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[104th Congress Public Law 172]
[From the U.S. Government Printing Office]

<DOC>
[DOCID: f:publ172.104]

[[Page 110 STAT. 1541]]

Public Law 104-172
104th Congress

                                 An Act

 
 To impose sanctions on persons making certain investments directly and 
significantly contributing to the enhancement of the ability of Iran or 
   Libya to develop its petroleum resources, and on persons exporting 
 certain items that enhance Libya's weapons or aviation capabilities or 
  enhance Libya's ability to develop its petroleum resources, and for 
         other purposes. <<NOTE:  Aug. 5, 1996 -  [H.R. 3107]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: Iran and Libya Sanctions 
Act of 1996. 50 USC 1701 note.>> assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Iran and Libya Sanctions Act of 
1996''.

SEC. 2. <<NOTE: 50 USC 1701 note.>> FINDINGS.

    The Congress makes the following findings:
            (1) The efforts of the Government of Iran to acquire weapons 
        of mass destruction and the means to deliver them and its 
        support of acts of international terrorism endanger the national 
        security and foreign policy interests of the United States and 
        those countries with which the United States shares common 
        strategic and foreign policy objectives.
            (2) The objective of preventing the proliferation of weapons 
        of mass destruction and acts of international terrorism through 
        existing multilateral and bilateral initiatives requires 
        additional efforts to deny Iran the financial means to sustain 
        its nuclear, chemical, biological, and missile weapons programs.
            (3) The Government of Iran uses its diplomatic facilities 
        and quasi-governmental institutions outside of Iran to promote 
        acts of international terrorism and assist its nuclear, 
        chemical, biological, and missile weapons programs.
            (4) The failure of the Government of Libya to comply with 
        Resolutions 731, 748, and 883 of the Security Council of the 
        United Nations, its support of international terrorism, and its 
        efforts to acquire weapons of mass destruction constitute a 
        threat to international peace and security that endangers the 
        national security and foreign policy interests of the United 
        States and those countries with which it shares common strategic 
        and foreign policy objectives.

SEC. 3. <<NOTE: 50 USC 1701 note.>> DECLARATION OF POLICY.

    (a) Policy With Respect to Iran.--The Congress declares that it is 
the policy of the United States to deny Iran the ability to support acts 
of international terrorism and to fund the development and acquisition 
of weapons of mass destruction and the means to deliver them by limiting 
the development of Iran's ability to

[[Page 110 STAT. 1542]]

explore for, extract, refine, or transport by pipeline petroleum 
resources of Iran.
    (b) Policy With Respect to Libya.--The Congress further declares 
that it is the policy of the United States to seek full compliance by 
Libya with its obligations under Resolutions 731, 748, and 883 of the 
Security Council of the United Nations, including ending all support for 
acts of international terrorism and efforts to develop or acquire 
weapons of mass destruction.

SEC. 4. <<NOTE: President. 50 USC 1701 note.>> MULTILATERAL REGIME.

    (a) Multilateral Negotiations.--In order to further the objectives 
of section 3, the Congress urges the President to commence immediately 
diplomatic efforts, both in appropriate international fora such as the 
United Nations, and bilaterally with allies of the United States, to 
establish a multilateral sanctions regime against Iran, including 
provisions limiting the development of petroleum resources, that will 
inhibit Iran's efforts to carry out activities described in section 2.
    (b) Reports to Congress.--The President shall report to the 
appropriate congressional committees, not later than 1 year after the 
date of the enactment of this Act, and periodically thereafter, on the 
extent that diplomatic efforts described in subsection (a) have been 
successful. Each report shall include--
            (1) the countries that have agreed to undertake measures to 
        further the objectives of section 3 with respect to Iran, and a 
        description of those measures; and
            (2) the countries that have not agreed to measures described 
        in paragraph (1), and, with respect to those countries, other 
        measures (in addition to that provided in subsection (d)) the 
        President recommends that the United States take to further the 
        objectives of section 3 with respect to Iran.

    (c) Waiver.--The President may waive the application of section 5(a) 
with respect to nationals of a country if--
            (1) that country has agreed to undertake substantial 
        measures, including economic sanctions, that will inhibit Iran's 
        efforts to carry out activities described in section 2 and 
        information required by subsection (b)(1) has been included in a 
        report submitted under subsection (b); and
            (2) the <<NOTE: Notification.>> President, at least 30 days 
        before the waiver takes effect, notifies the appropriate 
        congressional committees of his intention to exercise the 
        waiver.

    (d) Enhanced Sanction.--
            (1) Sanction.--With respect to nationals of countries except 
        those with respect to which the President has exercised the 
        waiver authority of subsection (c), at any time after the first 
        report is required to be submitted under subsection (b), section 
        5(a) shall be applied by substituting ``$20,000,000'' for 
        ``$40,000,000'' each place it appears, and by substituting 
        ``$5,000,000'' for ``$10,000,000''.
            (2) Report to congress.--The President shall report to the 
        appropriate congressional committees any country with respect to 
        which paragraph (1) applies.

    (e) Interim Report on Multilateral Sanctions; Monitoring.--The 
President, not later than 90 days after the date of the enactment of 
this Act, shall report to the appropriate congressional committees on--

[[Page 110 STAT. 1543]]

            (1) whether the member states of the European Union, the 
        Republic of Korea, Australia, Israel, or Japan have legislative 
        or administrative standards providing for the imposition of 
        trade sanctions on persons or their affiliates doing business or 
        having investments in Iran or Libya;
            (2) the extent and duration of each instance of the 
        application of such sanctions; and
            (3) the disposition of any decision with respect to such 
        sanctions by the World Trade Organization or its predecessor 
        organization.

SEC. 5. <<NOTE: President. 50 USC 1701 note.>> IMPOSITION OF SANCTIONS.

    (a) Sanctions With Respect to Iran.--Except as provided in 
subsection (f), the President shall impose 2 or more of the sanctions 
described in paragraphs (1) through (6) of section 6 if the President 
determines that a person has, with actual knowledge, on or after the 
date of the enactment of this Act, made an investment of $40,000,000 or 
more (or any combination of investments of at least $10,000,000 each, 
which in the aggregate equals or exceeds $40,000,000 in any 12-month 
period), that directly and significantly contributed to the enhancement 
of Iran's ability to develop petroleum resources of Iran.
    (b) Mandatory Sanctions With Respect to Libya.--
            (1) Violations of prohibited transactions.--Except as 
        provided in subsection (f), the President shall impose 2 or more 
        of the sanctions described in paragraphs (1) through (6) of 
        section 6 if the President determines that a person has, with 
        actual knowledge, on or after the date of the enactment of this 
        Act, exported, transferred, or otherwise provided to Libya any 
        goods, services, technology, or other items the provision of 
        which is prohibited under paragraph 4(b) or 5 of Resolution 748 
        of the Security Council of the United Nations, adopted March 31, 
        1992, or under paragraph 5 or 6 of Resolution 883 of the 
        Security Council of the United Nations, adopted November 11, 
        1993, if the provision of such items significantly and 
        materially--
                    (A) contributed to Libya's ability to acquire 
                chemical, biological, or nuclear weapons or 
                destabilizing numbers and types of advanced conventional 
                weapons or enhanced Libya's military or paramilitary 
                capabilities;
                    (B) contributed to Libya's ability to develop its 
                petroleum resources; or
                    (C) contributed to Libya's ability to maintain its 
                aviation capabilities.
            (2) Investments that contribute to the development of 
        petroleum resources.--Except as provided in subsection (f), the 
        President shall impose 2 or more of the sanctions described in 
        paragraphs (1) through (6) of section 6 if the President 
        determines that a person has, with actual knowledge, on or after 
        the date of the enactment of this Act, made an investment of 
        $40,000,000 or more (or any combination of investments of at 
        least $10,000,000 each, which in the aggregate equals or exceeds 
        $40,000,000 in any 12-month period), that directly and 
        significantly contributed to the enhancement of Libya's ability 
        to develop its petroleum resources.

[[Page 110 STAT. 1544]]

    (c) Persons Against Which the Sanctions Are To Be Imposed.--The 
sanctions described in subsections (a) and (b) shall be imposed on--
            (1) any person the President determines has carried out the 
        activities described in subsection (a) or (b); and
            (2) any person the President determines--
                    (A) is a successor entity to the person referred to 
                in paragraph (1);
                    (B) is a parent or subsidiary of the person referred 
                to in paragraph (1) if that parent or subsidiary, with 
                actual knowledge, engaged in the activities referred to 
                in paragraph (1); or
                    (C) is an affiliate of the person referred to in 
                paragraph (1) if that affiliate, with actual knowledge, 
                engaged in the activities referred to in paragraph (1) 
                and if that affiliate is controlled in fact by the 
                person referred to in paragraph (1).

For purposes of this Act, any person or entity described in this 
subsection shall be referred to as a ``sanctioned person''.
    (d) Publication in Federal Register.--The President shall cause to 
be published in the Federal Register a current list of persons and 
entities on whom sanctions have been imposed under this Act. The removal 
of persons or entities from, and the addition of persons and entities 
to, the list, shall also be so published.
    (e) Publication of Projects.--The President shall cause to be 
published in the Federal Register a list of all significant projects 
which have been publicly tendered in the oil and gas sector in Iran.
    (f) Exceptions.--The President shall not be required to apply or 
maintain the sanctions under subsection (a) or (b)--
            (1) in the case of procurement of defense articles or 
        defense services--
                    (A) under existing contracts or subcontracts, 
                including the exercise of options for production 
                quantities to satisfy requirements essential to the 
                national security of the United States;
                    (B) if the President determines in writing that the 
                person to which the sanctions would otherwise be applied 
                is a sole source supplier of the defense articles or 
                services, that the defense articles or services are 
                essential, and that alternative sources are not readily 
                or reasonably available; or
                    (C) if the President determines in writing that such 
                articles or services are essential to the national 
                security under defense coproduction agreements;
            (2) in the case of procurement, to eligible products, as 
        defined in section 308(4) of the Trade Agreements Act of 1979 
        (19 U.S.C. 2518(4)), of any foreign country or instrumentality 
        designated under section 301(b)(1) of that Act (19 U.S.C. 
        2511(b)(1));
            (3) to products, technology, or services provided under 
        contracts entered into before the date on which the President 
        publishes in the Federal Register the name of the person on whom 
        the sanctions are to be imposed;
            (4) to--
                    (A) spare parts which are essential to United States 
                products or production;

[[Page 110 STAT. 1545]]

                    (B) component parts, but not finished products, 
                essential to United States products or production; or
                    (C) routine servicing and maintenance of products, 
                to the extent that alternative sources are not readily 
                or reasonably available;
            (6) to information and technology essential to United States 
        products or production; or
            (7) to medicines, medical supplies, or other humanitarian 
        items.

SEC. 6. <<NOTE: 50 USC 1701 note.>> DESCRIPTION OF SANCTIONS.

    The sanctions to be imposed on a sanctioned person under section 5 
are as follows:
            (1) Export-import bank assistance for exports to sanctioned 
        persons.--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 any sanctioned person.
            (2) Export sanction.--The President may order the United 
        States Government not to issue any specific license and not to 
        grant any other specific permission or authority to export any 
        goods or technology to a sanctioned person under--
                    (i) the Export Administration Act of 1979;
                    (ii) the Arms Export Control Act;
                    (iii) the Atomic Energy Act of 1954; or
                    (iv) any other statute that requires the prior 
                review and approval of the United States Government as a 
                condition for the export or reexport of goods or 
                services.
            (3) Loans from united states financial institutions.--The 
        United States Government may prohibit any United States 
        financial institution from making loans or providing credits to 
        any sanctioned person totaling more than $10,000,000 in any 12-
        month period unless such person is engaged in activities to 
        relieve human suffering and the loans or credits are provided 
        for such activities.
            (4) Prohibitions on financial institutions.--The following 
        prohibitions may be imposed against a sanctioned person that is 
        a financial institution:
                    (A) Prohibition on designation as primary dealer.--
                Neither the Board of Governors of the Federal Reserve 
                System nor the Federal Reserve Bank of New York may 
                designate, or permit the continuation of any prior 
                designation of, such financial institution as a primary 
                dealer in United States Government debt instruments.
                    (B) Prohibition on service as a repository of 
                government funds.--Such financial institution may not 
                serve as agent of the United States Government or serve 
                as repository for United States Government funds.
        The imposition of either sanction under subparagraph (A) or (B) 
        shall be treated as 1 sanction for purposes of section 5, and 
        the imposition of both such sanctions shall be treated as 2 
        sanctions for purposes of section 5.
            (5) Procurement sanction.--The United States Government may 
        not procure, or enter into any contract for the procurement of, 
        any goods or services from a sanctioned person.

[[Page 110 STAT. 1546]]

            (6) Additional sanctions.--The President may impose 
        sanctions, as appropriate, to restrict imports with respect to a 
        sanctioned person, in accordance with the International 
        Emergency Economic Powers Act (50 U.S.C. 1701 and following).

SEC. 7. <<NOTE: 50 USC 1701 note.>> ADVISORY OPINIONS.

    The Secretary of State may, upon the request of any person, issue an 
advisory opinion to that person as to whether a proposed activity by 
that person would subject that person to sanctions under this Act. Any 
person who relies in good faith on such an advisory opinion which states 
that the proposed activity would not subject a person to such sanctions, 
and any person who thereafter engages in such activity, will not be made 
subject to such sanctions on account of such activity.

SEC. 8. <<NOTE: 50 USC 1701 note.>> TERMINATION OF SANCTIONS.

    (a) Iran.--The requirement under section 5(a) to impose sanctions 
shall no longer have force or effect with respect to Iran if the 
President determines and certifies to the appropriate congressional 
committees that Iran--
            (1) has ceased its efforts to design, develop, manufacture, 
        or acquire--
                    (A) a nuclear explosive device or related materials 
                and technology;
                    (B) chemical and biological weapons; and
                    (C) ballistic missiles and ballistic missile launch 
                technology; and
            (2) has been removed from the list of countries the 
        governments of which have been determined, for purposes of 
        section 6(j) of the Export Administration Act of 1979, to have 
        repeatedly provided support for acts of international terrorism.

    (b) Libya.--The requirement under section 5(b) to impose sanctions 
shall no longer have force or effect with respect to Libya if the 
President determines and certifies to the appropriate congressional 
committees that Libya has fulfilled the requirements of United Nations 
Security Council Resolution 731, adopted January 21, 1992, United 
Nations Security Council Resolution 748, adopted March 31, 1992, and 
United Nations Security Council Resolution 883, adopted November 11, 
1993.

SEC. 9. <<NOTE: 50 USC 1701 note.>> DURATION OF SANCTIONS; PRESIDENTIAL 
            WAIVER.

    (a) Delay of Sanctions.--
            (1) Consultations.--If the President makes a determination 
        described in section 5(a) or 5(b) with respect to a foreign 
        person, the Congress urges the President to initiate 
        consultations immediately with the government with primary 
        jurisdiction over that foreign person with respect to the 
        imposition of sanctions under this Act.
            (2) Actions by government of jurisdiction.--In order to 
        pursue consultations under paragraph (1) with the government 
        concerned, the President may delay imposition of sanctions under 
        this Act for up to 90 days. Following such consultations, the 
        President shall immediately impose sanctions unless the 
        President determines and certifies to the Congress that the 
        government has taken specific and effective actions, including, 
        as appropriate, the imposition of appropriate penalties, to 
        terminate the involvement of the foreign person in the activi

[[Page 110 STAT. 1547]]

        ties that resulted in the determination by the President under 
        section 5(a) or 5(b) concerning such person.
            (3) Additional delay in imposition of sanctions.--The 
        President may delay the imposition of sanctions for up to an 
        additional 90 days if the President determines and certifies to 
        the Congress that the government with primary jurisdiction over 
        the person concerned is in the process of taking the actions 
        described in paragraph (2).
            (4) Report to congress.--Not later than 90 days after making 
        a determination under section 5(a) or 5(b), the President shall 
        submit to the appropriate congressional committees a report on 
        the status of consultations with the appropriate foreign 
        government under this subsection, and the basis for any 
        determination under paragraph (3).

    (b) Duration of Sanctions.--A sanction imposed under section 5 shall 
remain in effect--
            (1) for a period of not less than 2 years from the date on 
        which it is imposed; or
            (2) until such time as the President determines and 
        certifies to the Congress that the person whose activities were 
        the basis for imposing the sanction is no longer engaging in 
        such activities and that the President has received reliable 
        assurances that such person will not knowingly engage in such 
        activities in the future, except that such sanction shall remain 
        in effect for a period of at least 1 year.

    (c) Presidential Waiver.--
            (1) Authority.--The <<NOTE: Reports.>> President may waive 
        the requirement in section 5 to impose a sanction or sanctions 
        on a person described in section 5(c), and may waive the 
        continued imposition of a sanction or sanctions under subsection 
        (b) of this section, 30 days or more after the President 
        determines and so reports to the appropriate congressional 
        committees that it is important to the national interest of the 
        United States to exercise such waiver authority.
            (2) Contents of report.--Any report under paragraph (1) 
        shall provide a specific and detailed rationale for the 
        determination under paragraph (1), including--
                    (A) a description of the conduct that resulted in 
                the determination under section 5(a) or (b), as the case 
                may be;
                    (B) in the case of a foreign person, an explanation 
                of the efforts to secure the cooperation of the 
                government with primary jurisdiction over the sanctioned 
                person to terminate or, as appropriate, penalize the 
                activities that resulted in the determination under 
                section 5(a) or (b), as the case may be;
                    (C) an estimate as to the significance--
                          (i) of the provision of the items described in 
                      section 5(a) to Iran's ability to develop its 
                      petroleum resources, or
                          (ii) of the provision of the items described 
                      in section 5(b)(1) to the abilities of Libya 
                      described in subparagraph (A), (B), or (C) of 
                      section 5(b)(1), or of the investment described in 
                      section 5(b)(2) on Libya's ability to develop its 
                      petroleum resources,
                as the case may be; and

[[Page 110 STAT. 1548]]

                    (D) a statement as to the response of the United 
                States in the event that the person concerned engages in 
                other activities that would be subject to section 5(a) 
                or (b).
            (3) Effect of report on waiver.--If the President makes a 
        report under paragraph (1) with respect to a waiver of sanctions 
        on a person described in section 5(c), sanctions need not be 
        imposed under section 5(a) or (b) on that person during the 30-
        day period referred to in paragraph (1).

SEC. 10. <<NOTE: President. 50 USC 1701 note.>> REPORTS REQUIRED.

    (a) Report on Certain International Initiatives.--Not later than 6 
months after the date of the enactment of this Act, and every 6 months 
thereafter, the President shall transmit a report to the appropriate 
congressional committees describing--
            (1) the efforts of the President to mount a multilateral 
        campaign to persuade all countries to pressure Iran to cease its 
        nuclear, chemical, biological, and missile weapons programs and 
        its support of acts of international terrorism;
            (2) the efforts of the President to persuade other 
        governments to ask Iran to reduce the presence of Iranian 
        diplomats and representatives of other government and military 
        or quasi-governmental institutions of Iran and to withdraw any 
        such diplomats or representatives who participated in the 
        takeover of the United States embassy in Tehran on November 4, 
        1979, or the subsequent holding of United States hostages for 
        444 days;
            (3) the extent to which the International Atomic Energy 
        Agency has established regular inspections of all nuclear 
        facilities in Iran, including those presently under 
        construction; and
            (4) Iran's use of Iranian diplomats and representatives of 
        other government and military or quasi-governmental institutions 
        of Iran to promote acts of international terrorism or to develop 
        or sustain Iran's nuclear, chemical, biological, and missile 
        weapons programs.

    (b) Other Reports.--The President shall ensure the continued 
transmittal to the Congress of reports describing--
            (1) the nuclear and other military capabilities of Iran, as 
        required by section 601(a) of the Nuclear Non-Proliferation Act 
        of 1978 and section 1607 of the National Defense Authorization 
        Act for Fiscal Year 1993; and
            (2) the support provided by Iran for acts of international 
        terrorism, as part of the Department of State's annual report on 
        international terrorism.

SEC. 11. <<NOTE: 50 USC 1701 note.>> DETERMINATIONS NOT REVIEWABLE.

    A determination to impose sanctions under this Act shall not be 
reviewable in any court.

SEC. 12. <<NOTE: 50 USC 1701 note.>> EXCLUSION OF CERTAIN ACTIVITIES.

    Nothing in this Act shall apply to any activities subject to the 
reporting requirements of title V of the National Security Act of 1947.

SEC. 13. <<NOTE: 50 USC 1701 note.>> EFFECTIVE DATE; SUNSET.

    (a) Effective Date.--This Act shall take effect on the date of the 
enactment of this Act.
    (b) Sunset.--This Act shall cease to be effective on the date that 
is 5 years after the date of the enactment of this Act.

[[Page 110 STAT. 1549]]

SEC. 14. <<NOTE: 50 USC 1701 note.>> DEFINITIONS.

    As used in this Act:
            (1) Act of international terrorism.--The term ``act of 
        international terrorism'' means an act--
                    (A) which is violent or dangerous to human life and 
                that is a violation of the criminal laws of the United 
                States or of any State or that would be a criminal 
                violation if committed within the jurisdiction of the 
                United States or any State; and
                    (B) which appears to be intended--
                          (i) to intimidate or coerce a civilian 
                      population;
                          (ii) to influence the policy of a government 
                      by intimidation or coercion; or
                          (iii) to affect the conduct of a government by 
                      assassination or kidnapping.
            (2) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means the Committee on 
        Finance, the Committee on Banking, Housing, and Urban Affairs, 
        and the Committee on Foreign Relations of the Senate and the 
        Committee on Ways and Means, the Committee on Banking and 
        Financial Services, and the Committee on International Relations 
        of the House of Representatives.
            (3) Component part.--The term ``component part'' has the 
        meaning given that term in section 11A(e)(1) of the Export 
        Administration Act of 1979 (50 U.S.C. App. 2410a(e)(1)).
            (4) Develop and development.--To ``develop'', or the 
        ``development'' of, petroleum resources means the exploration 
        for, or the extraction, refining, or transportation by pipeline 
        of, petroleum resources.
            (5) Financial institution.--The term ``financial 
        institution'' includes--
                    (A) a depository institution (as defined in section 
                3(c)(1) of the Federal Deposit Insurance Act), including 
                a branch or agency of a foreign bank (as defined in 
                section 1(b)(7) of the International Banking Act of 
                1978);
                    (B) a credit union;
                    (C) a securities firm, including a broker or dealer;
                    (D) an insurance company, including an agency or 
                underwriter; and
                    (E) any other company that provides financial 
                services.
            (6) Finished product.--The term ``finished product'' has the 
        meaning given that term in section 11A(e)(2) of the Export 
        Administration Act of 1979 (50 U.S.C. App. 2410a(e)(2)).
            (7) Foreign person.--The term ``foreign person'' means--
                    (A) an individual who is not a United States person 
                or an alien lawfully admitted for permanent residence 
                into the United States; or
                    (B) a corporation, partnership, or other 
                nongovernmental entity which is not a United States 
                person.
            (8) Goods and technology.--The terms ``goods'' and 
        ``technology'' have the meanings given those terms in section 16 
        of the Export Administration Act of 1979 (50 U.S.C. App. 2415).
            (9) Investment.--The term ``investment'' means any of the 
        following activities if such activity is undertaken pursuant to 
        an agreement, or pursuant to the exercise of rights under such 
        an agreement, that is entered into with the Government of Iran 
        or a nongovenmental entity in Iran, or with the Govern

[[Page 110 STAT. 1550]]

        ment of Libya or a nongovernmental entity in Libya, on or after 
        the date of the enactment of this Act:
                    (A) The entry into a contract that includes 
                responsibility for the development of petroleum 
                resources located in Iran or Libya (as the case may be), 
                or the entry into a contract providing for the general 
                supervision and guarantee of another person's 
                performance of such a contract.
                    (B) The purchase of a share of ownership, including 
                an equity interest, in that development.
                    (C) The entry into a contract providing for the 
                participation in royalties, earnings, or profits in that 
                development, without regard to the form of the 
                participation.
        The term ``investment'' does not include the entry into, 
        performance, or financing of a contract to sell or purchase 
        goods, services, or technology.
            (10) Iran.--The term ``Iran'' includes any agency or 
        instrumentality of Iran.
            (11) Iranian diplomats and representatives of other 
        government and military or quasi-governmental institutions of 
        iran.--The term ``Iranian diplomats and representatives of other 
        government and military or quasi-governmental institutions of 
        Iran'' includes employees, representatives, or affiliates of 
        Iran's--
                    (A) Foreign Ministry;
                    (B) Ministry of Intelligence and Security;
                    (C) Revolutionary Guard Corps;
                    (D) Crusade for Reconstruction;
                    (E) Qods (Jerusalem) Forces;
                    (F) Interior Ministry;
                    (G) Foundation for the Oppressed and Disabled;
                    (H) Prophet's Foundation;
                    (I) June 5th Foundation;
                    (J) Martyr's Foundation;
                    (K) Islamic Propagation Organization; and
                    (L) Ministry of Islamic Guidance.
            (12) Libya.--The term ``Libya'' includes any agency or 
        instrumentality of Libya.
            (13) Nuclear explosive device.--The term ``nuclear explosive 
        device'' means any device, whether assembled or disassembled, 
        that is designed to produce an instantaneous release of an 
        amount of nuclear energy from special nuclear material (as 
        defined in section 11(aa) of the Atomic Energy Act of 1954) that 
        is greater than the amount of energy that would be released from 
        the detonation of one pound of trinitrotoluene (TNT).
            (14) Person.--The term ``person'' means--
                    (A) a natural person;
                    (B) a corporation, business association, 
                partnership, society, trust, any other nongovernmental 
                entity, organization, or group, and any governmental 
                entity operating as a business enterprise; and
                    (C) any successor to any entity described in 
                subparagraph (B).
            (15) Petroleum resources.--The term ``petroleum resources'' 
        includes petroleum and natural gas resources.

[[Page 110 STAT. 1551]]

            (16) United states or state.--The term ``United States'' or 
        ``State'' means the several States, the District of Columbia, 
        the Commonwealth of Puerto Rico, the Commonwealth of the 
        Northern Mariana Islands, American Samoa, Guam, the United 
        States Virgin Islands, and any other territory or possession of 
        the United States.
            (17) United states person.--The term ``United States 
        person'' means--
                    (A) a natural person who is a citizen of the United 
                States or who owes permanent allegiance to the United 
                States; and
                    (B) a corporation or other legal entity which is 
                organized under the laws of the United States, any State 
                or territory thereof, or the District of Columbia, if 
                natural persons described in subparagraph (A) own, 
                directly or indirectly, more than 50 percent of the 
                outstanding capital stock or other beneficial interest 
                in such legal entity.

    Approved August 5, 1996.

LEGISLATIVE HISTORY--H.R. 3107 (S. 1228):
---------------------------------------------------------------------------

HOUSE REPORTS: No. 104-523, Pt. 1 (Comm. on International Relations) and 
Pt. 2 (Comm. on Ways and Means).
SENATE REPORTS: No. 104-187 accompanying S. 1228 (Comm. on Banking, 
Housing, and Urban Affairs).
CONGRESSIONAL RECORD, Vol. 142 (1996):
            June 18, 19, considered and passed House.
            July 16, considered and passed Senate, amended.
            July 23, House concurred in Senate amendment.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 32 (1996):
            Aug. 5, Presidential remarks.

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