In the Senate of the United States, 

February 10, 2016. 

Resolved, That the bill from the House of Representatives (H.R. 757) entitled ‘‘An Act to improve the enforcement 

of sanctions against the Government of North Korea, and for 

other purposes.’’, do pass with the following 

AMENDMENT: 

Strike out all after the enacting clause and insert: 

1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

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

3 ‘‘North Korea Sanctions and Policy Enhancement Act of 

4 2016’’. 

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

6 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Findings; purposes. 

Sec. 3. Definitions. 

TITLE I—INVESTIGATIONS, PROHIBITED CONDUCT, AND PENALTIES 

Sec. 101. Statement of policy. 

Sec. 102. Investigations. 

Sec. 103. Reporting requirements. 

Sec. 104. Designation of persons. 

Sec. 105. Forfeiture of property. 
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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 inspection authorities. 

Sec. 206. Travel sanctions. 

Sec. 207. Travel recommendations for United States citizens to North Korea. 

Sec. 208. Exemptions, waivers, and removals of designation. 

Sec. 209. Report on and imposition of sanctions to address persons responsible 

for knowingly engaging in significant activities undermining cybersecurity. 

Sec. 210. Codification of sanctions with respect to North Korean activities undermining cybersecurity. 

Sec. 211. Sense of Congress on trilateral cooperation between the United States, 

South Korea, and Japan. 

TITLE III—PROMOTION OF HUMAN RIGHTS 

Sec. 301. Information technology. 

Sec. 302. Strategy to promote North Korean human rights. 

Sec. 303. Report on North Korean prison camps. 

Sec. 304. Report on and imposition of sanctions with respect to 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. Authorization of appropriations. 

Sec. 404. Rulemaking. 

Sec. 405. Authority to consolidate reports. 

Sec. 406. Effective date. 

1 SEC. 2. FINDINGS; PURPOSES. 

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

3 (1) The Government of North Korea— 

4 (A) has repeatedly violated its commitments 

5 to the complete, verifiable, and irreversible dis6 mantlement of its nuclear weapons programs; 

7 and 

8 (B) has willfully violated multiple United 

9 Nations Security Council resolutions calling for 
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1 North Korea to cease development, testing, and 

2 production of weapons of mass destruction. 

3 (2) Based on its past actions, including the 

4 transfer of sensitive nuclear and missile technology to 

5 state sponsors of terrorism, North Korea poses a grave 

6 risk for the proliferation of nuclear weapons and 

7 other weapons of mass destruction. 

8 (3) The Government of North Korea has been im9 plicated repeatedly in money laundering and other il10 licit activities, including— 

11 (A) prohibited arms sales; 

12 (B) narcotics trafficking; 

13 (C) the counterfeiting of United States cur14 rency; 

15 (D) significant activities undermining cy16 bersecurity; and 

17 (E) the counterfeiting of intellectual prop18 erty of United States persons. 

19 (4) North Korea has— 

20 (A) unilaterally withdrawn from the Agree21 ment Concerning a Military Armistice in Korea, 

22 signed at Panmunjom July 27, 1953 (commonly 

23 referred to as the ‘‘Korean War Armistice Agree24 ment’’); and 
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1 (B) committed provocations against South 

2 Korea— 

3 (i) by sinking the warship Cheonan 

4 and killing 46 of her crew on March 26, 

5 2010; 

6 (ii) by shelling Yeonpyeong Island and 

7 killing 4 South Korean civilians on Novem8 ber 23, 2010; 

9 (iii) by its involvement in the 

10 ‘‘DarkSeoul’’ cyberattacks against the fi11 nancial and communications interests of 

12 South Korea on March 20, 2013; and 

13 (iv) by planting land mines near a 

14 guard post in the South Korean portion of 

15 the demilitarized zone that maimed 2 South 

16 Korean soldiers on August 4, 2015. 

17 (5) North Korea maintains a system of brutal 

18 political prison camps that contain as many as 

19 200,000 men, women, and children, who are— 

20 (A) kept in atrocious living conditions with 

21 insufficient food, clothing, and medical care; and 

22 (B) under constant fear of torture or arbi23 trary execution. 

24 (6) North Korea has prioritized weapons pro25 grams and the procurement of luxury goods— 
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1 (A) in defiance of United Nations Security 

2 Council Resolutions 1695 (2006), 1718 (2006), 

3 1874 (2009), 2087 (2013), and 2094 (2013); and 

4 (B) in gross disregard of the needs of the 

5 people of North Korea. 

6 (7) Persons, including financial institutions, 

7 who engage in transactions with, or provide financial 

8 services to, the Government of North Korea and its fi9 nancial institutions without establishing sufficient fi10 nancial safeguards against North Korea’s use of such 

11 transactions to promote proliferation, weapons traf12 ficking, human rights violations, illicit activity, and 

13 the purchase of luxury goods— 

14 (A) aid and abet North Korea’s misuse of 

15 the international financial system; and 

16 (B) violate the intent of the United Nations 

17 Security Council resolutions referred to in para18 graph (6)(A). 

19 (8) The Government of North Korea has provided 

20 technical support and conducted destructive and coer21 cive cyberattacks, including against Sony Pictures 

22 Entertainment and other United States persons. 

23 (9) The conduct of the Government of North 

24 Korea poses an imminent threat to— 
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1 (A) the security of the United States and its 

2 allies; 

3 (B) the global economy; 

4 (C) the safety of members of the United 

5 States Armed Forces; 

6 (D) the integrity of the global financial sys7 tem; 

8 (E) the integrity of global nonproliferation 

9 programs; and 

10 (F) the people of North Korea. 

11 (10) The Government of North Korea has spon12 sored acts of international terrorism, including— 

13 (A) attempts to assassinate defectors and 

14 human rights activists; and 

15 (B) the shipment of weapons to terrorists 

16 and state sponsors of terrorism. 

17 (b) PURPOSES.—The purposes of this Act are— 

18 (1) to use nonmilitary means to address the cri19 sis described in subsection (a); 

20 (2) to provide diplomatic leverage to negotiate 

21 necessary changes in the conduct of the Government 

22 of North Korea; 

23 (3) to ease the suffering of the people of North 

24 Korea; and 
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1 (4) to reaffirm the purposes set forth in section 

2 4 of the North Korean Human Rights Act of 2004 (22 

3 U.S.C. 7802). 

4 SEC. 3. DEFINITIONS. 

5 In this Act: 

6 (1) APPLICABLE EXECUTIVE ORDER.—The term 

7 ‘‘applicable Executive order’’ means— 

8 (A) Executive Order 13382 (50 U.S.C. 1701 

9 note; relating to blocking property of weapons of 

10 mass destruction proliferators and their sup11 porters), Executive Order 13466 (50 U.S.C. 1701 

12 note; relating to continuing certain restrictions 

13 with respect to North Korea and North Korean 

14 nationals), Executive Order 13551 (50 U.S.C. 

15 1701 note; relating to blocking property of cer16 tain persons with respect to North Korea), Exec17 utive Order 13570 (50 U.S.C. 1701 note; relating 

18 to prohibiting certain transactions with respect 

19 to North Korea), Executive Order 13619 (50 

20 U.S.C. 1701 note; relating to blocking property 

21 of persons threatening the peace, security, or sta22 bility of Burma), Executive Order 13687 (50 

23 U.S.C. 1701 note; relating to imposing addi24 tional sanctions with respect to North Korea), or 

25 Executive Order 13694 (50 U.S.C. 1701 note; re-
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1 lating to blocking the property of certain persons 

2 engaging in significant malicious cyber-enabled 

3 activities), to the extent that such Executive 

4 order— 

5 (i) authorizes the imposition of sanc6 tions on persons for conduct with respect to 

7 North Korea; 

8 (ii) prohibits transactions or activities 

9 involving the Government of North Korea; 

10 or 

11 (iii) otherwise imposes sanctions with 

12 respect to North Korea; and 

13 (B) any Executive order adopted on or after 

14 the date of the enactment of this Act, to the ex15 tent that such Executive order— 

16 (i) authorizes the imposition of sanc17 tions on persons for conduct with respect to 

18 North Korea; 

19 (ii) prohibits transactions or activities 

20 involving the Government of North Korea; 

21 or 

22 (iii) otherwise imposes sanctions with 

23 respect to North Korea. 
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1 (2) APPLICABLE UNITED NATIONS SECURITY

2 COUNCIL RESOLUTION.—The term ‘‘applicable United 

3 Nations Security Council resolution’’ means— 

4 (A) United Nations Security Council Reso5 lution 1695 (2006), 1718 (2006), 1874 (2009), 

6 2087 (2013), or 2094 (2013); and 

7 (B) any United Nations Security Council 

8 resolution adopted on or after the date of the en9 actment of this Act that— 

10 (i) authorizes the imposition of sanc11 tions on persons for conduct with respect to 

12 North Korea; 

13 (ii) prohibits transactions or activities 

14 involving the Government of North Korea; 

15 or 

16 (iii) otherwise imposes sanctions with 

17 respect to North Korea. 

18 (3) APPROPRIATE CONGRESSIONAL COMMIT19 TEES.—The term ‘‘appropriate congressional commit20 tees’’ means— 

21 (A) the Committee on Foreign Relations 

22 and the Committee on Banking, Housing, and 

23 Urban Affairs of the Senate; and 

24 (B) the Committee on Foreign Affairs, the 

25 Committee on Financial Services, and the Com-
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1 mittee on Ways and Means of the House of Rep2 resentatives. 

3 (4) DESIGNATED PERSON.—The term ‘‘des4 ignated person’’ means a person designated under 

5 subsection (a) or (b) of section 104 for purposes of ap6 plying 1 or more of the sanctions described in title I 

7 or II with respect to the person. 

8 (5) GOVERNMENT OF NORTH KOREA.—The term 

9 ‘‘Government of North Korea’’ means the Government 

10 of North Korea and its agencies, instrumentalities, 

11 and controlled entities. 

12 (6) HUMANITARIAN ASSISTANCE.—The term ‘‘hu13 manitarian assistance’’ means assistance to meet hu14 manitarian needs, including needs for food, medicine, 

15 medical supplies, clothing, and shelter. 

16 (7) INTELLIGENCE COMMUNITY.—The term ‘‘in17 telligence community’’ has the meaning given such 

18 term in section 3(4) of the National Security Act of 

19 1947 (50 U.S.C. 3003(4)). 

20 (8) LUXURY GOODS.—The term ‘‘luxury 

21 goods’’— 

22 (A) has the meaning given such term in sec23 tion 746.4(b)(1) of title 15, Code of Federal Reg24 ulations; and 
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1 (B) includes the items listed in Supplement 

2 No. 1 to part 746 of such title, and any similar 

3 items. 

4 (9) MONETARY INSTRUMENTS.—The term ‘‘mone5 tary instruments’’ has the meaning given such term 

6 in section 5312(a) of title 31, United States Code. 

7 (10) NORTH KOREA.—The term ‘‘North Korea’’ 

8 means the Democratic People’s Republic of Korea. 

9 (11) NORTH KOREAN FINANCIAL INSTITUTION.— 

10 The term ‘‘North Korean financial institution’’ means 

11 any financial institution that— 

12 (A) is organized under the laws of North 

13 Korea or any jurisdiction within North Korea 

14 (including a foreign branch of such an institu15 tion); 

16 (B) is located in North Korea, except for a 

17 financial institution that is excluded by the 

18 President in accordance with section 208(c); 

19 (C) is owned or controlled by the Govern20 ment of North Korea, regardless of location; or 

21 (D) is owned or controlled by a financial 

22 institution described in subparagraph (A), (B), 

23 or (C), regardless of location. 
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1 (12) SIGNIFICANT ACTIVITIES UNDERMINING CY2 BERSECURITY.—The term ‘‘significant activities un3 dermining cybersecurity’’ includes— 

4 (A) significant efforts to— 

5 (i) deny access to or degrade, disrupt, 

6 or destroy an information and communica7 tions technology system or network; or 

8 (ii) exfiltrate information from such a 

9 system or network without authorization; 

10 (B) significant destructive malware attacks; 

11 (C) significant denial of service activities; 

12 and 

13 (D) such other significant activities de14 scribed in regulations promulgated to implement 

15 section 104. 

16 (13) SOUTH KOREA.—The term ‘‘South Korea’’ 

17 means the Republic of Korea. 

18 (14) UNITED STATES PERSON.—The term 

19 ‘‘United States person’’ means— 

20 (A) a United States citizen or an alien law21 fully admitted for permanent residence to the 

22 United States; or 

23 (B) an entity organized under the laws of 

24 the United States or of any jurisdiction within 
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1 the United States, including a foreign branch of 

2 such an entity. 

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 North 

8 Korea, Congress finds that it is necessary— 

9 (1) to encourage all member states of the United 

10 Nations to fully and promptly implement United Na11 tions Security Council Resolution 2094 (2013); 

12 (2) to sanction the persons, including financial 

13 institutions, that facilitate proliferation, illicit activi14 ties, arms trafficking, cyberterrorism, imports of lux15 ury goods, serious human rights abuses, cash smug16 gling, and censorship by the Government of North 

17 Korea; 

18 (3) to authorize the President to sanction persons 

19 who fail to exercise due diligence to ensure that such 

20 financial institutions and member states do not fa21 cilitate proliferation, arms trafficking, kleptocracy, or 

22 imports of luxury goods by the Government of North 

23 Korea; 

24 (4) to deny the Government of North Korea ac25 cess to the funds it uses to develop or obtain nuclear 
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1 weapons, ballistic missiles, cyberwarfare capabilities, 

2 and luxury goods instead of providing for the needs 

3 of the people of North Korea; and 

4 (5) to enforce sanctions in a manner that does 

5 not significantly hinder or delay the efforts of legiti6 mate United States or foreign humanitarian organi7 zations from providing assistance to meet the needs of 

8 civilians facing humanitarian crisis, including access 

9 to food, health care, shelter, and clean drinking water, 

10 to prevent or alleviate human suffering. 

11 SEC. 102. INVESTIGATIONS. 

12 (a) INITIATION.—The President shall initiate an inves13 tigation into the possible designation of a person under sec14 tion 104(a) upon receipt by the President of credible infor15 mation indicating that such person has engaged in conduct 

16 described in section 104(a). 

17 (b) PERSONNEL.—The President may direct the Sec18 retary of State, the Secretary of the Treasury, and the heads 

19 of other Federal departments and agencies as may be nec20 essary to assign sufficient experienced and qualified inves21 tigators, attorneys, and technical personnel— 

22 (1) to investigate the conduct described in sub23 sections (a) and (b) of section 104; and 

24 (2) to coordinate and ensure the effective enforce25 ment of this Act. 
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1 SEC. 103. REPORTING REQUIREMENTS. 

2 (a) PRESIDENTIAL BRIEFINGS TO CONGRESS.—Not 

3 later than 180 days after the date of the enactment of this 

4 Act, and periodically thereafter, the President shall provide 

5 a briefing to the appropriate congressional committees on 

6 efforts to implement this Act. 

7 (b) REPORT FROM SECRETARY OF STATE.—Not later 

8 than 180 days after the date of the enactment of this Act, 

9 the Secretary of State shall conduct, coordinate, and submit 

10 to Congress a comprehensive report on United States policy 

11 towards North Korea that— 

12 (1) is based on a full and complete interagency 

13 review of current policies and possible alternatives, 

14 including with respect to North Korea’s weapons of 

15 mass destruction and missile programs, human rights 

16 atrocities, and significant activities undermining cy17 bersecurity; and 

18 (2) includes recommendations for such legislative 

19 or administrative action as the Secretary considers 

20 appropriate based on the results of the review. 

21 SEC. 104. DESIGNATION OF PERSONS. 

22 (a) MANDATORY DESIGNATIONS.—Except as provided 

23 in section 208, the President shall designate under this sub24 section any person that the President determines— 

25 (1) knowingly, directly or indirectly, imports, 

26 exports, or reexports to, into, or from North Korea 
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1 any goods, services, or technology controlled for export 

2 by the United States because of the use of such goods, 

3 services, or technology for weapons of mass destruc4 tion or delivery systems for such weapons and materi5 ally contributes to the use, development, production, 

6 possession, or acquisition by any person of a nuclear, 

7 radiological, chemical, or biological weapon or any 

8 device or system designed in whole or in part to de9 liver such a weapon; 

10 (2) knowingly, directly or indirectly, provides 

11 training, advice, or other services or assistance, or en12 gages in significant financial transactions, relating to 

13 the manufacture, maintenance, or use of any such 

14 weapon, device, or system to be imported, exported, or 

15 reexported to, into, or from North Korea; 

16 (3) knowingly, directly or indirectly, imports, 

17 exports, or reexports luxury goods to or into North 

18 Korea; 

19 (4) knowingly engages in, is responsible for, or 

20 facilitates censorship by the Government of North 

21 Korea; 

22 (5) knowingly engages in, is responsible for, or 

23 facilitates serious human rights abuses by the Govern24 ment of North Korea; 
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1 (6) knowingly, directly or indirectly, engages in 

2 money laundering, the counterfeiting of goods or cur3 rency, bulk cash smuggling, or narcotics trafficking 

4 that supports the Government of North Korea or any 

5 senior official or person acting for or on behalf of that 

6 Government; 

7 (7) knowingly engages in significant activities 

8 undermining cybersecurity through the use of com9 puter networks or systems against foreign persons, 

10 governments, or other entities on behalf of the Govern11 ment of North Korea; 

12 (8) knowingly, directly or indirectly, sells, sup13 plies, or transfers to or from the Government of North 

14 Korea or any person acting for or on behalf of that 

15 Government, a significant amount of precious metal, 

16 graphite, raw or semi-finished metals or aluminum, 

17 steel, coal, or software, for use by or in industrial 

18 processes directly related to weapons of mass destruc19 tion and delivery systems for such weapons, other 

20 proliferation activities, the Korean Workers’ Party, 

21 armed forces, internal security, or intelligence activi22 ties, or the operation and maintenance of political 

23 prison camps or forced labor camps, including outside 

24 of North Korea; 
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1 (9) knowingly, directly or indirectly, imports, 

2 exports, or reexports to, into, or from North Korea 

3 any arms or related materiel; or 

4 (10) knowingly attempts to engage in any of the 

5 conduct described in paragraphs (1) through (9). 

6 (b) ADDITIONAL DISCRETIONARY DESIGNATIONS.— 

7 (1) PROHIBITED CONDUCT DESCRIBED.—Except 

8 as provided in section 208, the President may des9 ignate under this subsection any person that the 

10 President determines— 

11 (A) knowingly engages in, contributes to, 

12 assists, sponsors, or provides financial, material 

13 or technological support for, or goods and serv14 ices in support of, any person designated pursu15 ant to an applicable United Nations Security 

16 Council resolution; 

17 (B) knowingly contributed to— 

18 (i) the bribery of an official of the Gov19 ernment of North Korea or any person act20 ing for on behalf of that official; 

21 (ii) the misappropriation, theft, or em22 bezzlement of public funds by, or for the 

23 benefit of, an official of the Government of 

24 North Korea or any person acting for or on 

25 behalf of that official; or 
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1 (iii) the use of any proceeds of any ac2 tivity described in clause (i) or (ii); or 

3 (C) knowingly and materially assisted, 

4 sponsored, or provided significant financial, ma5 terial, or technological support for, or goods or 

6 services to or in support of, the activities de7 scribed in subparagraph (A) or (B). 

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

9 any person designated under this subsection, the 

10 President may— 

11 (A) apply the sanctions described in section 

12 204, 205(c), or 206 to the person to the same ex13 tent and in the same manner as if the person 

14 were designated under subsection (a); 

15 (B) apply any applicable special measures 

16 described in section 5318A of title 31, United 

17 States Code; 

18 (C) prohibit any transactions in foreign ex19 change— 

20 (i) that are subject to the jurisdiction 

21 of the United States; and 

22 (ii) in which such person has any in23 terest; and 

24 (D) prohibit any transfers of credit or pay25 ments between financial institutions or by, 
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1 through, or to any financial institution, to the 

2 extent that such transfers or payments— 

3 (i) are subject to the jurisdiction of the 

4 United States; and 

5 (ii) involve any interest of such person. 

6 (c) ASSET BLOCKING.—The President shall exercise all 

7 of the powers granted to the President under the Inter8 national Emergency Economic Powers Act (50 U.S.C. 1701 

9 et seq.) to the extent necessary to block and prohibit all 

10 transactions in property and interests in property of a des11 ignated person, the Government of North Korea, or the 

12 Workers’ Party of Korea, if such property and interests in 

13 property are in the United States, come within the United 

14 States, or are or come within the possession or control of 

15 a United States person. 

16 (d) APPLICATION TO SUBSIDIARIES AND AGENTS.— 

17 The designation of a person under subsection (a) or (b) and 

18 the blocking of property and interests in property under 

19 subsection (c) shall apply with respect to a person who is 

20 determined to be owned or controlled by, or to have acted 

21 or purported to have acted for or on behalf of, directly or 

22 indirectly, any person whose property and interests in 

23 property are blocked pursuant to this section. 

24 (e) TRANSACTION LICENSING.—The President shall 

25 deny or revoke any license for any transaction that the 
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1 President determines to lack sufficient financial controls to 

2 ensure that such transaction will not facilitate any activity 

3 described in subsection (a) or (b). 

4 (f) PENALTIES.—The penalties provided for in sub5 sections (b) and (c) of section 206 of the International 

6 Emergency Economic Powers Act (50 U.S.C. 1705) shall 

7 apply to any person who violates, attempts to violate, con8 spires to violate, or causes a violation of any prohibition 

9 of this section, or an order or regulation prescribed under 

10 this section, to the same extent that such penalties apply 

11 to a person that commits an unlawful act described in sec12 tion 206(a) of such Act (50 U.S.C. 1705(a)). 

13 SEC. 105. FORFEITURE OF PROPERTY. 

14 (a) AMENDMENT TO PROPERTY SUBJECT TO FOR15 FEITURE.—Section 981(a)(1) of title 18, United States 

16 Code, is amended by adding at the end the following: 

17 ‘‘(I) Any property, real or personal, that is in18 volved in a violation or attempted violation, or which 

19 constitutes or is derived from proceeds traceable to a 

20 prohibition imposed pursuant to section 104(a) of the 

21 North Korea Sanctions and Policy Enhancement Act 

22 of 2016.’’. 

23 (b) AMENDMENT TO DEFINITION OF CIVIL FOR24 FEITURE STATUTE.—Section 983(i)(2)(D) of title 18, 

25 United States Code, is amended to read as follows: 
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1 ‘‘(D) the Trading with the Enemy Act (50 

2 U.S.C. 4301 et seq.), the International Emer3 gency Economic Powers Act (50 U.S.C. 1701 et 

4 seq.), or the North Korea Sanctions Enforcement 

5 Act of 2016; or’’. 

6 (c) AMENDMENT TO DEFINITION OF SPECIFIED UN7 LAWFUL ACTIVITY.—Section 1956(c)(7)(D) of title 18, 

8 United States Code, is amended— 

9 (1) by striking ‘‘or section 92 of’’ and inserting 

10 ‘‘section 92 of’’; and 

11 (2) by adding at the end the following: ‘‘, or sec12 tion 104(a) of the North Korea Sanctions Enforce13 ment Act of 2016 (relating to prohibited activities 

14 with respect to North Korea);’’. 

15 TITLE II—SANCTIONS AGAINST 

16 NORTH KOREAN PROLIFERA17 TION, HUMAN RIGHTS 

18 ABUSES, AND ILLICIT ACTIVI19 TIES 

20 SEC. 201. DETERMINATIONS WITH RESPECT TO NORTH 

21 KOREA AS A JURISDICTION OF PRIMARY 

22 MONEY LAUNDERING CONCERN. 

23 (a) FINDINGS.—Congress makes the following findings: 

24 (1) The Under Secretary of the Treasury for Ter25 rorism and Financial Intelligence, who is responsible 
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1 for safeguarding the financial system against illicit 

2 use, money laundering, terrorist financing, and the 

3 proliferation of weapons of mass destruction, and has 

4 repeatedly expressed concern about North Korea’s 

5 misuse of the international financial system— 

6 (A) in 2006— 

7 (i) stated, ‘‘Given [North Korea’s] 

8 counterfeiting of U.S. currency, narcotics 

9 trafficking and use of accounts world-wide 

10 to conduct proliferation-related trans11 actions, the line between illicit and licit 

12 North Korean money is nearly invisible.’’; 

13 and 

14 (ii) urged financial institutions world15 wide to ‘‘think carefully about the risks of 

16 doing any North Korea-related business’’; 

17 (B) in 2011, stated that North Korea— 

18 (i) ‘‘remains intent on engaging in 

19 proliferation, selling arms as well as bring20 ing in material’’; and 

21 (ii) was ‘‘aggressively pursuing the ef22 fort to establish front companies.’’; and 

23 (C) in 2013, stated— 

24 (i) in reference to North Korea’s dis25 tribution of high-quality counterfeit United 
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1 States currency, that ‘‘North Korea is con2 tinuing to try to pass a supernote into the 

3 international financial system’’; and 

4 (ii) the Department of the Treasury 

5 would soon introduce new currency with 

6 improved security features to protect 

7 against counterfeiting by the Government of 

8 North Korea. 

9 (2) The Financial Action Task Force, an inter10 governmental body whose purpose is to develop and 

11 promote national and international policies to com12 bat money laundering and terrorist financing, has re13 peatedly— 

14 (A) expressed concern at deficiencies in 

15 North Korea’s regimes to combat money laun16 dering and terrorist financing; 

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

18 action to address significant deficiencies in those 

19 regimes and the serious threat those deficiencies 

20 pose to the integrity of the international finan21 cial system; 

22 (C) urged all jurisdictions to apply counter23 measures to protect the international financial 

24 system from ongoing and substantial money 
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1 laundering and terrorist financing risks ema2 nating from North Korea; 

3 (D) urged all jurisdictions to advise their 

4 financial institutions to give special attention to 

5 business relationships and transactions with 

6 North Korea, including North Korean companies 

7 and financial institutions; and 

8 (E) called on all jurisdictions— 

9 (i) to protect against correspondent re10 lationships being used to bypass or evade 

11 countermeasures and risk mitigation prac12 tices; and 

13 (ii) to take into account money laun14 dering and terrorist financing risks when 

15 considering requests by North Korean finan16 cial institutions to open branches and sub17 sidiaries in their respective jurisdictions. 

18 (3) On March 7, 2013, the United Nations Secu19 rity Council unanimously adopted Resolution 2094, 

20 which— 

21 (A) welcomed the Financial Action Task 

22 Force’s— 

23 (i) recommendation on financial sanc24 tions related to proliferation; and 
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1 (ii) guidance on the implementation of 

2 such sanctions; 

3 (B) decided that United Nations member 

4 states should apply enhanced monitoring and 

5 other legal measures to prevent the provision of 

6 financial services or the transfer of property that 

7 could contribute to activities prohibited by appli8 cable United Nations Security Council resolu9 tions; and 

10 (C) called upon United Nations member 

11 states to prohibit North Korean financial insti12 tutions from establishing or maintaining cor13 respondent relationships with financial institu14 tions in their respective jurisdictions to prevent 

15 the provision of financial services if such member 

16 states have information that provides reasonable 

17 grounds to believe that such activities could con18 tribute to— 

19 (i) activities prohibited by an applica20 ble United Nations Security Council resolu21 tion; or 

22 (ii) the evasion of such prohibitions. 

23 (b) SENSE OF CONGRESS REGARDING THE DESIGNA24 TION OF NORTH KOREA AS A JURISDICTION OF PRIMARY

25 MONEY LAUNDERING CONCERN.—Congress— 
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1 (1) acknowledges the efforts of the United Na2 tions Security Council to impose limitations on, and 

3 to require the enhanced monitoring of, transactions 

4 involving North Korean financial institutions that 

5 could contribute to sanctioned activities; 

6 (2) urges the President, in the strongest terms— 

7 (A) to immediately designate North Korea 

8 as a jurisdiction of primary money laundering 

9 concern; and 

10 (B) to adopt stringent special measures to 

11 safeguard the financial system against the risks 

12 posed by North Korea’s willful evasion of sanc13 tions and its illicit activities; and 

14 (3) urges the President to seek the prompt imple15 mentation by other countries of enhanced monitoring 

16 and due diligence to prevent North Korea’s misuse of 

17 the international financial system, including by shar18 ing information about activities, transactions, and 

19 property that could contribute to— 

20 (A) activities sanctioned by applicable 

21 United Nations Security Council resolutions; or 

22 (B) the evasion of such sanctions. 

23 (c) DETERMINATIONS REGARDING NORTH KOREA.— 

24 (1) IN GENERAL.—Not later than 180 days after 

25 the date of the enactment of this Act, the Secretary of 
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1 the Treasury, in consultation with the Secretary of 

2 State and the Attorney General, and in accordance 

3 with section 5318A of title 31, United States Code, 

4 shall determine whether reasonable grounds exist for 

5 concluding that North Korea is a jurisdiction of pri6 mary money laundering concern. 

7 (2) ENHANCED DUE DILIGENCE AND REPORTING

8 REQUIREMENTS.—If the Secretary of the Treasury de9 termines under paragraph (1) that reasonable 

10 grounds exist for concluding that North Korea is a ju11 risdiction of primary money laundering concern, the 

12 Secretary, in consultation with the Federal functional 

13 regulators (as defined in section 509 of the Gramm14 Leach-Bliley Act (15 U.S.C. 6809)), shall impose 1 or 

15 more of the special measures described in section 

16 5318A(b) of title 31, United States Code, with respect 

17 to the jurisdiction of North Korea. 

18 (3) REPORT REQUIRED.— 

19 (A) IN GENERAL.—Not later than 90 days 

20 after the date on which the Secretary of the 

21 Treasury makes a determination under para22 graph (1), the Secretary shall submit to the ap23 propriate congressional committees a report that 

24 contains the reasons for such determination. 
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1 (B) FORM.—The report submitted under 

2 subparagraph (A) shall be submitted in unclassi3 fied form, but may include a classified annex. 

4 SEC. 202. ENSURING THE CONSISTENT ENFORCEMENT OF 

5 UNITED NATIONS SECURITY COUNCIL RESO6 LUTIONS AND FINANCIAL RESTRICTIONS ON 

7 NORTH KOREA. 

8 (a) FINDINGS.—Congress makes the following findings: 

9 (1) All member states of the United Nations are 

10 obligated to implement and enforce applicable United 

11 Nations Security Council resolutions fully and 

12 promptly, including by blocking the property of, and 

13 ensuring that any property is prevented from being 

14 made available to, persons designated for the blocking 

15 of property by the Security Council under applicable 

16 United Nations Security Council resolutions. 

17 (2) As of May 2015, 158 of the 193 member 

18 states of the United Nations had not submitted re19 ports on measures taken to implement North Korea20 specific United Nations Security Council resolutions 

21 1718, 1874, and 2094. 

22 (3) A recent report by the Government Account23 ability Office (GAO–15–485)— 

24 (A) finds that officials of the United States 

25 and representatives of the United Nations Panel 
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1 of Experts established pursuant to United Na2 tions Security Council Resolution 1874 (2009), 

3 which monitors and facilitates implementation 

4 of United Nations sanctions on North Korea, 

5 ‘‘agree that the lack of detailed reports from all 

6 member states is an impediment to the UN’s ef7 fective implementation of its sanctions’’; and 

8 (B) notes that ‘‘many member states lack 

9 the technical capacity to enforce sanctions and 

10 prepare reports’’ on the implementation of 

11 United Nations sanctions on North Korea. 

12 (4) All member states share a common interest 

13 in protecting the international financial system from 

14 the risks of money laundering and illicit transactions 

15 emanating from North Korea. 

16 (5) The United States dollar and the euro are the 

17 world’s principal reserve currencies, and the United 

18 States and the European Union are primarily re19 sponsible for the protection of the international finan20 cial system from the risks described in paragraph (4). 

21 (6) The cooperation of the People’s Republic of 

22 China, as North Korea’s principal trading partner, is 

23 essential to— 

24 (A) the enforcement of applicable United 

25 Nations Security Council resolutions; and 
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1 (B) the protection of the international fi2 nancial system. 

3 (7) The report of the Panel of Experts expressed 

4 concern about the ability of banks to detect and pre5 vent illicit transfers involving North Korea if such 

6 banks are located in member states with less effective 

7 regulators or member states that are unable to afford 

8 effective compliance. 

9 (8) North Korea has historically exploited incon10 sistencies between jurisdictions in the interpretation 

11 and enforcement of financial regulations and applica12 ble United Nations Security Council resolutions to 

13 circumvent sanctions and launder the proceeds of il14 licit activities. 

15 (9) Amroggang Development Bank, Bank of East 

16 Land, and Tanchon Commercial Bank have been des17 ignated by the Secretary of the Treasury, the United 

18 Nations Security Council, and the European Union 

19 as having materially contributed to the proliferation 

20 of weapons of mass destruction. 

21 (10) Korea Daesong Bank and Korea Kwangson 

22 Banking Corporation have been designated by the 

23 Secretary of the Treasury and the European Union as 

24 having materially contributed to the proliferation of 

25 weapons of mass destruction. 
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1 (11) The Foreign Trade Bank of North Korea 

2 has been designated by the Secretary of the Treasury 

3 for facilitating transactions on behalf of persons 

4 linked to its proliferation network and for serving as 

5 ‘‘a key financial node’’. 

6 (12) Daedong Credit Bank has been designated 

7 by the Secretary of the Treasury for activities prohib8 ited by applicable United Nations Security Council 

9 resolutions, including the use of deceptive financial 

10 practices to facilitate transactions on behalf of per11 sons linked to North Korea’s proliferation network. 

12 (b) SENSE OF CONGRESS.—It is the sense of Congress 

13 that the President should intensify diplomatic efforts in ap14 propriate international fora, such as the United Nations, 

15 and bilaterally, to develop and implement a coordinated, 

16 consistent, multilateral strategy for protecting the global fi17 nancial system against risks emanating from North Korea, 

18 including— 

19 (1) the cessation of any financial services the 

20 continuation of which is inconsistent with applicable 

21 United Nations Security Council resolutions; 

22 (2) the cessation of any financial services to per23 sons, including financial institutions, that present 

24 unacceptable risks of facilitating money laundering 
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1 and illicit activity by the Government of North 

2 Korea; 

3 (3) the blocking by all member states, in accord4 ance with the legal process of the state in which the 

5 property is held, of any property required to be 

6 blocked under applicable United Nations Security 

7 Council resolutions; 

8 (4) the blocking of any property derived from il9 licit activity, or from the misappropriation, theft, or 

10 embezzlement of public funds by, or for the benefit of, 

11 officials of the Government of North Korea; 

12 (5) the blocking of any property involved in sig13 nificant activities undermining cybersecurity by the 

14 Government of North Korea, directly or indirectly, 

15 against United States persons, or the theft of intellec16 tual property by the Government of North Korea, di17 rectly or indirectly from United States persons; and 

18 (6) the blocking of any property of persons di19 rectly or indirectly involved in censorship or human 

20 rights abuses by the Government of North Korea. 

21 (c) STRATEGY TO IMPROVE INTERNATIONAL IMPLE22 MENTATION AND ENFORCEMENT OF UNITED NATIONS

23 NORTH KOREA-SPECIFIC SANCTIONS.—The President shall 

24 direct the Secretary of State, in coordination with other 

25 Federal departments and agencies, as appropriate, to de-
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1 velop a strategy to improve international implementation 

2 and enforcement of United Nations North Korea-specific 

3 sanctions. The strategy should include elements— 

4 (1) to increase the number of countries submit5 ting reports to the United Nations Panel of Experts 

6 established pursuant to United Nations Security 

7 Council Resolution 1874 (2009), including developing 

8 a list of targeted countries where effective implemen9 tation and enforcement of United Nations sanctions 

10 would reduce the threat from North Korea; 

11 (2) to encourage member states of the United Na12 tions to cooperate and share information with the 

13 panel in order to help facilitate investigations; 

14 (3) to expand cooperation with the Panel of Ex15 perts; 

16 (4) to provide technical assistance to member 

17 states to implement United Nations sanctions, includ18 ing developing the capacity to enforce sanctions 

19 through improved export control regulations, border 

20 security, and customs systems; 

21 (5) to harness existing United States Govern22 ment initiatives and assistance programs, as appro23 priate, to improve sanctions implementation and en24 forcement; and 
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1 (6) to increase outreach to the people of North 

2 Korea, and to support the engagement of independent, 

3 non-governmental journalistic, humanitarian, and 

4 other institutions in North Korea. 

5 (d) REPORT REQUIRED.—Not later than 90 days after 

6 the date of the enactment of this Act, and annually there7 after, the Secretary of State shall submit to the appropriate 

8 congressional committees a report that describes the actions 

9 undertaken to implement the strategy required by sub10 section (c). 

11 SEC. 203. PROLIFERATION PREVENTION SANCTIONS. 

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

13 A validated license shall be required for the export to North 

14 Korea of any goods or technology otherwise covered under 

15 section 6(j) of the Export Administration Act of 1979 (50 

16 U.S.C. 4605(j)). No defense exports may be approved for 

17 the Government of North Korea. 

18 (b) TRANSACTIONS IN LETHAL MILITARY EQUIP19 MENT.— 

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

21 assistance under the Foreign Assistance Act of 1961 

22 (22 U.S.C. 2151 et seq.) to the government of any 

23 country that provides lethal military equipment to 

24 the Government of North Korea. 
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1 (2) APPLICABILITY.—The prohibition under 

2 paragraph (1) with respect to a government shall ter3 minate on the date that is 1 year after the date on 

4 which the prohibition under paragraph (1) is applied 

5 to that government. 

6 (c) WAIVER.—Notwithstanding any other provision of 

7 law, the Secretary of State may waive the prohibitions 

8 under this section with respect to a country if the Sec9 retary— 

10 (1) determines that such waiver is in the na11 tional interest of the United States; and 

12 (2) submits a written report to the appropriate 

13 congressional committees that describes— 

14 (A) the steps that the relevant agencies are 

15 taking to curtail the trade described in sub16 section (b)(1); and 

17 (B) why such waiver is in the national in18 terest of the United States. 

19 (d) EXCEPTION.—The prohibitions under this section 

20 shall not apply to the provision of assistance for human 

21 rights, democracy, rule of law, or emergency humanitarian 

22 purposes. 

23 SEC. 204. PROCUREMENT SANCTIONS. 

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

25 the head of an executive agency may not procure, or enter 
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1 into any contract for the procurement of, any goods or serv2 ices from any person designated under section 104(a). 

3 (b) FEDERAL ACQUISITION REGULATION.— 

4 (1) IN GENERAL.—The Federal Acquisition Reg5 ulation issued pursuant to section 1303(a)(1) of title 

6 41, United States Code, shall be revised to require 

7 that each person that is a prospective contractor sub8 mit a certification that such person does not engage 

9 in any activity described in section 104(a). 

10 (2) APPLICABILITY.—The revision required 

11 under paragraph (1) shall apply with respect to con12 tracts for which solicitations are issued on or after the 

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

14 of this Act. 

15 (c) REMEDIES.— 

16 (1) INCLUSION ON LIST.—The Administrator of 

17 General Services shall include, on the List of Parties 

18 Excluded from Federal Procurement and Nonprocure19 ment Programs maintained by the Administrator 

20 under part 9 of the Federal Acquisition Regulation, 

21 each person that is debarred, suspended, or proposed 

22 for debarment or suspension by the head of an execu23 tive agency on the basis of a determination of a false 

24 certification under subsection (b). 
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1 (2) CONTRACT TERMINATION; SUSPENSION.—If 

2 the head of an executive agency determines that a per3 son has submitted a false certification under sub4 section (b) after the date on which the Federal Acqui5 sition Regulation is revised to implement the require6 ments of this section, the head of such executive agen7 cy shall— 

8 (A) terminate any contract with such per9 son; and 

10 (B) debar or suspend such person from eli11 gibility for Federal contracts for a period of not 

12 longer than 2 years. 

13 (3) APPLICABLE PROCEDURES.—Any debarment 

14 or suspension under paragraph (2)(B) shall be subject 

15 to the procedures that apply to debarment and sus16 pension under subpart 9.4 of the Federal Acquisition 

17 Regulation. 

18 (d) CLARIFICATION REGARDING CERTAIN PROD19 UCTS.—The remedies specified in subsection (c) shall not 

20 apply with respect to the procurement of any eligible prod21 uct (as defined in section 308(4) of the Trade Agreements 

22 Act of 1979 (19 U.S.C. 2518(4)) of any foreign country or 

23 instrumentality designated under section 301(b) of such Act 

24 (19 U.S.C. 2511(b)). 
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1 (e) RULE OF CONSTRUCTION.—Nothing in this sub2 section may be construed to limit the use of other remedies 

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

4 official of the Federal Government on the basis of a deter5 mination of a false certification under subsection (b). 

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

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

8 in section 133 of title 41, United States Code. 

9 SEC. 205. ENHANCED INSPECTION AUTHORITIES. 

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

11 after the date of the enactment of this Act, and annually 

12 thereafter, the President shall submit to the appropriate 

13 congressional committees a report that identifies foreign 

14 ports and airports at which inspections of ships, aircraft, 

15 and conveyances originating in North Korea, carrying 

16 North Korean property, or operated by the Government of 

17 North Korea are not sufficient to effectively prevent the fa18 cilitation of any of the activities described in section 104(a). 

19 (b) ENHANCED CUSTOMS INSPECTION REQUIRE20 MENTS.—The Secretary of Homeland Security may require 

21 enhanced inspections of any goods entering the United 

22 States that have been transported through a port or airport 

23 identified by the President under subsection (a). 

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

25 conveyance used to facilitate any of the activities described 
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1 in section 104(a) under the jurisdiction of the United States 

2 may be seized and forfeited under— 

3 (1) chapter 46 of title 18, United States Code; or 

4 (2) title V of the Tariff Act of 1930 (19 U.S.C. 

5 1501 et seq.). 

6 SEC. 206. TRAVEL SANCTIONS. 

7 The Secretary of State may deny a visa to, and the 

8 Secretary of Homeland Security may deny entry into the 

9 United States of, any alien who is— 

10 (1) a designated person; 

11 (2) a corporate officer of a designated person; or 

12 (3) a principal shareholder with a controlling 

13 interest in a designated person. 

14 SEC. 207. TRAVEL RECOMMENDATIONS FOR UNITED 

15 STATES CITIZENS TO NORTH KOREA. 

16 The Secretary of State shall expand the scope and fre17 quency of issuance of travel warnings for all United States 

18 citizens to North Korea. The expanded travel warnings, 

19 which should be issued or updated not less frequently than 

20 every 90 days, should include— 

21 (1) publicly released or credible open source in22 formation regarding the detention of United States 

23 citizens by North Korean authorities, including avail24 able information on circumstances of arrest and de25 tention, duration, legal proceedings, and conditions 
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1 under which a United States citizen has been, or con2 tinues to be, detained by North Korean authorities, 

3 including present-day cases and cases occurring dur4 ing the 10-year period ending on the date of the en5 actment of this Act; 

6 (2) publicly released or credible open source in7 formation on the past and present detention and ab8 duction or alleged abduction of citizens of the United 

9 States, South Korea, or Japan by North Korean au10 thorities; 

11 (3) unclassified information about the nature of 

12 the North Korean regime, as described in congression13 ally mandated reports and annual reports issued by 

14 the Department of State and the United Nations, in15 cluding information about North Korea’s weapons of 

16 mass destruction programs, illicit activities, inter17 national sanctions violations, and human rights situ18 ation; and 

19 (4) any other information that the Secretary 

20 deems useful to provide United States citizens with a 

21 comprehensive picture of the nature of the North Ko22 rean regime. 
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1 SEC. 208. EXEMPTIONS, WAIVERS, AND REMOVALS OF DES2 IGNATION. 

3 (a) EXEMPTIONS.—The following activities shall be ex4 empt from sanctions under sections 104, 206, 209, and 304: 

5 (1) Activities subject to the reporting require6 ments under title V of the National Security Act of 

7 1947 (50 U.S.C. 3091 et seq.), or to any authorized 

8 intelligence activities of the United States. 

9 (2) Any transaction necessary to comply with 

10 United States obligations under the Agreement be11 tween the United Nations and the United States of 

12 America regarding the Headquarters of the United 

13 Nations, signed at Lake Success June 26, 1947, and 

14 entered into force November 21, 1947, or under the 

15 Convention on Consular Relations, done at Vienna 

16 April 24, 1963, and entered into force March 19, 

17 1967, or under other international agreements. 

18 (3) Any activities incidental to the POW/MIA 

19 accounting mission in North Korea, including activi20 ties by the Defense POW/MIA Accounting Agency and 

21 other governmental or nongovernmental organizations 

22 tasked with identifying or recovering the remains of 

23 members of the United States Armed Forces in North 

24 Korea. 

25 (b) HUMANITARIAN WAIVER.— 
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1 (1) IN GENERAL.—The President may waive, for 

2 renewable periods of between 30 days and 1 year, the 

3 application of the sanctions authorized under section 

4 104, 204, 205, 206, 209(b), or 304(b) if the President 

5 submits to the appropriate congressional committees a 

6 written determination that the waiver is necessary for 

7 humanitarian assistance or to carry out the humani8 tarian purposes set forth section 4 of the North Ko9 rean Human Rights Act of 2004 (22 U.S.C. 7802). 

10 (2) CONTENT OF WRITTEN DETERMINATION.—A 

11 written determination submitted under paragraph (1) 

12 with respect to a waiver shall include a description 

13 of all notification and accountability controls that 

14 have been employed in order to ensure that the activi15 ties covered by the waiver are humanitarian assist16 ance or are carried out for the purposes set forth in 

17 section 4 of the North Korean Human Rights Act of 

18 2004 (22 U.S.C. 7802) and do not entail any activi19 ties in North Korea or dealings with the Government 

20 of North Korea not reasonably related to humani21 tarian assistance or such purposes. 

22 (3) CLARIFICATION OF PERMITTED ACTIVITIES

23 UNDER WAIVER.—An internationally recognized hu24 manitarian organization shall not be subject to sanc-
44 

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1 tions under section 104, 204, 205, 206, 209(b), or 

2 304(b) for— 

3 (A) engaging in a financial transaction re4 lating to humanitarian assistance or for human5 itarian purposes pursuant to a waiver issued 

6 under paragraph (1); 

7 (B) transporting goods or services that are 

8 necessary to carry out operations relating to hu9 manitarian assistance or humanitarian purposes 

10 pursuant to such a waiver; or 

11 (C) having merely incidental contact, in the 

12 course of providing humanitarian assistance or 

13 aid for humanitarian purposes pursuant to such 

14 a waiver, with individuals who are under the 

15 control of a foreign person subject to sanctions 

16 under this Act. 

17 (c) WAIVER.—The President may waive, on a case-by18 case basis, for renewable periods of between 30 days and 

19 1 year, the application of the sanctions authorized under 

20 section 104, 201(c)(2), 204, 205, 206, 209(b), or 304(b) if 

21 the President submits to the appropriate congressional com22 mittees a written determination that the waiver— 

23 (1) is important to the national security inter24 ests of the United States; or 
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1 (2) will further the enforcement of this Act or is 

2 for an important law enforcement purpose. 

3 (d) FINANCIAL SERVICES FOR HUMANITARIAN AND

4 CONSULAR ACTIVITIES.—The President may promulgate 

5 such regulations, rules, and policies as may be necessary 

6 to facilitate the provision of financial services by a foreign 

7 financial institution that is not a North Korean financial 

8 institution in support of activities conducted pursuant to 

9 an exemption or waiver under this section. 

10 SEC. 209. REPORT ON AND IMPOSITION OF SANCTIONS TO 

11 ADDRESS PERSONS RESPONSIBLE FOR 

12 KNOWINGLY ENGAGING IN SIGNIFICANT AC13 TIVITIES UNDERMINING CYBERSECURITY. 

14 (a) REPORT REQUIRED.— 

15 (1) IN GENERAL.—The President shall submit to 

16 the appropriate congressional committees a report 

17 that describes significant activities undermining cy18 bersecurity aimed against the United States Govern19 ment or any United States person and conducted by 

20 the Government of North Korea, or a person owned or 

21 controlled, directly or indirectly, by the Government 

22 of North Korea or any person acting for or on behalf 

23 of that Government. 

24 (2) INFORMATION.—The report required under 

25 paragraph (1) shall include— 
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1 (A) the identity and nationality of persons 

2 that have knowingly engaged in, directed, or pro3 vided material support to conduct significant ac4 tivities undermining cybersecurity described in 

5 paragraph (1); 

6 (B) a description of the conduct engaged in 

7 by each person identified; 

8 (C) an assessment of the extent to which a 

9 foreign government has provided material sup10 port to the Government of North Korea or any 

11 person acting for or on behalf of that Govern12 ment to conduct significant activities under13 mining cybersecurity; and 

14 (D) a United States strategy to counter 

15 North Korea’s efforts to conduct significant ac16 tivities undermining cybersecurity against the 

17 United States, that includes efforts to engage for18 eign governments to halt the capability of the 

19 Government of North Korea and persons acting 

20 for or on behalf of that Government to conduct 

21 significant activities undermining cybersecurity. 

22 (3) SUBMISSION AND FORM.— 

23 (A) SUBMISSION.—The report required 

24 under paragraph (1) shall be submitted not later 
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1 than 90 days after the date of the enactment of 

2 this Act, and every 180 days thereafter. 

3 (B) FORM.—The report required under 

4 paragraph (1) shall be submitted in an unclassi5 fied form, but may include a classified annex. 

6 (b) DESIGNATION OF PERSONS.—The President shall 

7 designate under section 104(a) any person identified in the 

8 report required under subsection (a)(1) that knowingly en9 gages in significant activities undermining cybersecurity 

10 through the use of computer networks or systems against 

11 foreign persons, governments, or other entities on behalf of 

12 the Government of North Korea. 

13 SEC. 210. CODIFICATION OF SANCTIONS WITH RESPECT TO 

14 NORTH KOREAN ACTIVITIES UNDERMINING 

15 CYBERSECURITY. 

16 (a) IN GENERAL.—United States sanctions with re17 spect to activities of the Government of North Korea, per18 sons acting for or on behalf of that Government, or persons 

19 located in North Korea that undermine cybersecurity pro20 vided for in Executive Order 13687 (50 U.S.C. 1701 note; 

21 relating to imposing additional sanctions with respect to 

22 North Korea) or Executive Order 13694 (50 U.S.C. 1701 

23 note; relating to blocking the property of certain persons 

24 engaging in significant malicious cyber-enabled activities), 

25 as such Executive Orders are in effect on the day before 
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1 the date of the enactment of this Act, shall remain in effect 

2 until the date that is 30 days after the date on which the 

3 President submits to Congress a certification that the Gov4 ernment of North Korea, persons acting for or on behalf 

5 of that Government, and persons owned or controlled, di6 rectly or indirectly, by that Government or persons acting 

7 for or on behalf of that Government, are no longer engaged 

8 in the illicit activities described in such Executive Orders, 

9 including actions in violation of United Nations Security 

10 Council Resolutions 1718 (2006), 1874 (2009), 2087 (2013), 

11 and 2094 (2013). 

12 (b) RULE OF CONSTRUCTION.—Nothing in this section 

13 shall be construed to limit the authority of the President 

14 pursuant to the International Emergency Economic Powers 

15 Act (50 U.S.C. 1701 et seq.). 

16 SEC. 211. SENSE OF CONGRESS ON TRILATERAL COOPERA17 TION BETWEEN THE UNITED STATES, SOUTH 

18 KOREA, AND JAPAN. 

19 (a) IN GENERAL.—It is the sense of Congress that the 

20 President— 

21 (1) should seek to strengthen high-level trilateral 

22 mechanisms for discussion and coordination of policy 

23 toward North Korea between the Government of the 

24 United States, the Government of South Korea, and 

25 the Government of Japan; 
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1 (2) should ensure that the mechanisms specifi2 cally address North Korea’s nuclear, ballistic, and 

3 conventional weapons programs, its human rights 

4 record, and cybersecurity threats posed by North 

5 Korea; 

6 (3) should ensure that representatives of the 

7 United States, South Korea, and Japan meet on a 

8 regular basis and include representatives of the 

9 United States Department of State, the United States 

10 Department of Defense, the United States intelligence 

11 community, and representatives of counterpart agen12 cies in South Korea and Japan; and 

13 (4) should continue to brief the relevant congres14 sional committees regularly on the status of such dis15 cussions. 

16 (b) RELEVANT COMMITTEES.—The relevant commit17 tees referred to in subsection (a)(4) shall include— 

18 (1) the Committee on Foreign Relations, the 

19 Committee on Armed Services, and the Select Com20 mittee on Intelligence of the Senate; and 

21 (2) the Committee on Foreign Affairs, the Com22 mittee on Armed Services, and the Permanent Select 

23 Committee on Intelligence of the House of Representa24 tives. 
50 

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1 TITLE III—PROMOTION OF 

2 HUMAN RIGHTS 

3 SEC. 301. INFORMATION TECHNOLOGY. 

4 Section 104 of the North Korean Human Rights Act 

5 of 2004 (22 U.S.C. 7814) is amended by adding at the end 

6 the following: 

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

8 than 180 days after the date of the enactment of the North 

9 Korea Sanctions and Policy Enhancement Act of 2015, the 

10 President shall submit to the appropriate congressional 

11 committees a classified report that sets forth a detailed plan 

12 for making unrestricted, unmonitored, and inexpensive elec13 tronic mass communications available to the people of 

14 North Korea.’’. 

15 SEC. 302. STRATEGY TO PROMOTE NORTH KOREAN HUMAN 

16 RIGHTS. 

17 (a) IN GENERAL.—Not later than 180 days after the 

18 date of the enactment of this Act, the Secretary of State, 

19 in coordination with other appropriate Federal depart20 ments and agencies, shall submit to the Committee on For21 eign Relations of the Senate and the Committee on Foreign 

22 Affairs of the House of Representatives a report that details 

23 a United States strategy to promote initiatives to enhance 

24 international awareness of and to address the human rights 

25 situation in North Korea. 
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1 (b) INFORMATION.—The report required under sub2 section (a) should include— 

3 (1) a list of countries that forcibly repatriate ref4 ugees from North Korea; and 

5 (2) a list of countries where North Korean labor6 ers work, including countries the governments of 

7 which have formal arrangements with the Government 

8 of North Korea or any person acting for or on behalf 

9 of that Government to employ North Korean workers. 

10 (c) STRATEGY.—The report required under subsection 

11 (a) should include— 

12 (1) a plan to enhance bilateral and multilateral 

13 outreach, including sustained engagement with the 

14 governments of partners and allies with overseas posts 

15 to routinely demarche or brief those governments on 

16 North Korea human rights issues, including forced 

17 labor, trafficking, and repatriation of citizens of 

18 North Korea; 

19 (2) public affairs and public diplomacy cam20 paigns, including options to work with news organi21 zations and media outlets to publish opinion pieces 

22 and secure public speaking opportunities for United 

23 States Government officials on issues related to the 

24 human rights situation in North Korea, including 
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1 forced labor, trafficking, and repatriation of citizens 

2 of North Korea; and 

3 (3) opportunities to coordinate and collaborate 

4 with appropriate nongovernmental organizations and 

5 private sector entities to raise awareness and provide 

6 assistance to North Korean defectors throughout the 

7 world. 

8 SEC. 303. REPORT ON NORTH KOREAN PRISON CAMPS. 

9 (a) IN GENERAL.—The Secretary of State shall submit 

10 to the appropriate congressional committees a report that 

11 describes, with respect to each political prison camp in 

12 North Korea, to the extent information is available— 

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

14 (2) the camp’s geographical coordinates; 

15 (3) the reasons for the confinement of the pris16 oners; 

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

18 and the end users of any goods produced in the camp; 

19 (5) the individuals and agencies responsible for 

20 conditions in the camp; 

21 (6) the conditions under which prisoners are 

22 confined, with respect to the adequacy of food, shelter, 

23 medical care, working conditions, and reports of ill24 treatment of prisoners; and 
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1 (7) imagery, to include satellite imagery of the 

2 camp, in a format that, if published, would not com3 promise the sources and methods used by the United 

4 States intelligence community to capture geospatial 

5 imagery. 

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

7 may be included in the first human rights report required 

8 to be submitted to Congress after the date of the enactment 

9 of this Act under sections 116(d) and 502B(b) of the Foreign 

10 Assistance Act of 1961 (22 U.S.C. 2151n(d) and 2304(b)). 

11 SEC. 304. REPORT ON AND IMPOSITION OF SANCTIONS 

12 WITH RESPECT TO SERIOUS HUMAN RIGHTS 

13 ABUSES OR CENSORSHIP IN NORTH KOREA. 

14 (a) REPORT REQUIRED.— 

15 (1) IN GENERAL.—The Secretary of State shall 

16 submit to the appropriate congressional committees a 

17 report that— 

18 (A) identifies each person the Secretary de19 termines to be responsible for serious human 

20 rights abuses or censorship in North Korea and 

21 describes the conduct of that person; and 

22 (B) describes serious human rights abuses 

23 or censorship undertaken by the Government of 

24 North Korea or any person acting for or on be-
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1 half of that Government in the most recent year 

2 ending before the submission of the report. 

3 (2) CONSIDERATION.—In preparing the report 

4 required under paragraph (1), the Secretary of State 

5 shall— 

6 (A) give due consideration to the findings of 

7 the United Nations Commission of Inquiry on 

8 Human Rights in North Korea; and 

9 (B) make specific findings with respect to 

10 the responsibility of Kim Jong Un, and of each 

11 individual who is a member of the National De12 fense Commission of North Korea or the Organi13 zation and Guidance Department of the Workers’ 

14 Party of Korea, for serious human rights abuses 

15 and censorship. 

16 (3) SUBMISSION AND FORM.— 

17 (A) SUBMISSION.—The report required 

18 under paragraph (1) shall be submitted not later 

19 than 120 days after the date of the enactment of 

20 this Act, and every 180 days thereafter for a pe21 riod not to exceed 3 years, and shall be included 

22 in each human rights report required under sec23 tions 116(d) and 502B(b) of the Foreign Assist24 ance Act of 1961 (22 U.S.C. 2151n(d) and 

25 2304(b)). 
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1 (B) FORM.—The report required under 

2 paragraph (1) shall be submitted in unclassified 

3 form, but may include a classified annex. 

4 (C) PUBLIC AVAILABILITY.—The Secretary 

5 of State shall publish the unclassified part of the 

6 report required under paragraph (1) on the 

7 website of the Department of State. 

8 (b) DESIGNATION OF PERSONS.—The President shall 

9 designate under section 104(a) any person listed in the re10 port required under subsection (a)(1) that— 

11 (1) knowingly engages in, is responsible for, or 

12 facilitates censorship by the Government of North 

13 Korea; or 

14 (2) knowingly engages in, is responsible for, or 

15 facilitates serious human rights abuses by the Govern16 ment of North Korea. 

17 (c) SENSE OF CONGRESS.—It is the sense of Congress 

18 that the President should— 

19 (1) seek the prompt adoption by the United Na20 tions Security Council of a resolution calling for the 

21 blocking of the assets of all persons responsible for se22 vere human rights abuses or censorship in North 

23 Korea; and 

24 (2) fully cooperate with the prosecution of any 

25 individual listed in the report required under sub-
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1 section (a)(1) before any international tribunal that 

2 may be established to prosecute persons responsible for 

3 severe human rights abuses or censorship in North 

4 Korea. 

5 TITLE IV—GENERAL 

6 AUTHORITIES 

7 SEC. 401. SUSPENSION OF SANCTIONS AND OTHER MEAS8 URES. 

9 (a) IN GENERAL.—Any sanction or other measure re10 quired under title I, II, or III (or any amendment made 

11 by such titles) may be suspended for up to 1 year upon 

12 certification by the President to the appropriate congres13 sional committees that the Government of North Korea has 

14 made progress toward— 

15 (1) verifiably ceasing its counterfeiting of United 

16 States currency, including the surrender or destruc17 tion of specialized materials and equipment used or 

18 particularly suitable for counterfeiting; 

19 (2) taking steps toward financial transparency 

20 to comply with generally accepted protocols to cease 

21 and prevent the laundering of monetary instruments; 

22 (3) taking steps toward verification of its com23 pliance with applicable United Nations Security 

24 Council resolutions; 
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1 (4) taking steps toward accounting for and repa2 triating the citizens of other countries— 

3 (A) abducted or unlawfully held captive by 

4 the Government of North Korea; or 

5 (B) detained in violation of the Agreement 

6 Concerning a Military Armistice in Korea, 

7 signed at Panmunjom July 27, 1953 (commonly 

8 referred to as the ‘‘Korean War Armistice Agree9 ment’’); 

10 (5) accepting and beginning to abide by inter11 nationally recognized standards for the distribution 

12 and monitoring of humanitarian aid; and 

13 (6) taking verified steps to improve living condi14 tions in its political prison camps. 

15 (b) RENEWAL OF SUSPENSION.—The suspension de16 scribed in subsection (a) may be renewed for additional, 

17 consecutive 180-day periods after the President certifies to 

18 the appropriate congressional committees that the Govern19 ment of North Korea has continued to comply with the con20 ditions described in subsection (a) during the previous year. 

21 SEC. 402. TERMINATION OF SANCTIONS AND OTHER MEAS22 URES. 

23 Any sanction or other measure required under title I, 

24 II, or III (or any amendment made by such titles) shall 

25 terminate on the date on which the President determines 
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1 and certifies to the appropriate congressional committees 

2 that the Government of North Korea has— 

3 (1) met the requirements set forth in section 401; 

4 and 

5 (2) made significant progress toward— 

6 (A) completely, verifiably, and irreversibly 

7 dismantling all of its nuclear, chemical, biologi8 cal, and radiological weapons programs, includ9 ing all programs for the development of systems 

10 designed in whole or in part for the delivery of 

11 such weapons; 

12 (B) releasing all political prisoners, includ13 ing the citizens of North Korea detained in 

14 North Korea’s political prison camps; 

15 (C) ceasing its censorship of peaceful polit16 ical activity; 

17 (D) establishing an open, transparent, and 

18 representative society; and 

19 (E) fully accounting for and repatriating 

20 United States citizens (including deceased 

21 United States citizens)— 

22 (i) abducted or unlawfully held captive 

23 by the Government of North Korea; or 

24 (ii) detained in violation of the Agree25 ment Concerning a Military Armistice in 
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1 Korea, signed at Panmunjom July 27, 1953 

2 (commonly referred to as the ‘‘Korean War 

3 Armistice Agreement’’). 

4 SEC. 403. AUTHORIZATION OF APPROPRIATIONS. 

5 (a) IN GENERAL.—There are authorized to be appro6 priated for each of fiscal years 2017 through 2021— 

7 (1) $3,000,000 to carry out section 103 of the 

8 North Korea Human Rights Act of 2004 (22 U.S.C. 

9 7813); 

10 (2) $3,000,000 to carry out subsections (a), (b), 

11 and (c) of section 104 of that Act (22 U.S.C. 7814); 

12 (3) $2,000,000 to carry out subsection (d) of such 

13 section 104, as add by section 301 of this Act; and 

14 (4) $2,000,000 to carry out section 203 of the 

15 North Korea Human Rights Act of 2004 (22 U.S.C. 

16 7833). 

17 (b) AVAILABILITY OF FUNDS.—Amounts appropriated 

18 for each fiscal year pursuant to subsection (a) shall remain 

19 available until expended. 

20 SEC. 404. RULEMAKING. 

21 (a) IN GENERAL.—The President is authorized to pro22 mulgate such rules and regulations as may be necessary to 

23 carry out the provisions of this Act (which may include reg24 ulatory exceptions), including under section 205 of the 
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1 International Emergency Economic Powers Act (50 U.S.C. 

2 1704). 

3 (b) RULE OF CONSTRUCTION.—Nothing in this Act, or 

4 in any amendment made by this Act, may be construed to 

5 limit the authority of the President to designate or sanction 

6 persons pursuant to an applicable Executive order or other7 wise pursuant to the International Emergency Economic 

8 Powers Act (50 U.S.C. 1701 et seq.). 

9 SEC. 405. AUTHORITY TO CONSOLIDATE REPORTS. 

10 Any and all reports required to be submitted to appro11 priate congressional committees under this Act or any 

12 amendment made by this Act that are subject to a deadline 

13 for submission consisting of the same unit of time may be 

14 consolidated into a single report that is submitted to appro15 priate congressional committees pursuant to such deadline. 

16 The consolidated reports must contain all information re17 quired under this Act or any amendment made by this Act, 

18 in addition to all other elements mandated by previous law. 
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1 SEC. 406. EFFECTIVE DATE. 

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

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

4 date of the enactment of this Act. 

Attest: 

Secretary. 
114TH CONGRESS 

2D SESSION H.R. 757 

AMENDMENT