[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 340 Introduced in House (IH)]
<DOC>
118th CONGRESS
1st Session
H. R. 340
To impose sanctions with respect to foreign support for terrorist
organizations, including Hamas and the Palestinian Islamic Jihad.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 12, 2023
Mr. Mast (for himself and Mr. Gottheimer) introduced the following
bill; which was referred to the Committee on Foreign Affairs, and in
addition to the Committee on Financial Services, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To impose sanctions with respect to foreign support for terrorist
organizations, including Hamas and the Palestinian Islamic Jihad.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Hamas International Financing
Prevention Act''.
SEC. 2. STATEMENT OF POLICY.
It shall be the policy of the United States--
(1) to prevent Hamas, the Palestinian Islamic Jihad, or any
affiliate or successor thereof from accessing its international
support networks; and
(2) to oppose Hamas, the Palestinian Islamic Jihad, or any
affiliate or successor thereof from attempting to use goods,
including medicine and dual use items, to smuggle weapons and
other materials to further acts of terrorism.
SEC. 3. IMPOSITION OF SANCTIONS WITH RESPECT TO FOREIGN PERSONS AND
AGENCIES AND INSTRUMENTALITIES OF FOREIGN STATES
SUPPORTING HAMAS, THE PALESTINIAN ISLAMIC JIHAD, OR ANY
AFFILIATE OR SUCCESSOR THEREOF.
(a) Identification.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, and annually thereafter for a period
not to exceed 3 years, the President shall submit to the
appropriate congressional committees a report that identifies
each foreign person or agency or instrumentality of a foreign
state that the President determines--
(A) knowingly assists in, sponsors, or provides
significant financial or material support for, or
financial or other services to or in support of, the
terrorist activities of any person described in
paragraph (2); or
(B) directly or indirectly, knowingly and
materially engaged in a significant transaction with
any person described in paragraph (2).
(2) Person described.--A person described in this paragraph
is a foreign person that the President determines--
(A) is a senior member of Hamas, the Palestinian
Islamic Jihad, or any affiliate or successor thereof;
(B) is a senior member of a foreign terrorist
organization designated pursuant to section 219 of the
Immigration and Nationality Act (8 U.S.C. 1189) whose
members directly or indirectly support the terrorist
activities of Hamas, the Palestinian Islamic Jihad, or
any affiliate or successor thereof by knowingly
engaging in a significant transaction with, or
providing financial or material support for Hamas, the
Palestinian Islamic Jihad, or any affiliate or
successor thereof, or any person described in
subparagraph (A); or
(C) directly or indirectly, supports the terrorist
activities of Hamas, the Palestinian Islamic Jihad, or
any affiliate or successor thereof by knowingly and
materially assisting, sponsoring, or providing
financial or material support for, or goods or services
to or in support of, Hamas, the Palestinian Islamic
Jihad, or any affiliate or successor thereof, or any
person described in subparagraph (A) or (B).
(3) Form of report.--Each report required under paragraph
(1) shall be submitted in unclassified form, but may contain a
classified annex.
(4) Exception.--
(A) In general.--The President shall not be
required to identify a foreign person or an agency or
instrumentality of a foreign state in a report pursuant
to paragraph (1)(B) if--
(i) the foreign person or agency or
instrumentality of a foreign state notifies the
United States Government in advance that it
proposes to engage in a significant transaction
as described in paragraph (1)(B); and
(ii) the President determines and notifies
the appropriate congressional committees in a
classified form not less than 15 days prior to
the foreign person or agency or instrumentality
of a foreign state engaging in the significant
transaction that the significant transaction is
in the national interests of the United States.
(B) Non-applicability.--Subparagraph (A) shall not
apply with respect to--
(i) an agency or instrumentality of a
foreign state which the Secretary of State
determines has repeatedly provided support for
acts of international terrorism pursuant to
section 1754(c) of the Export Reform Control
Act of 2018, section 40 of the Arms Export
Control Act, section 620A of the Foreign
Assistance Act of 1961, or any other provision
of law; or
(ii) any significant transaction described
in paragraph (1)(B) that involves, directly or
indirectly, a foreign state described in clause
(i).
(b) Imposition of Sanctions.--
(1) In general.--The President shall impose two or more of
the sanctions described in paragraph (2) with respect to a
foreign person or an agency or instrumentality of a foreign
state identified pursuant to subsection (a).
(2) Sanctions described.--The sanctions referred to in
paragraph (1) are the following:
(A) The President may direct the Export-Import Bank
of the United States not to give approval to the
issuance of any guarantee, insurance, extension of
credit, or participation in the extension of credit in
connection with the export of any goods or services to
the foreign person or agency or instrumentality of the
foreign state, and the Export-Import Bank of the United
States shall comply with any such direction.
(B) No sales of any defense articles, defense
services, or design and construction services under the
Arms Export Control Act (22 U.S.C. 2751 et seq.) may be
made to the foreign person or agency or instrumentality
of the foreign state.
(C) No licenses for export of any item on the
United States Munitions List that include the foreign
person or agency or instrumentality of the foreign
state as a party to the license may be granted.
(D) No exports may be permitted to the foreign
person or agency or instrumentality of the foreign
state of any goods or technologies controlled for
national security reasons under the Export
Administration Regulations, except that such
prohibition shall not apply to any transaction subject
to the reporting requirements of title V of the
National Security Act of 1947 (50 U.S.C. 413 et seq.;
relating to congressional oversight of intelligence
activities).
(E) The President shall prohibit any United States
financial institution from making loans or providing
any credit or financing totaling more than $10,000,000
to the foreign person or agency or instrumentality of
the foreign state, except that this subparagraph shall
not apply--
(i) to any transaction subject to the
reporting requirements of title V of the
National Security Act of 1947 (50 U.S.C. 413 et
seq.; relating to congressional oversight of
intelligence activities);
(ii) to the provision of medicines, medical
equipment, and humanitarian assistance; or
(iii) to any credit, credit guarantee, or
financial assistance provided by the Department
of Agriculture to support the purchase of food
or other agricultural commodities.
(F)(i) The President may exercise all powers
granted to the President by the International Emergency
Economic Powers Act (50 U.S.C. 1701 et seq.) (except
that the requirements of section 202 of such Act (50
U.S.C. 1701) shall not apply) to the extent necessary
to block and prohibit all transactions in all property
and interests in property of a foreign person or agency
or instrumentality of the foreign state if such
property and interests in property are in the United
States, come within the United States, or are or come
within the possession or control of a United States
person.
(ii) 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 knowingly violates, attempts to violate,
conspires to violate, or causes a violation of
regulations promulgated under section 6(b) to carry out
clause (i) to the same extent that such penalties apply
to a person that knowingly commits an unlawful act
described in section 206(a) of that Act.
(iii) The President may exercise all authorities
provided to the President under sections 203 and 205 of
the International Emergency Economic Powers Act (50
U.S.C. 1702 and 1704) for purposes of carrying out
clause (i).
(3) Exception.--The President shall not be required to
apply sanctions with respect to a foreign person or an agency
or instrumentality of a foreign state identified pursuant to
subsection (a) if the President certifies in writing to the
appropriate congressional committees that--
(A) the foreign person or agency or instrumentality
of the foreign state--
(i) is no longer carrying out activities or
transactions for which the sanctions were
imposed pursuant to this subsection; or
(ii) has taken and is continuing to take
significant verifiable steps toward terminating
the activities or transactions for which the
sanctions were imposed pursuant to this
subsection; and
(B) the President has received reliable assurances
from the foreign person or agency or instrumentality of
the foreign state that it will not carry out any
activities or transactions for which sanctions may be
imposed pursuant to this subsection in the future.
(c) Waiver.--
(1) In general.--The President may waive, on a case-by-case
basis and for a period of not more than 180 days, a requirement
under subsection (b) to impose or maintain sanctions with
respect to a foreign person or agency or instrumentality of a
foreign state if the President--
(A) determines that the waiver is in the national
security interest of the United States; and
(B) not less than 30 days before the waiver takes
effect, submits to the appropriate congressional
committees a report on the waiver and the justification
for the waiver.
(2) Renewal of waiver.--The President may, on a case-by-
case basis, renew a waiver under paragraph (1) for additional
periods of not more than 180 days if the President--
(A) determines that the renewal of the waiver is in
the national security interest of the United States;
and
(B) not less than 15 days before the waiver
expires, submits to the appropriate congressional
committees a report on the renewal of the waiver and
the justification for the renewal of the waiver.
(d) Rule of Construction.--The authority to impose sanctions under
subsection (b) with respect to a foreign person or an agency or
instrumentality of a foreign state identified pursuant to subsection
(a) is in addition to the authority to impose sanctions under any other
provision of law with respect to foreign persons or agencies or
instrumentalities of foreign states that directly or indirectly support
international terrorism.
(e) Definitions.--In this section:
(1) Foreign state.--The term ``foreign state'' has the
meaning given such term in section 1603(a) of title 28, United
States Code.
(2) Agency or instrumentality.--The term ``agency or
instrumentality'' has the meaning given such term in section
1603(b) of title 28, United States Code.
(f) Effective Date.--This section shall take effect on the date of
the enactment of this Act and apply with respect to activities and
transactions described in subsection (a) that are carried out on or
after such date of enactment.
SEC. 4. IMPOSITION OF SANCTIONS WITH RESPECT TO FOREIGN GOVERNMENTS
THAT PROVIDE MATERIAL SUPPORT FOR THE TERRORIST
ACTIVITIES OF HAMAS, THE PALESTINIAN ISLAMIC JIHAD, OR
ANY AFFILIATE OR SUCCESSOR THEREOF.
(a) Identification.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, and every 180 days thereafter, the
President shall submit to the appropriate congressional
committees a report that identifies the following:
(A) Each government of a foreign country--
(i) with respect to which the Secretary of
State determines has repeatedly provided
support for acts of international terrorism
pursuant to section 1754(c) of the Export
Control Reform Act of 2018, section 40 of the
Arms Export Control Act, section 620A of the
Foreign Assistance Act of 1961, or any other
provision of law; and
(ii) with respect to which the President
determines has provided direct or indirect
material support for the terrorist activities
of Hamas, the Palestinian Islamic Jihad, or any
affiliate or successor thereof.
(B) Each government of a foreign country that--
(i) is not identified under subparagraph
(A); and
(ii) the President determines engaged in a
significant transaction so as to contribute
knowingly and materially to the efforts by the
government of a foreign country described in
subparagraph (A)(i) to provide direct or
indirect material support for the terrorist
activities of Hamas, the Palestinian Islamic
Jihad, or any affiliate or successor thereof.
(2) Form of report.--Each report submitted under paragraph
(1) shall be submitted in unclassified form but may contain a
classified annex.
(b) Imposition of Sanctions.--
(1) In general.--The President shall impose the following
sanctions with respect to each government of a foreign country
identified pursuant to subparagraph (A) or (B) of subsection
(a)(1):
(A) The United States Government shall suspend, for
a period of 1 year, United States assistance to the
government of the foreign country.
(B) The Secretary of the Treasury shall instruct
the United States Executive Director to each
appropriate international financial institution to
oppose, and vote against, for a period of 1 year, the
extension by such institution of any loan or financial
or technical assistance to the government of the
foreign country.
(C) No item on the United States Munitions List
(established pursuant to section 38 of the Arms Export
Control Act (22 U.S.C. 2778)) or the Commerce Control
List set forth in Supplement No. 1 to part 774 of title
15, Code of Federal Regulations, may be exported to the
government of the foreign country for a period of 1
year.
(2) Exceptions.--The President shall not be required to
apply sanctions with respect to the government of a foreign
country pursuant to paragraph (1)--
(A) with respect to materials intended to be used
by United States military or civilian personnel at
military facilities in the country; or
(B) if the application of such sanctions would
prevent the United States from meeting the terms of any
status of forces agreement to which the United States
is a party.
(c) Imposition of Additional Sanctions With Respect to Foreign
Governments Identified Under Subsection (a)(1)(A).--The President shall
impose the following additional sanctions with respect to each
government of a foreign country identified pursuant to subsection
(a)(1)(A):
(1) The President shall, pursuant to such regulations as
the President may prescribe, prohibit any transactions in
foreign exchange that are subject to the jurisdiction of the
United States and in which the government of the foreign
country has any interest.
(2) The President shall, pursuant to such regulations as
the President may prescribe, prohibit any transfers of credit
or payments between one or more financial institutions or by,
through, or to any financial institution, to the extent that
such transfers or payments are subject to the jurisdiction of
the United States and involve any interest of the government of
the foreign country.
(d) Waiver.--
(1) In general.--The President may waive, on a case-by-case
basis and for a period of not more than 180 days, a requirement
under subsection (b) or (c) to impose or maintain sanctions
with respect to a foreign government identified pursuant to
subparagraph (A) or (B) of subsection (a)(1) if the President--
(A) determines that the waiver is in the national
security interest of the United States; and
(B) not less than 30 days before the waiver takes
effect, submits to the appropriate congressional
committees a report on the waiver and the justification
for the waiver.
(2) Renewal of waiver.--The President may, on a case-by-
case basis, renew a waiver under paragraph (1) for additional
periods of not more than 180 days if the President--
(A) determines that the renewal of the waiver is in
the national security interest of the United States;
and
(B) not less than 15 days before the waiver
expires, submits to the appropriate congressional
committees a report on the renewal of the waiver and
the justification for the renewal of the waiver.
(e) Rule of Construction.--The authority to impose sanctions under
subsection (b) or (c) with respect to each government of a foreign
country identified pursuant to subparagraph (A) or (B) of subsection
(a)(1) is in addition to the authority to impose sanctions under any
other provision of law with respect to governments of foreign countries
that provide material support to foreign terrorist organizations
designated pursuant to section 219 of the Immigration and Nationality
Act (8 U.S.C. 1189).
(f) Termination.--The President may terminate any sanctions imposed
with respect to the government of a foreign country pursuant to
subsection (b) or (c) if the President determines and notifies the
appropriate congressional committees that the government of the foreign
country is no longer carrying out activities or transactions for which
the sanctions were imposed and has provided assurances to the United
States Government that it will not carry out the activities or
transactions in the future.
(g) Effective Date.--This section shall take effect on the date of
the enactment of this Act and apply with respect to activities and
transactions described in subparagraph (A) or (B) of subsection (a)(1)
that are carried out on or after such date of enactment.
SEC. 5. EXEMPTIONS FROM SANCTIONS UNDER SECTIONS 3 AND 4 RELATING TO
PROVISION OF HUMANITARIAN ASSISTANCE.
(a) Sanctions Under Section 3.--The following activities shall be
exempt from sanctions under section 3:
(1) The conduct or facilitation of a transaction for the
sale of agricultural commodities, food, medicine, or medical
devices to a foreign person described in section 3(a)(2).
(2) The provision of humanitarian assistance to a foreign
person described in section 3(a)(2), including engaging in a
financial transaction relating to humanitarian assistance or
for humanitarian purposes or transporting goods or services
that are necessary to carry out operations relating to
humanitarian assistance or humanitarian purposes.
(b) Sanctions Under Section 4.--The following activities shall be
exempt from sanctions under section 4:
(1) The conduct or facilitation of a transaction for the
sale of agricultural commodities, food, medicine, or medical
devices to Hamas, the Palestinian Islamic Jihad, or any
affiliate or successor thereof described in section 4(a)(1).
(2) The provision of humanitarian assistance to Hamas, the
Palestinian Islamic Jihad, or any affiliate or successor
thereof described in section 4(a)(1), including engaging in a
financial transaction relating to humanitarian assistance or
for humanitarian purposes or transporting goods or services
that are necessary to carry out operations relating to
humanitarian assistance or humanitarian purposes.
SEC. 6. REPORT ON ACTIVITIES OF FOREIGN COUNTRIES TO DISRUPT GLOBAL
FUNDRAISING, FINANCING, AND MONEY LAUNDERING ACTIVITIES
OF HAMAS, THE PALESTINIAN ISLAMIC JIHAD, OR ANY AFFILIATE
OR SUCCESSOR THEREOF.
(a) Report.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, the President shall submit to the
appropriate congressional committees a report that includes--
(A) a list of foreign countries that support Hamas,
the Palestinian Islamic Jihad, or any affiliate or
successor thereof, or in which Hamas maintains
important portions of its financial networks;
(B) with respect to each foreign country on the
list required by subparagraph (A)--
(i) an assessment of whether the government
of the country is taking adequate measures to
freeze the assets of Hamas, the Palestinian
Islamic Jihad, or any affiliate or successor
thereof within the territory of the country;
and
(ii) in the case of a country the
government of which is not taking adequate
measures to freeze the assets of Hamas--
(I) an assessment of the reasons
that government is not taking adequate
measures to freeze those assets; and
(II) a description of measures
being taken by the United States
Government to encourage that government
to freeze those assets;
(C) a list of foreign countries in which Hamas, the
Palestinian Islamic Jihad, or any affiliate or
successor thereof, conducts significant fundraising,
financing, or money laundering activities;
(D) with respect to each foreign country on the
list required by subparagraph (C)--
(i) an assessment of whether the government
of the country is taking adequate measures to
disrupt the fundraising, financing, or money
laundering activities of Hamas, the Palestinian
Islamic Jihad, or any affiliate or successor
thereof within the territory of the country;
and
(ii) in the case of a country the
government of which is not taking adequate
measures to disrupt those activities--
(I) an assessment of the reasons
that government is not taking adequate
measures to disrupt those activities;
and
(II) a description of measures
being taken by the United States
Government to encourage that government
to improve measures to disrupt those
activities; and
(E) a list of foreign countries from which Hamas,
the Palestinian Islamic Jihad, or any affiliate or
successor thereof, acquires surveillance equipment,
electronic monitoring equipment, or other means to
inhibit communication or political expression in Gaza.
(2) Form.--The report required by paragraph (1) shall be
submitted in unclassified form to the greatest extent possible,
and may contain a classified annex.
(b) Briefing.--Not later than 180 days after the date of the
enactment of this Act, and every 180 days thereafter for a period not
to exceed 3 years, the Secretary of State, the Secretary of the
Treasury, and the heads of other applicable Federal departments and
agencies (or their designees) shall provide to the appropriate
congressional committees a briefing on the disposition of the assets
and activities of Hamas, the Palestinian Islamic Jihad, or any
successor or affiliate thereof related to fundraising, financing, and
money laundering worldwide.
(c) Definition.--In this section, the term ``appropriate
congressional committees'' means--
(1) 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 Committee on Foreign Relations, the Committee on
Banking, Housing, and Urban Affairs, and the Select Committee
on Intelligence of the Senate.
SEC. 7. MISCELLANEOUS PROVISIONS.
(a) Rule of Construction.--Nothing in this Act shall be construed
to apply to the authorized intelligence activities of the United
States.
(b) Regulatory Authority.--The President shall, not later than 180
days after the date of the enactment of this Act, promulgate
regulations as are necessary for the implementation of this Act.
(c) Exception Relating to Importation of Goods.--
(1) In general.--The authorities and requirements to impose
sanctions authorized under this Act shall not include the
authority or requirement to impose sanctions on the importation
of goods.
(2) Good defined.--In this subsection, the term ``good''
means any article, natural or man-made substance, material,
supply or manufactured product, including inspection and test
equipment, and excluding technical data.
(d) Termination.--This Act shall terminate beginning--
(1) 30 days after the date on which the President certifies
to the appropriate congressional committees that Hamas and the
Palestinian Islamic Jihad, or any successor or affiliate
thereof--
(A) are no longer designated as a foreign terrorist
organization pursuant to section 219 of the Immigration
and Nationality Act (8 U.S.C. 1189);
(B) are no longer subject to sanctions pursuant
to--
(i) Executive Order No. 12947 (January 23,
1995; relating to prohibiting transactions with
terrorists who threaten to disrupt the Middle
East peace process); and
(ii) Executive Order No. 13224 (September
23, 2001; relating to blocking property and
prohibiting transactions with persons who
commit, threaten to commit, or support
terrorism); and
(C) meet the criteria described in paragraphs (1)
through (4) of section 9 of the Palestinian Anti-
Terrorism Act of 2006 (22 U.S.C. 2378b note); or
(2) 3 years after the date of the enactment of this Act,
whichever occurs earlier.
SEC. 8. DEFINITIONS.
Except as otherwise provided, in this Act:
(1) Admitted.--The term ``admitted'' has the meaning given
such term in section 101(a)(13)(A) of the Immigration and
Nationality Act (8 U.S.C. 1101(a)(13)(A)).
(2) Appropriate congressional committees.--The term
``appropriate congressional committees'' means the Committee on
Foreign Affairs of the House of Representatives and the
Committee on Foreign Relations of the Senate.
(3) Foreign person.--The term ``foreign person'' means--
(A) an individual who is not a United States
person; or
(B) a corporation, partnership, or other
nongovernmental entity which is not a United States
person.
(4) Material support.--The term ``material support'' has
the meaning given the term ``material support or resources'' in
section 2339A of title 18, United States Code.
(5) Person.--The term ``person'' means an individual or
entity.
(6) United states person.--The term ``United States
person'' means--
(A) a United States citizen or an alien lawfully
admitted for permanent residence to the United States;
or
(B) an entity organized under the laws of the
United States or of any jurisdiction within the United
States, including a foreign branch of such an entity.
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