 110 Stat. 1274), as
paragraph (r); and
(2) by inserting after paragraph (p), as so redesignated by
section 201(3) of the Illegal Immigration Reform and
Immigrant Responsibility Act of 1996 (division C of Public
Law 104-208; 110 Stat. 3009-565), the following new
paragraph:
"(q) any criminal violation of section 229 (relating to
chemical weapons); or sections 2332, 2332a, 2332b, 2332d,
2339A, or 2339B of this title (relating to terrorism); or".
SEC. 202. AUTHORITY TO INTERCEPT WIRE, ORAL, AND ELECTRONIC
COMMUNICATIONS RELATING TO COMPUTER FRAUD AND
ABUSE OFFENSES.
Section 2516(1)(c) of title 18, United States Code, is
amended by striking "and section 1341 (relating to mail
fraud)," and inserting "section 1341 (relating to mail
fraud), a felony violation of section 1030 (relating to
computer fraud and abuse),".
SEC. 203. AUTHORITY TO SHARE CRIMINAL INVESTIGATIVE
INFORMATION.
(a) Authority to Share Grand Jury Information.--
(1) In general.--Rule 6(e)(3)(C) of the Federal Rules of
Criminal Procedure is amended--
(A) in clause (iii), by striking "or" at the end;
(B) in clause (iv), by striking the period at the end and
inserting "; or"; and
(C) by inserting at the end the following:
"(v) when the matters involve foreign intelligence or
counterintelligence (as defined in section 3 of the National
Security Act of 1947 (50 U.S.C. 401a)), or foreign
intelligence information (as defined in Rule 6(e)(3)(C)(ii))
to any other Federal law enforcement, intelligence,
protective, immigration, national defense, or national
security official in order to assist the official receiving
that information in the performance of his official duties.
Any Federal official who receives information pursuant to
clause (v) may use that information only as necessary in the
conduct of that person's official duties subject to any
limitations on the unauthorized disclosure of such
information.".
(2) Definition.--Rule 6(e)(3)(C) of the Federal Rules of
Criminal Procedure, as amended by paragraph (1), is amended
by--
(A) inserting "(i)" after "(C)";
(B) redesignating clauses (i) through (v) as subclauses (I)
through (IV), respectively; and
(C) inserting at the end the following:
"(ii) In this subparagraph, the term `foreign intelligence
information' means--
"(I) information, whether or not concerning a United
States person, that relates
[[Page S10310]]
to the ability of the United States to protect against--
"(aa) actual or potential attack or other grave hostile
acts of a foreign power or an agent of a foreign power;
"(bb) sabotage or international terrorism by a foreign
power or an agent of a foreign power; or
"(cc) clandestine intelligence activities by an
intelligence service or network of a foreign power or by an
agent of a foreign power; or
"(II) information, whether or not concerning a United
States person, with respect to a foreign power or foreign
territory that relates to--
"(aa) the national defense or the security of the United
States; or
"(bb) the conduct of the foreign affairs of the United
States.".
(b) Authority To Share Electronic, Wire, and Oral
Interception Information.--
(1) Law enforcement.--Section 2517 of title 18, United
States Code, is amended by inserting at the end the
following:
"(6) Any investigative or law enforcement officer, or
attorney for the Government, who by any means authorized by
this chapter, has obtained knowledge of the contents of any
wire, oral, or electronic communication, or evidence derived
therefrom, may disclose such contents to any other Federal
law enforcement, intelligence, protective, immigration,
national defense, or national security official to the extent
that such contents include foreign intelligence or
counterintelligence (as defined in section 3 of the National
Security Act of 1947 (50 U.S.C. 401a)), or foreign
intelligence information (as defined in subsection (19) of
section 2510 of this title), to assist the official who is to
receive that information in the performance of his official
duties. Any Federal official who receives information
pursuant to this provision may use that information only as
necessary in the conduct of that person's official duties
subject to any limitations on the unauthorized disclosure of
such information.".
(2) Definition.--Section 2510 of title 18, United States
Code, is amended by--
(A) in paragraph (17), by striking "and" after the
semicolon;
(B) in paragraph (18), by striking the period and inserting
"; and"; and
(C) by inserting at the end the following:
"(19) `foreign intelligence information' means--
"(A) information, whether or not concerning a United
States person, that relates to the ability of the United
States to protect against--
"(i) actual or potential attack or other grave hostile
acts of a foreign power or an agent of a foreign power;
"(ii) sabotage or international terrorism by a foreign
power or an agent of a foreign power; or
"(iii) clandestine intelligence activities by an
intelligence service or network of a foreign power or by an
agent of a foreign power; or
"(B) information, whether or not concerning a United
States person, with respect to a foreign power or foreign
territory that relates to--
"(i) the national defense or the security of the United
States; or
"(ii) the conduct of the foreign affairs of the United
States.".
(c) Procedures.--The Attorney General shall establish
procedures for the disclosure of information pursuant to
section 2517(6) and Rule 6(e)(3)(C)(v) of the Federal Rules
of Criminal Procedure that identifies a United States person,
as defined in section 101 of the Foreign Intelligence
Surveillance Act of 1978 (50 U.S.C. 1801)).
(d) Foreign Intelligence Information.--
(1) In general.--Notwithstanding any other provision of
law, it shall be lawful for foreign intelligence or
counterintelligence (as defined section 3 of the National
Security Act of 1947 (50 U.S.C. 401a)) or foreign
intelligence information obtained as part of a criminal
investigation to be disclosed to any Federal law enforcement,
intelligence, protective, immigration, national defense, or
national security official in order to assist the official
receiving that information in the performance of his official
duties. Any Federal official who receives information
pursuant to this provision may use that information only as
necessary in the conduct of that person's official duties
subject to any limitations on the unauthorized disclosure of
such information.
(2) Definition.--In this subsection, the term "foreign
intelligence information" means--
(A) information, whether or not concerning a United States
person, that relates to the ability of the United States to
protect against--
(i) actual or potential attack or other grave hostile acts
of a foreign power or an agent of a foreign power;
(ii) sabotage or international terrorism by a foreign power
or an agent of a foreign power; or
(iii) clandestine intelligence activities by an
intelligence service or network of a foreign power or by an
agent of a foreign power; or
(B) information, whether or not concerning a United States
person, with respect to a foreign power or foreign territory
that relates to--
(i) the national defense or the security of the United
States; or
(ii) the conduct of the foreign affairs of the United
States.
SEC. 204. CLARIFICATION OF INTELLIGENCE EXCEPTIONS FROM
LIMITATIONS ON INTERCEPTION AND DISCLOSURE OF
WIRE, ORAL, AND ELECTRONIC COMMUNICATIONS.
Section 2511(2)(f) of title 18, United States Code, is
amended--
(1) by striking "this chapter or chapter 121" and
inserting "this chapter or chapter 121 or 206 of this
title"; and
(2) by striking "wire and oral" and inserting "wire,
oral, and electronic".
SEC. 205. EMPLOYMENT OF TRANSLATORS BY THE FEDERAL BUREAU OF
INVESTIGATION.
(a) Authority.--The Director of the Federal Bureau of
Investigation is authorized to expedite the employment of
personnel as translators to support counterterrorism
investigations and operations without regard to applicable
Federal personnel requirements and limitations.
(b) Security Requirements.--The Director of the Federal
Bureau of Investigation shall establish such security
requirements as are necessary for the personnel employed as
translators under subsection (a).
(c) Report.--The Attorney General shall report to the
Committees on the Judiciary of the House of Representatives
and the Senate on--
(1) the number of translators employed by the FBI and other
components of the Department of Justice;
(2) any legal or practical impediments to using translators
employed by other Federal, State, or local agencies, on a
full, part-time, or shared basis; and
(3) the needs of the FBI for specific translation services
in certain languages, and recommendations for meeting those
needs.
SEC. 206. ROVING SURVEILLANCE AUTHORITY UNDER THE FOREIGN
INTELLIGENCE SURVEILLANCE ACT OF 1978.
Section 105(c)(2)(B) of the Foreign Intelligence
Surveillance Act of 1978 (50 U.S.C. 1805(c)(2)(B)) is amended
by inserting ", or in circumstances where the Court finds
that the actions of the target of the application may have
the effect of thwarting the identification of a specified
person, such other persons," after "specified person".
SEC. 207. DURATION OF FISA SURVEILLANCE OF NON-UNITED STATES
PERSONS WHO ARE AGENTS OF A FOREIGN POWER.
(a) Duration .--
(1) Surveillance.--Section 105(d)(1) of the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1805(d)(1))
is amended by--
(A) inserting "(A)" after "except that"; and
(B) inserting before the period the following: ", and (B)
an order under this Act for a surveillance targeted against
an agent of a foreign power, as defined in section 101(b)(A)
may be for the period specified in the application or for 120
days, whichever is less".
(2) Physical Search.--Section 304(d)(1) of the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1824(d)(1))
is amended by--
(A) striking "forty-five" and inserting "90";
(B) inserting "(A)" after "except that"; and
(C) inserting before the period the following: ", and (B)
an order under this section for a physical search targeted
against an agent of a foreign power as defined in section
101(b)(A) may be for the period specified in the application
or for 120 days, whichever is less".
(b) Extension.--
(1) In general.--Section 105(d)(2) of the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1805(d)(2))
is amended by--
(A) inserting "(A)" after "except that"; and
(B) inserting before the period the following: ", and (B)
an extension of an order under this Act for a surveillance
targeted against an agent of a foreign power as defined in
section 101(b)(1)(A) may be for a period not to exceed 1
year".
(2) Defined term.--Section 304(d)(2) of the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1824(d)(2)
is amended by inserting after "not a United States person,"
the following: "or against an agent of a foreign power as
defined in section 101(b)(1)(A)".
SEC. 208. DESIGNATION OF JUDGES.
Section 103(a) of the Foreign Intelligence Surveillance Act
of 1978 (50 U.S.C. 1803(a)) is amended by--
(1) striking "seven district court judges" and inserting
"11 district court judges"; and
(2) inserting "of whom no less than 3 shall reside within
20 miles of the District of Columbia" after "circuits".
SEC. 209. SEIZURE OF VOICE-MAIL MESSAGES PURSUANT TO
WARRANTS.
Title 18, United States Code, is amended--
(1) in section 2510--
(A) in paragraph (1), by striking beginning with "and
such" and all that follows through "communication"; and
(B) in paragraph (14), by inserting "wire or" after
"transmission of"; and
(2) in subsections (a) and (b) of section 2703--
(A) by striking "Contents of electronic" and inserting
"Contents of wire or electronic" each place it appears;
(B) by striking "contents of an electronic" and inserting
"contents of a wire or electronic" each place it appears;
and
(C) by striking "any electronic" and inserting "any wire
or electronic" each place it appears.
[[Page S10311]]
SEC. 210. SCOPE OF SUBPOENAS FOR RECORDS OF ELECTRONIC
COMMUNICATIONS.
Section 2703(c)(2) of title 18, United States Code, as
redesignated by section 212, is amended--
(1) by striking "entity the name, address, local and long
distance telephone toll billing records, telephone number or
other subscriber number or identity, and length of service of
the subscriber" and inserting the following: "entity the--
"(A) name;
"(B) address;
"(C) local and long distance telephone connection records,
or records of session times and durations;
"(D) length of service (including start date) and types of
service utilized;
"(E) telephone or instrument number or other subscriber
number or identity, including any temporarily assigned
network address; and
"(F) means and source of payment (including any credit
card or bank account number),
of a subscriber"; and
(2) by striking "and the types of services the subscriber
or customer utilized,".
SEC. 211. CLARIFICATION OF SCOPE.
Section 631 of the Communications Act of 1934 (47 U.S.C.
551) is amended--
(1) in subsection (c)(2)--
(A) in subparagraph (B), by striking "or";
(B) in subparagraph (C), by striking the period at the end
and inserting"; or"; and
(C) by inserting at the end the following:
"(D) authorized under chapters 119, 121, or 206 of title
18, United States Code, except that such disclosure shall not
include records revealing customer cable television viewing
activity."; and
(2) in subsection (h) by striking "A governmental entity"
and inserting "Except as provided in subsection (c)(2)(D), a
governmental entity".
SEC. 212. EMERGENCY DISCLOSURE OF ELECTRONIC COMMUNICATIONS
TO PROTECT LIFE AND LIMB.
(a) Disclosure of Contents.--
(1) In general.--Section 2702 of title 18, United States
Code, is amended--
(A) by striking the section heading and inserting the
following:
"Sec. 2702. Voluntary disclosure of customer communications
or records";
(B) in subsection (a)--
(i) in paragraph (2)(A), by striking "and" at the end;
(ii) in paragraph (2)(B), by striking the period and
inserting "; and"; and
(iii) by inserting after paragraph (2) the following:
"(3) a provider of remote computing service or electronic
communication service to the public shall not knowingly
divulge a record or other information pertaining to a
subscriber to or customer of such service (not including the
contents of communications covered by paragraph (1) or (2))
to any governmental entity.";
(C) in subsection (b), by striking "Exceptions.--A person
or entity" and inserting "Exceptions for disclosure of
communications.-- A provider described in subsection (a)";
(D) in subsection (b)(6)--
(i) in subparagraph (A)(ii), by striking "or";
(ii) in subparagraph (B), by striking the period and
inserting "; or"; and
(iii) by adding after subparagraph (B) the following:
"(C) if the provider reasonably believes that an emergency
involving immediate danger of death or serious physical
injury to any person requires disclosure of the information
without delay."; and
(E) by inserting after subsection (b) the following:
"(c) Exceptions for Disclosure of Customer Records.--A
provider described in subsection (a) may divulge a record or
other information pertaining to a subscriber to or customer
of such service (not including the contents of communications
covered by subsection (a)(1) or (a)(2))--
"(1) as otherwise authorized in section 2703;
"(2) with the lawful consent of the customer or
subscriber;
"(3) as may be necessarily incident to the rendition of
the service or to the protection of the rights or property of
the provider of that service;
"(4) to a governmental entity, if the provider reasonably
believes that an emergency involving immediate danger of
death or serious physical injury to any person justifies
disclosure of the information; or
"(5) to any person other than a governmental entity.".
(2) Technical and conforming amendment.--The table of
sections for chapter 121 of title 18, United States Code, is
amended by striking the item relating to section 2702 and
inserting the following:
"2702. Voluntary disclosure of customer communications or records.".
(b) Requirements for Government Access.--
(1) In general.--Section 2703 of title 18, United States
Code, is amended--
(A) by striking the section heading and inserting the
following:
"Sec. 2703. Required disclosure of customer communications
or records";
(B) in subsection (c) by redesignating paragraph (2) as
paragraph (3);
(C) in subsection (c)(1)--
(i) by striking "(A) Except as provided in subparagraph
(B), a provider of electronic communication service or remote
computing service may" and inserting "A governmental entity
may require a provider of electronic communication service or
remote computing service to";
(ii) by striking "covered by subsection (a) or (b) of this
section) to any person other than a governmental entity.
"(B) A provider of electronic communication service or
remote computing service shall disclose a record or other
information pertaining to a subscriber to or customer of such
service (not including the contents of communications covered
by subsection (a) or (b) of this section) to a governmental
entity" and inserting ")";
(iii) by redesignating subparagraph (C) as paragraph (2);
(iv) by redesignating clauses (i), (ii), (iii), and (iv) as
subparagraphs (A), (B), (C), and (D), respectively;
(v) in subparagraph (D) (as redesignated) by striking the
period and inserting "; or"; and
(vi) by inserting after subparagraph (D) (as redesignated)
the following:
"(E) seeks information under paragraph (2)."; and
(D) in paragraph (2) (as redesignated) by striking
"subparagraph (B)" and insert "paragraph (1)".
(2) Technical and conforming amendment.--The table of
sections for chapter 121 of title 18, United States Code, is
amended by striking the item relating to section 2703 and
inserting the following:
"2703. Required disclosure of customer communications or records.".
SEC. 213. AUTHORITY FOR DELAYING NOTICE OF THE EXECUTION OF A
WARRANT.
Section 3103a of title 18, United States Code, is amended--
(1) by inserting "(a) In General.--" before "In
addition"; and
(2) by adding at the end the following:
"(b) Delay.--With respect to the issuance of any warrant
or court order under this section, or any other rule of law,
to search for and seize any property or material that
constitutes evidence of a criminal offense in violation of
the laws of the United States, any notice required, or that
may be required, to be given may be delayed if--
"(1) the court finds reasonable cause to believe that
providing immediate notification of the execution of the
warrant may have an adverse result (as defined in section
2705);
"(2) the warrant prohibits the seizure of any tangible
property, any wire or electronic communication (as defined in
section 2510), or, except as expressly provided in chapter
121, any stored wire or electronic information, except where
the court finds reasonable necessity for the seizure; and
"(3) the warrant provides for the giving of such notice
within a reasonable period of its execution, which period may
thereafter be extended by the court for good cause shown.".
SEC. 214. PEN REGISTER AND TRAP AND TRACE AUTHORITY UNDER
FISA.
(a) Applications and Orders.--Section 402 of the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1842) is
amended--
(1) in subsection (a)(1), by striking "for any
investigation to gather foreign intelligence information or
information concerning international terrorism" and
inserting "for any investigation to protect against
international terrorism or clandestine intelligence
activities, provided that such investigation of a United
States person is not conducted solely upon the basis of
activities protected by the first amendment to the
Constitution";
(2) by amending subsection (c)(2) to read as follows:
"(2) a certification by the applicant that the information
likely to be obtained is relevant to an ongoing investigation
to protect against international terrorism or clandestine
intelligence activities, provided that such investigation of
a United States person is not conducted solely upon the basis
of activities protected by the first amendment to the
Constitution.";
(3) by striking subsection (c)(3); and
(4) by amending subsection (d)(2)(A) to read as follows:
"(A) shall specify--
"(i) the identity, if known, of the person who is the
subject of the investigation;
"(ii) the identity, if known, of the person to whom is
leased or in whose name is listed the telephone line or other
facility to which the pen register or trap and trace device
is to be attached or applied;
"(iii) the attributes of the communications to which the
order applies, such as the number or other identifier, and,
if known, the location of the telephone line or other
facility to which the pen register or trap and trace device
is to be attached or applied and, in the case of a trap and
trace device, the geographic limits of the trap and trace
order.".
(b) Authorization During Emergencies.--Section 403 of the
Foreign Intelligence Surveillance Act of 1978 (50 U.S.C.
1843) is amended--
(1) in subsection (a), by striking "foreign intelligence
information or information concerning international
terrorism" and inserting "information to protect against
international terrorism or clandestine intelligence
activities, provided that such investigation of a United
States person is not conducted solely upon the basis of
activities protected by the first amendment to the
Constitution"; and
[[Page S10312]]
(2) in subsection (b)(1), by striking "foreign
intelligence information or information concerning
international terrorism" and inserting "information to
protect against international terrorism or clandestine
intelligence activities, provided that such investigation of
a United States person is not conducted solely upon the basis
of activities protected by the first amendment to the
Constitution".
SEC. 215. ACCESS TO RECORDS AND OTHER ITEMS UNDER THE FOREIGN
INTELLIGENCE SURVEILLANCE ACT.
Title V of the Foreign Intelligence Surveillance Act of
1978 (50 U.S.C. 1861 et seq.) is amended by striking sections
501 through 503 and inserting the following:
"SEC. 501. ACCESS TO CERTAIN BUSINESS RECORDS FOR FOREIGN
INTELLIGENCE AND INTERNATIONAL TERRORISM
INVESTIGATIONS.
"(a)(1) The Director of the Federal Bureau of
Investigation or a designee of the Director (whose rank shall
be no lower than Assistant Special Agent in Charge) may make
an application for an order requiring the production of any
tangible things (including books, records, papers, documents,
and other items) for an investigation to protect against
international terrorism or clandestine intelligence
activities, provided that such investigation of a United
States person is not conducted solely upon the basis of
activities protected by the first amendment to the
Constitution.
"(2) An investigation conducted under this section shall--
"(A) be conducted under guidelines approved by the
Attorney General under Executive Order 12333 (or a successor
order); and
"(B) not be conducted of a United States person solely
upon the basis of activities protected by the first amendment
to the Constitution of the United States.
"(b) Each application under this section--
"(1) shall be made to--
"(A) a judge of the court established by section 103(a);
or
"(B) a United States Magistrate Judge under chapter 43 of
title 28, United States Code, who is publicly designated by
the Chief Justice of the United States to have the power to
hear applications and grant orders for the production of
tangible things under this section on behalf of a judge of
that court; and
"(2) shall specify that the records concerned are sought
for an authorized investigation conducted in accordance with
subsection (a)(2) to protect against international terrorism
or clandestine intelligence activities.
"(c)(1) Upon an application made pursuant to this section,
the judge shall enter an ex parte order as requested, or as
modified, approving the release of records if the judge finds
that the application meets the requirements of this section.
"(2) An order under this subsection shall not disclose
that it is issued for purposes of an investigation described
in subsection (a).
"(d) No person shall disclose to any other person (other
than those persons necessary to produce the tangible things
under this section) that the Federal Bureau of Investigation
has sought or obtained tangible things under this section.
"(e) A person who, in good faith, produces tangible things
under an order pursuant to this section shall not be liable
to any other person for such production. Such production
shall not be deemed to constitute a waiver of any privilege
in any other proceeding or context.
"SEC. 502. CONGRESSIONAL OVERSIGHT.
"(a) On a semiannual basis, the Attorney General shall
fully inform the Permanent Select Committee on Intelligence
of the House of Representatives and the Select Committee on
Intelligence of the Senate concerning all requests for the
production of tangible things under section 402.
"(b) On a semiannual basis, the Attorney General shall
provide to the Committees on the Judiciary of the House of
Representatives and the Senate a report setting forth with
respect to the preceding 6-month period--
"(1) the total number of applications made for orders
approving requests for the production of tangible things
under section 402; and
"(2) the total number of such orders either granted,
modified, or denied.".
SEC. 216. MODIFICATION OF AUTHORITIES RELATING TO USE OF PEN
REGISTERS AND TRAP AND TRACE DEVICES.
(a) General Limitations.--Section 3121(c) of title 18,
United States Code, is amended--
(1) by inserting "or trap and trace device" after "pen
register";
(2) by inserting ", routing, addressing," after
"dialing"; and
(3) by striking "call processing" and inserting "the
processing and transmitting of wire or electronic
communications so as not to include the contents of any wire
or electronic communications".
(b) Issuance of Orders.--
(1) In general.--Section 3123(a) of title 18, United States
Code, is amended to read as follows:
"(a) In General.--
"(1) Attorney for the government.--Upon an application
made under section 3122(a)(1), the court shall enter an ex
parte order authorizing the installation and use of a pen
register or trap and trace device anywhere within the United
States, if the court finds that the attorney for the
Government has certified to the court that the information
likely to be obtained by such installation and use is
relevant to an ongoing criminal investigation. The order,
upon service of that order, shall apply to any person or
entity providing wire or electronic communication service in
the United States whose assistance may facilitate the
execution of the order. Whenever such an order is served on
any person or entity not specifically named in the order,
upon request of such person or entity, the attorney for the
Government or law enforcement or investigative officer that
is serving the order shall provide written or electronic
certification that the order applies to the person or entity
being served.
"(2) State investigative or law enforcement officer.--Upon
an application made under section 3122(a)(2), the court shall
enter an ex parte order authorizing the installation and use
of a pen register or trap and trace device within the
jurisdiction of the court, if the court finds that the State
law enforcement or investigative officer has certified to the
court that the information likely to be obtained by such
installation and use is relevant to an ongoing criminal
investigation.".
(2) Contents of order.--Section 3123(b)(1) of title 18,
United States Code, is amended--
(A) in subparagraph (A)--
(i) by inserting "or other facility" after "telephone
line"; and
(ii) by inserting before the semicolon at the end "or
applied"; and
(B) by striking subparagraph (C) and inserting the
following:
"(C) the attributes of the communications to which the
order applies, including the number or other identifier and,
if known, the location of the telephone line or other
facility to which the pen register or trap and trace device
is to be attached or applied, and, in the case of an order
authorizing installation and use of a trap and trace device
under subsection (a)(2), the geographic limits of the order;
and".
(3) Nondisclosure requirements.--Section 3123(d)(2) of
title 18, United States Code, is amended--
(A) by inserting "or other facility" after "the line";
and
(B) by striking ", or who has been ordered by the court"
and inserting "or applied, or who is obligated by the
order".
(c) Definitions.--
(1) Court of competent jurisdiction.--Section 3127(2) of
title 18, United States Code, is amended by striking
subparagraph (A) and inserting the following:
"(A) any district court of the United States (including a
magistrate judge of such a court) or any United States court
of appeals having jurisdiction over the offense being
investigated; or".
(2) Pen register.--Section 3127(3) of title 18, United
States Code, is amended--
(A) by striking "electronic or other impulses" and all
that follows through "is attached" and inserting "dialing,
routing, addressing, or signaling information transmitted by
an instrument or facility from which a wire or electronic
communication is transmitted, provided, however, that such
information shall not include the contents of any
communication"; and
(B) by inserting "or process" after "device" each place
it appears.
(3) Trap and trace device.--Section 3127(4) of title 18,
United States Code, is amended--
(A) by striking "of an instrument" and all that follows
through the semicolon and inserting "or other dialing,
routing, addressing, and signaling information reasonably
likely to identify the source of a wire or electronic
communication, provided, however, that such information shall
not include the contents of any communication;"; and
(B) by inserting "or process" after "a device".
(4) Conforming amendment.--Section 3127(1) of title 18,
United States Code, is amended--
(A) by striking "and"; and
(B) by inserting ", and `contents' " after "electronic
communication service".
(5) Technical amendment.--Section 3124(d) of title 18,
United States Code, is amended by striking "the terms of".
SEC. 217. INTERCEPTION OF COMPUTER TRESPASSER COMMUNICATIONS.
Chapter 119 of title 18, United States Code, is amended--
(1) in section 2510--
(A) in paragraph (17), by striking "and" at the end;
(B) in paragraph (18), by striking the period and inserting
a semicolon; and
(C) by inserting after paragraph (18) the following:
"(19) `protected computer' has the meaning set forth in
section 1030; and
"(20) `computer trespasser'--
"(A) means a person who accesses a protected computer
without authorization and thus has no reasonable expectation
of privacy in any communication transmitted to, through, or
from the protected computer; and
"(B) does not include a person known by the owner or
operator of the protected computer to have an existing
contractual relationship with the owner or operator of the
protected computer for access to all or part of the protected
computer."; and
(2) in section 2511(2), by inserting at the end the
following:
"(i) It shall not be unlawful under this chapter for a
person acting under color of law to intercept the wire or
electronic communications of a computer trespasser, if--
"(i) the owner or operator of the protected computer
authorizes the interception of the
[[Page S10313]]
computer trespasser's communications on the protected
computer;
"(ii) the person acting under color of law is lawfully
engaged in an investigation;
"(iii) the person acting under color of law has reasonable
grounds to believe that the contents of the computer
trespasser's communications will be relevant to the
investigation; and
"(iv) such interception does not acquire communications
other than those transmitted to or from the computer
trespasser.".
SEC. 218. FOREIGN INTELLIGENCE INFORMATION.
Sections 104(a)(7)(B) and section 303(a)(7)(B) (50 U.S.C.
1804(a)(7)(B) and 1823(a)(7)(B)) of the Foreign Intelligence
Surveillance Act of 1978 are each amended by striking "the
purpose" and inserting "a significant purpose".
SEC. 219. SINGLE-JURISDICTION SEARCH WARRANTS FOR TERRORISM.
Rule 41(a) of the Federal Rules of Criminal Procedure is
amended by inserting after "executed" the following: "and
(3) in an investigation of domestic terrorism or
international terrorism (as defined in section 2331 of title
18, United States Code), by a Federal magistrate judge in any
district in which activities related to the terrorism may
have occurred, for a search of property or for a person
within or outside the district".
SEC. 220. NATIONWIDE SERVICE OF SEARCH WARRANTS FOR
ELECTRONIC EVIDENCE.
Chapter 121 of title 18, United States Code, is amended--
(1) in section 2703, by striking "under the Federal Rules
of Criminal Procedure" every place it appears and inserting
"using the procedures described in the Federal Rules of
Criminal Procedure by a court with jurisdiction over the
offense under investigation"; and
(2) in section 2711--
(A) in paragraph (1), by striking "and";
(B) in paragraph (2), by striking the period and inserting
"; and"; and
(C) by inserting at the end the following:
"(3) the term `court of competent jurisdiction' has the
meaning assigned by section 3127, and includes any Federal
court within that definition, without geographic
limitation.".
SEC. 221. TRADE SANCTIONS.
(a) In general.--The Trade Sanctions Reform and Export
Enhancement Act of 2000 (Public Law 106-387; 114 Stat. 1549A-
67) is amended--
(1) by amending section 904(2)(C) to read as follows:
"(C) used to facilitate the design, development, or
production of chemical or biological weapons, missiles, or
weapons of mass destruction.";
(2) in section 906(a)(1)--
(A) by inserting ", the Taliban or the territory of
Afghanistan controlled by the Taliban," after "Cuba"; and
(B) by inserting ", or in the territory of Afghanistan
controlled by the Taliban," after "within such country";
and
(3) in section 906(a)(2), by inserting ", or to any other
entity in Syria or North Korea" after "Korea".
(b) Application of the Trade Sanctions Reform and Export
Enhancement Act.--Nothing in the Trade Sanctions Reform and
Export Enhancement Act of 2000 shall limit the application or
scope of any law establishing criminal or civil penalties,
including any executive order or regulation promulgated
pursuant to such laws (or similar or successor laws), for the
unlawful export of any agricultural commodity, medicine, or
medical device to--
(1) a foreign organization, group, or person designated
pursuant to Executive Order 12947 of June 25, 1995;
(2) a Foreign Terrorist Organization pursuant to the
Antiterrorism and Effective Death Penalty Act of 1996 (Public
Law 104-132);
(3) a foreign organization, group, or person designated
pursuant to Executive Order 13224 (September 23, 2001);
(4) any narcotics trafficking entity designated pursuant to
Executive Order 12978 (October 21, 1995) or the Foreign
Narcotics Kingpin Designation Act (Public Law 106-120); or
(5) any foreign organization, group, or persons subject to
any restriction for its involvement in weapons of mass
destruction or missile proliferation.
SEC. 222. ASSISTANCE TO LAW ENFORCEMENT AGENCIES.
Nothing in this Act shall impose any additional technical
obligation or requirement on a provider of wire or electronic
communication service or other person to furnish facilities
or technical assistance. A provider of a wire or electronic
communication service, landlord, custodian, or other person
who furnishes facilities or technical assistance pursuant to
section 216 shall be reasonably compensated for such
reasonable expenditures incurred in providing such facilities
or assistance.
TITLE III--INTERNATIONAL MONEY LAUNDERING ABATEMENT AND ANTI-TERRORIST
FINANCING ACT OF 2001.
SEC. 301. SHORT TITLE.
This title may be cited as the "International Money
Laundering Abatement and Anti-Terrorist Financing Act of
2001".
SEC. 302. FINDINGS AND PURPOSES.
(a) Findings.--The Congress finds that--
(1) money laundering, estimated by the International
Monetary Fund to amount to between 2 and 5 percent of global
gross domestic product, which is at least $600,000,000,000
annually, provides the financial fuel that permits
transnational criminal enterprises to conduct and expand
their operations to the detriment of the safety and security
of American citizens;
(2) money laundering, and the defects in financial
transparency on which money launderers rely, are critical to
the financing of global terrorism and the provision of funds
for terrorist attacks;
(3) money launderers subvert legitimate financial
mechanisms and banking relationships by using them as
protective covering for the movement of criminal proceeds and
the financing of crime and terrorism, and, by so doing, can
threaten the safety of United States citizens and undermine
the integrity of United States financial institutions and of
the global financial and trading systems upon which
prosperity and growth depend;
(4) certain jurisdictions outside of the United States that
offer "offshore" banking and related facilities designed to
provide anonymity, coupled with special tax advantages and
weak financial supervisory and enforcement regimes, provide
essential tools to disguise ownership and movement of
criminal funds, derived from, or used to commit, offenses
ranging from narcotics trafficking, terrorism, arms
smuggling, and trafficking in human beings, to financial
frauds that prey on law-abiding citizens;
(5) transactions involving such offshore jurisdictions make
it difficult for law enforcement officials and regulators to
follow the trail of money earned by criminals, organized
international criminal enterprises, and global terrorist
organizations;
(6) correspondent banking facilities are one of the banking
mechanisms susceptible in some circumstances to manipulation
by foreign banks to permit the laundering of funds by hiding
the identity of real parties in interest to financial
transactions;
(7) private banking services can be susceptible to
manipulation by money launderers, for example corrupt foreign
government officials, particularly if those services include
the creation of offshore accounts and facilities for large
personal funds transfers to channel funds into accounts
around the globe;
(8) United States anti-money laundering efforts are impeded
by outmoded and inadequate statutory provisions that make
investigations, prosecutions, and forfeitures more difficult,
particularly in cases in which money laundering involves
foreign persons, foreign banks, or foreign countries;
(9) the ability to mount effective counter-measures to
international money launderers requires national, as well as
bilateral and multilateral action, using tools specially
designed for that effort; and
(10) the Basle Committee on Banking Regulation and
Supervisory Practices and the Financial Action Task Force on
Money Laundering, of both of which the United States is a
member, have each adopted international anti-money laundering
principles and recommendations.
(b) Purposes.--The purposes of this title are--
(1) to increase the strength of United States measures to
prevent, detect, and prosecute international money laundering
and the financing of terrorism;
(2) to ensure that--
(A) banking transactions and financial relationships and
the conduct of such transactions and relationships, do not
contravene the purposes of subchapter II of chapter 53 of
title 31, United States Code, section 21 of the Federal
Deposit Insurance Act, or chapter 2 of title I of Public Law
91-508 (84 Stat. 1116), or facilitate the evasion of any such
provision; and
(B) the purposes of such provisions of law continue to be
fulfilled, and that such provisions of law are effectively
and efficiently administered;
(3) to strengthen the provisions put into place by the
Money Laundering Control Act of 1986 (18 U.S.C. 981 note),
especially with respect to crimes by non-United States
nationals and foreign financial institutions;
(4) to provide a clear national mandate for subjecting to
special scrutiny those foreign jurisdictions, financial
institutions operating outside of the United States, and
classes of international transactions that pose particular,
identifiable opportunities for criminal abuse;
(5) to provide the Secretary of the Treasury (in this title
referred to as the "Secretary") with broad discretion,
subject to the safeguards provided by the Administrative
Procedures Act under title 5, United States Code, to take
measures tailored to the particular money laundering problems
presented by specific foreign jurisdictions, financial
institutions operating outside of the United States, and
classes of international transactions;
(6) to ensure that the employment of such measures by the
Secretary permits appropriate opportunity for comment by
affected financial institutions;
(7) to provide guidance to domestic financial institutions
on particular foreign jurisdictions, financial institutions
operating outside of the United States, and classes of
international transactions that are of primary money
laundering concern to the United States Government;
(8) to ensure that the forfeiture of any assets in
connection with the anti-terrorist efforts of the United
States permits for adequate challenge consistent with
providing due process rights;
(9) to clarify the terms of the safe harbor from civil
liability for filing suspicious activity reports;
[[Page S10314]]
(10) to strengthen the authority of the Secretary to issue
and administer geographic targeting orders, and to clarify
that violations of such orders or any other requirement
imposed under the authority contained in chapter 2 of title I
of Public Law 91-508 and subchapters II and III of chapter 53
of title 31, United States Code, may result in criminal and
civil penalties;
(11) to ensure that all appropriate elements of the
financial services industry are subject to appropriate
requirements to report potential money laundering
transactions to proper authorities, and that jurisdictional
disputes do not hinder examination of compliance by financial
institutions with relevant reporting requirements;
(12) to fix responsibility for high level coordination of
the anti-money laundering efforts of the Department of the
Treasury;
(13) to strengthen the ability of financial institutions to
maintain the integrity of their employee population; and
(14) to strengthen measures to prevent the use of the
United States financial system for personal gain by corrupt
foreign officials and to facilitate the repatriation of any
stolen assets to the citizens of countries to whom such
assets belong.
SEC. 303. 4-YEAR CONGRESSIONAL REVIEW-EXPEDITED
CONSIDERATION.
(a) In General.--Effective on and after the first day of
fiscal year 2005, the provisions of this title and the
amendments made by this title shall terminate if the Congress
enacts a joint resolution, the text after the resolving
clause of which is as follows: "That provisions of the
International Money Laundering Abatement and Anti-Terrorist
Financing Act of 2001, and the amendments made thereby, shall
no longer have the force of law.".
(b) Expedited Consideration.--Any joint resolution
submitted pursuant to this section shall be considered in the
Senate in accordance with the provisions of section 601(b) of
the International Security Assistance and Arms Control Act of
1976. For the purpose of expediting the consideration and
enactment of a joint resolution under this section, a motion
to proceed to the consideration of any such joint resolution
after it has been reported by the appropriate committee,
shall be treated as highly privileged in the House of
Representatives.
Subtitle A--International Counter Money Laundering and Related Measures
SEC. 311. SPECIAL MEASURES FOR JURISDICTIONS, FINANCIAL
INSTITUTIONS, OR INTERNATIONAL TRANSACTIONS OF
PRIMARY MONEY LAUNDERING CONCERN.
(a) In General.--Subchapter II of chapter 53 of title 31,
United States Code, is amended by inserting after section
5318 the following new section:
"SEC. 5318A. SPECIAL MEASURES FOR JURISDICTIONS, FINANCIAL
INSTITUTIONS, OR INTERNATIONAL TRANSACTIONS OF
PRIMARY MONEY LAUNDERING CONCERN.
"(a) International Counter-Money Laundering
Requirements.--
"(1) In general.--The Secretary may require domestic
financial institutions and domestic financial agencies to
take 1 or more of the special measures described in
subsection (b) if the Secretary finds that reasonable grounds
exist for concluding that a jurisdiction outside of the
United States, 1 or more financial institutions operating
outside of the United States, 1 or more classes of
transactions within, or involving, a jurisdiction outside of
the United States, or 1 or more types of accounts is of
primary money laundering concern, in accordance with
subsection (c).
"(2) Form of requirement.--The special measures described
in--
"(A) subsection (b) may be imposed in such sequence or
combination as the Secretary shall determine;
"(B) paragraphs (1) through (4) of subsection (b) may be
imposed by regulation, order, or otherwise as permitted by
law; and
"(C) subsection (b)(5) may be imposed only by regulation.
"(3) Duration of orders; rulemaking.--Any order by which a
special measure described in paragraphs (1) through (4) of
subsection (b) is imposed (other than an order described in
section 5326)--
"(A) shall be issued together with a notice of proposed
rulemaking relating to the imposition of such special
measure; and
"(B) may not remain in effect for more than 120 days,
except pursuant to a rule promulgated on or before the end of
the 120-day period beginning on the date of issuance of such
order.
"(4) Process for selecting special measures.--In selecting
which special measure or measures to take under this
subsection, the Secretary--
"(A) shall consult with the Chairman of the Board of
Governors of the Federal Reserve System, any other
appropriate Federal banking agency, as defined in section 3
of the Federal Deposit Insurance Act, the Securities and
Exchange Commission, the National Credit Union Administration
Board, and in the sole discretion of the Secretary such other
agencies and interested parties as the Secretary may find to
be appropriate; and
"(B) shall consider--
"(i) whether similar action has been or is being taken by
other nations or multilateral groups;
"(ii) whether the imposition of any particular special
measure would create a significant competitive disadvantage,
including any undue cost or burden associated with
compliance, for financial institutions organized or licensed
in the United States; and
"(iii) the extent to which the action or the timing of the
action would have a significant adverse systemic impact on
the international payment, clearance, and settlement system,
or on legitimate business activities involving the particular
jurisdiction, institution, or class of transactions.
"(5) No limitation on other authority.--This section shall
not be construed as superseding or otherwise restricting any
other authority granted to the Secretary, or to any other
agency, by this subchapter or otherwise.
"(b) Special Measures.--The special measures referred to
in subsection (a), with respect to a jurisdiction outside of
the United States, financial institution operating outside of
the United States, class of transaction within, or involving,
a jurisdiction outside of the United States, or 1 or more
types of accounts are as follows:
"(1) Recordkeeping and reporting of certain financial
transactions.--
"(A) In general.--The Secretary may require any domestic
financial institution or domestic financial agency to
maintain records, file reports, or both, concerning the
aggregate amount of transactions, or concerning each
transaction, with respect to a jurisdiction outside of the
United States, 1 or more financial institutions operating
outside of the United States, 1 or more classes of
transactions within, or involving, a jurisdiction outside of
the United States, or 1 or more types of accounts if the
Secretary finds any such jurisdiction, institution, or class
of transactions to be of primary money laundering concern.
"(B) Form of records and reports.--Such records and
reports shall be made and retained at such time, in such
manner, and for such period of time, as the Secretary shall
determine, and shall include such information as the
Secretary may determine, including--
"(i) the identity and address of the participants in a
transaction or relationship, including the identity of the
originator of any funds transfer;
"(ii) the legal capacity in which a participant in any
transaction is acting;
"(iii) the identity of the beneficial owner of the funds
involved in any transaction, in accordance with such
procedures as the Secretary determines to be reasonable and
practicable to obtain and retain the information; and
"(iv) a description of any transaction.
"(2) Information relating to beneficial ownership.--In
addition to any other requirement under any other provision
of law, the Secretary may require any domestic financial
institution or domestic financial agency to take such steps
as the Secretary may determine to be reasonable and
practicable to obtain and retain information concerning the
beneficial ownership of any account opened or maintained in
the United States by a foreign person (other than a foreign
entity whose shares are subject to public reporting
requirements or are listed and traded on a regulated exchange
or trading market), or a representative of such a foreign
person, that involves a jurisdiction outside of the United
States, 1 or more financial institutions operating outside of
the United States, 1 or more classes of transactions within,
or involving, a jurisdiction outside of the United States, or
1 or more types of accounts if the Secretary finds any such
jurisdiction, institution, or transaction to be of primary
money laundering concern.
"(3) Information relating to certain payable-through
accounts.--If the Secretary finds a jurisdiction outside of
the United States, 1 or more financial institutions operating
outside of the United States, or 1 or more classes of
transactions within, or involving, a jurisdiction outside of
the United States to be of primary money laundering concern,
the Secretary may require any domestic financial institution
or domestic financial agency that opens or maintains a
payable-through account in the United States for a foreign
financial institution involving any such jurisdiction or any
such financial institution operating outside of the United
States, or a payable through account through which any such
transaction may be conducted, as a condition of opening or
maintaining such account--
"(A) to identify each customer (and representative of such
customer) of such financial institution who is permitted to
use, or whose transactions are routed through, such payable-
through account; and
"(B) to obtain, with respect to each such customer (and
each such representative), information that is substantially
comparable to that which the depository institution obtains
in the ordinary course of business with respect to its
customers residing in the United States.
"(4) Information relating to certain correspondent
accounts.--If the Secretary finds a jurisdiction outside of
the United States, 1 or more financial institutions operating
outside of the United States, or 1 or more classes of
transactions within, or involving, a jurisdiction outside of
the United States to be of primary money laundering concern,
the Secretary may require any domestic financial institution
or domestic financial agency that opens or maintains a
correspondent account in the United States for a foreign
financial institution involving any such jurisdiction or any
such financial institution operating outside of the United
States, or a correspondent account through
[[Page S10315]]
which any such transaction may be conducted, as a condition
of opening or maintaining such account--
"(A) to identify each customer (and representative of such
customer) of any such financial institution who is permitted
to use, or whose transactions are routed through, such
correspondent account; and
"(B) to obtain, with respect to each such customer (and
each such representative), information that is substantially
comparable to that which the depository institution obtains
in the ordinary course of business with respect to its
customers residing in the United States.
"(5) Prohibitions or conditions on opening or maintaining
certain correspondent or payable-through accounts.--If the
Secretary finds a jurisdiction outside of the United States,
1 or more financial institutions operating outside of the
United States, or 1 or more classes of transactions within,
or involving, a jurisdiction outside of the United States to
be of primary money laundering concern, the Secretary, in
consultation with the Secretary of State, the Attorney
General, and the Chairman of the Board of Governors of the
Federal Reserve System, may prohibit, or impose conditions
upon, the opening or maintaining in the United States of a
correspondent account or payable- through account by any
domestic financial institution or domestic financial agency
for or on behalf of a foreign banking institution, if such
correspondent account or payable-through account involves any
such jurisdiction or institution, or if any such transaction
may be conducted through such correspondent account or
payable-through account.
"(c) Consultations and Information To Be Considered in
Finding Jurisdictions, Institutions, Types of Accounts, or
Transactions To Be of Primary Money Laundering Concern.--
"(1) In general.--In making a finding that reasonable
grounds exist for concluding that a jurisdiction outside of
the United States, 1 or more financial institutions operating
outside of the United States, 1 or more classes of
transactions within, or involving, a jurisdiction outside of
the United States, or 1 or more types of accounts is of
primary money laundering concern so as to authorize the
Secretary to take 1 or more of the special measures described
in subsection (b), the Secretary shall consult with the
Secretary of State, and the Attorney General.
"(2) Additional considerations.--In making a finding
described in paragraph (1), the Secretary shall consider in
addition such information as the Secretary determines to be
relevant, including the following potentially relevant
factors:
"(A) Jurisdictional factors.--In the case of a particular
jurisdiction--
"(i) evidence that organized criminal groups,
international terrorists, or both, have transacted business
in that jurisdiction;
(ii) the extent to which that jurisdiction or financial
institutions operating in that jurisdiction offer bank
secrecy or special tax or regulatory advantages to
nonresidents or nondomiciliaries of that jurisdiction;
"(iii) the substance and quality of administration of the
bank supervisory and counter-money laundering laws of that
jurisdiction;
"(iv) the relationship between the volume of financial
transactions occurring in that jurisdiction and the size of
the economy of the jurisdiction;
"(v) the extent to which that jurisdiction is
characterized as a tax haven or offshore banking or secrecy
haven by credible international organizations or multilateral
expert groups;
"(vi) whether the United States has a mutual legal
assistance treaty with that jurisdiction, and the experience
of United States law enforcement officials, regulatory
officials, and tax administrators in obtaining information
about transactions originating in or routed through or to
such jurisdiction; and
"(vii) the extent to which that jurisdiction is
characterized by high levels of official or institutional
corruption.
"(B) Institutional factors.--In the case of a decision to
apply 1 or more of the special measures described in
subsection (b) only to a financial institution or
institutions, or to a transaction or class of transactions,
or to a type of account, or to all 3, within or involving a
particular jurisdiction--
"(i) the extent to which such financial institutions,
transactions, or types of accounts are used to facilitate or
promote money laundering in or through the jurisdiction;
"(ii) the extent to which such institutions, transactions,
or types of accounts are used for legitimate business
purposes in the jurisdiction; and
"(iii) the extent to which such action is sufficient to
ensure, with respect to transactions involving the
jurisdiction and institutions operating in the jurisdiction,
that the purposes of this subchapter continue to be
fulfilled, and to guard against international money
laundering and other financial crimes.
"(d) Notification of Special Measures Invoked by the
Secretary.--Not later than 10 days after the date of any
action taken by the Secretary under subsection (a)(1), the
Secretary shall notify, in writing, the Committee on
Financial Services of the House of Representatives and the
Committee on Banking, Housing, and Urban Affairs of the
Senate of any such action.
"(e) Study and Report on Foreign Nationals.--
"(1) Study.--The Secretary, in consultation with the
appropriate Federal agencies, including the Federal banking
agencies (as defined in section 3 of the Federal Deposit
Insurance Act), shall conduct a study to--
"(A) determine the most timely and effective way to
require foreign nationals to provide domestic financial
institutions and agencies with appropriate and accurate
information, comparable to that which is required of United
States nationals, concerning their identity, address, and
other related information necessary to enable such
institutions and agencies to comply with the reporting,
information gathering, and other requirements of this
section; and
"(B) consider the need for requiring foreign nationals to
apply for and obtain an identification number, similar to
what is required for United States citizens through a social
security number or tax identification number, prior to
opening an account with a domestic financial institution.
"(2) Report.--The Secretary shall report to Congress not
later than 180 days after the date of enactment of this
section with recommendations for implementing such action
referred to in paragraph (1) in a timely and effective
manner.
"(f) Definitions.--Notwithstanding any other provision of
this subchapter, for purposes of this section, the following
definitions shall apply:
"(1) Bank definitions.--The following definitions shall
apply with respect to a bank:
"(A) Account.--The term `account'--
"(i) means a formal banking or business relationship
established to provide regular services, dealings, and other
financial transactions; and
"(ii) includes a demand deposit, savings deposit, or other
transaction or asset account and a credit account or other
extension of credit.
"(B) Correspondent account.--The term `correspondent
account' means an account established to receive deposits
from, make payments on behalf of a foreign financial
institution, or handle other financial transactions related
to such institution.
"(C) Payable-through account.--The term `payable-through
account' means an account, including a transaction account
(as defined in section 19(b)(1)(C) of the Federal Reserve
Act), opened at a depository institution by a foreign
financial institution by means of which the foreign financial
institution permits its customers to engage, either directly
or through a subaccount, in banking activities usual in
connection with the business of banking in the United States.
"(2) Definitions applicable to institutions other than
banks.--With respect to any financial institution other than
a bank, the Secretary shall, after consultation with the
Securities and Exchange Commission, define by regulation the
term `account', and shall include within the meaning of that
term, to the extent, if any, that the Secretary deems
appropriate, arrangements similar to payable-through and
correspondent accounts.
"(3) Regulatory definition.--The Secretary shall
promulgate regulations defining beneficial ownership of an
account for purposes of this section. Such regulations shall
address issues related to an individual's authority to fund,
direct, or manage the account (including, without limitation,
the power to direct payments into or out of the account), and
an individual's material interest in the income or corpus of
the account, and shall ensure that the identification of
individuals under this section does not extend to any
individual whose beneficial interest in the income or corpus
of the account is immaterial.".
"(4) Other terms.--The Secretary may, by regulation,
further define the terms in paragraphs (1) and (2) and define
other terms for the purposes of this section, as the
Secretary deems appropriate.".
(b) Clerical Amendment.--The table of sections for
subchapter II of chapter 53 of title 31, United States Code,
is amended by inserting after the item relating to section
5318 the following new item:
"5318A. Special measures for jurisdictions, financial institutions, or
international transactions of primary money laundering
concern.".
SEC. 312. SPECIAL DUE DILIGENCE FOR CORRESPONDENT ACCOUNTS
AND PRIVATE BANKING ACCOUNTS.
(a) In General.--Section 5318 of title 31, United States
Code, is amended by adding at the end the following:
"(i) Due Diligence for United States Private Banking and
Correspondent Bank Accounts Involving Foreign Persons.--
"(1) In general.--Each financial institution that
establishes, maintains, administers, or manages a private
banking account or a correspondent account in the United
States for a non-United States person, including a foreign
individual visiting the United States, or a representative of
a non-United States person shall establish appropriate,
specific, and, where necessary, enhanced, due diligence
policies, procedures, and controls to detect and report
instances of money laundering through those accounts.
"(2) Minimum standards for correspondent accounts.--
"(A) In general.--Subparagraph (B) shall apply if a
correspondent account is requested or maintained by, or on
behalf of, a foreign bank operating--
[[Page S10316]]
"(i) under an offshore banking license; or
"(ii) under a banking license issued by a foreign country
that has been designated--
"(I) as noncooperative with international anti-money
laundering principles or procedures by an intergovernmental
group or organization of which the United States is a member;
or
"(II) by the Secretary as warranting special measures due
to money laundering concerns.
"(B) Policies, procedures, and controls.--The enhanced due
diligence policies, procedures, and controls required under
paragraph (1) shall, at a minimum, ensure that the financial
institution in the United States takes reasonable steps--
"(i) to ascertain for any such foreign bank, the shares of
which are not publicly traded, the identity of each of the
owners of the foreign bank, and the nature and extent of the
ownership interest of each such owner;
"(ii) to conduct enhanced scrutiny of such account to
guard against money laundering and report any suspicious
transactions under section 5318(g); and
"(iii) to ascertain whether such foreign bank provides
correspondent accounts to other foreign banks and, if so, the
identity of those foreign banks and related due diligence
information, as appropriate under paragraph (1).
"(3) Minimum standards for private banking accounts.--If a
private banking account is requested or maintained by, or on
behalf of, a non-United States person, then the due diligence
policies, procedures, and controls required under paragraph
(1) shall, at a minimum, ensure that the financial
institution takes reasonable steps--
"(A) to ascertain the identity of the nominal and
beneficial owners of, and the source of funds deposited into,
such account as needed to guard against money laundering and
report any suspicious transactions under section 5318(g); and
"(B) to conduct enhanced scrutiny of any such account that
is requested or maintained by, or on behalf of, a senior
foreign political figure, or any immediate family member or
close associate of a senior foreign political figure, to
prevent, detect, and report transactions that may involve the
proceeds of foreign corruption.
"(4) Definitions and regulatory authority.--
"(A) Offshore banking license.--For purposes of this
subsection, the term `offshore banking license' means a
license to conduct banking activities which, as a condition
of the license, prohibits the licensed entity from conducting
banking activities with the citizens of, or with the local
currency of, the country which issued the license.
"(B) Regulatory authority.--The Secretary, in consultation
with the appropriate functional regulators of the affected
financial institutions, may further delineate, by regulation
the due diligence policies, procedures, and controls required
under paragraph (1).".
(b) Effective Date.--The amendments made by this section
shall take effect beginning 180 days after the date of
enactment of this Act with respect to accounts covered by
section 5318(i) of title 31, United States Code, as added by
this section, that are opened before, on, or after the date
of enactment of this Act.
SEC. 313. PROHIBITION ON UNITED STATES CORRESPONDENT ACCOUNTS
WITH FOREIGN SHELL BANKS.
(a) In General.--Section 5318 of title 31, United States
Code, is amended by inserting after section 5318(i), as added
by section 312 of this title, the following:
"(j) Prohibition on United States Correspondent Accounts
With Foreign Shell Banks.--
"(1) In general.--A financial institution described in
subparagraphs (A) through (F) of section 5312(a)(2) (in this
subsection referred to as a `covered financial institution')
shall not establish, maintain, administer, or manage a
correspondent account in the United States for, or on behalf
of, a foreign bank that does not have a physical presence in
any country.
"(2) Prevention of indirect service to foreign shell
banks.--A covered financial institution shall take reasonable
steps to ensure that any correspondent account established,
maintained, administered, or managed by that covered
financial institution in the United States for a foreign bank
is not being used by that foreign bank to indirectly provide
banking services to another foreign bank that does not have a
physical presence in any country. The Secretary shall, by
regulation, delineate the reasonable steps necessary to
comply with this paragraph.
"(3) Exception.--Paragraphs (1) and (2) do not prohibit a
covered financial institution from providing a correspondent
account to a foreign bank, if the foreign bank--
"(A) is an affiliate of a depository institution, credit
union, or foreign bank that maintains a physical presence in
the United States or a foreign country, as applicable; and
"(B) is subject to supervision by a banking authority in
the country regulating the affiliated depository institution,
credit union, or foreign bank described in subparagraph (A),
as applicable.
"(4) Definitions.--For purposes of this subsection--
"(A) the term `affiliate' means a foreign bank that is
controlled by or is under common control with a depository
institution, credit union, or foreign bank; and
"(B) the term `physical presence' means a place of
business that--
"(i) is maintained by a foreign bank;
"(ii) is located at a fixed address (other than solely an
electronic address) in a country in which the foreign bank is
authorized to conduct banking activities, at which location
the foreign bank--
"(I) employs 1 or more individuals on a full-time basis;
and
"(II) maintains operating records related to its banking
activities; and
"(iii) is subject to inspection by the banking authority
which licensed the foreign bank to conduct banking
activities.".
SEC. 314. COOPERATIVE EFFORTS TO DETER MONEY LAUNDERING.
(a) Cooperation Among Financial Institutions, Regulatory
Authorities, and Law Enforcement Authorities.--
(1) Regulations.--The Secretary shall, within 120 days
after the date of enactment of this Act, adopt regulations to
encourage further cooperation among financial institutions,
their regulatory authorities, and law enforcement
authorities, with the specific purpose of encouraging
regulatory authorities and law enforcement authorities to
share with financial institutions information regarding
individuals, entities, and organizations engaged in or
reasonably suspected based on credible evidence of engaging
in terrorist acts or money laundering activities.
(2) Contents.--The regulations promulgated pursuant to
paragraph (1) may--
(A) require that each financial institution designate 1 or
more persons to receive information concerning, and to
monitor accounts of individuals, entities, and organizations
identified, pursuant to paragraph (1); and
(B) further establish procedures for the protection of the
shared information, consistent with the capacity, size, and
nature of the institution to which the particular procedures
apply.
(3) Rule of construction.--The receipt of information by a
financial institution pursuant to this section shall not
relieve or otherwise modify the obligations of the financial
institution with respect to any other person or account.
(4) Use of information.--Information received by a
financial institution pursuant to this section shall not be
used for any purpose other than identifying and reporting on
activities that may involve terrorist acts or money
laundering activities.
(b) Cooperation Among Financial Institutions.--Upon notice
provided to the Secretary, 2 or more financial institutions
and any association of financial institutions may share
information with one another regarding individuals, entities,
organizations, and countries suspected of possible terrorist
or money laundering activities. A financial institution or
association that transmits, receives, or shares such
information for the purposes of identifying and reporting
activities that may involve terrorist acts or money
laundering activities shall not be liable to any person under
any law or regulation of the United States, any constitution,
law, or regulation of any State or political subdivision
thereof, or under any contract or other legally enforceable
agreement (including any arbitration agreement), for such
disclosure or for any failure to provide notice of such
disclosure to the person who is the subject of such
disclosure, or any other person identified in the disclosure,
except where such transmission, receipt, or sharing violates
this section or regulations promulgated pursuant to this
section.
(c) Rule of Construction.--Compliance with the provisions
of this title requiring or allowing financial institutions
and any association of financial institutions to disclose or
share information regarding individuals, entities, and
organizations engaged in or suspected of engaging in
terrorist acts or money laundering activities shall not
constitute a violation of the provisions of title V of the
Gramm-Leach-Bliley Act (Public Law 106-102).
SEC. 315. INCLUSION OF FOREIGN CORRUPTION OFFENSES AS MONEY
LAUNDERING CRIMES.
Section 1956(c)(7)(B) of title 18, United States Code, is
amended--
(1) in clause (ii), by striking "or destruction of
property by means of explosive or fire" and inserting
"destruction of property by means of explosive or fire, or a
crime of violence (as defined in section 16)";
(2) in clause (iii), by striking "1978" and inserting
"1978)"; and
(3) by adding at the end the following:
"(iv) bribery of a public official, or the
misappropriation, theft, or embezzlement of public funds by
or for the benefit of a public official;
"(v) smuggling or export control violations involving--
"(I) an item controlled on the United States Munitions
List established under section 38 of the Arms Export Control
Act (22 U.S.C. 2778); or
"(II) an item controlled under regulations under the
Export Administration Act of 1977 (15 C.F.R. Parts 730-774);
"(vi) an offense with respect to which the United States
would be obligated by a multilateral treaty, either to
extradite the alleged offender or to submit the case for
prosecution, if the offender were found within the territory
of the United States; or
"(vii) the misuse of funds of, or provided by, the
International Monetary Fund in contravention of the Articles
of Agreement of the Fund or the misuse of funds of, or
provided by, any other international financial
[[Page S10317]]
institution (as defined in section 1701(c)(2) of the
International Financial Institutions Act (22 U.S.C.
262r(c)(2)) in contravention of any treaty or other
international agreement to which the United States is a
party, including any articles of agreement of the members of
the international financial institution;".
SEC. 316. ANTI-TERRORIST FORFEITURE PROTECTION.
(a) Right To Contest.--An owner of property that is
confiscated under any provision of law relating to the
confiscation of assets of suspected international terrorists,
may contest that confiscation by filing a claim in the manner
set forth in the Federal Rules of Civil Procedure
(Supplemental Rules for Certain Admiralty and Maritime
Claims), and asserting as an affirmative defense that--
(1) the property is not subject to confiscation under such
provision of law; or
(2) the innocent owner provisions of section 983(d) of
title 18, United States Code, apply to the case.
(b) Evidence.--In considering a claim filed under this
section, the Government may rely on evidence that is
otherwise inadmissible under the Federal Rules of Evidence,
if a court determines that such reliance is necessary to
protect the national security interests of the United States.
(c) Other Remedies.--Nothing in this section shall limit or
otherwise affect any other remedies that may be available to
an owner of property under section 983 of title 18, United
States Code, or any other provision of law.
SEC. 317. LONG-ARM JURISDICTION OVER FOREIGN MONEY
LAUNDERERS.
Section 1956(b) of title 18, United States Code, is
amended--
(1) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and moving the
margins 2 ems to the right;
(2) by inserting after "(b)" the following:
"Penalties.--
"(1) In general.--";
(3) by inserting ", or section 1957" after "or (a)(3)";
and
(4) by adding at the end the following:
"(2) Jurisdiction over foreign persons.--For purposes of
adjudicating an action filed or enforcing a penalty ordered
under this section, the district courts shall have
jurisdiction over any foreign person, including any financial
institution authorized under the laws of a foreign country,
against whom the action is brought, if service of process
upon the foreign person is made under the Federal Rules of
Civil Procedure or the laws of the country in which the
foreign person is found, and--
"(A) the foreign person commits an offense under
subsection (a) involving a financial transaction that occurs
in whole or in part in the United States;
"(B) the foreign person converts, to his or her own use,
property in which the United States has an ownership interest
by virtue of the entry of an order of forfeiture by a court
of the United States; or
"(C) the foreign person is a financial institution that
maintains a bank account at a financial institution in the
United States.
"(3) Court authority over assets.--A court described in
paragraph (2) may issue a pretrial restraining order or take
any other action necessary to ensure that any bank account or
other property held by the defendant in the United States is
available to satisfy a judgment under this section.
"(4) Federal receiver.--
"(A) In general.--A court described in paragraph (2) may
appoint a Federal Receiver, in accordance with subparagraph
(B) of this paragraph, to collect, marshal, and take custody,
control, and possession of all assets of the defendant,
wherever located, to satisfy a judgment under this section or
section 981, 982, or 1957, including an order of restitution
to any victim of a specified unlawful activity.
"(B) Appointment and authority.--A Federal Receiver
described in subparagraph (A)--
"(i) may be appointed upon application of a Federal
prosecutor or a Federal or State regulator, by the court
having jurisdiction over the defendant in the case;
"(ii) shall be an officer of the court, and the powers of
the Federal Receiver shall include the powers set out in
section 754 of title 28, United States Code; and
"(iii) shall have standing equivalent to that of a Federal
prosecutor for the purpose of submitting requests to obtain
information regarding the assets of the defendant--
"(I) from the Financial Crimes Enforcement Network of the
Department of the Treasury; or
"(II) from a foreign country pursuant to a mutual legal
assistance treaty, multilateral agreement, or other
arrangement for international law enforcement assistance,
provided that such requests are in accordance with the
policies and procedures of the Attorney General.".
SEC. 318. LAUNDERING MONEY THROUGH A FOREIGN BANK.
Section 1956(c) of title 18, United States Code, is amended
by striking paragraph (6) and inserting the following:
"(6) the term `financial institution' includes--
"(A) any financial institution, as defined in section
5312(a)(2) of title 31, United States Code, or the
regulations promulgated thereunder; and
"(B) any foreign bank, as defined in section 1 of the
International Banking Act of 1978 (12 U.S.C. 3101).".
SEC. 319. FORFEITURE OF FUNDS IN UNITED STATES INTERBANK
ACCOUNTS.
(a) Forfeiture From United States Interbank Account.--
Section 981 of title 18, United States Code, is amended by
adding at the end the following:
"(k) Interbank Accounts.--
"(1) In general.--
"(A) In general.--For the purpose of a forfeiture under
this section or under the Controlled Substances Act (21
U.S.C. 801 et seq.), if funds are deposited into an account
at a foreign bank, and that foreign bank has an interbank
account in the United States with a covered financial
institution (as defined in section 5318A of title 31), the
funds shall be deemed to have been deposited into the
interbank account in the United States, and any restraining
order, seizure warrant, or arrest warrant in rem regarding
the funds may be served on the covered financial institution,
and funds in the interbank account, up to the value of the
funds deposited into the account at the foreign bank, may be
restrained, seized, or arrested.
"(B) Authority to suspend.--The Attorney General, in
consultation with the Secretary, may suspend or terminate a
forfeiture under this section if the Attorney General
determines that a conflict of law exists between the laws of
the jurisdiction in which the foreign bank is located and the
laws of the United States with respect to liabilities arising
from the restraint, seizure, or arrest of such funds, and
that such suspension or termination would be in the interest
of justice and would not harm the national interests of the
United States.
"(2) No requirement for government to trace funds.--If a
forfeiture action is brought against funds that are
restrained, seized, or arrested under paragraph (1), it shall
not be necessary for the Government to establish that the
funds are directly traceable to the funds that were deposited
into the foreign bank, nor shall it be necessary for the
Government to rely on the application of section 984.
"(3) Claims brought by owner of the funds.--If a
forfeiture action is instituted against funds restrained,
seized, or arrested under paragraph (1), the owner of the
funds deposited into the account at the foreign bank may
contest the forfeiture by filing a claim under section 983.
"(4) Definitions.--For purposes of this subsection, the
following definitions shall apply:
"(A) Interbank account.--The term `interbank account' has
the same meaning as in section 984(c)(2)(B).
"(B) Owner.--
"(i) In general.--Except as provided in clause (ii), the
term `owner'--
"(I) means the person who was the owner, as that term is
defined in section 983(d)(6), of the funds that were
deposited into the foreign bank at the time such funds were
deposited; and
"(II) does not include either the foreign bank or any
financial institution acting as an intermediary in the
transfer of the funds into the interbank account.
"(ii) Exception.--The foreign bank may be considered the
`owner' of the funds (and no other person shall qualify as
the owner of such funds) only if--
"(I) the basis for the forfeiture action is wrongdoing
committed by the foreign bank; or
"(II) the foreign bank establishes, by a preponderance of
the evidence, that prior to the restraint, seizure, or arrest
of the funds, the foreign bank had discharged all or part of
its obligation to the prior owner of the funds, in which case
the foreign bank shall be deemed the owner of the funds to
the extent of such discharged obligation.".
(b) Bank Records.--Section 5318 of title 31, United States
Code, is amended by adding at the end the following:
"(k) Bank Records Related to Anti-Money Laundering
Programs.--
"(1) Definitions.--For purposes of this subsection, the
following definitions shall apply:
"(A) Appropriate federal banking agency.--The term
`appropriate Federal banking agency' has the same meaning as
in section 3 of the Federal Deposit Insurance Act (12 U.S.C.
1813).
"(B) Incorporated terms.--The terms `correspondent
account', `covered financial institution', and `foreign bank'
have the same meanings as in section 5318A.
"(2) 120-hour rule.--Not later than 120 hours after
receiving a request by an appropriate Federal banking agency
for information related to anti-money laundering compliance
by a covered financial institution or a customer of such
institution, a covered financial institution shall provide to
the appropriate Federal banking agency, or make available at
a location specified by the representative of the appropriate
Federal banking agency, information and account documentation
for any account opened, maintained, administered or managed
in the United States by the covered financial institution.
"(3) Foreign bank records.--
"(A) Summons or subpoena of records.--
"(i) In general.--The Secretary or the Attorney General
may issue a summons or subpoena to any foreign bank that
maintains a correspondent account in the United States and
request records related to such correspondent account,
including records maintained outside of the United States
relating to the deposit of funds into the foreign bank.
"(ii) Service of summons or subpoena.--A summons or
subpoena referred to in clause (i) may be served on the
foreign bank in the
[[Page S10318]]
United States if the foreign bank has a representative in the
United States, or in a foreign country pursuant to any mutual
legal assistance treaty, multilateral agreement, or other
request for international law enforcement assistance.
"(B) Acceptance of service.--
"(i) Maintaining records in the united states.--Any
covered financial institution which maintains a correspondent
account in the United States for a foreign bank shall
maintain records in the United States identifying the owners
of such foreign bank and the name and address of a person who
resides in the United States and is authorized to accept
service of legal process for records regarding the
correspondent account.
"(ii) Law enforcement request.--Upon receipt of a written
request from a Federal law enforcement officer for
information required to be maintained under this paragraph,
the covered financial institution shall provide the
information to the requesting officer not later than 7 days
after receipt of the request.
"(C) Termination of correspondent relationship.--
"(i) Termination upon receipt of notice.--A covered
financial institution shall terminate any correspondent
relationship with a foreign bank not later than 10 business
days after receipt of written notice from the Secretary or
the Attorney General that the foreign bank has failed--
"(I) to comply with a summons or subpoena issued under
subparagraph (A); or
"(II) to initiate proceedings in a United States court
contesting such summons or subpoena.
"(ii) Limitation on liability.--A covered financial
institution shall not be liable to any person in any court or
arbitration proceeding for terminating a correspondent
relationship in accordance with this subsection.
"(iii) Failure to terminate relationship.--Failure to
terminate a correspondent relationship in accordance with
this subsection shall render the covered financial
institution liable for a civil penalty of up to $10,000 per
day until the correspondent relationship is so terminated.".
(c) Grace Period.--Financial institutions affected by
section 5333 of title 31 United States Code, as amended by
this title, shall have 60 days from the date of enactment of
this Act to comply with the provisions of that section.
(d) Requests for Records.--Section 3486(a)(1) of title 18,
United States Code, is amended by striking ", or (II) a
Federal offense involving the sexual exploitation or abuse of
children" and inserting ", (II) a Federal offense involving
the sexual exploitation or abuse of children, or (III) money
laundering, in violation of section 1956, 1957, or 1960 of
this title".
(e) Authority To Order Convicted Criminal To Return
Property Located Abroad.--
(1) Forfeiture of substitute property.--Section 413(p) of
the Controlled Substances Act (21 U.S.C. 853) is amended to
read as follows:
"(p) Forfeiture of Substitute Property.--
"(1) In general.--Paragraph (2) of this subsection shall
apply, if any property described in subsection (a), as a
result of any act or omission of the defendant--
"(A) cannot be located upon the exercise of due diligence;
"(B) has been transferred or sold to, or deposited with, a
third party;
"(C) has been placed beyond the jurisdiction of the court;
"(D) has been substantially diminished in value; or
"(E) has been commingled with other property which cannot
be divided without difficulty.
"(2) Substitute property.--In any case described in any of
subparagraphs (A) through (E) of paragraph (1), the court
shall order the forfeiture of any other property of the
defendant, up to the value of any property described in
subparagraphs (A) through (E) of paragraph (1), as
applicable.
"(3) Return of property to jurisdiction.--In the case of
property described in paragraph (1)(C), the court may, in
addition to any other action authorized by this subsection,
order the defendant to return the property to the
jurisdiction of the court so that the property may be seized
and forfeited.".
(2) Protective orders.--Section 413(e) of the Controlled
Substances Act (21 U.S.C. 853(e)) is amended by adding at the
end the following:
"(4) Order to repatriate and deposit.--
"(A) In general.--Pursuant to its authority to enter a
pretrial restraining order under this section, including its
authority to restrain any property forfeitable as substitute
assets, the court may order a defendant to repatriate any
property that may be seized and forfeited, and to deposit
that property pending trial in the registry of the court, or
with the United States Marshals Service or the Secretary of
the Treasury, in an interest-bearing account, if appropriate.
"(B) Failure to comply.--Failure to comply with an order
under this subsection, or an order to repatriate property
under subsection (p), shall be punishable as a civil or
criminal contempt of court, and may also result in an
enhancement of the sentence of the defendant under the
obstruction of justice provision of the Federal Sentencing
Guidelines.".
SEC. 320. PROCEEDS OF FOREIGN CRIMES.
Section 981(a)(1)(B) of title 18, United States Code, is
amended to read as follows:
"(B) Any property, real or personal, within the
jurisdiction of the United States, constituting, derived
from, or traceable to, any proceeds obtained directly or
indirectly from an offense against a foreign nation, or any
property used to facilitate such an offense, if the offense--
"(i) involves the manufacture, importation, sale, or
distribution of a controlled substance (as that term is
defined for purposes of the Controlled Substances Act), or
any other conduct described in section 1956(c)(7)(B);
"(ii) would be punishable within the jurisdiction of the
foreign nation by death or imprisonment for a term exceeding
1 year; and
"(iii) would be punishable under the laws of the United
States by imprisonment for a term exceeding 1 year, if the
act or activity constituting the offense had occurred within
the jurisdiction of the United States.".
SEC. 321. EXCLUSION OF ALIENS INVOLVED IN MONEY LAUNDERING.
Section 212(a)(2) of the Immigration and Nationality Act of
1952 (8 U.S.C. 1182(a)(2)) is amended by adding at the end
the following:
"(I) Money laundering activities.--Any alien who the
consular officer or the Attorney General knows or has reason
to believe is or has been engaged in activities which, if
engaged in within the United States would constitute a
violation of section 1956 or 1957 of title 18, United States
Code, or has been a knowing assister, abettor, conspirator,
or colluder with others in any such illicit activity is
inadmissible.".
SEC. 322. CORPORATION REPRESENTED BY A FUGITIVE.
Section 2466 of title 18, United States Code, is amended by
designating the present matter as subsection (a), and adding
at the end the following:
"(b) Subsection (a) may be applied to a claim filed by a
corporation if any majority shareholder, or individual filing
the claim on behalf of the corporation is a person to whom
subsection (a) applies.".
SEC. 323. ENFORCEMENT OF FOREIGN JUDGMENTS.
Section 2467 of title 28, United States Code, is amended--
(1) in subsection (d), by adding the following after
paragraph (2):
"(3) Preservation of property.--To preserve the
availability of property subject to a foreign forfeiture or
confiscation judgment, the Government may apply for, and the
court may issue, a restraining order pursuant to section
983(j) of title 18, United States Code, at any time before or
after an application is filed pursuant to subsection (c)(1).
The court, in issuing the restraining order--
"(A) may rely on information set forth in an affidavit
describing the nature of the proceeding investigation
underway in the foreign country, and setting forth a
reasonable basis to believe that the property to be
restrained will be named in a judgment of forfeiture at the
conclusion of such proceeding; or
"(B) may register and enforce a restraining order has been
issued by a court of competent jurisdiction in the foreign
country and certified by the Attorney General pursuant to
subsection (b)(2).
No person may object to the restraining order on any ground
that is the subject to parallel litigation involving the same
property that is pending in a foreign court.";
(2) in subsection (b)(1)(C), by striking "establishing
that the defendant received notice of the proceedings in
sufficient time to enable the defendant" and inserting
"establishing that the foreign nation took steps, in
accordance with the principles of due process, to give notice
of the proceedings to all persons with an interest in the
property in sufficient time to enable such persons";
(3) in subsection (d)(1)(D), by striking "the defendant in
the proceedings in the foreign court did not receive notice"
and inserting "the foreign nation did not take steps, in
accordance with the principles of due process, to give notice
of the proceedings to a person with an interest in the
property"; and
(4) in subsection (a)(2)(A), by inserting ", any violation
of foreign law that would constitute a violation of an
offense for which property could be forfeited under Federal
law if the offense were committed in the United States"
after "United Nations Convention".
SEC. 324. INCREASE IN CIVIL AND CRIMINAL PENALTIES FOR MONEY
LAUNDERING.
(a) Civil Penalties.--Section 5321(a) of title 31, United
States Code, is amended by adding at the end the following:
"(7) Penalties for international counter money laundering
violations.--The Secretary may impose a civil money penalty
in an amount equal to not less than 2 times the amount of the
transaction, but not more than $1,000,000, on any financial
institution or agency that violates any provision of
subsection (i) or (j) of section 5318 or any special measures
imposed under section 5318A.".
(b) Criminal Penalties.--Section 5322 of title 31, United
States Code, is amended by adding at the end the following:
"(d) A financial institution or agency that violates any
provision of subsection (i) or (j) of section 5318, or any
special measures imposed under section 5318A, or any
regulation prescribed under subsection (i) or (j) of section
5318 or section 5318A, shall be fined in an amount equal to
not less than 2 times the amount of the transaction, but not
more than $1,000,000.".
[[Page S10319]]
SEC. 325. REPORT AND RECOMMENDATION.
Not later than 30 months after the date of enactment of
this Act, the Secretary, in consultation with the Attorney
General, the Federal banking agencies (as defined at section
3 of the Federal Deposit Insurance Act), the Securities and
Exchange Commission, and such other agencies as the Secretary
may determine, at the discretion of the Secretary, shall
evaluate the operations of the provisions of this subtitle
and make recommendations to Congress as to any legislative
action with respect to this subtitle as the Secretary may
determine to be necessary or advisable.
SEC. 326. REPORT ON EFFECTIVENESS.
The Secretary shall report annually on measures taken
pursuant to this subtitle, and shall submit the report to the
Committee on Banking, Housing, and Urban Affairs of the
Senate and to the Committee on Financial Services of the
House of Representatives.
SEC. 327. CONCENTRATION ACCOUNTS AT FINANCIAL INSTITUTIONS.
Section 5318(h) of title 31, United States Code, as amended
by section 202 of this title, is amended by adding at the end
the following:
"(3) Concentration accounts.--The Secretary may issue
regulations under this subsection that govern maintenance of
concentration accounts by financial institutions, in order to
ensure that such accounts are not used to prevent association
of the identity of an individual customer with the movement
of funds of which the customer is the direct or beneficial
owner, which regulations shall, at a minimum--
"(A) prohibit financial institutions from allowing clients
to direct transactions that move their funds into, out of, or
through the concentration accounts of the financial
institution;
"(B) prohibit financial institutions and their employees
from informing customers of the existence of, or the means of
identifying, the concentration accounts of the institution;
and
"(C) require each financial institution to establish
written procedures governing the documentation of all
transactions involving a concentration account, which
procedures shall ensure that, any time a transaction
involving a concentration account commingles funds belonging
to 1 or more customers, the identity of, and specific amount
belonging to, each customer is documented.".
Subtitle B--Currency Transaction Reporting Amendments and Related
Improvements
SEC. 331. AMENDMENTS RELATING TO REPORTING OF SUSPICIOUS
ACTIVITIES.
(a) Amendment Relating to Civil Liability Immunity for
Disclosures.--Section 5318(g)(3) of title 31, United States
Code, is amended to read as follows:
"(3) Liability for disclosures.--
"(A) In general.--Any financial institution that makes a
voluntary disclosure of any possible violation of law or
regulation to a government agency or makes a disclosure
pursuant to this subsection or any other authority, and any
director, officer, employee, or agent of such institution who
makes, or requires another to make any such disclosure, shall
not be liable to any person under any law or regulation of
the United States, any constitution, law, or regulation of
any State or political subdivision of any State, or under any
contract or other legally enforceable agreement (including
any arbitration agreement), for such disclosure or for any
failure to provide notice of such disclosure to the person
who is the subject of such disclosure or any other person
identified in the disclosure.
"(B) Rule of construction.--Subparagraph (A) shall not be
construed as creating--
"(i) any inference that the term `person', as used in such
subparagraph, may be construed more broadly than its ordinary
usage so as to include any government or agency of
government; or
"(ii) any immunity against, or otherwise affecting, any
civil or criminal action brought by any government or agency
of government to enforce any constitution, law, or regulation
of such government or agency.".
(b) Prohibition on Notification of Disclosures.--Section
5318(g)(2) of title 31, United States Code, is amended to
read as follows:
"(2) Notification prohibited.--
"(A) In general.--If a financial institution or any
director, officer, employee, or agent of any financial
institution, voluntarily or pursuant to this section or any
other authority, reports a suspicious transaction to a
government agency--
"(i) the financial institution, director, officer,
employee, or agent may not notify any person involved in the
transaction that the transaction has been reported; and
"(ii) no officer or employee of the Federal Government or
of any State, local, tribal, or territorial government within
the United States, who has any knowledge that such report was
made may disclose to any person involved in the transaction
that the transaction has been reported, other than as
necessary to fulfill the official duties of such officer or
employee.
"(B) Disclosures in certain employment references.--
"(i) Rule of construction.--Notwithstanding the
application of subparagraph (A) in any other context,
subparagraph (A) shall not be construed as prohibiting any
financial institution, or any director, officer, employee, or
agent of such institution, from including information that
was included in a report to which subparagraph (A) applies--
"(I) in a written employment reference that is provided in
accordance with section 18(v) of the Federal Deposit
Insurance Act in response to a request from another financial
institution, except that such written reference may not
disclose that such information was also included in any such
report or that such report was made; or
"(II) in a written termination notice or employment
reference that is provided in accordance with the rules of
the self-regulatory organizations registered with the
Securities and Exchange Commission, except that such written
notice or reference may not disclose that such information
was also included in any such report or that such report was
made.
"(ii) Information not required.--Clause (i) shall not be
construed, by itself, to create any affirmative duty to
include any information described in clause (i) in any
employment reference or termination notice referred to in
clause (i).".
SEC. 332. ANTI-MONEY LAUNDERING PROGRAMS.
Section 5318(h) of title 31, United States Code, is amended
to read as follows:
"(h) Anti-money Laundering Programs.--
"(1) In general.--In order to guard against money
laundering through financial institutions, each financial
institution shall establish anti-money laundering programs,
including, at a minimum--
"(A) the development of internal policies, procedures, and
controls;
"(B) the designation of a compliance officer;
"(C) an ongoing employee training program; and
"(D) an independent audit function to test programs.
"(2) Regulations.--The Secretary may prescribe minimum
standards for programs established under paragraph (1), and
may exempt from the application of those standards any
financial institution that is not subject to the provisions
of the rules contained in part 103 of title 31, of the Code
of Federal Regulations, or any successor rule thereto, for so
long as such financial institution is not subject to the
provisions of such rules.".
SEC. 333. PENALTIES FOR VIOLATIONS OF GEOGRAPHIC TARGETING
ORDERS AND CERTAIN RECORDKEEPING REQUIREMENTS,
AND LENGTHENING EFFECTIVE PERIOD OF GEOGRAPHIC
TARGETING ORDERS.
(a) Civil Penalty for Violation of Targeting Order.--
Section 5321(a)(1) of title 31, United States Code, is
amended--
(1) by inserting "or order issued" after "subchapter or
a regulation prescribed"; and
(2) by inserting ", or willfully violating a regulation
prescribed under section 21 of the Federal Deposit Insurance
Act or section 123 of Public Law 91-508," after "sections
5314 and 5315)".
(b) Criminal Penalties for Violation of Targeting Order.--
Section 5322 of title 31, United States Code, is amended--
(1) in subsection (a)--
(A) by inserting "or order issued" after "willfully
violating this subchapter or a regulation prescribed"; and
(B) by inserting ", or willfully violating a regulation
prescribed under section 21 of the Federal Deposit Insurance
Act or section 123 of Public Law 91-508," after "under
section 5315 or 5324)"; and
(2) in subsection (b)--
(A) by inserting "or order issued" after "willfully
violating this subchapter or a regulation prescribed"; and
(B) by inserting "or willfully violating a regulation
prescribed under section 21 of the Federal Deposit Insurance
Act or section 123 of Public Law 91-508," after "under
section 5315 or 5324),".
(c) Structuring Transactions To Evade Targeting Order or
Certain Recordkeeping Requirements.--Section 5324(a) of title
31, United States Code, is amended--
(1) by inserting a comma after "shall";
(2) by striking "section--" and inserting "section, the
reporting or recordkeeping requirements imposed by any order
issued under section 5326, or the recordkeeping requirements
imposed by any regulation prescribed under section 21 of the
Federal Deposit Insurance Act or section 123 of Public Law
91-508--";
(3) in paragraph (1), by inserting ", to file a report or
to maintain a record required by an order issued under
section 5326, or to maintain a record required pursuant to
any regulation prescribed under section 21 of the Federal
Deposit Insurance Act or section 123 of Public Law 91-508"
after "regulation prescribed under any such section"; and
(4) in paragraph (2), by inserting ", to file a report or
to maintain a record required by any order issued under
section 5326, or to maintain a record required pursuant to
any regulation prescribed under section 5326, or to maintain
a record required pursuant to any regulation prescribed under
section 21 of the Federal Deposit Insurance Act or section
123 of Public Law 91-508," after "regulation prescribed
under any such section".
(d) Lengthening Effective Period of Geographic Targeting
Orders.--Section 5326(d) of title 31, United States Code, is
amended by striking "more than 60" and inserting "more
than 180".
SEC. 334. ANTI-MONEY LAUNDERING STRATEGY.
(b) Strategy.--Section 5341(b) of title 31, United States
Code, is amended by adding at the end the following:
"(12) Data regarding funding of terrorism.--Data
concerning money laundering
[[Page S10320]]
efforts related to the funding of acts of international
terrorism, and efforts directed at the prevention, detection,
and prosecution of such funding.".
SEC. 335. AUTHORIZATION TO INCLUDE SUSPICIONS OF ILLEGAL
ACTIVITY IN WRITTEN EMPLOYMENT REFERENCES.
Section 18 of the Federal Deposit Insurance Act (12 U.S.C.
1828) is amended by adding at the end the following:
"(v) Written Employment References May Contain Suspicions
of Involvement in Illegal Activity.--
"(1) Authority to disclose information.--Notwithstanding
any other provision of law, any insured depository
institution, and any director, officer, employee, or agent of
such institution, may disclose in any written employment
reference relating to a current or former institution-
affiliated party of such institution which is provided to
another insured depository institution in response to a
request from such other institution, information concerning
the possible involvement of such institution-affiliated party
in potentially unlawful activity.
"(2) Information not required.--Nothing in paragraph (1)
shall be construed, by itself, to create any affirmative duty
to include any information described in paragraph (1) in any
employment reference referred to in paragraph (1).
"(3) Malicious intent.--Notwithstanding any other
provision of this subsection, voluntary disclosure made by an
insured depository institution, and any director, officer,
employee, or agent of such institution under this subsection
concerning potentially unlawful activity that is made with
malicious intent, shall not be shielded from liability from
the person identified in the disclosure.
"(4) Definition.--For purposes of this subsection, the
term `insured depository institution' includes any uninsured
branch or agency of a foreign bank.".
SEC. 336. BANK SECRECY ACT ADVISORY GROUP.
Section 1564 of the Annunzio-Wylie Anti-Money Laundering
Act (31 U.S.C. 5311 note) is amended--
(1) in subsection (a), by inserting ", of nongovernmental
organizations advocating financial privacy," after "Drug
Control Policy"; and
(2) in subsection (c), by inserting ", other than
subsections (a) and (d) of such Act which shall apply"
before the period at the end.
SEC. 337. AGENCY REPORTS ON RECONCILING PENALTY AMOUNTS.
Not later than 1 year after the date of enactment of this
Act, the Secretary of the Treasury and the Federal banking
agencies (as defined in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813)) shall each submit their
respective reports to the Congress containing recommendations
on possible legislation to conform the penalties imposed on
depository institutions (as defined in section 3 of the
Federal Deposit Insurance Act) for violations of subchapter
II of chapter 53 of title 31, United States Code, to the
penalties imposed on such institutions under section 8 of the
Federal Deposit Insurance Act (12 U.S.C. 1818).
SEC. 338. REPORTING OF SUSPICIOUS ACTIVITIES BY SECURITIES
BROKERS AND DEALERS; INVESTMENT COMPANY STUDY.
(a) 270-Day Regulation Deadline.--Not later than 270 days
after the date of enactment of this Act, the Secretary of the
Treasury, after consultation with the Securities and Exchange
Commission and the Board of Governors of the Federal Reserve
System, shall issue final regulations requiring registered
brokers and dealers to file reports of suspicious financial
transactions, consistent with the requirements applicable to
financial institutions, and directors, officers, employees,
and agents of financial institutions under section 5318(g) of
title 31, United States Code.
(b) Report on Investment Companies.--
(1) In general.--Not later than 1 year after the date of
enactment of this Act, Secretary of the Treasury, the Board
of Governors of the Federal Reserve System, and the
Securities and Exchange Commission shall jointly submit a
report to Congress on recommendations for effective
regulations to apply the requirements of subchapter II of
chapter 53 of title 31, United States Code, to investment
companies, pursuant to section 5312(a)(2)(I) of title 31,
United States Code.
(2) Definition.--For purposes of this section, the term
"investment company"--
(A) has the same meaning as in section 3 of the Investment
Company Act of 1940 (15 U.S.C. 80a-3); and
(B) any person that, but for the exceptions provided for in
paragraph (1) or (7) of section 3(c) of the Investment
Company Act of 1940 (15 U.S.C. 80a-3(c)), would be an
investment company.
(3) Additional recommendations.--In its report, the
Securities and Exchange Commission may make different
recommendations for different types of entities covered by
this section.
(4) Beneficial ownership of personal holding companies.--
The report described in paragraph (1) shall also include
recommendations as to whether the Secretary should promulgate
regulations to treat any corporation or business or other
grantor trust whose assets are predominantly securities, bank
certificates of deposit, or other securities or investment
instruments (other than such as relate to operating
subsidiaries of such corporation or trust) and that has 5 or
fewer common shareholders or holders of beneficial or other
equity interest, as a financial institution within the
meaning of that phrase in section 5312(a)(2)(I) and whether
to require such corporations or trusts to disclose their
beneficial owners when opening accounts or initiating funds
transfers at any domestic financial institution.
SEC. 339. SPECIAL REPORT ON ADMINISTRATION OF BANK SECRECY
PROVISIONS.
(a) Report Required.--Not later than 6 months after the
date of enactment of this Act, the Secretary shall submit a
report to the Congress relating to the role of the Internal
Revenue Service in the administration of subchapter II of
chapter 53 of title 31, United States Code (commonly known as
the "Bank Secrecy Act").
(b) Contents.--The report required by subsection (a)--
(1) shall specifically address, and contain recommendations
concerning--
(A) whether it is advisable to shift the processing of
information reporting to the Department of the Treasury under
the Bank Secrecy Act provisions to facilities other than
those managed by the Internal Revenue Service; and
(B) whether it remains reasonable and efficient, in light
of the objective of both anti-money-laundering programs and
Federal tax administration, for the Internal Revenue Service
to retain authority and responsibility for audit and
examination of the compliance of money services businesses
and gaming institutions with those Bank Secrecy Act
provisions; and
(2) shall, if the Secretary determines that the information
processing responsibility or the audit and examination
responsibility of the Internal Revenue Service, or both, with
respect to those Bank Secrecy Act provisions should be
transferred to other agencies, include the specific
recommendations of the Secretary regarding the agency or
agencies to which any such function should be transferred,
complete with a budgetary and resources plan for
expeditiously accomplishing the transfer.
SEC. 340. BANK SECRECY PROVISIONS AND ANTI-TERRORIST
ACTIVITIES OF UNITED STATES INTELLIGENCE
AGENCIES.
(a) Amendment relating to the Purposes of the Bank Secrecy
Act.--Section 5311 of title 31, United States Code, is
amended by inserting before the period at the end the
following: ", or in the conduct of intelligence or
counterintelligence activities, including analysis, to
protect against international terrorism".
(b) Amendment Relating to Reporting of Suspicious
Activities.--Section 5318(g)(4)(B) of title 31, United States
Code, is amended by striking "or supervisory agency" and
inserting ", supervisory agency, or United States
intelligence agency for use in the conduct of intelligence or
counterintelligence activities, including analysis, to
protect against international terrorism".
(c) Amendment Relating to Availability of Reports.--Section
5319 of title 31, United States Code, is amended to read as
follows:
"Sec. 5319. Availability of reports
"The Secretary of the Treasury shall make information in a
report filed under this subchapter available to an agency,
including any State financial institutions supervisory agency
or United States intelligence agency, upon request of the
head of the agency. The report shall be available for a
purpose that is consistent with this subchapter. The
Secretary may only require reports on the use of such
information by any State financial institutions supervisory
agency for other than supervisory purposes or by United
States intelligence agencies. However, a report and records
of reports are exempt from disclosure under section 552 of
title 5.".
(d) Amendment Relating to the Purposes of the Bank Secrecy
Act Provisions.--Section 21(a) of the Federal Deposit
Insurance Act (12 U.S.C. 1829b(a)) is amended to read as
follows:
"(a) Congressional Findings and Declaration of Purpose.--
"(1) Findings.--Congress finds that--
"(A) adequate records maintained by insured depository
institutions have a high degree of usefulness in criminal,
tax, and regulatory investigations or proceedings, and that,
given the threat posed to the security of the Nation on and
after the terrorist attacks against the United States on
September 11, 2001, such records may also have a high degree
of usefulness in the conduct of intelligence or
counterintelligence activities, including analysis, to
protect against domestic and international terrorism; and
"(B) microfilm or other reproductions and other records
made by insured depository institutions of checks, as well as
records kept by such institutions, of the identity of persons
maintaining or authorized to act with respect to accounts
therein, have been of particular value in proceedings
described in subparagraph (A).
"(2) Purpose.--It is the purpose of this section to
require the maintenance of appropriate types of records by
insured depository institutions in the United States where
such records have a high degree of usefulness in criminal,
tax, or regulatory investigations or proceedings, recognizes
that, given the threat posed to the security of the Nation on
and after the terrorist attacks against the United States on
September 11, 2001, such records may also have a high degree
of usefulness in the conduct of intelligence or
counterintelligence activities, including analysis, to
protect against international terrorism.".
(e) Amendment Relating to the Purposes of the Bank Secrecy
Act.--Section 123(a) of
[[Page S10321]]
Public Law 91-508 (12 U.S.C. 1953(a)) is amended to read as
follows:
"(a) Regulations.--If the Secretary determines that the
maintenance of appropriate records and procedures by any
uninsured bank or uninsured institution, or any person
engaging in the business of carrying on in the United States
any of the functions referred to in subsection (b), has a
high degree of usefulness in criminal, tax, or regulatory
investigations or proceedings, and that, given the threat
posed to the security of the Nation on and after the
terrorist attacks against the United States on September 11,
2001, such records may also have a high degree of usefulness
in the conduct of intelligence or counterintelligence
activities, including analysis, to protect against
international terrorism, he may by regulation require such
bank, institution, or person.".
(f) Amendments to the Right to Financial Privacy Act.--The
Right to Financial Privacy Act of 1978 is amended--
(1) in section 1112(a) (12 U.S.C. 3412(a)), by inserting
", or intelligence or counterintelligence activity,
investigation or analysis related to international
terrorism" after "legitimate law enforcement inquiry"; and
(2) in section 1114(a)(1) (12 U.S.C. 3414(a)(1))--
(A) in subparagraph (A), by striking "or" at the end;
(B) in subparagraph (B), by striking the period at the end
and inserting "; or"; and
(C) by adding at the end the following:
"(C) a Government authority authorized to conduct
investigations of, or intelligence or counterintelligence
analyses related to, international terrorism for the purpose
of conducting such investigations or analyses.".
(g) Amendment to the Fair Credit Reporting Act.--The Fair
Credit Reporting Act (15 U.S.C. 1681 et seq.) is amended by
adding at the end the following new section:
"SEC. 626. DISCLOSURES TO GOVERNMENTAL AGENCIES FOR
COUNTERTERRORISM PURPOSES.
"(a) Disclosure.--Notwithstanding section 604 or any other
provision of this title, a consumer reporting agency shall
furnish a consumer report of a consumer and all other
information in a consumer's file to a government agency
authorized to conduct investigations of, or intelligence or
counterintelligence activities or analysis related to,
international terrorism when presented with a written
certification by such government agency that such information
is necessary for the agency's conduct or such investigation,
activity or analysis.
"(b) Form of Certification.--The certification described
in subsection (a) shall be signed by the Secretary of the
Treasury.
"(c) Confidentiality.--No consumer reporting agency, or
officer, employee, or agent of such consumer reporting
agency, shall disclose to any person, or specify in any
consumer report, that a government agency has sought or
obtained access to information under subsection (a).
"(d) Rule of Construction.--Nothing in section 625 shall
be construed to limit the authority of the Director of the
Federal Bureau of Investigation under this section.
"(e) Safe Harbor.--Notwithstanding any other provision of
this subchapter, any consumer reporting agency or agent or
employee thereof making disclosure of consumer reports or
other information pursuant to this section in good-faith
reliance upon a certification of a governmental agency
pursuant to the provisions of this section shall not be
liable to any person for such disclosure under this
subchapter, the constitution of any State, or any law or
regulation of any State or any political subdivision of any
State.".
SEC. 341. REPORTING OF SUSPICIOUS ACTIVITIES BY HAWALA AND
OTHER UNDERGROUND BANKING SYSTEMS.
(a) Definition for Subchapter.--Section 5312(a)(2)(R) of
title 31, United States Code, is amended to read as follows:
"(R) a licensed sender of money or any other person who
engages as a business in the transmission of funds, including
through an informal value transfer banking system or network
of people facilitating the transfer of value domestically or
internationally outside of the conventional financial
institutions system;".
(b) Money Transmitting Business.--Section 5330(d)(1)(A) of
title 31, United States Code, is amended by inserting before
the semicolon the following: "or any other person who
engages as a business in the transmission of funds, including
through an informal value transfer banking system or network
of people facilitating the transfer of value domestically or
internationally outside of the conventional financial
institutions system;".
(d) Applicability of Rules.--Section 5318 of title 31,
United States Code, as amended by this title, is amended by
adding at the end the following:
"(l) Applicability of Rules.--Any rules promulgated
pursuant to the authority contained in section 21 of the
Federal Deposit Insurance Act (12 U.S.C. 1829b) shall apply,
in addition to any other financial institution to which such
rules apply, to any person that engages as a business in the
transmission of funds, including through an informal value
transfer banking system or network of people facilitating the
transfer of value domestically or internationally outside of
the conventional financial institutions system.".
(e) Report.--Not later than 1 year after the date of
enactment of this Act, the Secretary of the Treasury shall
report to Congress on the need for any additional legislation
relating to informal value transfer banking systems or
networks of people facilitating the transfer of value
domestically or internationally outside of the conventional
financial institutions system, counter money laundering and
regulatory controls relating to underground money movement
and banking systems, such as the system referred to as
`hawala', including whether the threshold for the filing of
suspicious activity reports under section 5318(g) of title
31, United States Code should be lowered in the case of such
systems.
SEC. 342. USE OF AUTHORITY OF UNITED STATES EXECUTIVE
DIRECTORS.
(a) Action by the President.--If the President determines
that a particular foreign country has taken or has committed
to take actions that contribute to efforts of the United
States to respond to, deter, or prevent acts of international
terrorism, the Secretary of the Treasury may, consistent with
other applicable provisions of law, instruct the United
States Executive Director of each international financial
institution to use the voice and vote of the Executive
Director to support any loan or other utilization of the
funds of respective institutions for such country, or any
public or private entity within such country.
(b) Use of Voice and Vote.--The Secretary of the Treasury
may instruct the United States Executive Director of each
international financial institution to aggressively use the
voice and vote of the Executive Director to require an
auditing of disbursements at such institutions to ensure that
no funds are paid to persons who commit, threaten to commit,
or support terrorism.
(c) Definition.--For purposes of this section, the term
"international financial institution" means an institution
described in section 1701(c)(2) of the International
Financial Institutions Act (22 U.S.C. 262r(c)(2)).
Subtitle C--Currency Crimes
SEC. 351. BULK CASH SMUGGLING.
(a) Findings.--Congress finds that--
(1) effective enforcement of the currency reporting
requirements of chapter 53 of title 31, United States Code
(commonly referred to as the Bank Secrecy Act), and the
regulations promulgated thereunder, has forced drug dealers
and other criminals engaged in cash-based businesses to avoid
using traditional financial institutions;
(2) in their effort to avoid using traditional financial
institutions, drug dealers, and other criminals are forced to
move large quantities of currency in bulk form to and through
the airports, border crossings, and other ports of entry
where it can be smuggled out of the United States and placed
in a foreign financial institution or sold on the black
market;
(3) the transportation and smuggling of cash in bulk form
may, at the time of enactment of this Act, be the most common
form of money laundering, and the movement of large sums of
cash is one of the most reliable warning signs of drug
trafficking, terrorism, money laundering, racketeering, tax
evasion, and similar crimes;
(4) the intentional transportation into or out of the
United States of large amounts of currency or monetary
instruments, in a manner designed to circumvent the mandatory
reporting provisions of chapter 53 of title 31, United States
Code, is the equivalent of, and creates the same harm as, the
smuggling of goods;
(5) the arrest and prosecution of bulk cash smugglers is an
important part of law enforcement's effort to stop the
laundering of criminal proceeds, but the couriers who attempt
to smuggle the cash out of the United States are typically
low-level employees of large criminal organizations, and are
easily replaced, and therefore only the confiscation of the
smuggled bulk cash can effectively break the cycle of
criminal activity of which the laundering of bulk cash is a
critical part;
(6) the penalties for violations of the currency reporting
requirements of the chapter 53 of title 31, United States
Code, are insufficient to provide a deterrent to the
laundering of criminal proceeds;
(7) because the only criminal violation under Federal law
before the date of enactment of this Act was a reporting
offense, the law does not adequately provide for the
confiscation of smuggled currency; and
(8) if the smuggling of bulk cash were itself an offense,
the cash could be confiscated as the corpus delicti of the
smuggling offense.
(b) Purposes.--The purposes of this section are--
(1) to make the act of smuggling bulk cash itself a
criminal offense;
(2) to authorize forfeiture of any cash or instruments of
the smuggling offense;
(3) to emphasize the seriousness of the act of bulk cash
smuggling; and
(4) to prescribe guidelines for determining the amount of
property subject to such forfeiture in various situations.
(c) Bulk Cash Smuggling Offense.--
(1) In general.--Subchapter II of chapter 53 of title 31,
United States Code, is amended by adding at the end the
following:
"Sec. 5331. Bulk cash smuggling
"(a) Criminal Offense.--
"(1) In general.--Whoever, with the intent to evade a
currency reporting requirement under section 5316, knowingly
conceals more than $10,000 in currency or other monetary
instruments on his or her person or in any conveyance,
article of luggage, merchandise, or other container, and
transports or transfers or attempts to transport or transfer
the currency or monetary instruments from a place within the
United States to a place
[[Page S10322]]
outside of the United States, or from a place outside of the
United States to a place within the United States, shall be
guilty of a currency smuggling offense and subject to
punishment under subsection (b).
"(b) Penalties.--
"(1) Prison term.--A person convicted of a currency
smuggling offense under subsection (a), or a conspiracy to
commit such an offense, shall be imprisoned for not more than
5 years.
"(2) Forfeiture.--
"(A) In general.--In addition to a prison term under
paragraph (1), the court, in imposing sentence, shall order
that the defendant forfeit to the United States any property,
real or personal, involved in the offense, and any property
traceable to such property, subject to subsection (d).
"(B) Applicability of other laws.--The seizure, restraint,
and forfeiture of property under this section shall be
governed by section 413 of the Controlled Substances Act (21
U.S.C. 853). If the property subject to forfeiture is
unavailable, and the defendant has no substitute property
that may be forfeited pursuant to section 413(p) of that Act,
the court shall enter a personal money judgment against the
defendant in an amount equal to the value of the unavailable
property.
"(c) Seizure of Smuggling Cash.--
"(1) In general.--Any property involved in a violation of
subsection (a), or a conspiracy to commit such violation, and
any property traceable thereto, may be seized and, subject to
subsection (d), forfeited to the United States.
"(2) Applicable procedures.--A seizure and forfeiture
under this subsection shall be governed by the procedures
governing civil forfeitures under section 981(a)(1)(A) of
title 18, United States Code.
"(d) Proportionality of Forfeiture.--
"(1) Mitigation.--Upon a showing by the property owner by
a preponderance of the evidence that the currency or monetary
instruments involved in the offense giving rise to the
forfeiture were derived from a legitimate source and were
intended for a lawful purpose, the court shall reduce the
forfeiture to the maximum amount that is not grossly
disproportional to the gravity of the offense.
"(2) Considerations.--In determining the amount of the
forfeiture under paragraph (1), the court shall consider all
aggravating and mitigating facts and circumstances that have
a bearing on the gravity of the offense, including--
"(A) the value of the currency or other monetary
instruments involved in the offense;
"(B) efforts by the person committing the offense to
structure currency transactions, conceal property, or
otherwise obstruct justice; and
"(C) whether the offense is part of a pattern of repeated
violations of Federal law.
"(e) Rule of Construction.--For purposes of subsections
(b) and (c), any currency or other monetary instrument that
is concealed or intended to be concealed in violation of
subsection (a) or a conspiracy to commit such violation, any
article, container, or conveyance used or intended to be used
to conceal or transport the currency or other monetary
instrument, and any other property used or intended to be
used to facilitate the offense, shall be considered property
involved in the offense.".
(2) Clerical amendment.--The table of sections for chapter
53 of title 31, United States Code, is amended by inserting
after the item relating to section 5330 the following new
item:
"5331. Bulk cash smuggling.".
(d) Currency Reporting Violations.--Section 5317(c) of
title 31, United States Code, is amended to read as follows:
"(c) Forfeiture of Property.--
"(1) In general.--
"(A) Criminal forfeiture.--The court, in imposing sentence
for any violation of section 5313, 5316, or 5324, or any
conspiracy to commit such violation, shall order the
defendant to forfeit all property, real or personal, involved
in the offense and any property traceable thereto.
"(B) Applicable procedures.--Forfeitures under this
paragraph shall be governed by the procedures set forth in
section 413 of the Controlled Substances Act (21 U.S.C. 853),
and the guidelines set forth in paragraph (3) of this
subsection.
"(2) Civil forfeiture.--Any property involved in a
violation of section 5313, 5316, or 5324, or any conspiracy
to commit such violation, and any property traceable thereto,
may be seized and, subject to paragraph (3), forfeited to the
United States in accordance with the procedures governing
civil forfeitures in money laundering cases pursuant to
section 981(a)(1)(A) of title 18, United States Code.
"(3) Mitigation.--In a forfeiture case under this
subsection, upon a showing by the property owner by a
preponderance of the evidence that any currency or monetary
instruments involved in the offense giving rise to the
forfeiture were derived from a legitimate source, and were
intended for a lawful purpose, the court shall reduce the
forfeiture to the maximum amount that is not grossly
disproportional to the gravity of the offense. In determining
the amount of the forfeiture, the court shall consider all
aggravating and mitigating facts and circumstances that have
a bearing on the gravity of the offense. Such circumstances
include, but are not limited to, the following: the value of
the currency or other monetary instruments involved in the
offense; efforts by the person committing the offense to
structure currency transactions, conceal property, or
otherwise obstruct justice; and whether the offense is part
of a pattern of repeated violations.
(e) Conforming Amendments.--Title 18, United States Code,
is amended--
(1) in section 981(a)(1)(A) by striking "of section
5313(a) or 5324(a) of title 31, or"; and
(2) in section 982(a)(1), striking "of section 5313(a),
5316, or 5324 of title 31, or".
Subtitle E--Anticorruption Measures
SEC. 361. CORRUPTION OF FOREIGN GOVERNMENTS AND RULING
ELITES.
It is the sense of Congress that, in deliberations between
the United States Government and any other country on money
laundering and corruption issues, the United States
Government should--
(1) emphasize an approach that addresses not only the
laundering of the proceeds of traditional criminal activity
but also the increasingly endemic problem of governmental
corruption and the corruption of ruling elites;
(2) encourage the enactment and enforcement of laws in such
country to prevent money laundering and systemic corruption;
(3) make clear that the United States will take all steps
necessary to identify the proceeds of foreign government
corruption which have been deposited in United States
financial institutions and return such proceeds to the
citizens of the country to whom such assets belong; and
(4) advance policies and measures to promote good
government and to prevent and reduce corruption and money
laundering, including through instructions to the United
States Executive Director of each international financial
institution (as defined in section 1701(c) of the
International Financial Institutions Act) to advocate such
policies as a systematic element of economic reform programs
and advice to member governments.
SEC. 362. SUPPORT FOR THE FINANCIAL ACTION TASK FORCE ON
MONEY LAUNDERING.
It is the sense of Congress that--
(1) the United States should continue to actively and
publicly support the objectives of the Financial Action Task
Force on Money Laundering (hereafter in this section referred
to as the "FATF") with regard to combating international
money laundering;
(2) the FATF should identify noncooperative jurisdictions
in as expeditious a manner as possible and publicly release a
list directly naming those jurisdictions identified;
(3) the United States should support the public release of
the list naming noncooperative jurisdictions identified by
the FATF;
(4) the United States should encourage the adoption of the
necessary international action to encourage compliance by the
identified noncooperative jurisdictions; and
(5) the United States should take the necessary
countermeasures to protect the United States economy against
money of unlawful origin and encourage other nations to do
the same.
SEC. 363. TERRORIST FUNDING THROUGH MONEY LAUNDERING.
It is the sense of the Congress that, in deliberations and
negotiations between the United States Government and any
other country regarding financial, economic, assistance, or
defense issues, the United States should encourage such other
country--
(1) to take actions which would identify and prevent the
transmittal of funds to and from terrorists and terrorist
organizations; and
(2) to engage in bilateral and multilateral cooperation
with the United States and other countries to identify
suspected terrorists, terrorist organizations, and persons
supplying funds to and receiving funds from terrorists and
terrorist organizations.
TITLE IV--PROTECTING THE BORDER
Subtitle A--Protecting the Northern Border
SEC. 401. ENSURING ADEQUATE PERSONNEL ON THE NORTHERN BORDER.
The Attorney General is authorized to waive any FTE cap on
personnel assigned to the Immigration and Naturalization
Service to address the national security needs of the United
States on the Northern border.
SEC. 402. NORTHERN BORDER PERSONNEL.
There are authorized to be appropriated--
(1) such sums as may be necessary to triple the number of
Border Patrol personnel (from the number authorized under
current law), and the necessary personnel and facilities to
support such personnel, in each State along the Northern
Border;
(2) such sums as may be necessary to triple the number of
Customs Service personnel (from the number authorized under
current law), and the necessary personnel and facilities to
support such personnel, at ports of entry in each State along
the Northern Border;
(3) such sums as may be necessary to triple the number of
INS inspectors (from the number authorized on the date of
enactment of this Act), and the necessary personnel and
facilities to support such personnel, at ports of entry in
each State along the Northern Border; and
(4) an additional $50,000,000 each to the Immigration and
Naturalization Service and the United States Customs Service
for purposes of making improvements in technology for
monitoring the Northern Border and acquiring additional
equipment at the Northern Border.
[[Page S10323]]
SEC. 403. ACCESS BY THE DEPARTMENT OF STATE AND THE INS TO
CERTAIN IDENTIFYING INFORMATION IN THE CRIMINAL
HISTORY RECORDS OF VISA APPLICANTS AND
APPLICANTS FOR ADMISSION TO THE UNITED STATES.
(a) Amendment of the Immigration and Nationality Act.--
Section 105 of the Immigration and Nationality Act (8 U.S.C.
1105) is amended--
(1) in the section heading, by inserting "; data
exchange" after "security officers";
(2) by inserting "(a)" after "Sec. 105.";
(3) in subsection (a), by inserting "and border" after
"internal" the second place it appears; and
(4) by adding at the end the following:
"(b)(1) The Attorney General and the Director of the
Federal Bureau of Investigation shall provide the Department
of State and the Service access to the criminal history
record information contained in the National Crime
Information Center's Interstate Identification Index (NCIC-
III), Wanted Persons File, and to any other files maintained
by the National Crime Information Center that may be mutually
agreed upon by the Attorney General and the agency receiving
the access, for the purpose of determining whether or not a
visa applicant or applicant for admission has a criminal
history record indexed in any such file.
"(2) Such access shall be provided by means of extracts of
the records for placement in the automated visa lookout or
other appropriate database, and shall be provided without any
fee or charge.
"(3) The Federal Bureau of Investigation shall provide
periodic updates of the extracts at intervals mutually agreed
upon with the agency receiving the access. Upon receipt of
such updated extracts, the receiving agency shall make
corresponding updates to its database and destroy previously
provided extracts.
"(4) Access to an extract does not entitle the Department
of State to obtain the full content of the corresponding
automated criminal history record. To obtain the full content
of a criminal history record, the Department of State shall
submit the applicant's fingerprints and any appropriate
fingerprint processing fee authorized by law to the Criminal
Justice Information Services Division of the Federal Bureau
of Investigation.
"(c) The provision of the extracts described in subsection
(b) may be reconsidered by the Attorney General and the
receiving agency upon the development and deployment of a
more cost-effective and efficient means of sharing the
information.
"(d) For purposes of administering this section, the
Department of State shall, prior to receiving access to NCIC
data but not later than 4 months after the date of enactment
of this subsection, promulgate final regulations--
"(1) to implement procedures for the taking of
fingerprints; and
"(2) to establish the conditions for the use of the
information received from the Federal Bureau of
Investigation, in order--
"(A) to limit the redissemination of such information;
"(B) to ensure that such information is used solely to
determine whether or not to issue a visa to an alien or to
admit an alien to the United States;
"(C) to ensure the security, confidentiality, and
destruction of such information; and
"(D) to protect any privacy rights of individuals who are
subjects of such information.".
(b) Reporting Requirement.--Not later than 2 years after
the date of enactment of this Act, the Attorney General and
the Secretary of State jointly shall report to Congress on
the implementation of the amendments made by this section.
(c) Technology Standard to Confirm Identity.--
(1) In General.--The Attorney General and the Secretary of
State jointly, through the National Institute of Standards
and Technology (NIST), and in consultation with the Secretary
of the Treasury and other Federal law enforcement and
intelligence agencies the Attorney General or Secretary of
State deems appropriate, shall within 2 years after the date
of enactment of this section, develop and certify a
technology standard that can confirm the identity of a person
applying for a United States visa or such person seeking to
enter the United States pursuant to a visa.
(2) Integrated.--The technology standard developed pursuant
to paragraph (1), shall be the technological basis for a
cross-agency, cross-platform electronic system that is a
cost-effective, efficient, fully integrated means to share
law enforcement and intelligence information necessary to
confirm the identity of such persons applying for a United
States visa or such person seeking to enter the United States
pursuant to a visa.
(3) Accessible.--The electronic system described in
paragraph (2), once implemented, shall be readily and easily
accessible to--
(A) all consular officers responsible for the issuance of
visas;
(B) all Federal inspection agents at all United States
border inspection points; and
(C) all law enforcement and intelligence officers as
determined by regulation to be responsible for investigation
or identification of aliens admitted to the United States
pursuant to a visa.
(4) Report.--Not later than 18 months after the date of
enactment of this Act, and every 2 years thereafter, the
Attorney General and the Secretary of State shall jointly, in
consultation with the Secretary of Treasury, report to
Congress describing the development, implementation and
efficacy of the technology standard and electronic database
system described in this subsection.
(d) Statutory Construction.--Nothing in this section, or in
any other law, shall be construed to limit the authority of
the Attorney General or the Director of the Federal Bureau of
Investigation to provide access to the criminal history
record information contained in the National Crime
Information Center's (NCIC) Interstate Identification Index
(NCIC-III), or to any other information maintained by the
NCIC, to any Federal agency or officer authorized to enforce
or administer the immigration laws of the United States, for
the purpose of such enforcement or administration, upon terms
that are consistent with the National Crime Prevention and
Privacy Compact Act of 1998 (subtitle A of title II of Public
Law 105-251; 42 U.S.C. 14611-16) and section 552a of title 5,
United States Code.
SEC. 404. LIMITED AUTHORITY TO PAY OVERTIME.
The matter under the headings "Immigration And
Naturalization Service: Salaries and Expenses, Enforcement
And Border Affairs" and "Immigration And Naturalization
Service: Salaries and Expenses, Citizenship And Benefits,
Immigration And Program Direction" in the Department of
Justice Appropriations Act, 2001 (as enacted into law by
Appendix B (H.R. 5548) of Public Law 106-553 (114 Stat.
2762A-58 to 2762A-59)) is amended by striking the following
each place it occurs: "Provided, That none of the funds
available to the Immigration and Naturalization Service shall
be available to pay any employee overtime pay in an amount in
excess of $30,000 during the calendar year beginning January
1, 2001:".
SEC. 405. REPORT ON THE INTEGRATED AUTOMATED FINGERPRINT
IDENTIFICATION SYSTEM FOR POINTS OF ENTRY AND
OVERSEAS CONSULAR POSTS.
(a) In General.--The Attorney General, in consultation with
the appropriate heads of other Federal agencies, including
the Secretary of State, Secretary of the Treasury, and the
Secretary of Transportation, shall report to Congress on the
feasibility of enhancing the Integrated Automated Fingerprint
Identification System (IAFIS) of the Federal Bureau of
Investigation and other identification systems in order to
better identify a person who holds a foreign passport or a
visa and may be wanted in connection with a criminal
investigation in the United States or abroad, before the
issuance of a visa to that person or the entry or exit by
that person from the United States.
(b) Authorization of Appropriations.--There is authorized
to be appropriated not less than $2,000,000 to carry out this
section.
Subtitle B--Enhanced Immigration Provisions
SEC. 411. DEFINITIONS RELATING TO TERRORISM.
(a) Grounds of Inadmissibility.--Section 212(a)(3) of the
Immigration and Nationality Act (8 U.S.C. 1182(a)(3)) is
amended--
(1) in subparagraph (B)--
(A) in clause (i)--
(i) by amending subclause (IV) to read as follows:
"(IV) is a representative (as defined in clause (v)) of--
"(aa) a foreign terrorist organization, as designated by
the Secretary of State under section 219, or
"(bb) a political, social or other similar group whose
public endorsement of acts of terrorist activity the
Secretary of State has determined undermines United States
efforts to reduce or eliminate terrorist activities,";
(ii) in subclause (V), by inserting "or" after "section
219,"; and
(iii) by adding at the end the following new subclauses:
"(VI) has used the alien's position of prominence within
any country to endorse or espouse terrorist activity, or to
persuade others to support terrorist activity or a terrorist
organization, in a way that the Secretary of State has
determined undermines United States efforts to reduce or
eliminate terrorist activities, or
"(VII) is the spouse or child of an alien who is
inadmissible under this section, if the activity causing the
alien to be found inadmissible occurred within the last 5
years,";
(B) by redesignating clauses (ii), (iii), and (iv) as
clauses (iii), (iv), and (v), respectively;
(C) in clause (i)(II), by striking "clause (iii)" and
inserting "clause (iv)";
(D) by inserting after clause (i) the following:
"(ii) Exception.--Subclause (VII) of clause (i) does not
apply to a spouse or child--
"(I) who did not know or should not reasonably have known
of the activity causing the alien to be found inadmissible
under this section; or
"(II) whom the consular officer or Attorney General has
reasonable grounds to believe has renounced the activity
causing the alien to be found inadmissible under this
section.";
(E) in clause (iii) (as redesignated by subparagraph (B))--
(i) by inserting "it had been" before "committed in the
United States"; and
(ii) in subclause (V)(b), by striking "or firearm" and
inserting ", firearm, or other weapon or dangerous device";
(F) by amending clause (iv) (as redesignated by
subparagraph (B)) to read as follows:
[[Page S10324]]
"(iv) Engage in terrorist activity defined.--As used in
this chapter, the term `engage in terrorist activity' means,
in an individual capacity or as a member of an organization--
"(I) to commit or to incite to commit, under circumstances
indicating an intention to cause death or serious bodily
injury, a terrorist activity;
"(II) to prepare or plan a terrorist activity;
"(III) to gather information on potential targets for
terrorist activity;
"(IV) to solicit funds or other things of value for--
"(aa) a terrorist activity;
"(bb) a terrorist organization described in clauses
(vi)(I) or (vi)(II); or
"(cc) a terrorist organization described in clause
(vi)(III), unless the solicitor can demonstrate that he did
not know, and should not reasonably have known, that the
solicitation would further the organization's terrorist
activity;
"(V) to solicit any individual--
"(aa) to engage in conduct otherwise described in this
clause;
"(bb) for membership in a terrorist organization described
in clauses (vi)(I) or (vi)(II); or
"(cc) for membership in a terrorist organization described
in clause (vi)(III), unless the solicitor can demonstrate
that he did not know, and should not reasonably have known,
that the solicitation would further the organization's
terrorist activity; or
"(VI) to commit an act that the actor knows, or reasonably
should know, affords material support, including a safe
house, transportation, communications, funds, transfer of
funds or other material financial benefit, false
documentation or identification, weapons (including chemical,
biological, or radiological weapons), explosives, or
training--
"(aa) for the commission of a terrorist activity;
"(bb) to any individual who the actor knows, or reasonably
should know, has committed or plans to commit a terrorist
activity;
"(cc) to a terrorist organization described in clauses
(vi)(I) or (vi)(II); or
"(dd) to a terrorist organization described in clause
(vi)(III), unless the actor can demonstrate that he did not
know, and should not reasonably have known, that the act
would further the organization's terrorist activity.
This clause shall not apply to any material support the alien
afforded to an organization or individual that has committed
terrorist activity, if the Secretary of State, after
consultation with the Attorney General, or the Attorney
General, after consultation with the Secretary of State,
concludes in his sole unreviewable discretion, that this
clause should not apply."; and
(D) by adding at the end the following new clause:
"(vi) Terrorist organization defined.--As used in clause
(i)(VI) and clause (iv), the term `terrorist organization'
means an organization--
"(I) designated under section 219;
"(II) otherwise designated, upon publication in the
Federal Register, by the Secretary of State in consultation
with or upon the request of the Attorney General, as a
terrorist organization, after finding that it engages in the
activities described in subclause (I), (II), or (III) of
clause (iv), or that it provides material support to further
terrorist activity; or
"(III) that is a group of two or more individuals, whether
organized or not, which engages in the activities described
in subclause (I), (II), or (III) of clause (iv)."; and
(2) by adding at the end the following new subparagraph:
"(F) Association with terrorist organizations.--Any alien
who the Secretary of State, after consultation with the
Attorney General, or the Attorney General, after consultation
with the Secretary of State, determines has been associated
with a terrorist organization and intends while in the United
States to engage solely, principally, or incidentally in
activities that could endanger the welfare, safety, or
security of the United States is inadmissible.".
(b) Conforming Amendment.--Section 237(a)(4)(B) of the
Immigration and Nationality Act (8 U.S.C. 1227(a)(4)(B)) is
amended by striking "section 212(a)(3)(B)(iii)" and
inserting "section 212(a)(3)(B)(iv)".
(c) Retroactive Application of Amendments.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall take
effect on the date of enactment of this Act and shall apply
to--
(A) actions taken by an alien before, on, or after such
date; and
(B) all aliens, without regard to the date of entry or
attempted entry into the United States--
(i) in removal proceedings on or after such date (except
for proceedings in which there has been a final
administrative decision before such date); or
(ii) seeking admission to the United States on or after
such date.
(2) Special rule for aliens in exclusion or deportation
proceedings.--Notwithstanding any other provision of law, the
amendments made by this section shall apply to all aliens in
exclusion or deportation proceedings on or after the date of
enactment of this Act (except for proceedings in which there
has been a final administrative decision before such date) as
if such proceedings were removal proceedings.
(3) Special rule for section 219 organizations and
organizations designated under section
212(a)(3)(B)(vi)(II).--
(A) In general.--Notwithstanding paragraphs (1) and (2), no
alien shall be considered inadmissible under section
212(a)(3) of the Immigration and Nationality Act (8 U.S.C.
1182(a)(3)), or deportable under section 237(a)(4)(B) of such
Act (8 U.S.C. 1227(a)(4)(B)), by reason of the amendments
made by subsection (a), on the ground that the alien engaged
in a terrorist activity described in subclause (IV)(bb),
(V)(bb), or (VI)(cc) of section 212(a)(3)(B)(iv) of such Act
(as so amended) with respect to a group at any time when the
group was not a terrorist organization designated by the
Secretary of State under section 219 of such Act (8 U.S.C.
1189) or otherwise designated under section
212(a)(3)(B)(vi)(II).
(B) Statutory construction.--Subparagraph (A) shall not be
construed to prevent an alien from being considered
inadmissible or deportable for having engaged in a terrorist
activity--
(i) described in subclause (IV)(bb), (V)(bb), or (VI)(cc)
of section 212(a)(3)(B)(iv) of such Act (as so amended) with
respect to a terrorist organization at any time when such
organization was designated by the Secretary of State under
section 219 of such Act or otherwise designated under section
212(a)(3)(B)(vi)(II); or
(ii) described in subclause (IV)(cc), (V)(cc), or (VI)(dd)
of section 212(a)(3)(B)(iv) of such Act (as so amended) with
respect to a terrorist organization described in section
212(a)(3)(B)(vi)(III).
(4) Exception.--The Secretary of State, in consultation
with the Attorney General, may determine that the amendments
made by this section shall not apply with respect to actions
by an alien taken outside the United States before the date
of enactment of this Act upon the recommendation of a
consular officer who has concluded that there is not
reasonable ground to believe that the alien knew or
reasonably should have known that the actions would further a
terrorist activity.
(c) Designation of Foreign Terrorist Organizations.--
Section 219(a) of the Immigration and Nationality Act (8
U.S.C. 1189(a)) is amended--
(1) in paragraph (1)(B), by inserting "or terrorism (as
defined in section 140(d)(2) of the Foreign Relations
Authorization Act, Fiscal Years 1988 and 1989 (22 U.S.C.
2656f(d)(2)) or retains the capability and intent to engage
in terrorist activity or terrorism)" after
"212(a)(3)(B))";
(2) in paragraph (1)(C), by inserting "or terrorism"
after "terrorist activity";
(3) by amending paragraph (2)(A) to read as follows:
"(A) Notice.--
"(i) To congressional leaders.--Seven days before making a
designation under this subsection, the Secretary shall, by
classified communication, notify the Speaker and Minority
Leader of the House of Representatives, the President pro
tempore, Majority Leader, and Minority Leader of the Senate,
and the members of the relevant committees, in writing, of
the intent to designate an organization under this
subsection, together with the findings made under paragraph
(1) with respect to that organization, and the factual basis
therefor.
"(ii) Publication in federal register.--The Secretary
shall publish the designation in the Federal Register seven
days after providing the notification under clause (i).";
(4) in paragraph (2)(B)(i), by striking "subparagraph
(A)" and inserting "subparagraph (A)(ii)";
(5) in paragraph (2)(C), by striking "paragraph (2)" and
inserting "paragraph (2)(A)(i)";
(6) in paragraph (3)(B), by striking "subsection (c)" and
inserting "subsection (b)";
(7) in paragraph (4)(B), by inserting after the first
sentence the following: "The Secretary also may redesignate
such organization at the end of any 2-year redesignation
period (but not sooner than 60 days prior to the termination
of such period) for an additional 2-year period upon a
finding that the relevant circumstances described in
paragraph (1) still exist. Any redesignation shall be
effective immediately following the end of the prior 2-year
designation or redesignation period unless a different
effective date is provided in such redesignation.";
(8) in paragraph (6)(A)--
(A) by inserting "or a redesignation made under paragraph
(4)(B)" after "paragraph (1)";
(B) in clause (i)--
(i) by inserting "or redesignation" after "designation"
the first place it appears; and
(ii) by striking "of the designation"; and
(C) in clause (ii), by striking "of the designation";
(9) in paragraph (6)(B)--
(A) by striking "through (4)" and inserting "and (3)";
and
(B) by inserting at the end the following new sentence:
"Any revocation shall take effect on the date specified in
the revocation or upon publication in the Federal Register if
no effective date is specified.";
(10) in paragraph (7), by inserting ", or the revocation
of a redesignation under paragraph (6)," after "paragraph
(5) or (6)"; and
(11) in paragraph (8)--
(A) by striking "paragraph (1)(B)" and inserting
"paragraph (2)(B), or if a redesignation under this
subsection has become effective under paragraph (4)(B)";
[[Page S10325]]
(B) by inserting "or an alien in a removal proceeding"
after "criminal action"; and
(C) by inserting "or redesignation" before "as a
defense".
SEC. 412. MANDATORY DETENTION OF SUSPECTED TERRORISTS; HABEAS
CORPUS; JUDICIAL REVIEW.
(a) In General.--The Immigration and Nationality Act (8
U.S.C. 1101 et seq.) is amended by inserting after section
236 the following:
"MANDATORY DETENTION OF SUSPECTED TERRORISTS; HABEAS CORPUS;
JUDICIAL REVIEW
"Sec. 236A. (a) Detention of Terrorist Aliens.--
"(1) Custody.--The Attorney General shall take into
custody any alien who is certified under paragraph (3).
"(2) Release.--Except as provided in paragraph (5), the
Attorney General shall maintain custody of such an alien
until the alien is removed from the United States. Such
custody shall be maintained irrespective of any relief from
removal for which the alien may be eligible, or any relief
from removal granted the alien, until the Attorney General
determines that the alien is no longer an alien who may be
certified under paragraph (3).
"(3) Certification.--The Attorney General may certify an
alien under this paragraph if the Attorney General has
reasonable grounds to believe that the alien--
"(A) is described in section 212(a)(3)(A)(i),
212(a)(3)(A)(iii), 212(a)(3)(B), 237(a)(4)(A)(i),
237(a)(4)(A)(iii), or 237(a)(4)(B); or
"(B) is engaged in any other activity that endangers the
national security of the United States.
"(4) Nondelegation.--The Attorney General may delegate the
authority provided under paragraph (3) only to the
Commissioner. The Commissioner may not delegate such
authority.
"(5) Commencement of proceedings.--The Attorney General
shall place an alien detained under paragraph (1) in removal
proceedings, or shall charge the alien with a criminal
offense, not later than 7 days after the commencement of such
detention. If the requirement of the preceding sentence is
not satisfied, the Attorney General shall release the alien.
"(b) Habeas Corpus and Judicial Review.--Judicial review
of any action or decision relating to this section (including
judicial review of the merits of a determination made under
subsection (a)(3)) is available exclusively in habeas corpus
proceedings in the United States District Court for the
District of Columbia. Notwithstanding any other provision of
law, including section 2241 of title 28, United States Code,
except as provided in the preceding sentence, no court shall
have jurisdiction to review, by habeas corpus petition or
otherwise, any such action or decision.
"(c) Statutory Construction.--The provisions of this
section shall not be applicable to any other provisions of
the Immigration and Nationality Act.".
(b) Clerical Amendment.--The table of contents of the
Immigration and Nationality Act is amended by inserting after
the item relating to section 236 the following:
"Sec. 236A. Mandatory detention of suspected terrorist; habeas corpus;
judicial review.".
(c) Reports.--Not later than 6 months after the date of the
enactment of this Act, and every 6 months thereafter, the
Attorney General shall submit a report to the Committee on
the Judiciary of the House of Representatives and the
Committee on the Judiciary of the Senate, with respect to the
reporting period, on--
(1) the number of aliens certified under section 236A(a)(3)
of the Immigration and Nationality Act, as added by
subsection (a);
(2) the grounds for such certifications;
(3) the nationalities of the aliens so certified;
(4) the length of the detention for each alien so
certified; and
(5) the number of aliens so certified who--
(A) were granted any form of relief from removal;
(B) were removed;
(C) the Attorney General has determined are no longer
aliens who may be so certified; or
(D) were released from detention.
SEC. 413. MULTILATERAL COOPERATION AGAINST TERRORISTS.
Section 222(f) of the Immigration and Nationality Act (8
U.S.C. 1202(f)) is amended--
(1) by striking "except that in the discretion of" and
inserting the following: "except that--
"(1) in the discretion of"; and
(2) by adding at the end the following:
"(2) the Secretary of State, in the Secretary's discretion
and on the basis of reciprocity, may provide to a foreign
government information in the Department of State's
computerized visa lookout database and, when necessary and
appropriate, other records covered by this section related to
information in the database--
"(A) with regard to individual aliens, at any time on a
case-by-case basis for the purpose of preventing,
investigating, or punishing acts that would constitute a
crime in the United States, including, but not limited to,
terrorism or trafficking in controlled substances, persons,
or illicit weapons; or
"(B) with regard to any or all aliens in the database,
pursuant to such conditions as the Secretary of State shall
establish in an agreement with the foreign government in
which that government agrees to use such information and
records for the purposes described in subparagraph (A) or to
deny visas to persons who would be inadmissible to the United
States.".
TITLE V--REMOVING OBSTACLES TO INVESTIGATING TERRORISM
SEC. 501. PROFESSIONAL STANDARDS FOR GOVERNMENT ATTORNEYS ACT
OF 2001.
(a) Short Title.--This title may be cited as the
"Professional Standards for Government Attorneys Act of
2001".
(b) Professional Standards for Government Attorneys.--
Section 530B of title 28, United States Code, is amended to
read as follows:
"Sec. 530B. Professional Standards for Government Attorneys
"(a) Definitions.--In this section:
"(1) Government attorney.--The term `Government
attorney'--
"(A) means the Attorney General; the Deputy Attorney
General; the Solicitor General; the Associate Attorney
General; the head of, and any attorney employed in, any
division, office, board, bureau, component, or agency of the
Department of Justice; any United States Attorney; any
Assistant United States Attorney; any Special Assistant to
the Attorney General or Special Attorney appointed under
section 515; any Special Assistant United States Attorney
appointed under section 543 who is authorized to conduct
criminal or civil law enforcement investigations or
proceedings on behalf of the United States; any other
attorney employed by the Department of Justice who is
authorized to conduct criminal or civil law enforcement
proceedings on behalf of the United States; any independent
counsel, or employee of such counsel, appointed under chapter
40; and any outside special counsel, or employee of such
counsel, as may be duly appointed by the Attorney General;
and
"(B) does not include any attorney employed as an
investigator or other law enforcement agent by the Department
of Justice who is not authorized to represent the United
States in criminal or civil law enforcement litigation or to
supervise such proceedings.
"(2) State.--The term `State' includes a Territory and the
District of Columbia.
"(b) Choice of Law.--Subject to any uniform national rule
prescribed by the Supreme Court under chapter 131, the
standards of professional responsibility that apply to a
Government attorney with respect to the attorney's work for
the Government shall be--
"(1) for conduct in connection with a proceeding in or
before a court, or conduct reasonably intended to lead to a
proceeding in or before a court, the standards of
professional responsibility established by the rules and
decisions of the court in or before which the proceeding is
brought or is intended to be brought;
"(2) for conduct in connection with a grand jury
proceeding, or conduct reasonably intended to lead to a grand
jury proceeding, the standards of professional responsibility
established by the rules and decisions of the court under
whose authority the grand jury was or will be impaneled; and
"(3) for all other conduct, the standards of professional
responsibility established by the rules and decisions of the
Federal district court for the judicial district in which the
attorney principally performs his or her official duties.
"(c) Licensure.--A Government attorney (except foreign
counsel employed in special cases)--
"(1) shall be duly licensed and authorized to practice as
an attorney under the laws of a State; and
"(2) shall not be required to be a member of the bar of
any particular State.
"(d) Undercover Activities.--Notwithstanding any provision
of State law, including disciplinary rules, statutes,
regulations, constitutional provisions, or case law, a
Government attorney may, for the purpose of enforcing Federal
law, provide legal advice, authorization, concurrence,
direction, or supervision on conducting undercover
activities, and any attorney employed as an investigator or
other law enforcement agent by the Department of Justice who
is not authorized to represent the United States in criminal
or civil law enforcement litigation or to supervise such
proceedings may participate in such activities, even though
such activities may require the use of deceit or
misrepresentation, where such activities are consistent with
Federal law.
"(e) Admissibility of Evidence.--No violation of any
disciplinary, ethical, or professional conduct rule shall be
construed to permit the exclusion of otherwise admissible
evidence in any Federal criminal proceedings.
"(f) Rulemaking Authority.--The Attorney General shall
make and amend rules of the Department of Justice to ensure
compliance with this section.".
(c) Technical and Conforming Amendment.--The analysis for
chapter 31 of title 28, United States Code, is amended, in
the item relating to section 530B, by striking "Ethical
standards for attorneys for the Government" and inserting
"Professional standards for Government attorneys".
(d) Reports.--
(1) Uniform rule.--In order to encourage the Supreme Court
to prescribe, under chapter 131 of title 28, United States
Code, a uniform national rule for Government attorneys with
respect to communications with represented persons and
parties, not later than 1 year after the date of enactment of
this Act, the Judicial Conference of the United States shall
submit to the Chief Justice of the United States a report,
which shall include recommendations with respect to
[[Page S10326]]
amending the Federal Rules of Practice and Procedure to
provide for such a uniform national rule.
(2) Actual or potential conflicts.--Not later than 2 years
after the date of enactment of this Act, the Judicial
Conference of the United States shall submit to the Chairmen
and Ranking Members of the Committees on the Judiciary of the
House of Representatives and the Senate a report, which shall
include--
(A) a review of any areas of actual or potential conflict
between specific Federal duties related to the investigation
and prosecution of violations of Federal law and the
regulation of Government attorneys (as that term is defined
in section 530B of title 28, United States Code, as amended
by this Act) by existing standards of professional
responsibility; and
(B) recommendations with respect to amending the Federal
Rules of Practice and Procedure to provide for additional
rules governing attorney conduct to address any areas of
actual or potential conflict identified pursuant to the
review under subparagraph (A).
(3) Report considerations.--In carrying out paragraphs (1)
and (2), the Judicial Conference of the United States shall
take into consideration--
(A) the needs and circumstances of multiforum and
multijurisdictional litigation;
(B) the special needs and interests of the United States in
investigating and prosecuting violations of Federal criminal
and civil law; and
(C) practices that are approved under Federal statutory or
case law or that are otherwise consistent with traditional
Federal law enforcement techniques.
SEC. 502. ATTORNEY GENERAL'S AUTHORITY TO PAY REWARDS TO
COMBAT TERRORISM.
(a) Payment of Rewards To Combat Terrorism.--Funds
available to the Attorney General may be used for the payment
of rewards pursuant to public advertisements for assistance
to the Department of Justice to combat terrorism and defend
the Nation against terrorist acts, in accordance with
procedures and regulations established or issued by the
Attorney General.
(b) Conditions.--In making rewards under this section--
(1) no such reward of $250,000 or more may be made or
offered without the personal approval of either the Attorney
General or the President;
(2) the Attorney General shall give written notice to the
Chairmen and ranking minority members of the Committees on
Appropriations and the Judiciary of the Senate and of the
House of Representatives not later than 30 days after the
approval of a reward under paragraph (1);
(3) any executive agency or military department (as
defined, respectively, in sections 105 and 102 of title 5,
United States Code) may provide the Attorney General with
funds for the payment of rewards;
(4) neither the failure of the Attorney General to
authorize a payment nor the amount authorized shall be
subject to judicial review; and
(5) no such reward shall be subject to any per- or
aggregate reward spending limitation established by law,
unless that law expressly refers to this section, and no
reward paid pursuant to any such offer shall count toward any
such aggregate reward spending limitation.
SEC. 503. SECRETARY OF STATE'S AUTHORITY TO PAY REWARDS.
Section 36 of the State Department Basic Authorities Act of
1956 (Public Law 885, August 1, 1956; 22 U.S.C. 2708) is
amended--
(1) in subsection (b)--
(A) in paragraph (4), by striking "or" at the end;
(B) in paragraph (5), by striking the period at the end and
inserting ", including by dismantling an organization in
whole or significant part; or"; and
(C) by adding at the end the following:
"(6) the identification or location of an individual who
holds a key leadership position in a terrorist
organization.";
(2) in subsection (d), by striking paragraphs (2) and (3)
and redesignating paragraph (4) as paragraph (2); and
(3) in subsection (e)(1), by inserting ", except as
personally authorized by the Secretary of State if he
determines that offer or payment of an award of a larger
amount is necessary to combat terrorism or defend the Nation
against terrorist acts." after "$5,000,000".
SEC. 504. DNA IDENTIFICATION OF TERRORISTS AND OTHER VIOLENT
OFFENDERS.
Section 3(d)(2) of the DNA Analysis Backlog Elimination Act
of 2000 (42 U.S.C. 14135a(d)(2)) is amended to read as
follows:
"(2) In additional to the offenses described in paragraph
(1), the following offenses shall be treated for purposes of
this section as qualifying Federal offenses, as determined by
the Attorney General:
"(A) Any offense listed in section 2332b(g)(5)(B) of title
18, United States Code.
"(B) Any crime of violence (as defined in section 16 of
title 18, United States Code).
"(C) Any attempt or conspiracy to commit any of the above
offenses.".
SEC. 505. COORDINATION WITH LAW ENFORCEMENT.
(a) Information Acquired From an Electronic Surveillance.--
Section 106 of the Foreign Intelligence Surveillance Act of
1978 (50 U.S.C. 1806), is amended by adding at the end the
following:
"(k)(1) Federal officers who conduct electronic
surveillance to acquire foreign intelligence information
under this title may consult with Federal law enforcement
officers to coordinate efforts to investigate or protect
against--
"(A) actual or potential attack or other grave hostile
acts of a foreign power or an agent of a foreign power;
"(B) sabotage or international terrorism by a foreign
power or an agent of a foreign power; or
"(C) clandestine intelligence activities by an
intelligence service or network of a foreign power or by an
agent of a foreign power.
"(2) Coordination authorized under paragraph (1) shall not
preclude the certification required by section 104(a)(7)(B)
or the entry of an order under section 105.".
(b) Information Acquired From a Physical Search.--Section
305 of the Foreign Intelligence Surveillance Act of 1978 (50
U.S.C. 1825) is amended by adding at the end the following:
"(k)(1) Federal officers who conduct physical searches to
acquire foreign intelligence information under this title may
consult with Federal law enforcement officers to coordinate
efforts to investigate or protect against--
"(A) actual or potential attack or other grave hostile
acts of a foreign power or an agent of a foreign power;
"(B) sabotage or international terrorism by a foreign
power or an agent of a foreign power; or
"(C) clandestine intelligence activities by an
intelligence service or network of a foreign power or by an
agent of a foreign power.
"(2) Coordination authorized under paragraph (1) shall not
preclude the certification required by section 303(a)(7) or
the entry of an order under section 304.".
SEC. 506. MISCELLANEOUS NATIONAL SECURITY AUTHORITIES.
(a) Telephone Toll and Transactional Records.--Section
2709(b) of title 18, United States Code, is amended--
(1) in the matter preceding paragraph (1), by inserting
"at Bureau headquarters or a Special Agent in Charge in a
Bureau field office designated by the Director" after
"Assistant Director";
(2) in paragraph (1)--
(A) by striking "in a position not lower than Deputy
Assistant Director"; and
(B) by striking "made that" and all that follows and
inserting the following: "made that the name, address,
length of service, and toll billing records sought are
relevant to an authorized investigation to protect against
international terrorism or clandestine intelligence
activities, provided that such an investigation of a United
States person is not conducted solely on the basis of
activities protected by the first amendment to the
Constitution of the United States; and"; and
(3) in paragraph (2)--
(A) by striking "in a position not lower than Deputy
Assistant Director"; and
(B) by striking "made that" and all that follows and
inserting the following: "made that the information sought
is relevant to an authorized investigation to protect against
international terrorism or clandestine intelligence
activities, provided that such an investigation of a United
States person is not conducted solely upon the basis of
activities protected by the first amendment to the
Constitution of the United States.".
(b) Financial Records.--Section 1114(a)(5)(A) of the Right
to Financial Privacy Act of 1978 (12 U.S.C. 3414(a)(5)(A)) is
amended--
(1) by inserting "in a position not lower than Deputy
Assistant Director at Bureau headquarters or a Special Agent
in Charge in a Bureau field office designated by the
Director" after "designee"; and
(2) by striking "sought" and all that follows and
inserting "sought for foreign counter intelligence purposes
to protect against international terrorism or clandestine
intelligence activities, provided that such an investigation
of a United States person is not conducted solely upon the
basis of activities protected by the first amendment to the
Constitution of the United States.".
(c) Consumer Reports.--Section 624 of the Fair Credit
Reporting Act (15 U.S.C. 1681u) is amended--
(1) in subsection (a)--
(A) by inserting "in a position not lower than Deputy
Assistant Director at Bureau headquarters or a Special Agent
in Charge of a Bureau field office designated by the
Director" after "designee" the first place it appears; and
(B) by striking "in writing that" and all that follows
through the end and inserting the following: "in writing,
that such information is sought for the conduct of an
authorized investigation to protect against international
terrorism or clandestine intelligence activities, provided
that such an investigation of a United States person is not
conducted solely upon the basis of activities protected by
the first amendment to the Constitution of the United
States.";
(2) in subsection (b)--
(A) by inserting "in a position not lower than Deputy
Assistant Director at Bureau headquarters or a Special Agent
in Charge of a Bureau field office designated by the
Director" after "designee" the first place it appears; and
(B) by striking "in writing that" and all that follows
through the end and inserting
[[Page S10327]]
the following: "in writing that such information is sought
for the conduct of an authorized investigation to protect
against international terrorism or clandestine intelligence
activities, provided that such an investigation of a United
States person is not conducted solely upon the basis of
activities protected by the first amendment to the
Constitution of the United States."; and
(3) in subsection (c)--
(A) by inserting "in a position not lower than Deputy
Assistant Director at Bureau headquarters or a Special Agent
in Charge in a Bureau field office designated by the
Director" after "designee of the Director"; and
(B) by striking "in camera that" and all that follows
through "States." and inserting the following: "in camera
that the consumer report is sought for the conduct of an
authorized investigation to protect against international
terrorism or clandestine intelligence activities, provided
that such an investigation of a United States person is not
conducted solely upon the basis of activities protected by
the first amendment to the Constitution of the United
States.".
SEC. 507. EXTENSION OF SECRET SERVICE JURISDICTION.
(a) Concurrent Jurisdiction Under 18 U.S.C. 1030.--Section
1030(d) of title 18, United States Code, is amended to read
as follows:
"(d)(1) The United States Secret Service shall, in
addition to any other agency having such authority, have the
authority to investigate offenses under this section.
"(2) The Federal Bureau of Investigation shall have
primary authority to investigate offenses under subsection
(a)(1) for any cases involving espionage, foreign
counterintelligence, information protected against
unauthorized disclosure for reasons of national defense or
foreign relations, or Restricted Data (as that term is
defined in section 11y of the Atomic Energy Act of 1954 (42
U.S.C. 2014(y)), except for offenses affecting the duties of
the United States Secret Service pursuant to section 3056(a)
of this title.
"(3) Such authority shall be exercised in accordance with
an agreement which shall be entered into by the Secretary of
the Treasury and the Attorney General.".
(b) Reauthorization of Jurisdiction under 18 U.S.C. 1344.--
Section 3056(b)(3) of title 18, United States Code, is
amended by striking "credit and debit card frauds, and false
identification documents or devices" and inserting "access
device frauds, false identification documents or devices, and
any fraud or other criminal or unlawful activity in or
against any federally insured financial institution".
SEC. 508. DISCLOSURE OF EDUCATIONAL RECORDS.
Section 444 of the General Education Provisions Act (20
U.S.C. 1232g), is amended by adding after subsection (i) a
new subsection (j) to read as follows:
"(j) Investigation and Prosecution of Terrorism.--
"(1) In general.--Notwithstanding subsections (a) through
(i) or any provision of State law, the Attorney General (or
any Federal officer or employee, in a position not lower than
an Assistant Attorney General, designated by the Attorney
General) may submit a written application to a court of
competent jurisdiction for an ex parte order requiring an
educational agency or institution to permit the Attorney
General (or his designee) to--
"(A) collect education records in the possession of the
educational agency or institution that are relevant to an
authorized investigation or prosecution of an offense listed
in section 2332b(g)(5)(B) of title 18 United States Code, or
an act of domestic or international terrorism as defined in
section 2331 of that title; and
"(B) for official purposes related to the investigation or
prosecution of an offense described in paragraph (1)(A),
retain, disseminate, and use (including as evidence at trial
or in other administrative or judicial proceedings) such
records, consistent with such guidelines as the Attorney
General, after consultation with the Secretary, shall issue
to protect confidentiality.
"(2) Application and approval.--
"(A) In general.--An application under paragraph (1) shall
certify that there are specific and articulable facts giving
reason to believe that the education records are likely to
contain information described in paragraph (1)(A).
"(B) The court shall issue an order described in paragraph
(1) if the court finds that the application for the order
includes the certification described in subparagraph (A).
"(3) Protection of educational agency or institution.--An
educational agency or institution that, in good faith,
produces education records in accordance with an order issued
under this subsection shall not be liable to any person for
that production.
"(4) Record-keeping.--Subsection (b)(4) does not apply to
education records subject to a court order under this
subsection.".
SEC. 509. DISCLOSURE OF INFORMATION FROM NCES SURVEYS.
Section 408 of the National Education Statistics Act of
1994 (20 U.S.C. 9007), is amended by adding after subsection
(b) a new subsection (c) to read as follows:
"(c) Investigation and Prosecution of Terrorism.--
"(1) In General.--Notwithstanding subsections (a) and (b),
the Attorney General (or any Federal officer or employee, in
a position not lower than an Assistant Attorney General,
designated by the Attorney General) may submit a written
application to a court of competent jurisdiction for an ex
parte order requiring the Secretary to permit the Attorney
General (or his designee) to--
"(A) collect reports, records, and information (including
individually identifiable information) in the possession of
the center that are relevant to an authorized investigation
or prosecution of an offense listed in section 2332b(g)(5)(B)
of title 18, United States Code, or an act of domestic or
international terrorism as defined in section 2331 of that
title; and
"(B) for official purposes related to the investigation or
prosecution of an offense described in paragraph (1)(A),
retain, disseminate, and use (including as evidence at trial
or in other administrative or judicial proceedings) such
information, consistent with such guidelines as the Attorney
General, after consultation with the Secretary, shall issue
to protect confidentiality.
"(2) Application and approval.--
"(A) In general.--An application under paragraph (1) shall
certify that there are specific and articulable facts giving
reason to believe that the information sought is described in
paragraph (1)(A).
"(B) The court shall issue an order described in paragraph
(1) if the court finds that the application for the order
includes the certification described in subparagraph (A).
"(3) Protection.--An officer or employee of the Department
who, in good faith, produces information in accordance with
an order issued under this subsection does not violate
subsection (b)(2) and shall not be liable to any person for
that production.".
TITLE VI--PROVIDING FOR VICTIMS OF TERRORISM, PUBLIC SAFETY OFFICERS,
AND THEIR FAMILIES
Subtitle A--Aid to Families of Public Safety Officers
SEC. 611. EXPEDITED PAYMENT FOR PUBLIC SAFETY OFFICERS
INVOLVED IN THE PREVENTION, INVESTIGATION,
RESCUE, OR RECOVERY EFFORTS RELATED TO A
TERRORIST ATTACK.
(a) In General.--Notwithstanding the limitations of
subsection (b) of section 1201 or the provisions of
subsections (c), (d), and (e) of such section or section 1202
of title I of the Omnibus Crime Control and Safe Streets Act
of 1968 (42 U.S.C. 3796, 3796a), upon certification
(containing identification of all eligible payees of benefits
pursuant to section 1201 of such Act) by a public agency that
a public safety officer employed by such agency was killed or
suffered a catastrophic injury producing permanent and total
disability as a direct and proximate result of a personal
injury sustained in the line of duty as described in section
1201 of such Act in connection with prevention,
investigation, rescue, or recovery efforts related to a
terrorist attack, the Director of the Bureau of Justice
Assistance shall authorize payment to qualified
beneficiaries, said payment to be made not later than 30 days
after receipt of such certification, benefits described under
subpart 1 of part L of such Act (42 U.S.C. 3796 et seq.).
(b) Definitions.--For purposes of this section, the terms
"catastrophic injury", "public agency", and "public
safety officer" have the same meanings given such terms in
section 1204 of title I of the Omnibus Crime Control and Safe
Streets Act of 1968 (42 U.S.C. 3796b).
SEC. 612. TECHNICAL CORRECTION WITH RESPECT TO EXPEDITED
PAYMENTS FOR HEROIC PUBLIC SAFETY OFFICERS.
Section 1 of Public Law 107-37 (an Act to provide for the
expedited payment of certain benefits for a public safety
officer who was killed or suffered a catastrophic injury as a
direct and proximate result of a personal injury sustained in
the line of duty in connection with the terrorist attacks of
September 11, 2001) is amended by--
(1) inserting before "by a" the following: "(containing
identification of all eligible payees of benefits pursuant to
section 1201)";
(2) inserting "producing permanent and total disability"
after "suffered a catastrophic injury"; and
(2) striking "1201(a)" and inserting "1201".
SEC. 613. PUBLIC SAFETY OFFICERS BENEFIT PROGRAM PAYMENT
INCREASE.
(a) Payments.--Section 1201(a) of the Omnibus Crime Control
and Safe Streets Act of 1968 (42 U.S.C. 3796) is amended by
striking "$100,000" and inserting "$250,000".
(b) Applicability.--The amendment made by subsection (a)
shall apply to any death or disability occurring on or after
January 1, 2001.
SEC. 614. OFFICE OF JUSTICE PROGRAMS.
Section 112 of title I of section 101(b) of division A of
Public Law 105-277 and section 108(a) of appendix A of Public
Law 106-113 (113 Stat. 1501A-20) are amended--
(1) after "that Office", each place it occurs, by
inserting "(including, notwithstanding any contrary
provision of law (unless the same should expressly refer to
this section), any organization that administers any program
established in title 1 of Public Law 90-351)"; and
(2) by inserting "functions, including any" after
"all".
[[Page S10328]]
Subtitle B--Amendments to the Victims of Crime Act of 1984
SEC. 621. CRIME VICTIMS FUND.
(a) Deposit of Gifts in the Fund.--Section 1402(b) of the
Victims of Crime Act of 1984 (42 U.S.C. 10601(b)) is
amended--
(1) in paragraph (3), by striking "and" at the end;
(2) in paragraph (4), by striking the period at the end and
inserting "; and"; and
(3) by adding at the end the following:
"(5) any gifts, bequests, or donations to the Fund from
private entities or individuals.".
(b) Formula for Fund Distributions.--Section 1402(c) of the
Victims of Crime Act of 1984 (42 U.S.C. 10601(c)) is amended
to read as follows:
"(c) Fund Distribution; Retention of Sums in Fund;
Availability for Expenditure Without Fiscal Year
Limitation.--
"(1) Subject to the availability of money in the Fund, in
each fiscal year, beginning with fiscal year 2003, the
Director shall distribute not less than 90 percent nor more
than 110 percent of the amount distributed from the Fund in
the previous fiscal year, except the Director may distribute
up to 120 percent of the amount distributed in the previous
fiscal year in any fiscal year that the total amount
available in the Fund is more than 2 times the amount
distributed in the previous fiscal year.
"(2) In each fiscal year, the Director shall distribute
amounts from the Fund in accordance with subsection (d). All
sums not distributed during a fiscal year shall remain in
reserve in the Fund to be distributed during a subsequent
fiscal year. Notwithstanding any other provision of law, all
sums deposited in the Fund that are not distributed shall
remain in reserve in the Fund for obligation in future fiscal
years, without fiscal year limitation.".
(c) Allocation of Funds for Costs and Grants.--Section
1402(d)(4) of the Victims of Crime Act of 1984 (42 U.S.C.
10601(d)(4)) is amended--
(1) by striking "deposited in" and inserting "to be
distributed from";
(2) in subparagraph (A), by striking "48.5" and inserting
"47.5";
(3) in subparagraph (B), by striking "48.5" and inserting
"47.5"; and
(4) in subparagraph (C), by striking "3" and inserting
"5".
(d) Antiterrorism Emergency Reserve.--Section 1402(d)(5) of
the Victims of Crime Act of 1984 (42 U.S.C. 10601(d)(5)) is
amended to read as follows:
"(5)(A) In addition to the amounts distributed under
paragraphs (2), (3), and (4), the Director may set aside up
to $50,000,000 from the amounts transferred to the Fund for
use in responding to the airplane hijackings and terrorist
acts that occurred on September 11, 2001, as an antiterrorism
emergency reserve. The Director may replenish any amounts
expended from such reserve in subsequent fiscal years by
setting aside up to 5 percent of the amounts remaining in the
Fund in any fiscal year after distributing amounts under
paragraphs (2), (3) and (4). Such reserve shall not exceed
$50,000,000.
"(B) The antiterrorism emergency reserve referred to in
subparagraph (A) may be used for supplemental grants under
section 1404B and to provide compensation to victims of
international terrorism under section 1404C.
"(C) Amounts in the antiterrorism emergency reserve
established pursuant to subparagraph (A) may be carried over
from fiscal year to fiscal year. Notwithstanding subsection
(c) and section 619 of the Departments of Commerce, Justice,
and State, the Judiciary, and Related Agencies Appropriations
Act, 2001 (and any similar limitation on Fund obligations in
any future Act, unless the same should expressly refer to
this section), any such amounts carried over shall not be
subject to any limitation on obligations from amounts
deposited to or available in the Fund.".
(e) Victims of September 11, 2001.--Amounts transferred to
the Crime Victims Fund for use in responding to the airplane
hijackings and terrorist acts (including any related search,
rescue, relief, assistance, or other similar activities) that
occurred on September 11, 2001, shall not be subject to any
limitation on obligations from amounts deposited to or
available in the Fund, notwithstanding--
(1) section 619 of the Departments of Commerce, Justice,
and State, the Judiciary, and Related Agencies Appropriations
Act, 2001, and any similar limitation on Fund obligations in
such Act for Fiscal Year 2002; and
(2) subsections (c) and (d) of section 1402 of the Victims
of Crime Act of 1984 (42 U.S.C. 10601).
SEC. 622. CRIME VICTIM COMPENSATION.
(a) Allocation of Funds for Compensation and Assistance.--
Paragraphs (1) and (2) of section 1403(a) of the Victims of
Crime Act of 1984 (42 U.S.C. 10602(a)) are amended by
inserting "in fiscal year 2002 and of 60 percent in
subsequent fiscal years" after "40 percent".
(b) Location of Compensable Crime.--Section 1403(b)(6)(B)
of the Victims of Crime Act of 1984 (42 U.S.C.
10602(b)(6)(B)) is amended by striking "are outside the
United States (if the compensable crime is terrorism, as
defined in section 2331 of title 18), or".
(c) Relationship of Crime Victim Compensation to Means-
Tested Federal Benefit Programs.--Section 1403 of the Victims
of Crime Act of 1984 (42 U.S.C. 10602) is amended by striking
subsection (c) and inserting the following:
"(c) Exclusion From Income, Resources, and Assets for
Purposes of Means Tests.--Notwithstanding any other law
(other than title IV of Public Law 107-42), for the purpose
of any maximum allowed income, resource, or asset eligibility
requirement in any Federal, State, or local government
program using Federal funds that provides medical or other
assistance (or payment or reimbursement of the cost of such
assistance), any amount of crime victim compensation that the
applicant receives through a crime victim compensation
program under this section shall not be included in the
income, resources, or assets of the applicant, nor shall that
amount reduce the amount of the assistance available to the
applicant from Federal, State, or local government programs
using Federal funds, unless the total amount of assistance
that the applicant receives from all such programs is
sufficient to fully compensate the applicant for losses
suffered as a result of the crime.".
(d) Definitions of "Compensable Crime" and "State".--
Section 1403(d) of the Victims of Crime Act of 1984 (42
U.S.C. 10602(d)) is amended--
(1) in paragraph (3), by striking "crimes involving
terrorism,"; and
(2) in paragraph (4), by inserting "the United States
Virgin Islands," after "the Commonwealth of Puerto Rico,".
(e) Relationship of Eligible Crime Victim Compensation
Programs to the September 11th Victim Compensation Fund.--
(1) In general.--Section 1403(e) of the Victims of Crime
Act of 1984 (42 U.S.C. 10602(e)) is amended by inserting
"including the program established under title IV of Public
Law 107-42," after "Federal program,".
(2) Compensation.--With respect to any compensation payable
under title IV of Public Law 107-42, the failure of a crime
victim compensation program, after the effective date of
final regulations issued pursuant to section 407 of Public
Law 107-42, to provide compensation otherwise required
pursuant to section 1403 of the Victims of Crime Act of 1984
(42 U.S.C. 10602) shall not render that program ineligible
for future grants under the Victims of Crime Act of 1984.
SEC. 623. CRIME VICTIM ASSISTANCE.
(a) Assistance for Victims in the District of Columbia,
Puerto Rico, and Other Territories and Possessions.--Section
1404(a) of the Victims of Crime Act of 1984 (42 U.S.C.
10603(a)) is amended by adding at the end the following:
"(6) An agency of the Federal Government performing local
law enforcement functions in and on behalf of the District of
Columbia, the Commonwealth of Puerto Rico, the United States
Virgin Islands, or any other territory or possession of the
United States may qualify as an eligible crime victim
assistance program for the purpose of grants under this
subsection, or for the purpose of grants under subsection
(c)(1).".
(b) Prohibition on Discrimination Against Certain
Victims.--Section 1404(b)(1) of the Victims of Crime Act of
1984 (42 U.S.C. 10603(b)(1)) is amended--
(1) in subparagraph (D), by striking "and" at the end;
(2) in subparagraph (E), by striking the period at the end
and inserting "; and"; and
(3) by adding at the end the following:
"(F) does not discriminate against victims because they
disagree with the way the State is prosecuting the criminal
case.".
(c) Grants for Program Evaluation and Compliance Efforts.--
Section 1404(c)(1)(A) of the Victims of Crime Act of 1984 (42
U.S.C. 10603(c)(1)(A)) is amended by inserting ", program
evaluation, compliance efforts," after "demonstration
projects".
(d) Allocation of Discretionary Grants.--Section 1404(c)(2)
of the Victims of Crime Act of 1984 (42 U.S.C. 10603(c)(2))
is amended--
(1) in subparagraph (A), by striking "not more than" and
inserting "not less than"; and
(2) in subparagraph (B), by striking "not less than" and
inserting "not more than".
(e) Fellowships and Clinical Internships.--Section
1404(c)(3) of the Victims of Crime Act of 1984 (42 U.S.C.
10603(c)(3)) is amended--
(1) in subparagraph (C), by striking "and" at the end;
(2) in subparagraph (D), by striking the period at the end
and inserting "; and"; and
(3) by adding at the end the following:
"(E) use funds made available to the Director under this
subsection--
"(i) for fellowships and clinical internships; and
"(ii) to carry out programs of training and special
workshops for the presentation and dissemination of
information resulting from demonstrations, surveys, and
special projects.".
SEC. 624. VICTIMS OF TERRORISM.
(a) Compensation and Assistance to Victims of Domestic
Terrorism.--Section 1404B(b) of the Victims of Crime Act of
1984 (42 U.S.C. 10603b(b)) is amended to read as follows:
"(b) Victims of Terrorism Within the United States.--The
Director may make supplemental grants as provided in section
1402(d)(5) to States for eligible crime victim compensation
and assistance programs, and to victim service organizations,
public agencies (including Federal, State, or local
governments) and nongovernmental organizations that provide
assistance to victims of crime, which shall be used to
provide emergency relief, including crisis response efforts,
assistance, compensation, training and
[[Page S10329]]
technical assistance, and ongoing assistance, including
during any investigation or prosecution, to victims of
terrorist acts or mass violence occurring within the United
States.".
(b) Assistance to Victims of International Terrorism.--
Section 1404B(a)(1) of the Victims of Crime Act of 1984 (42
U.S.C. 10603b(a)(1)) is amended by striking "who are not
persons eligible for compensation under title VIII of the
Omnibus Diplomatic Security and Antiterrorism Act of 1986".
(c) Compensation to Victims of International Terrorism.--
Section 1404C(b) of the Victims of Crime of 1984 (42 U.S.C.
10603c(b)) is amended by adding at the end the following:
"The amount of compensation awarded to a victim under this
subsection shall be reduced by any amount that the victim
received in connection with the same act of international
terrorism under title VIII of the Omnibus Diplomatic Security
and Antiterrorism Act of 1986.".
TITLE VII--INCREASED INFORMATION SHARING FOR CRITICAL INFRASTRUCTURE
PROTECTION
SEC. 711. EXPANSION OF REGIONAL INFORMATION SHARING SYSTEM TO
FACILITATE FEDERAL-STATE-LOCAL LAW ENFORCEMENT
RESPONSE RELATED TO TERRORIST ATTACKS.
Section 1301 of title I of the Omnibus Crime Control and
Safe Streets Act of 1968 (42 U.S.C. 3796h) is amended--
(1) in subsection (a), by inserting "and terrorist
conspiracies and activities" after "activities";
(2) in subsection (b)--
(A) in paragraph (3), by striking "and" after the
semicolon;
(B) by redesignating paragraph (4) as paragraph (5);
(C) by inserting after paragraph (3) the following:
"(4) establishing and operating secure information sharing
systems to enhance the investigation and prosecution
abilities of participating enforcement agencies in addressing
multi-jurisdictional terrorist conspiracies and activities;
and (5)"; and
(3) by inserting at the end the following:
"(d) Authorization of Appropriation to the Bureau of
Justice Assistance.--There are authorized to be appropriated
to the Bureau of Justice Assistance to carry out this section
$50,000,000 for fiscal year 2002 and $100,000,000 for fiscal
year 2003.".
TITLE VIII--STRENGTHENING THE CRIMINAL LAWS AGAINST TERRORISM
SEC. 801. TERRORIST ATTACKS AND OTHER ACTS OF VIOLENCE
AGAINST MASS TRANSPORTATION SYSTEMS.
Chapter 97 of title 18, United States Code, is amended by
adding at the end the following:
"Sec. 1993. Terrorist attacks and other acts of violence
against mass transportation systems
"(a) General Prohibitions.--Whoever willfully--
"(1) wrecks, derails, sets fire to, or disables a mass
transportation vehicle or ferry;
"(2) places or causes to be placed any biological agent or
toxin for use as a weapon, destructive substance, or
destructive device in, upon, or near a mass transportation
vehicle or ferry, without previously obtaining the permission
of the mass transportation provider, and with intent to
endanger the safety of any passenger or employee of the mass
transportation provider, or with a reckless disregard for the
safety of human life;
"(3) sets fire to, or places any biological agent or toxin
for use as a weapon, destructive substance, or destructive
device in, upon, or near any garage, terminal, structure,
supply, or facility used in the operation of, or in support
of the operation of, a mass transportation vehicle or ferry,
without previously obtaining the permission of the mass
transportation provider, and knowing or having reason to know
such activity would likely derail, disable, or wreck a mass
transportation vehicle or ferry used, operated, or employed
by the mass transportation provider;
"(4) removes appurtenances from, damages, or otherwise
impairs the operation of a mass transportation signal system,
including a train control system, centralized dispatching
system, or rail grade crossing warning signal;
"(5) interferes with, disables, or incapacitates any
dispatcher, driver, captain, or person while they are
employed in dispatching, operating, or maintaining a mass
transportation vehicle or ferry, with intent to endanger the
safety of any passenger or employee of the mass
transportation provider, or with a reckless disregard for the
safety of human life;
"(6) commits an act, including the use of a dangerous
weapon, with the intent to cause death or serious bodily
injury to an employee or passenger of a mass transportation
provider or any other person while any of the foregoing are
on the property of a mass transportation provider;
"(7) conveys or causes to be conveyed false information,
knowing the information to be false, concerning an attempt or
alleged attempt being made or to be made, to do any act which
would be a crime prohibited by this subsection; or
"(8) attempts, threatens, or conspires to do any of the
aforesaid acts,
shall be fined under this title or imprisoned not more than
twenty years, or both, if such act is committed, or in the
case of a threat or conspiracy such act would be committed,
on, against, or affecting a mass transportation provider
engaged in or affecting interstate or foreign commerce, or if
in the course of committing such act, that person travels or
communicates across a State line in order to commit such act,
or transports materials across a State line in aid of the
commission of such act.
"(b) Aggravated Offense.--Whoever commits an offense under
subsection (a) in a circumstance in which--
"(1) the mass transportation vehicle or ferry was carrying
a passenger at the time of the offense; or
"(2) the offense has resulted in the death of any person,
shall be guilty of an aggravated form of the offense and
shall be fined under this title or imprisoned for a term of
years or for life, or both.
"(c) Definitions.--In this section--
"(1) the term `biological agent' has the meaning given to
that term in section 178(1) of this title;
"(2) the term `dangerous weapon' has the meaning given to
that term in section 930 of this title;
"(3) the term `destructive device' has the meaning given
to that term in section 921(a)(4) of this title;
"(4) the term `destructive substance' has the meaning
given to that term in section 31 of this title;
"(5) the term `mass transportation' has the meaning given
to that term in section 5302(a)(7) of title 49, United States
Code, except that the term shall include schoolbus, charter,
and sightseeing transportation;
"(6) the term `serious bodily injury' has the meaning
given to that term in section 1365 of this title;
"(7) the term `State' has the meaning given to that term
in section 2266 of this title; and
"(8) the term `toxin' has the meaning given to that term
in section 178(2) of this title.".
(f) Conforming Amendment.--The analysis of chapter 97 of
title 18, United States Code, is amended by adding at the
end:
"1993. Terrorist attacks and other acts of violence against mass
transportation systems.".
SEC. 802. EXPANSION OF THE BIOLOGICAL WEAPONS STATUTE.
Chapter 10 of title 18, United States Code, is amended--
(1) in section 175--
(A) in subsection (b)--
(i) by striking "does not include" and inserting
"includes";
(ii) by inserting "other than" after "system for"; and
(iii) by inserting "bona fide research" after
"protective";
(B) by redesignating subsection (b) as subsection (c); and
(C) by inserting after subsection (a) the following:
"(b) Additional Offense.--Whoever knowingly possesses any
biological agent, toxin, or delivery system of a type or in a
quantity that, under the circumstances, is not reasonably
justified by a prophylactic, protective, bona fide research,
or other peaceful purpose, shall be fined under this title,
imprisoned not more than 10 years, or both. In this
subsection, the terms `biological agent' and `toxin' do not
encompass any biological agent or toxin that is in its
naturally occurring environment, if the biological agent or
toxin has not been cultivated, collected, or otherwise
extracted from its natural source.";
(2) by inserting after section 175a the following:
"SEC. 175B. POSSESSION BY RESTRICTED PERSONS.
"(a) No restricted person described in subsection (b)
shall ship or transport interstate or foreign commerce, or
possess in or affecting commerce, any biological agent or
toxin, or receive any biological agent or toxin that has been
shipped or transported in interstate or foreign commerce, if
the biological agent or toxin is listed as a select agent in
subsection (j) of section 72.6 of title 42, Code of Federal
Regulations, pursuant to section 511(d)(l) of the
Antiterrorism and Effective Death Penalty Act of 1996 (Public
Law 104-132), and is not exempted under subsection (h) of
such section 72.6, or appendix A of part 72 of the Code of
Regulations.
"(b) In this section:
"(1) The term `select agent' does not include any such
biological agent or toxin that is in its naturally-occurring
environment, if the biological agent or toxin has not been
cultivated, collected, or otherwise extracted from its
natural source.
"(2) The term `restricted person' means an individual
who--
"(A) is under indictment for a crime punishable by
imprisonment for a term exceeding 1 year;
"(B) has been convicted in any court of a crime punishable
by imprisonment for a term exceeding 1 year;
"(C) is a fugitive from justice;
"(D) is an unlawful user of any controlled substance (as
defined in section 102 of the Controlled Substances Act (21
U.S.C. 802));
"(E) is an alien illegally or unlawfully in the United
States;
"(F) has been adjudicated as a mental defective or has
been committed to any mental institution;
"(G) is an alien (other than an alien lawfully admitted
for permanent residence) who is a national of a country as to
which the Secretary of State, pursuant to section 6(j) of the
Export Administration Act of 1979 (50
[[Page S10330]]
U.S.C. App. 2405(j)), section 620A of chapter 1 of part M of
the Foreign Assistance Act of 1961 (22 U.S.C. 2371), or
section 40(d) of chapter 3 of the Arms Export Control Act (22
U.S.C. 2780(d)), has made a determination (that remains in
effect) that such country has repeatedly provided support for
acts of international terrorism; or
"(H) has been discharged from the Armed Services of the
United States under dishonorable conditions.
"(3) The term `alien' has the same meaning as in section
1010(a)(3) of the Immigration and Nationality Act (8 U.S.C.
1101(a)(3)).
"(4) The term `lawfully admitted for permanent residence'
has the same meaning as in section 101(a)(20) of the
Immigration and Nationality Act (8 U.S.C. 1101(a)(20)).
"(c) Whoever knowingly violates this section shall be
fined as provided in this title, imprisoned not more than 10
years, or both, but the prohibition contained in this section
shall not apply with respect to any duly authorized United
States governmental activity."; and
(3) in the chapter analysis, by inserting after the item
relating to section 175a the following:
"175b. Possession by restricted persons.".
SEC. 803. DEFINITION OF DOMESTIC TERRORISM.
(a) Domestic Terrorism Defined.--Section 2331 of title 18,
United States Code, is amended--
(1) in paragraph (1)(B)(iii), by striking "by
assassination or kidnapping" and inserting "by mass
destruction, assassination, or kidnapping";
(2) in paragraph (3), by striking "and";
(3) in paragraph (4), by striking the period at the end and
inserting "; and"; and
(4) by adding at the end the following:
"(5) the term `domestic terrorism' means activities that--
"(A) involve acts dangerous to human life that are a
violation of the criminal laws of the United States or of any
State;
"(B) appear to be intended--
"(i) to intimidate or coerce a civilian population;
"(ii) to influence the policy of a government by
intimidation or coercion; or
"(iii) to affect the conduct of a government by mass
destruction, assassination, or kidnapping; and
"(C) occur primarily within the territorial jurisdiction
of the United States.".
(b) Conforming Amendment.--Section 3077(1) of title 18,
United States Code, is amended to read as follows:
"(1) `act of terrorism' means an act of domestic or
international terrorism as defined in section 2331;".
SEC. 804. PROHIBITION AGAINST HARBORING TERRORISTS.
(a) In General.--Chapter 113B of title 18, United States
Code, is amended by adding after section 2338 the following
new section:
"Sec. 2339. Harboring or concealing terrorists
"(a) Whoever harbors or conceals any person who he knows,
or has reasonable grounds to believe, has committed, or is
about to commit, an offense under section 32 (relating to
destruction of aircraft or aircraft facilities), section 175
(relating to biological weapons), section 229 (relating to
chemical weapons), section 831 (relating to nuclear
materials), paragraph (2) or (3) of section 844(f) (relating
to arson and bombing of government property risking or
causing injury or death), section 1366(a) (relating to the
destruction of an energy facility), section 2280 (relating to
violence against maritime navigation), section 2332a
(relating to weapons of mass destruction), or section 2332b
(relating to acts of terrorism transcending national
boundaries) of this title, section 236(a) (relating to
sabotage of nuclear facilities or fuel) of the Atomic Energy
Act of 1954 (42 U.S.C. 2284(a)), or section 46502 (relating
to aircraft piracy) of title 49, shall be fined under this
title or imprisoned not more than ten years, or both.".
"(b) A violation of this section may be prosecuted in any
Federal judicial district in which the underlying offense was
committed, or in any other Federal judicial district as
provided by law.".
(b) Technical Amendment.--The chapter analysis for chapter
113B of title 18, United States Code, is amended by inserting
after the item for section 2338 the following:
"2339. Harboring or concealing terrorists.".
SEC. 805. JURISDICTION OVER CRIMES COMMITTED AT U.S.
FACILITIES ABROAD.
Section 7 of title 18, United States Code, is amended by
adding at the end the following:
"(9) With respect to offenses committed by or against a
United States national, as defined in section 1203(c) of this
title--
"(A) the premises of United States diplomatic, consular,
military or other United States Government missions or
entities in foreign States, including the buildings, parts of
buildings, and land appurtenant or ancillary thereto or used
for purposes of those missions or entities, irrespective of
ownership; and
"(B) residences in foreign States and the land appurtenant
or ancillary thereto, irrespective of ownership, used for
purposes of those missions or entities or used by United
States personnel assigned to those missions or entities.
Nothing in this paragraph shall be deemed to supersede any
treaty or international agreement in force on the date of
enactment of this paragraph with which this paragraph
conflicts. This paragraph does not apply with respect to an
offense committed by a person described in section 3261(a) of
this title.".
SEC. 806. MATERIAL SUPPORT FOR TERRORISM.
(a) In General.--Section 2339A of title 18, United States
Code, is amended--
(1) in subsection (a)--
(A) by striking ", within the United States,";
(B) by inserting "229," after "175,";
(C) by inserting "1993," after "1992,";
(D) by inserting ", section 236 of the Atomic Energy Act
of 1954 (42 U.S.C. 2284)," after "of this title";
(E) by inserting "or 60123(b)" after "46502"; and
(F) by inserting at the end the following: "A violation of
this section may be prosecuted in any Federal judicial
district in which the underlying offense was committed, or in
any other Federal judicial district as provided by law.";
and
(2) in subsection (b)--
(A) by striking "or other financial securities" and
inserting "or monetary instruments or financial
securities"; and
(B) by inserting "expert advice or assistance," after
"training,".
(b) Technical Amendment.--Section 1956(c)(7)(D) of title
18, United States Code, is amended by inserting "or 2339B"
after "2339A".
SEC. 807. ASSETS OF TERRORIST ORGANIZATIONS.
Section 981(a)(1) of title 18, United States Code, is
amended by inserting at the end the following:
"(G) All assets, foreign or domestic--
"(i) of any person, entity, or organization engaged in
planning or perpetrating any act of domestic or international
terrorism (as defined in section 2331) against the United
States, citizens or residents of the United States, or their
property, and all assets, foreign or domestic, affording any
person a source of influence over any such entity or
organization;
"(ii) acquired or maintained by any person for the purpose
of supporting, planning, conducting, or concealing an act of
domestic or international terrorism (as defined in section
2331) against the United States, citizens or residents of the
United States, or their property; or
"(iii) derived from, involved in, or used or intended to
be used to commit any act of domestic or international
terrorism (as defined in section 2331) against the United
States, citizens or residents of the United States, or their
property.".
SEC. 808. TECHNICAL CLARIFICATION RELATING TO PROVISION OF
MATERIAL SUPPORT TO TERRORISM.
No provision of the Trade Sanctions Reform and Export
Enhancement Act of 2000 (title IX of Public Law 106-387)
shall be construed to limit or otherwise affect section 2339A
or 2339B of title 18, United States Code.
SEC. 809. DEFINITION OF FEDERAL CRIME OF TERRORISM.
Section 2332b of title 18, United States Code, is amended--
(1) in subsection (f), by inserting after "terrorism" the
following: "and any violation of section 351(e), 844(e),
844(f)(1), 956(b), 1361, 1366(b), 1366(c), 1751(e), 2152, or
2156 of this title," before "and the Secretary"; and
(2) in subsection (g)(5)(B), by striking clauses (i)
through (iii) and inserting the following:
"(i) section 32 (relating to destruction of aircraft or
aircraft facilities), 37 (relating to violence at
international airports), 81 (relating to arson within special
maritime and territorial jurisdiction), 175 or 175b (relating
to biological weapons), 229 (relating to chemical weapons),
351 (a) through (d) (relating to congressional, cabinet, and
Supreme Court assassination and kidnaping), 831 (relating to
nuclear materials), 842(m) or (n) (relating to plastic
explosives), 844(f) (2) through (3) (relating to arson and
bombing of Government property risking or causing death),
844(i) (relating to arson and bombing of property used in
interstate commerce), 930(c) (relating to killing or
attempted killing during an attack on a Federal facility with
a dangerous weapon), 956(a)(1) (relating to conspiracy to
murder, kidnap, or maim within special maritime and
territorial jurisdiction of the United States), 1030(a)(1)
(relating to protection of computers), 1030(a)(5)(A)(i)
resulting in damage as defined in 1030(a)(5)(B)(ii) through
(v) (relating to protection of computers), 1114 (relating to
killing or attempted killing of officers and employees of the
United States), 1116 (relating to murder or manslaughter of
foreign officials, official guests, or internationally
protected persons), 1203 (relating to hostage taking), 1362
(relating to destruction of communication lines, stations, or
systems), 1363 (relating to injury to buildings or property
within special maritime and territorial jurisdiction of the
United States), 1366(a) (relating to destruction of an energy
facility), 1751 (a) through (d) (relating to Presidential and
Presidential staff assassination and kidnaping), 1992
(relating to wrecking trains), 1993 (relating to terrorist
attacks and other acts of violence against mass
transportation systems), 2155 (relating to destruction of
national defense materials, premises, or utilities), 2280
(relating to violence against maritime navigation), 2281
(relating to violence against maritime fixed platforms), 2332
(relating to certain homicides and other violence against
United States nationals occurring outside of the United
States), 2332a (relating to use of weapons of mass
destruction), 2332b (relating to acts of terrorism
transcending national boundaries), 2339 (relating to
harboring terrorists), 2339A (relating to providing material
support to terrorists), 2339B (relating to
[[Page S10331]]
providing material support to terrorist organizations), or
2340A (relating to torture) of this title;
"(ii) section 236 (relating to sabotage of nuclear
facilities or fuel) of the Atomic Energy Act of 1954 (42
U.S.C. 2284); or
"(iii) section 46502 (relating to aircraft piracy), the
second sentence of section 46504 (relating to assault on a
flight crew with a dangerous weapon), section 46505(b)(3) or
(c) (relating to explosive or incendiary devices, or
endangerment of human life by means of weapons, on aircraft),
section 46506 if homicide or attempted homicide is involved
(relating to application of certain criminal laws to acts on
aircraft), or section 60123(b) (relating to destruction of
interstate gas or hazardous liquid pipeline facility) of
title 49.".
SEC. 810. NO STATUTE OF LIMITATION FOR CERTAIN TERRORISM
OFFENSES.
(a) In General.--Section 3286 of title 18, United States
Code, is amended to read as follows:
"Sec. 3286. Extension of statute of limitation for certain
terrorism offenses.
"(a) Eight-Year Limitation.--Notwithstanding section 3282,
no person shall be prosecuted, tried, or punished for any
noncapital offense involving a violation of any provision
listed in section 2332b(g)(5)(B) other than a provision
listed in section 3295, or a violation of section 112,
351(e), 1361, or 1751(e) of this title, or section 46504,
46505, or 46506 of title 49, unless the indictment is found
or the information is instituted within 8 years after the
offense was committed.
"(b) No Limitation.--Notwithstanding any other law, an
indictment may be found or an information instituted at any
time without limitation for any offense listed in section
2332b(g)(5)(B), if the commission of such offense resulted
in, or created a forseeable risk of, death or serious bodily
injury to another person.".
(b) Application.--The amendments made by this section shall
apply to the prosecution of any offense committed before, on,
or after the date of enactment of this section.
SEC. 811. ALTERNATE MAXIMUM PENALTIES FOR TERRORISM OFFENSES.
(a) Arson.--Section 81 of title 18, United States Code, is
amended in the second undesignated paragraph by striking
"not more than twenty years" and inserting "for any term
of years or for life".
(b) Destruction of an Energy Facility.--Section 1366 of
title 18, United States Code, is amended--
(1) in subsection (a), by striking "ten" and inserting
"20"; and
(2) by adding at the end the following:
"(d) Whoever is convicted of a violation of subsection (a)
or (b) that has resulted in the death of any person shall be
subject to imprisonment for any term of years or life.".
(c) Material Support to Terrorists.--Section 2339A(a) of
title 18, United States Code, is amended--
(1) by striking "10" and inserting "15"; and
(2) by striking the period and inserting "and, if the
death of any person results, shall be imprisoned for any term
of years or for life.".
(d) Material Support to Designated Foreign Terrorist
Organizations.--Section 2339B(a)(1) of title 18, United
States Code, is amended--
(1) by striking "10" and inserting "15"; and
(2) by striking the period after "or both" and inserting
"and, if the death of any person results, shall be
imprisoned for any term of years or for life.".
(e) Destruction of National-Defense Materials.--Section
2155(a) of title 18, United States Code, is amended--
(1) by striking "ten" and inserting "20"; and
(2) by striking the period at the end and inserting ",
and, if death results to any person, shall be imprisoned for
any term of years or for life.".
(f) Sabotage of Nuclear Facilities or Fuel.--Section 236 of
the Atomic Energy Act of 1954 (42 U.S.C. 2284), is amended--
(1) by striking "ten" each place it appears and inserting
"20";
(2) in subsection (a), by striking the period at the end
and inserting ", and, if death results to any person, shall
be imprisoned for any term of years or for life."; and
(3) in subsection (b), by striking the period at the end
and inserting ", and, if death results to any person, shall
be imprisoned for any term of years or for life.".
(g) Special Aircraft Jurisdiction of the United States.--
Section 46505(c) of title 49, United States Code, is
amended--
(1) by striking "15" and inserting "20"; and
(2) by striking the period at the end and inserting ",
and, if death results to any person, shall be imprisoned for
any term of years or for life.".
(h) Damaging or Destroying an Interstate Gas or Hazardous
Liquid Pipeline Facility.--Section 60123(b) of title 49,
United States Code, is amended--
(1) by striking "15" and inserting "20"; and
(2) by striking the period at the end and inserting ",
and, if death results to any person, shall be imprisoned for
any term of years or for life.".
SEC. 812. PENALTIES FOR TERRORIST CONSPIRACIES.
(a) Arson.--Section 81 of title 18, United States Code, is
amended in the first undesignated paragraph--
(1) by striking ", or attempts to set fire to or burn";
and
(2) by inserting "or attempts or conspires to do such an
act," before "shall be imprisoned".
(b) Killings in Federal Facilities.--
(1) Section 930(c) of title 18, United States Code, is
amended--
(A) by striking "or attempts to kill";
(B) by inserting "or attempts or conspires to do such an
act," before "shall be punished"; and
(C) by striking "and 1113" and inserting "1113, and
1117".
(2) Section 1117 of title 18, United States Code, is
amended by inserting "930(c)," after "section".
(c) Communications Lines, Stations, or Systems.--Section
1362 of title 18, United States Code, is amended in the first
undesignated paragraph--
(1) by striking "or attempts willfully or maliciously to
injure or destroy"; and
(2) by inserting "or attempts or conspires to do such an
act," before "shall be fined".
(d) Buildings or Property Within Special Maritime and
Territorial Jurisdiction.--Section 1363 of title 18, United
States Code, is amended--
(1) by striking "or attempts to destroy or injure"; and
(2) by inserting "or attempts or conspires to do such an
act," before "shall be fined" the first place it appears.
(e) Wrecking Trains.--Section 1992 of title 18, United
States Code, is amended by adding at the end the following:
"(c) A person who conspires to commit any offense defined
in this section shall be subject to the same penalties (other
than the penalty of death) as the penalties prescribed for
the offense, the commission of which was the object of the
conspiracy.".
(f) Material Support to Terrorists.--Section 2339A of title
18, United States Code, is amended by inserting "or attempts
or conspires to do such an act," before "shall be fined".
(g) Torture.--Section 2340A of title 18, United States
Code, is amended by adding at the end the following:
"(c) Conspiracy.--A person who conspires to commit an
offense under this section shall be subject to the same
penalties (other than the penalty of death) as the penalties
prescribed for the offense, the commission of which was the
object of the conspiracy.".
(h) Sabotage of Nuclear Facilities or Fuel.--Section 236 of
the Atomic Energy Act of 1954 (42 U.S.C. 2284), is amended--
(1) in subsection (a)--
(A) by striking ", or who intentionally and willfully
attempts to destroy or cause physical damage to";
(B) in paragraph (4), by striking the period at the end and
inserting a comma; and
(C) by inserting "or attempts or conspires to do such an
act," before "shall be fined"; and
(2) in subsection (b)--
(A) by striking "or attempts to cause"; and
(B) by inserting "or attempts or conspires to do such an
act," before "shall be fined".
(i) Interference with Flight Crew Members and Attendants.--
Section 46504 of title 49, United States Code, is amended by
inserting "or attempts or conspires to do such an act,"
before "shall be fined".
(j) Special Aircraft Jurisdiction of the United States.--
Section 46505 of title 49, United States Code, is amended by
adding at the end the following:
"(e) Conspiracy.--If two or more persons conspire to
violate subsection (b) or (c), and one or more of such
persons do any act to effect the object of the conspiracy,
each of the parties to such conspiracy shall be punished as
provided in such subsection.".
(k) Damaging or Destroying an Interstate Gas or Hazardous
Liquid Pipeline Facility.--Section 60123(b) of title 49,
United States Code, is amended--
(1) by striking ", or attempting to damage or destroy,";
and
(2) by inserting ", or attempting or conspiring to do such
an act," before "shall be fined".
SEC. 813. POST-RELEASE SUPERVISION OF TERRORISTS.
Section 3583 of title 18, United States Code, is amended by
adding at the end the following:
"(j) Supervised Release Terms for Terrorism Predicates.--
Notwithstanding subsection (b), the authorized term of
supervised release for any offense listed in section
2332b(g)(5)(B), the commission of which resulted in, or
created a foreseeable risk of, death or serious bodily injury
to another person, is any term of years or life.".
SEC. 814. INCLUSION OF ACTS OF TERRORISM AS RACKETEERING
ACTIVITY.
Section 1961(1) of title 18, United States Code, is
amended--
(1) by striking "or (F)" and inserting "(F)"; and
(2) by inserting before the semicolon at the end the
following: ", or (G) any act that is indictable as an
offense listed in section 2332b(g)(5)(B)".
SEC. 815. DETERRENCE AND PREVENTION OF CYBERTERRORISM.
(a) Clarification of Protection of Protected Computers.--
Section 1030(a)(5) of title 18, United States Code, is
amended--
(1) by inserting "(i)" after (A)";
(2) by redesignating subparagraphs (B) and (C) as clauses
(ii) and (iii), respectively;
(3) by adding "and" at the end of clause (iii), as so
redesignated; and
(4) by adding at the end the following:
"(B) caused (or, in the case of an attempted offense,
would, if completed, have caused) conduct described in clause
(i), (ii), or (iii) of subparagraph (A) that resulted in--
[[Page S10332]]
"(i) loss to 1 or more persons during any 1-year period
(including loss resulting from a related course of conduct
affecting 1 or more other protected computers) aggregating at
least $5,000 in value;
"(ii) the modification or impairment, or potential
modification or impairment, of the medical examination,
diagnosis, treatment, or care of 1 or more individuals;
"(iii) physical injury to any person;
"(iv) a threat to public health or safety; or
"(v) damage affecting a computer system used by or for a
Government entity in furtherance of the administration of
justice, national defense, or national security;".
(b) Penalties.--Section 1030(c) of title 18, United States
Code is amended--
(1) in paragraph (2)--
(A) in subparagraph (A) --
(i) by inserting "except as provided in subparagraph
(B)," before "a fine";
(ii) by striking "(a)(5)(C)" and inserting
"(a)(5)(A)(iii)"; and
(iii) by striking "and' at the end;
(B) in subparagraph (B), by inserting "or an attempt to
commit an offense punishable under this subparagraph," after
"subsection (a)(2)," in the matter preceding clause (i);
and
(C) in subparagraph (C), by striking "and" at the end;
(2) in paragraph (3)--
(A) by striking ", (a)(5)(A), (a)(5)(B)," both places it
appears; and
(B) by striking "and" at the end; and
(3) by striking "(a)(5)(C)" and inserting
"(a)(5)(A)(iii)"; and
(4) by adding at the end the following new paragraphs:
"(4)(A) a fine under this title, imprisonment for not more
than 10 years, or both, in the case of an offense under
subsection (a)(5)(A)(i), or an attempt to commit an offense
punishable under that subsection;
"(B) a fine under this title, imprisonment for not more
than 5 years, or both, in the case of an offense under
subsection (a)(5)(A)(ii), or an attempt to commit an offense
punishable under that subsection;
"(C) a fine under this title, imprisonment for not more
than 20 years, or both, in the case of an offense under
subsection (a)(5)(A)(i) or (a)(5)(A)(ii), or an attempt to
commit an offense punishable under either subsection, that
occurs after a conviction for another offense under this
section.".
(c) Definitions.--Subsection (e) of section 1030 of title
18, United States Code is amended--
(1) in paragraph (2)(B), by inserting ", including a
computer located outside the United States" before the
semicolon;
(2) in paragraph (7), by striking "and" at the end;
(3) by striking paragraph (8) and inserting the following
new paragraph (8):
"(8) the term `damage' means any impairment to the
integrity or availability of data, a program, a system, or
information;";
(4) in paragraph (9), by striking the period at the end and
inserting a semicolon; and
(5) by adding at the end the following new paragraphs:
"(10) the term `conviction' shall include a conviction
under the law of any State for a crime punishable by
imprisonment for more than 1 year, an element of which is
unauthorized access, or exceeding authorized access, to a
computer;
"(11) the term `loss' includes any reasonable cost to any
victim, including the cost of responding to an offense,
conducting a damage assessment, and restoring the data,
program, system, or information to its condition prior to the
offense, and any revenue lost, cost incurred, or other
consequential damages incurred because of interruption of
service;
"(12) the term `person' means any individual, firm,
corporation, educational institution, financial institution,
governmental entity, or legal or other entity;".
(d) Damages in Civil Actions.--Subsection (g) of section
1030 of title 18, United States Code is amended--
(1) by striking the second sentence and inserting the
following new sentences: "A suit for a violation of
subsection (a)(5) may be brought only if the conduct involves
one of the factors enumerated in subsection (a)(5)(B).
Damages for a violation involving only conduct described in
subsection (a)(5)(B)(i) are limited to economic damages.";
and
(2) by adding at the end the following: "No action may be
brought under this subsection for the negligent design or
manufacture of computer hardware, computer software, or
firmware.".
(e) Amendment of Sentencing Guidelines Relating to Certain
Computer Fraud and Abuse.--Pursuant to its authority under
section 994(p) of title 28, United States Code, the United
States Sentencing Commission shall amend the Federal
sentencing guidelines to ensure that any individual convicted
of a violation of section 1030 of title 18, United States
Code, can be subjected to appropriate penalties, without
regard to any mandatory minimum term of imprisonment.
SEC. 816. ADDITIONAL DEFENSE TO CIVIL ACTIONS RELATING TO
PRESERVING RECORDS IN RESPONSE TO GOVERNMENT
REQUESTS.
Section 2707(e)(1) of title 18, United States Code, is
amended by inserting after "or statutory authorization" the
following: "(including a request of a governmental entity
under section 2703(f) of this title)".
SEC. 817. DEVELOPMENT AND SUPPORT OF CYBERSECURITY FORENSIC
CAPABILITIES.
(a) In General.--The Attorney General shall establish such
regional computer forensic laboratories as the Attorney
General considers appropriate, and provide support to
existing computer forensic laboratories, in order that all
such computer forensic laboratories have the capability--
(1) to provide forensic examinations with respect to seized
or intercepted computer evidence relating to criminal
activity (including cyberterrorism);
(2) to provide training and education for Federal, State,
and local law enforcement personnel and prosecutors regarding
investigations, forensic analyses, and prosecutions of
computer-related crime (including cyberterrorism);
(3) to assist Federal, State, and local law enforcement in
enforcing Federal, State, and local criminal laws relating to
computer-related crime;
(4) to facilitate and promote the sharing of Federal law
enforcement expertise and information about the
investigation, analysis, and prosecution of computer-related
crime with State and local law enforcement personnel and
prosecutors, including the use of multijurisdictional task
forces; and
(5) to carry out such other activities as the Attorney
General considers appropriate.
(b) Authorization of Appropriations.--
(1) Authorization.--There is hereby authorized to be
appropriated in each fiscal year $50,000,000 for purposes of
carrying out this section.
(2) Availability.--Amounts appropriated pursuant to the
authorization of appropriations in paragraph (1) shall remain
available until expended.
TITLE IX--IMPROVED INTELLIGENCE
SEC. 901. RESPONSIBILITIES OF DIRECTOR OF CENTRAL
INTELLIGENCE REGARDING FOREIGN INTELLIGENCE
COLLECTED UNDER FOREIGN INTELLIGENCE
SURVEILLANCE ACT OF 1978.
Section 103(c) of the National Security Act of 1947 (50
U.S.C. 403-3(c)) is amended--
(1) by redesignating paragraphs (6) and (7) as paragraphs
(7) and (8), respectively; and
(2) by inserting after paragraph (5) the following new
paragraph (6):
"(6) establish requirements and priorities for foreign
intelligence information to be collected under the Foreign
Intelligence Surveillance Act of 1978 (50 U.S.C. 1801 et
seq.), and provide assistance to the Attorney General to
ensure that information derived from electronic surveillance
or physical searches under that Act is disseminated so it may
be used efficiently and effectively for foreign intelligence
purposes, except that the Director shall have no authority to
direct, manage, or undertake electronic surveillance
operations pursuant to that Act unless otherwise authorized
by statute or executive order;".
SEC. 902. INCLUSION OF INTERNATIONAL TERRORIST ACTIVITIES
WITHIN SCOPE OF FOREIGN INTELLIGENCE UNDER
NATIONAL SECURITY ACT OF 1947.
Section 3 of the National Security Act of 1947 (50 U.S.C.
401a) is amended--
(1) in paragraph (2), by inserting before the period the
following: ", or international terrorist activities"; and
(2) in paragraph (3), by striking "and activities
conducted" and inserting ", and activities conducted,".
SEC. 903. SENSE OF CONGRESS ON THE ESTABLISHMENT AND
MAINTENANCE OF INTELLIGENCE RELATIONSHIPS TO
ACQUIRE INFORMATION ON TERRORISTS AND TERRORIST
ORGANIZATIONS.
It is the sense of Congress that officers and employees of
the intelligence community of the Federal Government, acting
within the course of their official duties, should be
encouraged, and should make every effort, to establish and
maintain intelligence relationships with any person, entity,
or group for the purpose of engaging in lawful intelligence
activities, including the acquisition of information on the
identity, location, finances, affiliations, capabilities,
plans, or intentions of a terrorist or terrorist
organization, or information on any other person, entity, or
group (including a foreign government) engaged in harboring,
comforting, financing, aiding, or assisting a terrorist or
terrorist organization.
SEC. 904. TEMPORARY AUTHORITY TO DEFER SUBMITTAL TO CONGRESS
OF REPORTS ON INTELLIGENCE AND INTELLIGENCE-
RELATED MATTERS.
(a) Authority To Defer.--The Secretary of Defense, Attorney
General, and Director of Central Intelligence each may,
during the effective period of this section, defer the date
of submittal to Congress of any covered intelligence report
under the jurisdiction of such official until February 1,
2002.
(b) Covered Intelligence Report.--Except as provided in
subsection (c), for purposes of subsection (a), a covered
intelligence report is as follows:
(1) Any report on intelligence or intelligence-related
activities of the United States Government that is required
to be submitted to Congress by an element of the intelligence
community during the effective period of this section.
(2) Any report or other matter that is required to be
submitted to the Select Committee on Intelligence of the
Senate and Permanent Select Committee on Intelligence of
[[Page S10333]]
the House of Representatives by the Department of Defense or
the Department of Justice during the effective period of this
section.
(c) Exception for Certain Reports.--For purposes of
subsection (a), any report required by section 502 or 503 of
the National Security Act of 1947 (50 U.S.C. 413a, 413b) is
not a covered intelligence report.
(d) Notice to Congress.--Upon deferring the date of
submittal to Congress of a covered intelligence report under
subsection (a), the official deferring the date of submittal
of the covered intelligence report shall submit to Congress
notice of the deferral. Notice of deferral of a report shall
specify the provision of law, if any, under which the report
would otherwise be submitted to Congress.
(e) Extension of Deferral.--(1) Each official specified in
subsection (a) may defer the date of submittal to Congress of
a covered intelligence report under the jurisdiction of such
official to a date after February 1, 2002, if such official
submits to the committees of Congress specified in subsection
(b)(2) before February 1, 2002, a certification that
preparation and submittal of the covered intelligence report
on February 1, 2002, will impede the work of officers or
employees who are engaged in counterterrorism activities.
(2) A certification under paragraph (1) with respect to a
covered intelligence report shall specify the date on which
the covered intelligence report will be submitted to
Congress.
(f) Effective Period.--The effective period of this section
is the period beginning on the date of the enactment of this
Act and ending on February 1, 2002.
(g) Element of the Intelligence Community Defined.--In this
section, the term "element of the intelligence community"
means any element of the intelligence community specified or
designated under section 3(4) of the National Security Act of
1947 (50 U.S.C. 401a(4)).
SEC. 905. DISCLOSURE TO DIRECTOR OF CENTRAL INTELLIGENCE OF
FOREIGN INTELLIGENCE-RELATED INFORMATION WITH
RESPECT TO CRIMINAL INVESTIGATIONS.
(a) In General.--Title I of the National Security Act of
1947 (50 U.S.C. 402 et seq.) is amended--
(1) by redesignating subsection 105B as section 105C; and
(2) by inserting after section 105A the following new
section 105B:
"disclosure of foreign intelligence acquired in criminal
investigations; notice of criminal investigations of foreign
intelligence sources
"Sec. 105B. (a) Disclosure of Foreign Intelligence.--(1)
Except as otherwise provided by law and subject to paragraph
(2), the Attorney General, or the head of any other
department or agency of the Federal Government with law
enforcement responsibilities, shall expeditiously disclose to
the Director of Central Intelligence, pursuant to guidelines
developed by the Attorney General in consultation with the
Director, foreign intelligence acquired by an element of the
Department of Justice or an element of such department or
agency, as the case may be, in the course of a criminal
investigation.
"(2) The Attorney General by regulation and in
consultation with the Director of Central Intelligence may
provide for exceptions to the applicability of paragraph (1)
for one or more classes of foreign intelligence, or foreign
intelligence with respect to one or more targets or matters,
if the Attorney General determines that disclosure of such
foreign intelligence under that paragraph would jeopardize an
ongoing law enforcement investigation or impair other
significant law enforcement interests.
"(b) Procedures for Notice of Criminal Investigations.--
Not later than 180 days after the date of enactment of this
section, the Attorney General, in consultation with the
Director of Central Intelligence, shall develop guidelines to
ensure that after receipt of a report from an element of the
intelligence community of activity of a foreign intelligence
source or potential foreign intelligence source that may
warrant investigation as criminal activity, the Attorney
General provides notice to the Director of Central
Intelligence, within a reasonable period of time, of his
intention to commence, or decline to commence, a criminal
investigation of such activity.
"(c) Procedures.--The Attorney General shall develop
procedures for the administration of this section, including
the disclosure of foreign intelligence by elements of the
Department of Justice, and elements of other departments and
agencies of the Federal Government, under subsection (a) and
the provision of notice with respect to criminal
investigations under subsection (b).".
(b) Clerical Amendment.--The table of contents in the first
section of that Act is amended by striking the item relating
to section 105B and inserting the following new items:
"Sec. 105B. Disclosure of foreign intelligence acquired in criminal
investigations; notice of criminal investigations of
foreign intelligence sources.
"Sec. 105C. Protection of the operational files of the National
Imagery and Mapping Agency.".
SEC. 906. FOREIGN TERRORIST ASSET TRACKING CENTER.
(a) Report on Reconfiguration.--Not later than February 1,
2002, the Attorney General, the Director of Central
Intelligence, and the Secretary of the Treasury shall jointly
submit to Congress a report on the feasibility and
desirability of reconfiguring the Foreign Terrorist Asset
Tracking Center and the Office of Foreign Assets Control of
the Department of the Treasury in order to establish a
capability to provide for the effective and efficient
analysis and dissemination of foreign intelligence relating
to the financial capabilities and resources of international
terrorist organizations.
(b) Report Requirements.--(1) In preparing the report under
subsection (a), the Attorney General, the Secretary, and the
Director shall consider whether, and to what extent, the
capacities and resources of the Financial Crimes Enforcement
Center of the Department of the Treasury may be integrated
into the capability contemplated by the report.
(2) If the Attorney General, Secretary, and the Director
determine that it is feasible and desirable to undertake the
reconfiguration described in subsection (a) in order to
establish the capability described in that subsection, the
Attorney General, the Secretary, and the Director shall
include with the report under that subsection a detailed
proposal for legislation to achieve the reconfiguration.
SEC. 907. NATIONAL VIRTUAL TRANSLATION CENTER.
(a) Report on Establishment.--(1) Not later than February
1, 2002, the Director of Central Intelligence shall, in
consultation with the Director of the Federal Bureau of
Investigation, submit to the appropriate committees of
Congress a report on the establishment and maintenance within
the intelligence community of an element for purposes of
providing timely and accurate translations of foreign
intelligence for all other elements of the intelligence
community. In the report, the element shall be referred to as
the "National Virtual Translation Center".
(2) The report on the element described in paragraph (1)
shall discuss the use of state-of-the-art communications
technology, the integration of existing translation
capabilities in the intelligence community, and the
utilization of remote-connection capacities so as to minimize
the need for a central physical facility for the element.
(b) Resources.--The report on the element required by
subsection (a) shall address the following:
(1) The assignment to the element of a staff of individuals
possessing a broad range of linguistic and translation skills
appropriate for the purposes of the element.
(2) The provision to the element of communications
capabilities and systems that are commensurate with the most
current and sophisticated communications capabilities and
systems available to other elements of intelligence
community.
(3) The assurance, to the maximum extent practicable, that
the communications capabilities and systems provided to the
element will be compatible with communications capabilities
and systems utilized by the Federal Bureau of Investigation
in securing timely and accurate translations of foreign
language materials for law enforcement investigations.
(4) The development of a communications infrastructure to
ensure the efficient and secure use of the translation
capabilities of the element.
(c) Secure Communications.--The report shall include a
discussion of the creation of secure electronic
communications between the element described by subsection
(a) and the other elements of the intelligence community.
(d) Definitions.--In this section:
(1) Foreign intelligence.--The term "foreign
intelligence" has the meaning given that term in section
3(2) of the National Security Act of 1947 (50 U.S.C.
401a(2)).
(2) Element of the intelligence community.--The term
"element of the intelligence community" means any element
of the intelligence community specified or designated under
section 3(4) of the National Security Act of 1947 (50 U.S.C.
401a(4)).
SEC. 908. TRAINING OF GOVERNMENT OFFICIALS REGARDING
IDENTIFICATION AND USE OF FOREIGN INTELLIGENCE.
(a) Program Required.--The Attorney General shall, in
consultation with the Director of Central Intelligence, carry
out a program to provide appropriate training to officials
described in subsection (b) in order to assist such officials
in--
(1) identifying foreign intelligence information in the
course of their duties; and
(2) utilizing foreign intelligence information in the
course of their duties, to the extent that the utilization of
such information is appropriate for such duties.
(b) Officials.--The officials provided training under
subsection (a) are, at the discretion of the Attorney General
and the Director, the following:
(1) Officials of the Federal Government who are not
ordinarily engaged in the collection, dissemination, and use
of foreign intelligence in the performance of their duties.
(2) Officials of State and local governments who encounter,
or may encounter in the course of a terrorist event, foreign
intelligence in the performance of their duties.
(c) Authorization of Appropriations.--There is hereby
authorized to be appropriated for the Department of Justice
such sums as may be necessary for purposes of carrying out
the program required by subsection (a).
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