Banking Restrictions Involving North Korea (BRINK) Act of 2017
A BILL
To impose sanctions with respect to the Democratic People's Republic of Korea, and for other purposes.
Sec. 2 Findings
Congress finds the following:
Since 2006, the United Nations Security Council has approved 5 resolutions imposing sanctions against North Korea under chapter VII of the United Nations Charter, which—
prohibit the use, development, and proliferation of weapons of mass destruction by the Government of North Korea;
prohibit the transfer of arms and related materiel to or by the Government of North Korea;
prohibit the transfer of luxury goods to North Korea;
restrict access by the Government of North Korea to the financial system and require due diligence on the part of financial institutions to prevent the financing of proliferation involving the Government of North Korea;
restrict North Korean shipping, including the reflagging of ships owned or controlled by the Government of North Korea;
limit the sale by the Government of North Korea of precious metals, iron, coal, vanadium, and rare earth minerals; and
prohibit the transfer to North Korea of rocket, aviation, or jet fuel.
The Government of North Korea has threatened to carry out nuclear attacks against the United States and South Korea and has sent clandestine agents to kidnap or murder the citizens of foreign countries and murder dissidents in exile.
The Federal Bureau of Investigation has determined that the Government of North Korea was responsible for cyberattacks against the United States and South Korea.
In February 2016, the Director of National Intelligence reported that the Government of North Korea is “committed to developing a long-range, nuclear-armed missile that is capable of posing a direct threat to the United States” and some arms control experts have estimated that the Government of North Korea may acquire this capability by 2020.
The Government of North Korea tested its 5th and largest nuclear device on September 9, 2016.
The Government of North Korea has increased the pace of its missile testing, including the test of a submarine-launched ballistic missile, potentially furthering the development of capability to attack the United States with a nuclear weapon.
Financial transactions and investments that provide financial resources to the Government of North Korea, and that fail to incorporate adequate safeguards against the misuse of those financial resources, pose an undue risk of contributing to—
weapons of mass destruction programs of that government; and
prohibited imports or exports of arms and related materiel, services, or technology by that government.
The strict enforcement of sanctions is essential to the efforts by the international community to achieve the peaceful, complete, verifiable, and irreversible dismantlement of weapons of mass destruction programs of the Government of North Korea.
Sec. 3 Definitions
In this Act:
Applicable Executive order; applicable United Nations Security Council resolution; Government of North Korea; North Korea— The terms applicable Executive order, applicable United Nations Security Council resolution, Government of North Korea, and North Korea have the meanings given those terms in section 3 of the North Korea Sanctions and Policy Enhancement Act of 2016 (22 U.S.C. 9202).
Appropriate congressional committees— The term appropriate congressional committees means—
the Committee on Banking, Housing, and Urban Affairs and the Committee on Foreign Relations of the Senate; and
the Committee on Financial Services and the Committee on Foreign Affairs of the House of Representatives.
Knowingly— The term knowingly, with respect to conduct, a circumstance, or a result, means that a person has actual knowledge, or should have known, of the conduct, the circumstance, or the result.
North Korean covered property—
In general— The term North Korean covered property includes any goods, services, or technology—
that are in North Korea;
that are made with significant amounts of North Korean labor, materials, goods, or technology;
in which the Government of North Korea or a North Korean financial institution has a significant interest or exercises significant control; or
in which a designated person has a significant interest or exercises significant control.
Designated person— In this paragraph, the term designated person means a person who is designated under—
an applicable Executive order;
an applicable United Nations Security Council resolution; or
section 104 of the North Korea Sanctions and Policy Enhancement Act of 2016 (22 U.S.C. 9204).
North Korean financial institution— The term North Korean financial institution includes—
any North Korean financial institution, as defined in section 3 of the North Korea Sanctions and Policy Enhancement Act of 2016 (22 U.S.C. 9202);
any financial agency, as defined in section 5312 of title 31, United States Code, that is owned or controlled by the Government of North Korea;
any money transmitting business, as defined in section 5330(d) of title 31, United States Code, that is owned or controlled by the Government of North Korea; and
any financial institution that is a joint venture between any person and the Government of North Korea.
Secretary— Unless otherwise specified, the term Secretary means the Secretary of the Treasury.
United States financial institution— The term United States financial institution means a financial institution that—
is a United States person, regardless of where the person operates; or
operates or does business in the United States, including by conducting wire transfers through correspondent banks in the United States.
United States person— The term United States person means—
a citizen or resident of the United States or a national of the United States (as defined in section 101(a) of the Immigration and Nationality Act (8 U.S.C. 1101(a))); and
an entity that is organized under the laws of the United States or any jurisdiction within the United States, including a foreign subsidiary of such an entity.