IIB 

113TH CONGRESS 

2D SESSION H. R. 1771 

IN THE SENATE OF THE UNITED STATES 

JULY 29, 2014 

Received; read twice and referred to the Committee on Foreign Relations 

AN ACT 

To improve the enforcement of sanctions against the 

Government of North Korea, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘North Korea Sanctions Enforcement Act of 2014’’. 

4 (b) TABLE OF CONTENTS.—The table of contents for 

5 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Findings. 

Sec. 3. Definitions. 

TITLE I—INVESTIGATIONS, PROHIBITED CONDUCT, AND 

PENALTIES 

Sec. 101. Statement of policy. 

Sec. 102. Investigations. 

Sec. 103. Briefing to Congress. 

Sec. 104. Prohibited conduct and mandatory and discretionary designation and 

sanctions authorities. 

Sec. 105. Forfeiture of property. 

TITLE II—SANCTIONS AGAINST NORTH KOREAN PROLIFERATION, 

HUMAN RIGHTS ABUSES, AND ILLICIT ACTIVITIES 

Sec. 201. Determinations with respect to North Korea as a jurisdiction of primary money laundering concern. 

Sec. 202. Ensuring the consistent enforcement of United Nations Security 

Council resolutions and financial restrictions on North Korea. 

Sec. 203. Proliferation prevention sanctions. 

Sec. 204. Procurement sanctions. 

Sec. 205. Enhanced inspections authorities. 

Sec. 206. Travel sanctions. 

Sec. 207. Exemptions, waivers, and removals of designation. 

Sec. 208. Sense of Congress on enforcement of sanctions on North Korea. 

TITLE III—PROMOTION OF HUMAN RIGHTS 

Sec. 301. Information technology. 

Sec. 302. Report on North Korean prison camps. 

Sec. 303. Report on persons who are responsible for serious human rights 

abuses or censorship in North Korea. 

TITLE IV—GENERAL AUTHORITIES 

Sec. 401. Suspension of sanctions and other measures. 

Sec. 402. Termination of sanctions and other measures. 

Sec. 403. Regulations. 

Sec. 404. Effective date. 

6 SEC. 2. FINDINGS. 

7 Congress finds the following: 


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1 (1) The Government of North Korea has re2 peatedly violated its commitments to the complete, 

3 verifiable, irreversible dismantlement of its nuclear 

4 weapons programs, and has willfully violated mul5 tiple United Nations Security Council resolutions 

6 calling for it to cease its development, testing, and 

7 production of weapons of mass destruction. 

8 (2) North Korea poses a grave risk for the pro9 liferation of nuclear weapons and other weapons of 

10 mass destruction. 

11 (3) The Government of North Korea has been 

12 implicated repeatedly in money laundering and illicit 

13 activities, including prohibited arms sales, narcotics 

14 trafficking, the counterfeiting of United States cur15 rency, and the counterfeiting of intellectual property 

16 of United States persons. 

17 (4) The Government of North Korea has, both 

18 historically and recently, repeatedly sponsored acts 

19 of international terrorism, including attempts to as20 sassinate defectors and human rights activists, re21 peated threats of violence against foreign persons, 

22 leaders, newspapers, and cities, and the shipment of 

23 weapons to terrorists. 

24 (5) North Korea has unilaterally withdrawn 

25 from the 1953 Armistice Agreement that ended the 


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1 Korean War, and committed provocations against 

2 South Korea in 2010 by sinking the warship 

3 Cheonan and killing 46 of her crew, and by shelling 

4 Yeonpyeong Island, killing four South Koreans. 

5 (6) North Korea maintains a system of brutal 

6 political prison camps that contain as many as 

7 120,000 men, women, and children, who live in atro8 cious living conditions with insufficient food, cloth9 ing, and medical care, and under constant fear of 

10 torture or arbitrary execution. 

11 (7) The Congress reaffirms the purposes of the 

12 North Korean Human Rights Act of 2004 contained 

13 in section 4 of such Act (22 U.S.C. 7802). 

14 (8) North Korea has prioritized weapons pro15 grams and the procurement of luxury goods, in defi16 ance of United Nations Security Council resolutions, 

17 and in gross disregard of the needs of its people. 

18 (9) Persons, including financial institutions, 

19 who engage in transactions with, or provide financial 

20 services to, the Government of North Korea and its 

21 financial institutions without establishing sufficient 

22 financial safeguards against North Korea’s use of 

23 these transactions to promote proliferation, weapons 

24 trafficking, human rights violations, illicit activity, 

25 and the purchase of luxury goods, aid and abet 


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1 North Korea’s misuse of the international financial 

2 system, and also violate the intent of relevant United 

3 Nations Security Council resolutions. 

4 (10) The Government of North Korea’s conduct 

5 poses an imminent threat to the security of the 

6 United States and its allies, to the global economy, 

7 to the safety of members of the United States armed 

8 forces, to the integrity of the global financial system, 

9 to the integrity of global nonproliferation programs, 

10 and to the people of North Korea. 

11 (11) The Congress seeks, through this legisla12 tion, to use nonmilitary means to address this crisis, 

13 to provide diplomatic leverage to negotiate necessary 

14 changes in North Korea’s conduct, and to ease the 

15 suffering of the people of North Korea. 

16 SEC. 3. DEFINITIONS. 

17 In this Act: 

18 (1) APPLICABLE EXECUTIVE ORDER.—The 

19 term ‘‘applicable Executive order’’ means— 

20 (A) Executive Order No. 13382 (2005), 

21 13466 (2008), 13551 (2010), or 13570 (2011), 

22 to the extent that such Executive order author23 izes the imposition of sanctions on persons for 

24 conduct, or prohibits transactions or activities, 

25 involving the Government of North Korea; or 


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1 (B) any Executive order adopted on or 

2 after the date of the enactment of this Act, to 

3 the extent that such Executive order authorizes 

4 the imposition of sanctions on persons for con5 duct, or prohibits transactions or activities, in6 volving the Government of North Korea. 

7 (2) APPLICABLE UNITED NATIONS SECURITY

8 COUNCIL RESOLUTION.—The term ‘‘applicable 

9 United Nations Security Council resolution’’ 

10 means— 

11 (A) United Nations Security Council Reso12 lution 1695 (2006), 1718 (2006), 1874 (2009), 

13 2087 (2013), or 2094 (2013); or 

14 (B) any United Nations Security Council 

15 resolution adopted on or after the date of the 

16 enactment of this Act, to the extent that such 

17 resolution authorizes the imposition of sanctions 

18 on persons for conduct, or prohibits trans19 actions or activities, involving the Government 

20 of North Korea. 

21 (3) APPROPRIATE CONGRESSIONAL COMMIT22 TEES.—The term ‘‘appropriate congressional com23 mittees’’ means— 

24 (A) the Committee on Foreign Affairs, the 

25 Committee on Ways and Means, and the ComVerDate Mar 15 2010 03:54 Jul 30, 2014 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H1771.RFS H1771

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1 mittee on Financial Services of the House of 

2 Representatives; and 

3 (B) the Committee on Foreign Relations 

4 and the Committee on Banking, Housing, and 

5 Urban Affairs of the Senate. 

6 (4) DESIGNATED PERSON.—The term ‘‘des7 ignated person’’ means a person designated under 

8 subsection (a) or (b) of section 104 for purposes of 

9 applying one or more of the sanctions described in 

10 title I or II of this Act with respect to the person. 

11 (5) GOVERNMENT OF NORTH KOREA.—The 

12 term ‘‘Government of North Korea’’ means— 

13 (A) the Government of the Democratic 

14 People’s Republic of Korea or any political sub15 division, agency, or instrumentality thereof; and 

16 (B) any person owned or controlled by, or 

17 acting for or on behalf of, the Government of 

18 the Democratic People’s Republic of Korea. 

19 (6) INTERNATIONAL TERRORISM.—The term 

20 ‘‘international terrorism’’ has the meaning given 

21 such term in section 140(d) of the Foreign Relations 

22 Authorization Act, Fiscal Years 1988 and 1989 (22 

23 U.S.C. 2656f(d)). 

24 (7) LUXURY GOODS.—The term ‘‘luxury goods’’ 

25 has the meaning given such term in subpart 746.4 


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1 of title 15, Code of Federal Regulations, and in2 cludes the items listed in Supplement No. 1 to such 

3 regulation, and any similar items. 

4 (8) MONETARY INSTRUMENT.—The term ‘‘mon5 etary instrument’’ has the meaning given such term 

6 under section 5312 of title 31, United States Code. 

7 (9) NORTH KOREAN FINANCIAL INSTITUTION.— 

8 The term ‘‘North Korean financial institution’’ 

9 means— 

10 (A) a financial institution organized under 

11 the laws of North Korea or any jurisdiction 

12 within North Korea (including a foreign branch 

13 of such institution); 

14 (B) any financial institution located in 

15 North Korea, except as may be excluded from 

16 such definition by the President in accordance 

17 with section 207(d); 

18 (C) any financial institution, wherever lo19 cated, owned or controlled by the Government 

20 of North Korea; and 

21 (D) any financial institution, wherever lo22 cated, owned or controlled by a financial insti23 tution described in subparagraph (A), (B), or 

24 (C). 


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1 (10) OTHER STORES OF VALUE.—The term 

2 ‘‘other stores of value’’ means— 

3 (A) prepaid access devices, tangible or in4 tangible prepaid access devices, or other instru5 ments or devices for the storage or transmission 

6 of value, as defined in part 1010 of title 31, 

7 Code of Federal Regulations; and 

8 (B) any covered goods, as defined in sec9 tion 1027.100 of title 31, Code of Federal Reg10 ulations, and any instrument or tangible or in11 tangible access device used for the storage and 

12 transmission of a representation of covered 

13 goods, or other device, as defined in section 

14 1027.100 of title 31, Code of Federal Regula15 tions. 

16 (11) PERSON.—The term ‘‘person’’ means— 

17 (A) a natural person; 

18 (B) a corporation, business association, 

19 partnership, society, trust, financial institution, 

20 insurer, underwriter, guarantor, and any other 

21 business organization, any other nongovern22 mental entity, organization, or group, and any 

23 governmental entity operating as a business en24 terprise; and 


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1 (C) any successor to any entity described 

2 in subparagraph (B). 

3 TITLE I—INVESTIGATIONS, PRO4 HIBITED CONDUCT, AND PEN5 ALTIES 

6 SEC. 101. STATEMENT OF POLICY. 

7 In order to achieve the peaceful disarmament of 

8 North Korea, Congress finds that it is necessary— 

9 (1) to encourage all states to fully and promptly 

10 implement United Nations Security Council Resolu11 tion 2094 (2013); 

12 (2) to sanction the persons, including financial 

13 institutions, that facilitate proliferation, illicit activi14 ties, arms trafficking, imports of luxury goods, seri15 ous human rights abuses, cash smuggling, and cen16 sorship by the Government of North Korea; 

17 (3) to authorize the President to sanction per18 sons who fail to exercise due diligence to ensure that 

19 such financial institutions and jurisdictions do not 

20 facilitate proliferation, arms trafficking, kleptocracy, 

21 and imports of luxury goods by the Government of 

22 North Korea; 

23 (4) to deny the Government of North Korea ac24 cess to the funds it uses to obtain nuclear weapons, 


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1 ballistic missiles, and luxury goods instead of pro2 viding for the needs of its people; and 

3 (5) to enforce sanctions in a manner that 

4 avoids any adverse humanitarian impact on the peo5 ple of North Korea. 

6 SEC. 102. INVESTIGATIONS. 

7 The President shall initiate an investigation into the 

8 possible designation of a person under section 104(a) upon 

9 receipt by the President of credible information indicating 

10 that such person has engaged in conduct described in sec11 tion 104(a). 

12 SEC. 103. BRIEFING TO CONGRESS. 

13 Not later than 180 days after the date of the enact14 ment of this Act, and periodically thereafter, the President 

15 shall provide to the appropriate congressional committees 

16 a briefing on efforts to implement this Act, to include the 

17 following, to the extent the information is available: 

18 (1) The principal foreign assets and sources of 

19 foreign income of the Government of North Korea. 

20 (2) A list of the persons designated under sub21 sections (a) and (b) of section 104. 

22 (3) A list of the persons with respect to which 

23 sanctions were waived or removed under section 207. 

24 (4) A summary of any diplomatic efforts made 

25 in accordance with section 202(b) and of the 


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1 progress realized from such efforts, including efforts 

2 to encourage the European Union and other states 

3 and jurisdictions to sanction and block the assets of 

4 the Foreign Trade Bank of North Korea and 

5 Daedong Credit Bank. 

6 SEC. 104. PROHIBITED CONDUCT AND MANDATORY AND 

7 DISCRETIONARY DESIGNATION AND SANC8 TIONS AUTHORITIES. 

9 (a) PROHIBITED CONDUCT AND MANDATORY DES10 IGNATION AND SANCTIONS AUTHORITY.— 

11 (1) CONDUCT DESCRIBED.—Except as provided 

12 in section 207, the President shall designate under 

13 this subsection any person the President determines 

14 to— 

15 (A) have knowingly engaged in significant 

16 activities or transactions with the Government 

17 of North Korea that have materially contrib18 uted to the proliferation of weapons of mass de19 struction or their means of delivery (including 

20 missiles capable of delivering such weapons), in21 cluding any efforts to manufacture, acquire, 

22 possess, develop, transport, transfer, or use 

23 such items; 

24 (B) have knowingly imported, exported, or 

25 reexported to, into, or from North Korea any 


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1 arms or related materiel, whether directly or in2 directly; 

3 (C) have knowingly provided significant 

4 training, advice, or other services or assistance, 

5 or engaged in transactions, related to the man6 ufacture, maintenance, or use of any arms or 

7 related materiel to be imported, exported, or re8 exported to, into, or from North Korea, or fol9 lowing their importation, exportation, or re10 exportation to, into, or from North Korea, 

11 whether directly or indirectly; 

12 (D) have knowingly, directly or indirectly, 

13 imported, exported, or reexported significant 

14 luxury goods to or into North Korea; 

15 (E) have knowingly engaged in or been re16 sponsible for censorship by the Government of 

17 North Korea, including prohibiting, limiting, or 

18 penalizing the exercise of freedom of expression 

19 or assembly, limiting access to print or broad20 cast media, or the facilitation or support of in21 tentional frequency manipulation that would 

22 jam or restrict an international signal; 

23 (F) have knowingly engaged in or been re24 sponsible for serious human rights abuses by 

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1 ture or cruel, inhuman, or degrading treatment 

2 or punishment, prolonged detention without 

3 charges and trial, causing the disappearance of 

4 persons by the abduction and clandestine deten5 tion of those persons, and other denial of the 

6 right to life, liberty, or the security of a person; 

7 (G) have knowingly, directly or indirectly, 

8 engaged in significant acts of money laun9 dering, the counterfeiting of goods or currency, 

10 bulk cash smuggling, narcotics trafficking, or 

11 other illicit activity that involves or supports the 

12 Government of North Korea or any senior offi13 cial thereof, whether directly or indirectly; or 

14 (H) have knowingly attempted to engage in 

15 any of the conduct described in subparagraphs 

16 (A) through (G) of this paragraph. 

17 (2) EFFECT OF DESIGNATION.—With respect to 

18 any person designated under this subsection, the 

19 President— 

20 (A) shall exercise the authorities of the 

21 International Emergency Economic Powers Act 

22 (50 U.S.C. 1705 et seq.) without regard to sec23 tion 202 of such Act to block all property and 

24 interests in property of any person designated 

25 under this subsection that are in the United 


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1 States, that hereafter come within the United 

2 States, or that are or hereafter come within the 

3 possession or control of any United States per4 son, including any overseas branch; and 

5 (B) may apply any of the sanctions de6 scribed in sections 204, 205(c), and 206. 

7 (3) PENALTIES.—The penalties provided for in 

8 section 206 of the International Emergency Eco9 nomic Powers Act (50 U.S.C. 1705) shall apply to 

10 a person who violates, attempts to violate, conspires 

11 to violate, or causes a violation of any prohibition of 

12 this subsection, or of an order or regulation pre13 scribed under this Act, to the same extent that such 

14 penalties apply to a person that commits an unlaw15 ful act described in section 206(a) of that Act (50 

16 U.S.C. 1705(a)). 

17 (b) DISCRETIONARY DESIGNATION AND SANCTIONS

18 AUTHORITY.— 

19 (1) CONDUCT DESCRIBED.—Except as provided 

20 in section 207, the President may designate under 

21 this subsection any person the President determines 

22 to— 

23 (A) have knowingly engaged in, contrib24 uted to, assisted, sponsored, or provided finan25 cial, material or technological support for, or 


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1 goods and services in support of, any violation 

2 of, or evasion of, an applicable United Nations 

3 Security Council resolution; 

4 (B) have knowingly facilitated the transfer 

5 of any funds, financial assets, or economic re6 sources of, or property or interests in property 

7 of a person designated under an applicable Ex8 ecutive order, or by the United Nations Secu9 rity Council pursuant to an applicable United 

10 Nations Security Council resolution; 

11 (C) have knowingly facilitated the transfer 

12 of any funds, financial assets, or economic re13 sources, or any property or interests in property 

14 derived from, involved in, or that has materially 

15 contributed to conduct prohibited by subsection 

16 (a) or an applicable United Nations Security 

17 Council resolution; 

18 (D) have knowingly facilitated any trans19 action that contributes materially to a violation 

20 of an applicable United Nations Security Coun21 cil resolution; 

22 (E) have knowingly facilitated any trans23 actions in cash or monetary instruments or 

24 other stores of value, including through cash 

25 couriers transiting to or from North Korea, 


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1 used to facilitate any conduct prohibited by an 

2 applicable United Nations Security Council res3 olution; 

4 (F) have knowingly contributed to the 

5 bribery of an official of the Government of 

6 North Korea, the misappropriation, theft, or 

7 embezzlement of public funds by, or for the 

8 benefit of, an official of the Government of 

9 North Korea, or the use of any proceeds of any 

10 such conduct; or 

11 (G) have knowingly and materially as12 sisted, sponsored, or provided financial, mate13 rial, or technological support for, or goods or 

14 services to or in support of, the conduct de15 scribed in subparagraphs (A) through (F) of 

16 this paragraph or the conduct described in sub17 paragraphs (A) through (G) of subsection 

18 (a)(1). 

19 (2) EFFECT OF DESIGNATION.—With respect to 

20 any person designated under this subsection, the 

21 President— 

22 (A) may apply the sanctions described in 

23 section 204; 


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1 (B) may apply any of the special measures 

2 described in section 5318A of title 31, United 

3 States Code; 

4 (C) may prohibit any transactions in for5 eign exchange that are subject to the jurisdic6 tion of the United States and in which such 

7 person has any interest; 

8 (D) may prohibit any transfers of credit or 

9 payments between financial institutions or by, 

10 through, or to any financial institution, to the 

11 extent that such transfers or payments are sub12 ject to the jurisdiction of the United States and 

13 involve any interest of the person; and 

14 (E) may exercise the authorities of the 

15 International Emergency Economic Powers Act 

16 (50 U.S.C. 1705 et seq.) without regard to sec17 tion 202 of such Act to block any property and 

18 interests in property of the person that are in 

19 the United States, that hereafter come within 

20 the United States, or that are or hereafter come 

21 within the possession or control of any United 

22 States person, including any overseas branch. 

23 (c) BLOCKING OF ALL PROPERTY AND INTERESTS

24 IN PROPERTY OF THE GOVERNMENT OF NORTH

25 KOREA.—The President shall exercise the authorities of 


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1 the International Emergency Economic Powers Act (50 

2 U.S.C. 1705 et seq.) without regard to section 202 of such 

3 Act to block all property and interests in property of the 

4 Government of North Korea that are in the United States, 

5 that hereafter come within the United States, or that are 

6 or hereafter come within the possession or control of any 

7 United States person, including any overseas branch. 

8 (d) APPLICATION.—The designation of a person and 

9 the blocking of property and interests in property under 

10 subsection (a), (b), or (c) shall also apply with respect to 

11 a person who is determined to be owned or controlled by, 

12 or to have acted or purported to act for or on behalf of, 

13 directly or indirectly, any person whose property and inter14 ests in property are blocked pursuant to this section. 

15 (e) TRANSACTION LICENSING.—The President shall 

16 deny or revoke any license for any transaction that, in the 

17 determination of the President, lacks sufficient financial 

18 controls to ensure that such transaction will not facilitate 

19 any of the conduct described in subsection (a) or sub20 section (b). 

21 SEC. 105. FORFEITURE OF PROPERTY. 

22 (a) AMENDMENT TO PROPERTY SUBJECT TO FOR23 FEITURE.—Section 981(a)(1) of title 18, United States 

24 Code, is amended by adding at the end the following new 

25 subparagraph: 


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1 ‘‘(I) Any property, real or personal, that is in2 volved in a violation or attempted violation, or which 

3 constitutes or is derived from proceeds traceable to 

4 a violation, of section 104(a) of the North Korea 

5 Sanctions Enforcement Act of 2014.’’. 

6 (b) AMENDMENT TO DEFINITION OF CIVIL FOR7 FEITURE STATUTE.—Section 983(i)(2)(D) of title 18, 

8 United States Code, is amended— 

9 (1) by striking ‘‘or the International Emergency 

10 Economic Powers Act’’ and inserting ‘‘, the Inter11 national Emergency Economic Powers Act’’; and 

12 (2) by adding at the end before the semicolon 

13 the following: ‘‘, or the North Korea Sanctions En14 forcement Act of 2014’’. 

15 (c) AMENDMENT TO DEFINITION OF SPECIFIED UN16 LAWFUL ACTIVITY.—Section 1956(c)(7)(D) of title 18, 

17 United States Code, is amended— 

18 (1) by striking ‘‘or section 92 of the Atomic 

19 Energy Act of 1954’’ and inserting ‘‘section 92 of 

20 the Atomic Energy Act of 1954’’; and 

21 (2) by adding at the end the following: ‘‘, or 

22 section 104(a) of the North Korea Sanctions En23 forcement Act of 2014’’. 


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1 TITLE II—SANCTIONS AGAINST 

2 NORTH KOREAN PROLIFERA3 TION, HUMAN RIGHTS 

4 ABUSES, AND ILLICIT ACTIVI5 TIES 

6 SEC. 201. DETERMINATIONS WITH RESPECT TO NORTH 

7 KOREA AS A JURISDICTION OF PRIMARY 

8 MONEY LAUNDERING CONCERN. 

9 (a) FINDINGS.—Congress makes the following find10 ings: 

11 (1) The Undersecretary of the Treasury for 

12 Terrorism and Financial Intelligence, who is respon13 sible for safeguarding the financial system against il14 licit use, money laundering, terrorist financing, and 

15 the proliferation of weapons of mass destruction, has 

16 repeatedly expressed concern about North Korea’s 

17 misuse of the international financial system as fol18 lows: 

19 (A) In 2006, the Undersecretary stated 

20 that, given North Korea’s ‘‘counterfeiting of 

21 U.S. currency, narcotics trafficking and use of 

22 accounts worldwide to conduct proliferation-re23 lated transactions, the line between illicit and 

24 licit North Korean money is nearly invisible’’ 

25 and urged financial institutions worldwide to 


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1 ‘‘think carefully about the risks of doing any 

2 North Korea-related business.’’. 

3 (B) In 2011, the Undersecretary stated 

4 that ‘‘North Korea remains intent on engaging 

5 in proliferation, selling arms as well as bringing 

6 in material,’’ and was ‘‘aggressively pursuing 

7 the effort to establish front companies.’’. 

8 (C) In 2013, the Undersecretary stated, in 

9 reference to North Korea’s distribution of high10 quality counterfeit United States currency, that 

11 ‘‘North Korea is continuing to try to pass a 

12 supernote into the international financial sys13 tem,’’ and that the Department of the Treasury 

14 would soon introduce new currency with im15 proved security features to protect against 

16 counterfeiting by the Government of North 

17 Korea. 

18 (2) The Financial Action Task Force, an inter19 governmental body whose purpose is to develop and 

20 promote national and international policies to com21 bat money laundering and terrorist financing, has 

22 repeatedly— 

23 (A) expressed concern at deficiencies in 

24 North Korea’s regimes to combat money laun25 dering and terrorist financing; 


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1 (B) urged North Korea to adopt a plan of 

2 action to address significant deficiencies in 

3 these regimes and the serious threat they pose 

4 to the integrity of the international financial 

5 system; 

6 (C) urged all jurisdictions to apply coun7 termeasures to protect the international finan8 cial system from ongoing and substantial money 

9 laundering and terrorist financing risks ema10 nating from North Korea; 

11 (D) urged all jurisdictions to advise their 

12 financial institutions to give special attention to 

13 business relationships and transactions with 

14 North Korea, including North Korean compa15 nies and financial institutions; and 

16 (E) called on all jurisdictions to protect 

17 against correspondent relationships being used 

18 to bypass or evade countermeasures and risk 

19 mitigation practices, and take into account 

20 money laundering and terrorist financing risks 

21 when considering requests by North Korean fi22 nancial institutions to open branches and sub23 sidiaries in their jurisdiction. 


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1 (3) On March 7, 2013, the United Nations Se2 curity Council unanimously adopted Resolution 

3 2094, which— 

4 (A) welcomed the Financial Action Task 

5 Force’s recommendation on financial sanctions 

6 related to proliferation, and its guidance on the 

7 implementation of sanctions; 

8 (B) decided that Member States should 

9 apply enhanced monitoring and other legal 

10 measures to prevent the provision of financial 

11 services or the transfer of property that could 

12 contribute to activities prohibited by applicable 

13 United Nations Security Council resolutions; 

14 and 

15 (C) called on Member States to prohibit 

16 North Korean banks from establishing or main17 taining correspondent relationships with banks 

18 in their jurisdictions, to prevent the provision of 

19 financial services, if they have information that 

20 provides reasonable grounds to believe that 

21 these activities could contribute to activities 

22 prohibited by an applicable United Nations Se23 curity Council resolution, or to the evasion of 

24 such prohibitions. 


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1 (b) SENSE OF CONGRESS REGARDING THE DESIGNA2 TION OF NORTH KOREA AS A JURISDICTION OF PRIMARY

3 MONEY LAUNDERING CONCERN.—Congress— 

4 (1) acknowledges the efforts of the United Na5 tions Security Council to impose limitations on, and 

6 require enhanced monitoring of, transactions involv7 ing North Korean financial institutions that could 

8 contribute to sanctioned activities; 

9 (2) urges the President, in the strongest terms, 

10 to consider immediately designating North Korea as 

11 a jurisdiction of primary money laundering concern, 

12 and to adopt stringent special measures to safeguard 

13 the financial system against the risks posed by 

14 North Korea’s willful evasion of sanctions and its il15 licit activities; and 

16 (3) urges the President to seek the prompt im17 plementation by other states of enhanced monitoring 

18 and due diligence to prevent North Korea’s misuse 

19 of the international financial system, including by 

20 sharing information about activities, transactions, 

21 and property that could contribute to activities sanc22 tioned by applicable United Nations Security Council 

23 resolutions, or to the evasion of sanctions. 

24 (c) DETERMINATIONS REGARDING NORTH KOREA.— 


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1 (1) IN GENERAL.—The Secretary of the Treas2 ury shall, not later than 180 days after the date of 

3 the enactment of this Act, determine, in consultation 

4 with the Secretary of State and Attorney General, 

5 and in accordance with section 5318A of title 31, 

6 United States Code, whether reasonable grounds 

7 exist for concluding that North Korea is a jurisdic8 tion of primary money laundering concern. 

9 (2) ENHANCED DUE DILIGENCE AND REPORT10 ING REQUIREMENTS.—Except as provided in section 

11 207, if the Secretary of the Treasury determines 

12 under this subsection that reasonable grounds exist 

13 for finding that North Korea is a jurisdiction of pri14 mary money laundering concern, the Secretary of 

15 the Treasury, in consultation with the Federal func16 tional regulators, shall impose one or more of the 

17 special measures described in paragraphs (1) 

18 through (5) of section 5318A(b) of title 31, United 

19 States Code, with respect to the jurisdiction of 

20 North Korea. 

21 (3) REPORT REQUIRED.— 

22 (A) IN GENERAL.—If the Secretary of the 

23 Treasury determines that North Korea is a ju24 risdiction of primary money laundering concern, 

25 the Secretary of the Treasury shall, not later 


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1 than 90 days after the date on which the Sec2 retary makes such determination, submit to the 

3 appropriate congressional committees a report 

4 on the determination made under paragraph (1) 

5 together with the reasons for that determina6 tion. 

7 (B) FORM.—A report or copy of any re8 port submitted under this paragraph shall be 

9 submitted in unclassified form but may contain 

10 a classified annex. 

11 SEC. 202. ENSURING THE CONSISTENT ENFORCEMENT OF 

12 UNITED NATIONS SECURITY COUNCIL RESO13 LUTIONS AND FINANCIAL RESTRICTIONS ON 

14 NORTH KOREA. 

15 (a) FINDINGS.—Congress finds that— 

16 (1) all states and jurisdictions are obligated to 

17 implement and enforce applicable United Nations 

18 Security Council resolutions fully and promptly, in19 cluding by— 

20 (A) blocking the property of, and ensuring 

21 that any property is prevented from being made 

22 available to, persons designated by the Security 

23 Council under applicable United Nations Secu24 rity Council resolutions; 


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1 (B) blocking any property associated with 

2 an activity prohibited by applicable United Na3 tions Security Council resolutions; and 

4 (C) preventing any transfer of property 

5 and any provision of financial services that 

6 could contribute to an activity prohibited by ap7 plicable United Nations Security Council resolu8 tions, or to the evasion of sanctions under such 

9 resolutions; 

10 (2) all states and jurisdictions share a common 

11 interest in protecting the international financial sys12 tem from the risks of money laundering and illicit 

13 transactions emanating from North Korea; 

14 (3) the United States Dollar and the Euro are 

15 the world’s principal reserve currencies, and the 

16 United States and the European Union are pri17 marily responsible for the protection of the inter18 national financial system from these risks; 

19 (4) the cooperation of the People’s Republic of 

20 China, as North Korea’s principal trading partner, 

21 is essential to the enforcement of applicable United 

22 Nations Security Council resolutions and to the pro23 tection of the international financial system; 

24 (5) the report of the Panel of Experts estab25 lished pursuant to United Nations Security Council 


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1 Resolution 1874, dated June 11, 2013, expressed 

2 concern about the ability of banks in states with less 

3 effective regulators and those unable to afford effec4 tive compliance to detect and prevent illicit transfers 

5 involving North Korea; 

6 (6) North Korea has historically exploited in7 consistencies between jurisdictions in the interpreta8 tion and enforcement of financial regulations and 

9 applicable United Nations Security Council resolu10 tions to circumvent sanctions and launder the pro11 ceeds of illicit activities; 

12 (7) Amroggang Development Bank, Bank of 

13 East Land, and Tanchon Commercial Bank have 

14 been designated by the Secretary of the Treasury, 

15 the United Nations Security Council, and the Euro16 pean Union; 

17 (8) Korea Daesong Bank and Korea Kwangson 

18 Banking Corporation have been designated by the 

19 Secretary of the Treasury and the European Union; 

20 (9) the Foreign Trade Bank of North Korea 

21 has been designated by the Secretary of the Treas22 ury for facilitating transactions on behalf of persons 

23 linked to its proliferation network, and for serving as 

24 ‘‘a key financial node’’; and 


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1 (10) Daedong Credit Bank has been designated 

2 by the Secretary of the Treasury for activities pro3 hibited by applicable United Nations Security Coun4 cil resolutions, including the use of deceptive finan5 cial practices to facilitate transactions on behalf of 

6 persons linked to North Korea’s proliferation net7 work. 

8 (b) SENSE OF CONGRESS.—It is the sense of Con9 gress that the President should intensify diplomatic ef10 forts, both in appropriate international fora such as the 

11 United Nations and bilaterally, to develop and implement 

12 a coordinated, consistent, multilateral strategy for pro13 tecting the global financial system against risks emanating 

14 from North Korea, including— 

15 (1) the cessation of any financial services whose 

16 continuation is inconsistent with applicable United 

17 Nations Security Council resolutions; 

18 (2) the cessation of any financial services to 

19 persons, including financial institutions, that present 

20 unacceptable risks of facilitating money laundering 

21 and illicit activity by the Government of North 

22 Korea; 

23 (3) the blocking by all states and jurisdictions, 

24 in accordance with the legal process of the state or 

25 jurisdiction in which the property is held, of any 


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1 property required to be blocked under applicable 

2 United Nations Security Council resolutions; and 

3 (4) the blocking of any property derived from il4 licit activity, or from the misappropriation, theft, or 

5 embezzlement of public funds by, or for the benefit 

6 of, officials of the Government of North Korea. 

7 SEC. 203. PROLIFERATION PREVENTION SANCTIONS. 

8 (a) EXPORT OF CERTAIN GOODS OR TECHNOLOGY.— 

9 (1) IN GENERAL.—Subject to section 

10 207(a)(2)(C) of this Act, a license shall be required 

11 for the export to North Korea of any goods or tech12 nology subject to the Export Administration Regula13 tions (part 730 of title 15, Code of Federal Regula14 tions) without regard to whether the Secretary of 

15 State has designated North Korea as a country the 

16 government of which has provided support for acts 

17 of international terrorism, as determined by the Sec18 retary of State under section 6(j) of the Export Ad19 ministration Act of 1979 (50 U.S.C. App. 2045), as 

20 continued in effect under the International Emer21 gency Economic Powers Act. 

22 (2) PRESUMPTION OF DENIAL.—A license for 

23 the export to North Korea of any goods or tech24 nology as described in paragraph (1) shall be subject 

25 to a presumption of denial. 


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1 (b) TRANSACTIONS WITH COUNTRIES SUPPORTING

2 ACTS OF INTERNATIONAL TERRORISM.—The prohibitions 

3 and restrictions described in section 40 of the Arms Ex4 port Control Act (22 U.S.C. 2780), and other provisions 

5 in that Act, shall also apply to exporting or otherwise pro6 viding (by sale, lease or loan, grant, or other means), di7 rectly or indirectly, any munitions item to the Government 

8 of North Korea without regard to whether or not North 

9 Korea is a country with respect to which subsection (d) 

10 of such section (relating to designation of state sponsors 

11 of terrorism) applies. 

12 (c) TRANSACTIONS IN LETHAL MILITARY EQUIP13 MENT.— 

14 (1) IN GENERAL.—The President shall withhold 

15 assistance under the Foreign Assistance Act of 1961 

16 (22 U.S.C. 2151 et seq.) to any country that pro17 vides lethal military equipment to, or receives lethal 

18 military equipment from, the Government of North 

19 Korea. 

20 (2) APPLICABILITY.—The prohibition under 

21 this subsection with respect to a country shall termi22 nate on the date that is 1 year after the date on 

23 which such country ceases to provide lethal military 

24 equipment to the Government of North Korea. 


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1 (3) WAIVER.—The President may waive the 

2 prohibition under this subsection with respect to a 

3 country if the President determines that it is in the 

4 national interest of the United States to do so. 

5 SEC. 204. PROCUREMENT SANCTIONS. 

6 (a) IN GENERAL.—Except as provided in this section, 

7 the United States Government may not procure, or enter 

8 into any contract for the procurement of, any goods or 

9 services from any designated person. 

10 (b) FAR.—The Federal Acquisition Regulation 

11 issued pursuant to section 1303 of title 41, United States 

12 Code, shall be revised to require a certification from each 

13 person that is a prospective contractor that such person 

14 does not engage in any of the conduct described in section 

15 104(a). Such revision shall apply with respect to contracts 

16 in an amount greater than the simplified acquisition 

17 threshold (as defined in section 134 of title 41, United 

18 States Code) for which solicitations are issued on or after 

19 the date that is 90 days after the date of the enactment 

20 of this Act. 

21 (c) TERMINATION OF CONTRACTS AND INITIATION

22 OF SUSPENSION AND DEBARMENT PROCEEDING.— 

23 (1) TERMINATION OF CONTRACTS.—Except as 

24 provided in paragraph (2), the head of an executive 

25 agency shall terminate a contract with a person who 


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1 has provided a false certification under subsection 

2 (b). 

3 (2) WAIVER.—The head of an executive agency 

4 may waive the requirement under paragraph (1) 

5 with respect to a person based upon a written find6 ing of urgent and compelling circumstances signifi7 cantly affecting the interests of the United States. If 

8 the head of an executive agency waives the require9 ment under paragraph (1) for a person, the head of 

10 the agency shall submit to the appropriate congres11 sional committees, within 30 days after the waiver is 

12 made, a report containing the rationale for the waiv13 er and relevant information supporting the waiver 

14 decision. 

15 (3) INITIATION OF SUSPENSION AND DEBAR16 MENT PROCEEDING.—The head of an executive 

17 agency shall initiate a suspension and debarment 

18 proceeding against a person who has provided a 

19 false certification under subsection (b). Upon deter20 mination of suspension, debarment, or proposed de21 barment, the agency shall ensure that such person 

22 is entered into the Government-wide database con23 taining the list of all excluded parties ineligible for 

24 Federal programs pursuant to Executive Order No. 

25 12549 (31 U.S.C. 6101 note; relating to debarment 


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1 and suspension) and Executive Order No. 12689 (31 

2 U.S.C. 6101 note; relating to debarment and sus3 pension). 

4 (d) CLARIFICATION REGARDING CERTAIN PROD5 UCTS.—The remedies specified in subsections (a) through 

6 (c) shall not apply with respect to the procurement of eligi7 ble products, as defined in section 308(4) of the Trade 

8 Agreements Act of 1979 (19 U.S.C. 2518(4)), of any for9 eign country or instrumentality designated under section 

10 301(b) of such Act (19 U.S.C. 2511(b)). 

11 (e) RULE OF CONSTRUCTION.—Nothing in this sub12 section may be construed to limit the use of other remedies 

13 available to the head of an executive agency or any other 

14 official of the Federal Government on the basis of a deter15 mination of a false certification under subsection (b). 

16 (f) EXECUTIVE AGENCY DEFINED.—In this section, 

17 the term ‘‘executive agency’’ has the meaning given such 

18 term in section 133 of title 41, United States Code. 

19 SEC. 205. ENHANCED INSPECTIONS AUTHORITIES. 

20 (a) REPORT REQUIRED.—Not later than 180 days 

21 after the date of the enactment of this Act, and every 180 

22 days thereafter, the President, acting through the Sec23 retary of Homeland Security, shall submit to the appro24 priate congressional committees, the Committee on Home25 land Security of the House of Representatives, and the 


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1 Committee on Homeland Security and Governmental Af2 fairs of the Senate, a report identifying foreign sea ports 

3 and airports whose inspections of ships, aircraft, and con4 veyances originating in North Korea, carrying North Ko5 rean property, or operated by the Government of North 

6 Korea are deficient to effectively prevent the facilitation 

7 of any of the activities described in section 104(a). 

8 (b) ENHANCED SECURITY TARGETING REQUIRE9 MENTS.—Not later than 180 days after the identification 

10 of any sea port or airport pursuant to subsection (a), the 

11 Secretary of Homeland Security shall, utilizing the Auto12 mated Targeting System operated by the National Tar13 geting Center in U.S. Customs and Border Protection, re14 quire enhanced screening procedures to determine if phys15 ical inspections are warranted of any cargo bound for or 

16 landed in the United States that has been transported 

17 through such sea port or airport if there are reasonable 

18 grounds to believe that such cargo contains goods prohib19 ited under this Act. 

20 (c) SEIZURE AND FORFEITURE.—A vessel, aircraft, 

21 or conveyance used to facilitate any of the activities de22 scribed in section 104(a) that comes within the jurisdic23 tion of the United States may be seized and forfeited 

24 under chapter 46 of title 18, United States Code, or under 

25 the Tariff Act of 1930. 


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1 SEC. 206. TRAVEL SANCTIONS. 

2 (a) ALIENS INELIGIBLE FOR VISAS, ADMISSION, OR

3 PAROLE.— 

4 (1) VISAS, ADMISSION, OR PAROLE.—An alien 

5 (or an alien who is a corporate officer of a person 

6 (as defined in subparagraph (B) or (C) of section 

7 3(11)) who the Secretary of State or the Secretary 

8 of Homeland Security (or a designee of one of such 

9 Secretaries) knows, or has reasonable grounds to be10 lieve, is described in subsection (a)(1) or (b)(1) of 

11 section 104 is— 

12 (A) inadmissible to the United States; 

13 (B) ineligible to receive a visa or other doc14 umentation to enter the United States; and 

15 (C) otherwise ineligible to be admitted or 

16 paroled into the United States or to receive any 

17 other benefit under the Immigration and Na18 tionality Act (8 U.S.C. 1101 et seq.). 

19 (2) CURRENT VISAS REVOKED.— 

20 (A) IN GENERAL.—The issuing consular 

21 officer, the Secretary of State, or the Secretary 

22 of Homeland Security (or a designee of one of 

23 such Secretaries) shall revoke any visa or other 

24 entry documentation issued to an alien who is 

25 described in subsection (a)(1) or (b)(1) of sec26 tion 104 regardless of when issued. 


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1 (B) EFFECT OF REVOCATION.—A revoca2 tion under subparagraph (A)— 

3 (i) shall take effect immediately; and 

4 (ii) shall automatically cancel any 

5 other valid visa or entry documentation 

6 that is in the alien’s possession. 

7 (b) EXCEPTION TO COMPLY WITH UNITED NATIONS

8 HEADQUARTERS AGREEMENT.—Sanctions under sub9 section (a)(1)(B) shall not apply to an alien if admitting 

10 the alien into the United States is necessary to permit the 

11 United States to comply with the Agreement regarding the 

12 Headquarters of the United Nations, signed at Lake Suc13 cess June 26, 1947, and entered into force November 21, 

14 1947, between the United Nations and the United States, 

15 or other applicable international obligations. 

16 SEC. 207. EXEMPTIONS, WAIVERS, AND REMOVALS OF DES17 IGNATION. 

18 (a) EXEMPTIONS.— 

19 (1) MANDATORY EXEMPTIONS.—The following 

20 activities shall be exempt from sanctions under sec21 tion 104: 

22 (A) Activities subject to the reporting re23 quirements of title V of the National Security 

24 Act of 1947 (50 U.S.C. 413 et seq.), or to any 


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1 authorized intelligence activities of the United 

2 States. 

3 (B) Any transaction necessary to comply 

4 with United States obligations under the Agree5 ment between the United Nations and the 

6 United States of America regarding the Head7 quarters of the United Nations, signed June 

8 26, 1947, and entered into force on November 

9 21, 1947, or under the Vienna Convention on 

10 Consular Relations, signed April 24, 1963, and 

11 entered into force on March 19, 1967, or under 

12 other international agreements. 

13 (2) DISCRETIONARY EXEMPTIONS.—The fol14 lowing activities may be exempt from sanctions 

15 under section 104 as determined by the President: 

16 (A) Any financial transaction the exclusive 

17 purpose for which is to provide humanitarian 

18 assistance to the people of North Korea. 

19 (B) Any financial transaction the exclusive 

20 purpose for which is to import food products 

21 into North Korea, if such food items are not de22 fined as luxury goods. 

23 (C) Any transaction the exclusive purpose 

24 for which is to import agricultural products, 

25 medicine, or medical devices into North Korea, 


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1 provided that such supplies or equipment are 

2 classified as designated ‘‘EAR 99’’ under the 

3 Export Administration Regulations (part 730 of 

4 title 15, Code of Federal Regulations) and not 

5 controlled under— 

6 (i) the Export Administration Act of 

7 1979 (50 U.S.C. App. 2401 et seq.), as 

8 continued in effect under the International 

9 Emergency Economic Powers Act (50 

10 U.S.C. 1701 et seq.); 

11 (ii) the Arms Export Control Act (22 

12 U.S.C. 2751 et seq.); 

13 (iii) part B of title VIII of the Nu14 clear Proliferation Prevention Act of 1994 

15 (22 U.S.C. 6301 et seq.); or 

16 (iv) the Chemical and Biological 

17 Weapons Control and Warfare Elimination 

18 Act of 1991 (22 U.S.C. 5601 et seq.). 

19 (b) WAIVER.—The President may waive, on a case20 by-case basis, the imposition of sanctions for a period of 

21 not more than one year, and may renew that waiver for 

22 additional periods of not more than one year, any sanction 

23 or other measure under section 104, 204, 205, 206, or 

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1 sional committees a written determination that the waiver 

2 meets one or more of the following requirements: 

3 (1) The waiver is important to the economic or 

4 national security interests of the United States. 

5 (2) The waiver will further the enforcement of 

6 this Act or is for an important law enforcement pur7 pose. 

8 (3) The waiver is for an important humani9 tarian purpose, including any of the purposes de10 scribed in section 4 of the North Korean Human 

11 Rights Act of 2004 (22 U.S.C. 7802). 

12 (c) REMOVALS OF SANCTIONS.—The President may 

13 prescribe rules and regulations for the removal of sanc14 tions on a person that is designated under subsection (a) 

15 or (b) of section 104 and the removal of designations of 

16 a person with respect to such sanctions if the President 

17 determines that the designated person has verifiably 

18 ceased its participation in any of the conduct described 

19 in subsection (a) or (b) of section 104, as the case may 

20 be, and has given assurances that it will abide by the re21 quirements of this Act. 

22 (d) FINANCIAL SERVICES FOR CERTAIN ACTIVI23 TIES.—The President may promulgate regulations, rules, 

24 and policies as may be necessary to facilitate the provision 

25 of financial services by a foreign financial institution that 


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1 is not controlled by the Government of North Korea in 

2 support of the activities subject to exemption under this 

3 section. 

4 SEC. 208. SENSE OF CONGRESS ON ENFORCEMENT OF 

5 SANCTIONS ON NORTH KOREA. 

6 (a) FINDINGS.—Congress finds the following: 

7 (1) On March 6, 2014, pursuant to United Na8 tions Security Council Resolution 1874, a Panel of 

9 Experts issued a report assessing the enforcement of 

10 existing sanctions on North Korea. The Panel re11 ported that North Korea continues to ‘‘trade in 

12 arms and related materiel in violation of the resolu13 tions’’ and that ‘‘there is no question that it is one 

14 of the country’s most profitable revenue sources’’. 

15 (2) The Panel of Experts found that North 

16 Korea ‘‘presents a stiff challenge to Member States’’ 

17 through ‘‘multiple and tiered circumvention tech18 niques’’ and ‘‘is experienced in actions it takes to 

19 evade sanctions’’. 

20 (b) SENSE OF CONGRESS.—It is the sense of Con21 gress that the United States should work to increase the 

22 capacity of responsible nations to implement United Na23 tions Security Council Resolutions 1695, 1718, 1874, 

24 2087, and 2094, including to strengthen the capacity of 

25 responsible nations to monitor and interdict shipments to 


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1 and from North Korea that contribute to prohibited activi2 ties under such Resolutions. 

3 TITLE III—PROMOTION OF 

4 HUMAN RIGHTS 

5 SEC. 301. INFORMATION TECHNOLOGY. 

6 Section 104 of the North Korean Human Rights Act 

7 of 2004 (22 U.S.C. 7814) is amended by inserting after 

8 subsection (c) the following new subsection: 

9 ‘‘(d) INFORMATION TECHNOLOGY STUDY.—Not later 

10 than 180 days after the date of the enactment of this sub11 section, the President shall submit to the appropriate con12 gressional committees a classified report setting forth a 

13 detailed plan for making unrestricted, unmonitored, and 

14 inexpensive electronic mass communications available to 

15 the people of North Korea.’’. 

16 SEC. 302. REPORT ON NORTH KOREAN PRISON CAMPS. 

17 (a) IN GENERAL.—The Secretary of State shall sub18 mit to the appropriate congressional committees a report 

19 describing, with respect to each political prison camp in 

20 North Korea to the extent information is available— 

21 (1) the camp’s estimated prisoner population; 

22 (2) the camp’s geographical coordinates; 

23 (3) the reasons for confinement of the pris24 oners; 


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1 (4) the camp’s primary industries and products, 

2 and the end users of any goods produced in such 

3 camp; 

4 (5) the natural persons and agencies respon5 sible for conditions in the camp; 

6 (6) the conditions under which prisoners are 

7 confined, with respect to the adequacy of food, shel8 ter, medical care, working conditions, and reports of 

9 ill-treatment of prisoners; and 

10 (7) imagery, to include satellite imagery of each 

11 such camp, in a format that, if published, would not 

12 compromise the sources and methods used by the in13 telligence agencies of the United States to capture 

14 geospatial imagery. 

15 (b) FORM.—The report required under subsection (a) 

16 may be included in the first report required to be sub17 mitted to Congress after the date of the enactment of this 

18 Act under sections 116(d) and 502B(b) of the Foreign As19 sistance Act of 1961 (22 U.S.C. 2151n(d) and 2304(b)) 

20 (relating to the annual human rights report). 

21 SEC. 303. REPORT ON PERSONS WHO ARE RESPONSIBLE 

22 FOR SERIOUS HUMAN RIGHTS ABUSES OR 

23 CENSORSHIP IN NORTH KOREA. 

24 (a) IN GENERAL.—The Secretary of State shall sub25 mit to the appropriate congressional committees a report 


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1 that contains an identification of each person the Sec2 retary determines to be responsible for serious human 

3 rights abuses or censorship in North Korea and a descrip4 tion of such abuses or censorship engaged in by such per5 son. 

6 (b) CONSIDERATION.—In preparing the report re7 quired under subsection (a), the Secretary of State shall 

8 give due consideration to the findings of the United Na9 tions Commission of Inquiry on Human Rights in North 

10 Korea, and shall make specific findings with respect to 

11 the responsibility of Kim Jong Un, and of each natural 

12 person who is a member of the National Defense Commis13 sion of North Korea, or the Organization and Guidance 

14 Department of the Workers’ Party of Korea, for serious 

15 human rights abuses and censorship. 

16 (c) DESIGNATION OF PERSONS.—The President shall 

17 designate under section 104(a) any person listed in the 

18 report required under subsection (a) as responsible for se19 rious human rights abuses or censorship in North Korea. 

20 (d) SUBMISSION AND FORM.— 

21 (1) SUBMISSION.—The report required under 

22 subsection (a) shall be submitted not later than 90 

23 days after the date of the enactment of this Act, and 

24 every 180 days thereafter for a period not to exceed 

25 3 years, shall be included in each report required 


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1 under sections 116(d) and 502B(b) of the Foreign 

2 Assistance Act of 1961 (22 U.S.C. 2151n(d) and 

3 2304(b)) (relating to the annual human rights re4 port). 

5 (2) FORM.—The report required under sub6 section (a) shall be submitted in unclassified form, 

7 but may include a classified annex. The Secretary of 

8 State shall also publish the unclassified part of the 

9 report on the Department of State’s website. 

10 TITLE IV—GENERAL 

11 AUTHORITIES 

12 SEC. 401. SUSPENSION OF SANCTIONS AND OTHER MEAS13 URES. 

14 (a) IN GENERAL.—Any sanction or other measure re15 quired by title I, II, or III of this Act (or any amendment 

16 made by title I, II, or III of this Act) may be suspended 

17 for up to 365 days upon certification by the President to 

18 the appropriate congressional committees that the Govern19 ment of North Korea has— 

20 (1) verifiably ceased its counterfeiting of United 

21 States currency, including the surrender or destruc22 tion of specialized materials and equipment used for 

23 or particularly suitable for counterfeiting; 

24 (2) taken significant steps toward financial 

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1 tocols to cease and prevent the laundering of mone2 tary instruments; 

3 (3) taken significant steps toward verification 

4 of its compliance with United Nations Security 

5 Council Resolutions 1695, 1718, 1874, 2087, and 

6 2094; 

7 (4) taken significant steps toward accounting 

8 for and repatriating the citizens of other countries 

9 abducted or unlawfully held captive by the Govern10 ment of North Korea or detained in violation of the 

11 1953 Armistice Agreement; 

12 (5) accepted and begun to abide by internation13 ally recognized standards for the distribution and 

14 monitoring of humanitarian aid; 

15 (6) provided credible assurances that it will not 

16 support further acts of international terrorism; 

17 (7) taken significant and verified steps to im18 prove living conditions in its political prison camps; 

19 and 

20 (8) made significant progress in planning for 

21 unrestricted family reunification meetings, including 

22 for those individuals among the two million strong 

23 Korean-American community who maintain family 

24 ties with relatives in North Korea. 


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1 (b) RENEWAL OF SUSPENSION.—The suspension de2 scribed in subsection (a) may be renewed for additional 

3 consecutive periods of 180 days upon certification by the 

4 President to the appropriate congressional committees 

5 that the Government of North Korea has continued to 

6 comply with the conditions described in subsection (a) dur7 ing the previous year. 

8 SEC. 402. TERMINATION OF SANCTIONS AND OTHER MEAS9 URES. 

10 Any sanction or other measure required by title I, II, 

11 or III of this Act (or any amendment made by title I, II, 

12 or III of this Act) shall terminate on the date on which 

13 the President determines and certifies to the appropriate 

14 congressional committees that the Government of North 

15 Korea has met the requirements of section 401, and has 

16 also— 

17 (1) completely, verifiably, and irreversibly dis18 mantled all of its nuclear, chemical, biological, and 

19 radiological weapons programs, including all pro20 grams for the development of systems designed in 

21 whole or in part for the delivery of such weapons; 

22 (2) released all political prisoners, including the 

23 citizens of North Korea detained in North Korea’s 

24 political prison camps; 


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1 (3) ceased its censorship of peaceful political 

2 activity; 

3 (4) taken significant steps toward the establish4 ment of an open, transparent, and representative so5 ciety; 

6 (5) fully accounted for and repatriated all citi7 zens of all nations abducted or unlawfully held cap8 tive by the Government of North Korea or detained 

9 in violation of the 1953 Armistice Agreement; and 

10 (6) agreed with the Financial Action Task 

11 Force on a plan of action to address deficiencies in 

12 its anti-money laundering regime and begun to im13 plement this plan of action. 

14 SEC. 403. REGULATIONS. 

15 (a) IN GENERAL.—The President is authorized to 

16 promulgate such rules and regulations as may be nec17 essary to carry out the provisions of this Act (which may 

18 include regulatory exceptions), including under section 

19 205 of the International Emergency Economic Powers Act 

20 (50 U.S.C. 1704). 

21 (b) RULE OF CONSTRUCTION.—Nothing in this Act 

22 or any amendment made by this Act shall be construed 

23 to limit the authority of the President pursuant to an ap24 plicable Executive order or otherwise pursuant to the 


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50 

HR 1771 RFS 

1 International Emergency Economic Powers Act (50 

2 U.S.C. 1701 et seq.). 

3 SEC. 404. EFFECTIVE DATE. 

4 Except as otherwise provided in this Act, this Act and 

5 the amendments made by this Act shall take effect on the 

6 date of the enactment of this Act. 

7 SEC. 405. OFFSET. 

8 Section 102(a) of the Enhanced Partnership with 

9 Pakistan Act of 2009 (Public Law 111–73; 22 U.S.C. 

10 8412(a)) is amended by striking ‘‘$1,500,000,000’’ and 

11 inserting ‘‘$1,490,000,000’’. 

Passed the House of Representatives July 28, 2014. 

Attest: KAREN L. HAAS, 

Clerk. 


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