[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4765 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 267
118th CONGRESS
  1st Session
                                H. R. 4765

                          [Report No. 118-328]

   To require the Secretary of the Treasury to carry out a study on 
  Chinese support for Afghan illicit finance, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 20, 2023

 Mr. Lynch (for himself and Mr. Nunn of Iowa) introduced the following 
    bill; which was referred to the Committee on Financial Services

                           December 19, 2023

                    Additional sponsor: Mr. Molinaro

                           December 19, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
 [For text of introduced bill, see copy of bill as introduced on July 
                               20, 2023]


_______________________________________________________________________

                                 A BILL


 
   To require the Secretary of the Treasury to carry out a study on 
  Chinese support for Afghan illicit finance, and for other purposes.


 


    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 ``Exposing China's Support for the 
Taliban Act''.

SEC. 2. STUDY ON CHINESE SUPPORT FOR AFGHAN ILLICIT FINANCE.

    (a) Findings.--Congress finds the following:
            (1) Though China and Afghanistan share only a small land 
        border, when it comes to illicit financial activity between the 
        two countries, China has a demonstrated history of 
        permissiveness regarding trafficking and money laundering that 
        could support both the Taliban and its associates.
            (2) A 2014 Financial Action Task Force report titled, 
        ``Financial Flows Linked to the Production and Trafficking of 
        Afghan Opiates'' found evidence of import/export companies 
        registered in China that were transferring funds to 
        Afghanistan, likely as part of trade-based money laundering 
        schemes centered around illicit opium production and 
        trafficking, which, per the United Nations Office on Drugs and 
        Crime (UNODC), is one of the Taliban's main sources of income.
            (3) Since the U.S. withdrawal from Afghanistan in August 
        2021, China has announced its willingness to lend financial 
        support and legitimacy to the Taliban-led government in 
        Afghanistan, including Afghan Interior Minister, Sirajuddin 
        Haqqani, a member of the U.S.-sanctions designated Foreign 
        Terrorist Organization, the Haqqani Network.
            (4) China's permissive policies regarding Afghan illicit 
        finance run counter to the strategic interests of the United 
        States with respect to countering trafficking and preventing 
        terrorist groups from accessing the international financial 
        system.
            (5) China's role as a critical source of financial 
        wherewithal for the Taliban and its associates to process and 
        implement drug and other illicit-activity transactions warrants 
        further study as these actions pose a threat both to the safety 
        and security of the people of Afghanistan and the international 
        community.
            (6) Congress needs to better understand how China could 
        leverage its relationships and resources within Afghanistan and 
        how these activities could directly or indirectly provide 
        financial support to terrorist organizations, including the 
        Taliban and its associates.
    (b) Study.--
            (1) Requirement.--Not later than one year after the date of 
        the enactment of this Act, the Secretary of the Treasury shall 
        provide to the Committee on Financial Services of the House of 
        Representatives and the Committee on Banking, Housing, and 
        Urban Affairs of the Senate a report on the financial 
        activities of the Government of China and Chinese entities in 
        connection with the finances of Afghanistan and the Taliban.
            (2) Matters included.--The report under paragraph (1) shall 
        include the following:
                    (A) An assessment of the activities undertaken by 
                the Government of China and Chinese-registered 
                companies to support illicit financial networks in 
                Afghanistan, particularly such networks involved in 
                narcotics trafficking, illicit financial transactions, 
                official corruption, natural resources exploitation, 
                and terrorist networks.
                    (B) An assessment of financial, commercial, and 
                economic activities undertaken by the Government of 
                China and Chinese companies in Afghanistan to support 
                Chinese policies counter to American strategic 
                interests.
                    (C) Any recommendations to Congress regarding 
                legislative or regulatory improvements necessary to 
                support the identification and disruption of Chinese-
                supported illicit financial networks in Afghanistan.
            (3) Form.--The report under paragraph (1) may include a 
        classified annex.
                                                 Union Calendar No. 267

118th CONGRESS

  1st Session

                               H. R. 4765

                          [Report No. 118-328]

_______________________________________________________________________

                                 A BILL

   To require the Secretary of the Treasury to carry out a study on 
  Chinese support for Afghan illicit finance, and for other purposes.

_______________________________________________________________________

                           December 19, 2023

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed