US Codex
Pub. L.
Notes

Title I — Prevention of Access by Hizballah to International Financial and Other Institutions

114th Congress · Approved Dec 18, 2015 · 129 Stat. 2205

TITLE I Prevention of Access by Hizballah to International Financial and Other Institutions

SEC. 101. Report on Imposition of Sanctions on Certain Satellite Providers That Carry Al-Manar Tv.

(a)
In General.— Not later than 90 days after the date of the enactment of this Act, the President shall submit to the appropriate congressional committees and leadership a report on the following:
(1)
The activities of all satellite, broadcast, Internet, or other providers that have knowingly entered into a contractual relationship with al-Manar TV, and any affiliates or successors thereof.
(2)
With respect to all providers described in paragraph (1)—
(A)
an identification of those providers that have been sanctioned pursuant to Executive Order 13224 (50 U.S.C. 1701 note; relating to blocking property and prohibiting transactions with persons who commit, threaten to commit, or support terrorism); and
(B)
an identification of those providers that have not been sanctioned pursuant to Executive Order 13224 and, with respect to each such provider, any information indicating that the provider has knowingly entered into a contractual relationship with al-Manar TV, and any affiliates or successors of al-Manar TV.
(b)
Form of Report.— The report required by subsection (a) shall be submitted in unclassified form to the greatest extent possible, but may include a classified annex.
(c)
Appropriate Congressional Committees and Leadership Defined.— In this section, the term “appropriate congressional committees and leadership” means—
(1)
the Speaker, the minority leader, the Committee on Foreign Affairs, the Committee on Financial Services, and the Permanent Select Committee on Intelligence of the House of Representatives; and
(2)
the majority leader, the minority leader, the Committee on Foreign Relations, the Committee on Banking, Housing, and Urban Affairs, and the Select Committee on Intelligence of the Senate.

SEC. 102. Sanctions with Respect to Financial Institutions That Engage in Certain Transactions.

(a)
Prohibitions and Conditions With Respect to Certain Accounts Held by Foreign Financial Institutions.—
(1)
In general.— Not later than 120 days after the date of the enactment of this Act, the President shall prescribe regulations to prohibit, or impose strict conditions on, the opening or maintaining in the United States of a correspondent account or a payable-through account by a foreign financial institution that the President determines, on or after such date of enactment, engages in an activity described in paragraph (2).
(2)
Activities described.— A foreign financial institution engages in an activity described in this paragraph if the foreign financial institution—
(A)
knowingly facilitates a significant transaction or transactions for Hizballah;
(B)
knowingly facilitates a significant transaction or transactions of a person identified on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control of the Department of the Treasury and the property and interests in property of which are blocked pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) for acting on behalf of or at the direction of, or being owned or controlled by, Hizballah;
(C)
knowingly engages in money laundering to carry out an activity described in subparagraph (A) or (B); or
(D)
knowingly facilitates a significant transaction or transactions or provides significant financial services to carry out an activity described in subparagraph (A), (B), or (C).
(3)
Penalties.— The penalties provided for in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) shall apply to a person that violates, attempts to violate, conspires to violate, or causes a violation of regulations prescribed under this subsection to the same extent that such penalties apply to a person that commits an unlawful act described in subsection (a) of such section 206.
(4)
Procedures for judicial review of classified information.—
(A)
In general.— If a finding under this subsection, or a prohibition, condition, or penalty imposed as a result of any such finding, is based on classified information (as defined in section 1(a) of the Classified Information Procedures Act (18 U.S.C. App.)) and a court reviews the finding or the imposition of the prohibition, condition, or penalty, the President may submit such information to the court ex parte and in camera.
(B)
Rule of construction.— Nothing in this paragraph shall be construed to confer or imply any right to judicial review of any finding under this subsection or any prohibition, condition, or penalty imposed as a result of any such finding.
(b)
Waiver.—
(1)
In general.— The President may waive, on a case-by-case basis, the application of a prohibition or condition imposed with respect to a foreign financial institution pursuant to subsection (a) for a period of not more than 180 days, and may renew the waiver for additional periods of not more than 180 days, on and after the date on which the President—
(A)
determines that such a waiver is in the national security interests of the United States; and
(B)
submits to the appropriate congressional committees a report describing the reasons for such determination.
(2)
Form.— The report required by paragraph (1)(B) shall be submitted in unclassified form, but may contain a classified annex.
(c)
Special Rule To Allow for Termination of Sanctionable Activity.— The President shall not be required to apply sanctions to a foreign financial institution described in subsection (a) if the President certifies in writing to the appropriate congressional committees that—
(1)
the foreign financial institution—
(A)
is no longer engaging in the activity described in subsection (a)(2); or
(B)
has taken and is continuing to take significant verifiable steps toward terminating the activity described in that subsection; and
(2)
the President has received reliable assurances from the government with primary jurisdiction over the foreign financial institution that the foreign financial institution will not engage in any activity described in subsection (a)(2) in the future.
(d)
Report on Foreign Central Banks.—
(1)
In general.— Not later than 90 days after the date of the enactment of this Act, and every 180 days thereafter, the Secretary of the Treasury shall submit to the appropriate congressional committees a report that—
(A)
identifies each foreign central bank that the Secretary determines engages in one or more activities described in subsection (a)(2)(D); and
(B)
provides a detailed description of each such activity.
(2)
Form of report.— Each report required by paragraph (1) shall be submitted in unclassified form, but may include a classified annex.
(e)
Implementation.— The President may exercise all authorities provided under sections 203 and 205 of the International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) to carry out this section.
(f)
Definitions.—
(1)
In general.— In this section:
(A)
Account; correspondent account; payable-through account.— The terms “account”, “correspondent account”, and “payable-through account” have the meanings given those terms in section 5318A of title 31, United States Code.
(B)
Appropriate congressional committees.— The term “appropriate congressional committees” means—
(i)
the Committee on Foreign Affairs and the Committee on Financial Services of the House of Representatives; and
(ii)
the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the Senate.
(C)
Financial institution.— The term “financial institution” means a financial institution specified in subparagraph (A), (B), (C), (D), (E), (F), (G), (H), (I), (J), (K), (M), (N), (P), (R), (T), (Y), or (Z) of section 5312(a)(2) of title 31, United States Code.
(D)
Foreign financial institution.— The term “foreign financial institution” has the meaning given that term in section 1010.605 of title 31, Code of Federal Regulations.
(E)
Hizballah.— The term “Hizballah” means—
(i)
the entity known as Hizballah and designated by the Secretary of State as a foreign terrorist organization pursuant to section 219 of the Immigration and Nationality Act (8 U.S.C. 1189); or
(ii)
any person—
(I)
the property or interests in property of which are blocked pursuant to the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.); and
(II)
who is identified on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control of the Department of the Treasury as an agent, instrumentality, or affiliate of Hizballah.
(F)
Money laundering.— The term “money laundering” includes the movement of illicit cash or cash equivalent proceeds into, out of, or through a country, or into, out of, or through a financial institution.
(2)
Other definitions.— The President may further define the terms used in this section in the regulations prescribed under this section.