II

103D CONGRESS

2D SESSION S. 1948

To amend the National Security Act of 1947 to improve the counterintelligence and security posture of the United States intelligence community

and to enhance the investigative authority of the Federal Bureau of

Investigation in counterintelligence matters, and for other purposes.

IN THE SENATE OF THE UNITED STATES

MARCH 17 (legislative day, FEBRUARY 22), 1994

Mr. DECONCINI (for himself, Mr. WARNER, Mr. GRAHAM, Mr. MURKOWSKI,

Mr. D’AMATO, Mr. KERREY, Mr. GORTON, Mr. BRYAN, Mr. CHAFEE, Mr.

JOHNSTON, Mr. BOREN, and Mr. BAUCUS) introduced the following bill;

which was read twice and referred to the Select Committee on Intelligence

A BILL

To amend the National Security Act of 1947 to improve

the counterintelligence and security posture of the United

States intelligence community and to enhance the investigative authority of the Federal Bureau of Investigation

in counterintelligence matters, and for other purposes.

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Counterintelligence

5 and Security Enhancements Act of 1994’’.
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1 SEC. 2. COUNTERINTELLIGENCE FOR EMPLOYEES OF

2 AGENCIES IN THE INTELLIGENCE COMMU3 NITY.

4 (a) IN GENERAL.—The National Security Act of

5 1947 (50 U.S.C. 401 et seq.) is amended by adding at

6 the end the following new title:

7 ‘‘TITLE VIII—COUNTERINTELLIGENCE FOR EM8 PLOYEES OF AGENCIES IN THE INTEL9 LIGENCE COMMUNITY

10 ‘‘DEFINITIONS

11 ‘‘SEC. 801. As used in this title:

12 ‘‘(1) The term ‘head of an agency within the in13 telligence community’ includes the following:

14 ‘‘(A) The Director of Central Intelligence

15 in the case of the Central Intelligence Agency

16 and the Office of the Director of Central Intel17 ligence.

18 ‘‘(B) The Director of the National Security

19 Agency in the case of such agency.

20 ‘‘(C) The Director of the Defense Intel21 ligence Agency in the case of such agency.

22 ‘‘(D) The head of the central imagery au23 thority of the Department of Defense in the

24 case of such authority.

25 ‘‘(E) The Director of the National Recon26 naissance Office in the case of such office.
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1 ‘‘(F) The Secretaries of the military de2 partments in the case of offices within such de3 partments for the collection of specialized na4 tional intelligence through reconnaissance pro5 gram and in the case of intelligence elements of

6 the Army, Navy, Air Force, and Marine Corps.

7 ‘‘(G) The Director of the Federal Bureau

8 of Investigation in the case of the intelligence

9 elements of such bureau.

10 ‘‘(H) The Secretary of State, the Secretary

11 of Treasury, and the Secretary of Energy in the

12 case of the intelligence elements within the de13 partments of each such Secretary, respectively.

14 ‘‘(2) The term ‘critical intelligence position’

15 means any position within the intelligence commu16 nity, the holder of which requires access to critical

17 intelligence information.

18 ‘‘(3) The term ‘critical intelligence information’

19 means—

20 ‘‘(A) classified information which reveals

21 the identities of covert agents of the intelligence

22 community and the disclosure of which to unau23 thorized persons would reasonably jeopardize

24 the lives or safety of such agents;
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1 ‘‘(B) classified information concerning a

2 technical collection system of the intelligence

3 community, the disclosure of which to unau4 thorized persons would substantially negate or

5 impair the effectiveness of the system; or

6 ‘‘(C) classified information relating to a

7 cryptographic system for the protection of clas8 sified information of the United States, the dis9 closure of which to unauthorized persons would

10 substantially negate or impair the effectiveness

11 of the system.

12 ‘‘(4) The term ‘covert agent’ has the meaning

13 given such term in section 606(4).

14 ‘‘(5) The term ‘technical collection system’

15 means a system for the collection, transmission, or

16 exploitation of electronic signals, emanations, or im17 ages by means that are not commercially available.

18 ‘‘(6) The term ‘information relating to a cryp19 tographic system’ means information relating to (i)

20 the nature, preparation, content, or use of any code,

21 cipher, or other method of protecting communica22 tions of classified information of the United States

23 from interception by unauthorized persons, or (ii)

24 the design, construction, use, maintenance, or repair

25 of any equipment used to protect such communica-
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1 tions from such interception. Such term does not in2 clude information on the use of such equipment for

3 personal or office use.

4 ‘‘(7) The term ‘authorized investigative agency’

5 means an agency, office, or element of the Federal

6 Government authorized by law or regulation to con7 duct investigations of employees of the intelligence

8 community for counterintelligence or security pur9 poses.

10 ‘‘(8) The term ‘employee’ means any person

11 who—

12 ‘‘(A) receives a salary or compensation of

13 any kind from an agency of the intelligence

14 community;

15 ‘‘(B) is a contractor or unpaid consultant

16 of such an agency; or

17 ‘‘(C) otherwise acts for or on behalf of

18 such an agency.

19 ‘‘REQUIREMENTS FOR EMPLOYEES OF AGENCIES IN THE

20 INTELLIGENCE COMMUNITY

21 ‘‘SEC. 802. A person may not become an employee

22 of an agency within the intelligence community unless, be23 fore becoming such an employee, the person—

24 ‘‘(1) authorizes, in writing, the Secretary of the

25 Treasury to disclose the tax returns of the person,

26 or information from such tax returns, to a rep-
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1 resentative of an authorized investigative agency

2 specified in the document evidencing such authority

3 during the period in which the person is employed

4 by the agency;

5 ‘‘(2) agrees, in writing, to permit a representa6 tive of such an authorized investigative agency to in7 spect or obtain for purposes authorized under this

8 title copies of all records relating to bank accounts,

9 investment accounts, credit accounts, and assets

10 having a value of more than $10,000 in which the

11 person, or any member of the immediate family of

12 the person, has a beneficial interest during such

13 period; and

14 ‘‘(3) agrees, in writing, to permit a representa15 tive of such an authorized investigative agency to in16 spect or obtain copies of all records maintained by

17 a governmental entity or a private entity relating to

18 the travel of the person to a foreign country.

19 ‘‘DESIGNATION OF CRITICAL INTELLIGENCE POSITIONS

20 ‘‘SEC. 803. Consistent with this title and in accord21 ance with section 808, the head of each agency within the

22 intelligence community shall by regulation designate each

23 position within the agency which qualifies as a critical in24 telligence position.
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1 ‘‘REQUIREMENTS FOR EMPLOYEES IN CRITICAL

2 INTELLIGENCE POSITIONS

3 ‘‘SEC. 804. (a) An employee of an agency within the

4 intelligence community may not hold a critical intelligence

5 position unless, before holding such position, such em6 ployee—

7 ‘‘(1) provides the authority and agreements re8 ferred to in paragraphs (1), (2), and (3) of section

9 802; and

10 ‘‘(2) in accordance with the regulations pre11 scribed under section 808—

12 ‘‘(A) provides the agency employing the

13 employee with an appropriate statement disclos14 ing the nature and location of all bank ac15 counts, investment accounts, credit accounts,

16 and assets valued at more than $10,000 in

17 which the employee, or any immediate member

18 of the family of the employee, has a beneficial

19 interest;

20 ‘‘(B) agrees, in writing, to advise promptly

21 the agency of any changes which occur with re22 spect to the nature or location of the accounts

23 or assets disclosed pursuant to subparagraph

24 (A); and
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1 ‘‘(C) agrees, in writing, to advise the agen2 cy employing the employee, in advance, of any

3 travel of the employee to a foreign country if

4 the travel is not authorized as part of the em5 ployee’s official duties in such position.

6 ‘‘(b) An employee providing an authorization and

7 agreements under subsection (a) shall agree that the au8 thorization and agreement continue in effect—

9 ‘‘(1) during the period in which the employee

10 holds the critical intelligence position for which the

11 employee provides the authorization and agreements;

12 and

13 ‘‘(2) if the employee ceases holding such posi14 tion, until the earlier of—

15 ‘‘(A) the date 10 years after the date on

16 which the employee ceases holding such posi17 tion; or

18 ‘‘(B) the date on which the employee

19 ceases employment with the Federal Govern20 ment.

21 ‘‘RESPONSIBILITIES OF AUTHORIZED INVESTIGATIVE

22 AGENCIES

23 ‘‘SEC. 805. (a) An appropriate authorized investiga24 tive agency shall, in accordance with the regulations pre25 scribed under section 808—
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1 ‘‘(1) periodically review and verify the informa2 tion provided and disclosed under section 804 by

3 persons holding critical intelligence positions; and

4 ‘‘(2) if such review indicates the failure of any

5 such person to comply fully and completely with the

6 requirements of such section, conduct an appropriate

7 inquiry with respect to such failure.

8 ‘‘(b)(1) If circumstances indicate the loss or com9 promise of critical intelligence information, the head of the

10 agency concerned shall immediately advise the Federal

11 Bureau of Investigation of such loss or compromise.

12 ‘‘(2) Upon notification under paragraph (1), the Fed13 eral Bureau of Investigation, or any other appropriate au14 thorized investigative agency with the concurrence with

15 the Federal Bureau of Investigation, may conduct appro16 priate inquiries with respect to such loss or compromise.

17 ‘‘(c) Any inquiry under this section may include re18 quests for information from a governmental entity or from

19 private entities. Such requests shall be made in accordance

20 with section 806.

21 ‘‘REQUESTS BY AUTHORIZED INVESTIGATIVE AGENCIES

22 ‘‘SEC. 806. (a)(1) Any authorized investigative agen23 cy may request from any governmental entity, or from any

24 private entity, such records or other information as are

25 necessary in order to conduct any authorized counterintel-
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1 ligence inquiry or security inquiry, including inquiries

2 under section 805.

3 ‘‘(2) Each such request—

4 ‘‘(A) shall be accompanied by a written certifi5 cation signed by the head of the intelligence agency

6 concerned, or the designee of the head of the agency,

7 and shall certify that—

8 ‘‘(i) the person concerned is an employee of

9 the intelligence agency;

10 ‘‘(ii) the request is being made pursuant to

11 an authorized inquiry or investigation; and

12 ‘‘(iii) the records or information to be re13 viewed are records or information which the

14 employee has previously agreed to make avail15 able to the authorized investigative agency for

16 review;

17 ‘‘(B) shall contain a copy of the agreement re18 ferred to in subparagraph (A)(iii);

19 ‘‘(C) shall identify the records or information to

20 be reviewed; and

21 ‘‘(D) shall inform the recipient of the request of

22 the prohibition described in subsection (b).

23 ‘‘(b) No governmental or private entity, or officer,

24 employee, or agent of such entity, may disclose to any per25 son, other than those officers, employees, or agents of such
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1 entity necessary to satisfy a request made under this sec2 tion, that such entity has received or satisfied a request

3 made by an authorized investigative agency under this

4 section.

5 ‘‘(c)(1) Notwithstanding any other provision of law,

6 an entity receiving a request for records or information

7 under subsection (a) shall, if the request satisfies the re8 quirements of this section, make available such records or

9 information for inspection or copying, as may be appro10 priate, by the agency requesting such records or informa11 tion.

12 ‘‘(2) Any entity (including any officer, employee or

13 agent thereof) that discloses records or information for in14 spection or copying pursuant to this section in good faith

15 reliance upon the certifications made by an agency of the

16 intelligence community pursuant to this section shall not

17 be liable for any such disclosure to any person under this

18 title, the constitution of any State, or any law or regula19 tion of any State or any political subdivision of any State.

20 ‘‘(d) Subject to the availability of appropriations

21 therefor, any agency requesting records or information

22 under this section may reimburse a private entity for any

23 cost reasonably incurred by such entity in responding to

24 such request, including the cost of identifying, reproduc25 ing, or transporting records or other data.
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1 ‘‘(e)(1) Except as provided in paragraph (2), an

2 agency receiving records or information pursuant to a re3 quest under this section may not disseminate the records

4 or information obtained pursuant to such request outside

5 such agency.

6 ‘‘(2) An agency may disseminate records or informa7 tion referred to in paragraph (1) only to the agency em8 ploying the employee who is the subject of the records or

9 information or to the Department of Justice for law en10 forcement or counterintelligence purposes.

11 ‘‘(f) Any authorized investigative agency that dis12 closes records or information received pursuant to a re13 quest under this section in violation of subsection (e)(1)

14 shall be liable to the employee to whom the records relate

15 in an amount equal to the sum of—

16 ‘‘(1) $100, without regard to the volume of

17 records involved;

18 ‘‘(2) any actual damages sustained by the em19 ployee as a result of the disclosure;

20 ‘‘(3) if the violation is found to have been will21 ful or intentional, such punitive damages as the

22 court may allow; and

23 ‘‘(4) in the case of any successful action to en24 force liability, the costs of the action, together with

25 reasonable attorney fees, as determined by the court.
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1 ‘‘RESPONSIBILITIES OF THE FEDERAL BUREAU OF

2 INVESTIGATION

3 ‘‘SEC. 807. (a) The Director of the Federal Bureau

4 of Investigation shall have overall responsibility for the

5 conduct of counterintelligence and law enforcement inves6 tigations involving persons in critical intelligence positions.

7 The Director shall coordinate all investigative activities

8 (other than routine inquiries for security purposes) under9 taken with respect to such persons by authorized inves10 tigative agencies.

11 ‘‘(b) The head of each agency within the intelligence

12 community shall ensure that the Director of the Federal

13 Bureau of Investigation is provided appropriate access to

14 the employees and the records of the agency as may be

15 necessary to carry out authorized counterintelligence or

16 law enforcement investigations.

17 ‘‘IMPLEMENTING REGULATIONS

18 ‘‘SEC. 808. Not later than 6 months after the date

19 of the enactment of this Act, the Director of Central Intel20 ligence shall issue regulations applicable to all agencies of

21 the intelligence community to implement the provisions of

22 this Act. Such regulations shall take effect not later than

23 6 months after the date of their issuance by the Director.

24 ‘‘OVERSIGHT

25 ‘‘SEC. 809. The Director of Central Intelligence shall

26 submit to the Select Committee on Intelligence of the Sen-
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1 ate and the Permanent Select Committee on Intelligence

2 of the House of Representatives a report on the activities

3 carried out under this title and the effectiveness of this

4 title in facilitating counterintelligence activities. The Di5 rector shall submit the report on an annual basis.’’.

6 (b) TREATMENT OF INCUMBENTS OF COVERED POSI7 TIONS.—(1) Each employee of an agency within the intel8 ligence community shall carry out the requirements of sec9 tion 802 of the National Security Act of 1947, as added

10 by subsection (a), not later than 60 days after the issuance

11 of the regulations required under section 808 of such Act,

12 as so added.

13 (2) The head of each agency within the intelligence

14 community shall, upon designating a position within the

15 agency as a critical intelligence position under section 803

16 of such Act, as so added, promptly inform the incumbent,

17 if any, of such position, and any persons being considered

18 for such position, of such designation.

19 (3) The head of each such agency shall require that

20 each person who holds a position in the agency so des21 ignated shall carry out the requirements of section 804

22 of such Act, as so added, not later than 60 days after

23 the date of such designation.

24 (4) Notwithstanding any other provision of law, the

25 head of each such agency shall—
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1 (A) terminate the employment of any employee

2 of the agency, or any incumbent in a critical intel3 ligence position in the agency, who fails to comply

4 with the requirements set forth in paragraph (1) or

5 (3), as the case may be; and

6 (B) to the extent feasible—

7 (i) reassign such incumbent to a position

8 of equal grade and status within the agency

9 that is not a critical intelligence position; or

10 (ii) facilitate the reemployment of such em11 ployee in an agency that is not an agency with12 in the intelligence community.

13 (c) TREATMENT OF CONGRESSIONAL STAFF HAVING

14 ACCESS TO CRITICAL INTELLIGENCE INFORMATION.—(1)

15 Notwithstanding any other provision of law and subject

16 to paragraph (2), sections 802 and 804 of the National

17 Security Act of 1947, as added by subsection (a), shall

18 apply to employees of Congress whose positions of employ19 ment require access to critical intelligence information.

20 (2) The leaders of each House of Congress shall joint21 ly determine with respect to such House—

22 (A) the employees of such House whose posi23 tions of employment require access to critical intel24 ligence information; and
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1 (B) appropriate means of applying such sec2 tions to such employees.

3 (3) In this subsection:

4 (A) The term ‘‘critical intelligence information’’

5 has the meaning given such term in section 801(3)

6 of such Act, as so added.

7 (B) The term ‘‘leaders of each House of Con8 gress’’ means the following:

9 (i) In the case of the Senate, the Majority

10 Leader of the Senate and the Minority Leader

11 of the Senate.

12 (ii) In the case of the House of Represent13 ative, the Speaker of the House of Representa14 tives and the Minority Leader of the House of

15 Representatives.

16 SEC. 3. DISCLOSURE OF CONSUMER CREDIT REPORTS FOR

17 COUNTERINTELLIGENCE PURPOSES.

18 Section 608 of the Fair Credit Reporting Act (15

19 U.S.C. 1681f) is amended—

20 (1) by striking ‘‘Notwithstanding’’ and insert21 ing ‘‘(a) DISCLOSURE OF CERTAIN IDENTIFYING IN22 FORMATION.—Notwithstanding’’; and

23 (2) by adding at the end the following new sub24 section:
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1 ‘‘(b) DISCLOSURES TO THE FBI FOR COUNTER2 INTELLIGENCE PURPOSES.—

3 ‘‘(1) CONSUMER REPORTS.—Notwithstanding

4 the provisions of section 604, a consumer reporting

5 agency shall furnish a consumer report to the Fed6 eral Bureau of Investigation when presented with a

7 written request for a consumer report, signed by the

8 Director of the Federal Bureau of Investigation, or

9 the Director’s designee, who certifies compliance

10 with this subsection. The Director or the Director’s

11 designee may make such a certification only if the

12 Director or the Director’s designee has determined

13 in writing that—

14 ‘‘(A) such records are necessary for the

15 conduct of an authorized foreign counterintel16 ligence investigation; and

17 ‘‘(B) there are specific and articulable

18 facts giving reason to believe that the consumer

19 whose consumer report is sought is a foreign

20 power or an agent of a foreign power, as de21 fined in section 101 of the Foreign Intelligence

22 Surveillance Act of 1978 (50 U.S.C. 1801).

23 ‘‘(2) IDENTIFYING INFORMATION.—Notwith24 standing the provisions of section 604, a consumer

25 reporting agency shall furnish identifying informa-
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1 tion respecting a consumer, limited to name, ad2 dress, former addresses, places of employment, or

3 former places of employment, to the Federal Bureau

4 of Investigation when presented with a written re5 quest, signed by the Director or the Director’s des6 ignee, which certifies compliance with this sub7 section. The Director or the Director’s designee may

8 make such a certification only if the Director or the

9 Director’s designee has determined in writing that—

10 ‘‘(A) such information is necessary to the

11 conduct of an authorized counterintelligence in12 vestigation; and

13 ‘‘(B) there is information giving reason to

14 believe that the consumer has been, or is about

15 to be, in contact with a foreign power or an

16 agent of a foreign power, as so defined.

17 ‘‘(3) CONFIDENTIALITY.—No consumer report18 ing agency or officer, employee, or agent of such

19 consumer reporting agency may disclose to any per20 son, other than those officers, employees, or agents

21 of such agency necessary to fulfill the requirement

22 to disclose information to the Federal Bureau of In23 vestigation under this subsection, that the Federal

24 Bureau of Investigation has sought or obtained a

25 consumer report or identifying information respect-
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1 ing any consumer under paragraph (1) or (2), nor

2 shall such agency, officer, employee, or agent include

3 in any consumer report any information that would

4 indicate that the Federal Bureau of Investigation

5 has sought or obtained such a consumer report or

6 identifying information.

7 ‘‘(4) PAYMENT OF FEES.—The Federal Bureau

8 of Investigation shall, subject to the availability of

9 appropriations, pay to the consumer reporting agen10 cy assembling or providing credit reports or identify11 ing information in accordance with procedures estab12 lished under this title, a fee for reimbursement for

13 such costs as are reasonably necessary and which

14 have been directly incurred in searching, reproduc15 ing, or transporting books, papers, records, or other

16 data required or requested to be produced under this

17 subsection.

18 ‘‘(5) LIMIT ON DISSEMINATION.—The Federal

19 Bureau of Investigation may not disseminate infor20 mation obtained pursuant to this subsection outside

21 of the Federal Bureau of Investigation, except to the

22 Department of Justice as may be necessary for the

23 approval or conduct of a foreign counterintelligence

24 investigation.
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1 ‘‘(6) RULES OF CONSTRUCTION.—Nothing in

2 this subsection shall be construed to prohibit infor3 mation from being furnished by the Federal Bureau

4 of Investigation pursuant to a subpoena or court

5 order, or in connection with a judicial or administra6 tive proceeding to enforce the provisions of this Act.

7 Nothing in this subsection shall be construed to au8 thorize or permit the withholding of information

9 from Congress.

10 ‘‘(7) REPORTS TO CONGRESS.—On a semi11 annual basis, the Attorney General of the United

12 States shall fully inform the Permanent Select Com13 mittee on Intelligence and the Committee on Bank14 ing, Finance and Urban Affairs of the House of

15 Representatives, and the Select Committee on Intel16 ligence and the Committee on Banking, Housing,

17 and Urban Affairs of the Senate concerning all re18 quests made pursuant to paragraphs (1) and (2).

19 ‘‘(8) DAMAGES.—Any agency or department of

20 the United States obtaining or disclosing credit re21 ports, records, or information contained therein in

22 violation of this subsection is liable to the consumer

23 to whom such records relate in an amount equal to

24 the sum of—
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1 ‘‘(A) $100, without regard to the volume

2 of records involved;

3 ‘‘(B) any actual damages sustained by the

4 consumer as a result of the disclosure;

5 ‘‘(C) if the violation is found to have been

6 willful or intentional, such punitive damages as

7 a court may allow; and

8 ‘‘(D) in the case of any successful action to

9 enforce liability under this subsection, the costs

10 of the action, together with reasonable attorney

11 fees, as determined by the court.

12 ‘‘(9) DISCIPLINARY ACTIONS FOR VIOLA13 TIONS.—If a court determines that any agency or

14 department of the United States has violated any

15 provision of this subsection and the court finds that

16 the circumstances surrounding the violation raise

17 questions of whether or not an officer or employee

18 of the agency or department acted willfully or inten19 tionally with respect to the violation, the agency or

20 department shall promptly initiate a proceeding to

21 determine whether or not disciplinary action is war22 ranted against the officer or employee who was re23 sponsible for the violation.

24 ‘‘(10) GOOD-FAITH EXCEPTION.—Any credit re25 porting agency or agent or employee thereof making
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1 disclosure of credit reports or identifying informa2 tion pursuant to this subsection in good-faith reli3 ance upon a certificate of the Federal Bureau of In4 vestigation pursuant to provisions of this subsection

5 shall not be liable to any person for such disclosure

6 under this title, the constitution of any State, or any

7 law or regulation of any State or any political sub8 division of any State.

9 ‘‘(11) LIMITATION OF REMEDIES.—The rem10 edies and sanction set forth in this subsection shall

11 be the only judicial remedies and sanctions for viola12 tion of this subsection.

13 ‘‘(12) INJUNCTIVE RELIEF.—In addition to any

14 other remedy contained in this subsection, injunctive

15 relief shall be available to require compliance with

16 the procedures of this subsection. In the event of

17 any successful action under this subsection, costs to18 gether with reasonable attorney fees, as determined

19 by the court, may be recovered.’’.

20 SEC. 4. FBI ACCESS TO TAX RETURNS FOR COUNTERINTEL21 LIGENCE PURPOSES.

22 Section 6103(i) of the Internal Revenue Code of 1986

23 is amended by adding at the end the following new para24 graph:
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1 ‘‘(9) DISCLOSURE FOR COUNTERINTELLIGENCE

2 PURPOSES.—

3 ‘‘(A) IN GENERAL.—Except as provided in

4 paragraph (6), any return or return informa5 tion with respect to any specified taxable period

6 or periods shall, pursuant to and upon the

7 grant of an ex parte order by a district court

8 judge issued pursuant to section 103 of the

9 Foreign Intelligence Surveillance Act of 1978

10 (50 U.S.C. 1803), be open (but only to the ex11 tent necessary as provided in such order) to in12 spection by, or disclosure to, officers and em13 ployees of the Department of Justice who are

14 personally and directly engaged in an author15 ized counterintelligence investigation solely for

16 the use of such officers and employees in such

17 investigation.

18 ‘‘(B) APPLICATION FOR ORDER.—The At19 torney General or the Deputy Attorney General

20 may authorize an application to a judge re21 ferred to in subparagraph (A). Upon such ap22 plication, such judge may grant such an order

23 if the judge determines on the basis of the facts

24 submitted by the applicant that—
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1 ‘‘(i) there are specific and articulable

2 facts giving reason to believe that the per3 son whose returns or return information is

4 sought is a foreign power or an agent of a

5 foreign power, as defined in section 101 of

6 the Foreign Intelligence Surveillance Act of

7 1978 (50 U.S.C. 1801);

8 ‘‘(ii) there is reasonable cause to be9 lieve that the return or return information

10 is or may be relevant to an authorized

11 counterintelligence investigation;

12 ‘‘(iii) the return or return information

13 is sought exclusively for use in an author14 ized counterintelligence investigation; and

15 ‘‘(iv) the information sought to be dis16 closed cannot reasonably be obtained,

17 under the circumstances, from another

18 source.’’.

19 SEC. 5. REWARDS FOR INFORMATION CONCERNING ESPIO20 NAGE.

21 (a) REWARDS.—Section 3071 of title 18, United

22 States Code, is amended—

23 (1) by inserting ‘‘(a)’’ before ‘‘With respect to’’;

24 and
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1 (2) by adding at the end the following new sub2 section:

3 ‘‘(b) With respect to acts of espionage involving or

4 directed at classified information of the United States, the

5 Attorney General may reward any individual who fur6 nishes information—

7 ‘‘(1) leading to the arrest or conviction, in any

8 country, of any individual or individuals for commis9 sion of an act of espionage with respect to such in10 formation against the United States;

11 ‘‘(2) leading to the arrest or conviction, in any

12 country, of any individual or individuals for conspir13 ing or attempting to commit an act of espionage

14 with respect to such information against the United

15 States; or

16 ‘‘(3) leading to the prevention or frustration of

17 an act of espionage with respect to such information

18 against the United States.’’.

19 (b) DEFINITIONS.—Section 3077 of such title is

20 amended by inserting at the end thereof the following new

21 paragraphs:

22 ‘‘(8) ‘act of espionage’ means an activity that is

23 a violation of—

24 ‘‘(A) section 794 or 798 of title 18, United

25 States Code; or
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1 ‘‘(B) section 4 of the Subversive Activities

2 Control Act of 1950 (50 U.S.C. 783).

3 ‘‘(9) ‘classified information of the United

4 States’ means information originated, owned, or pos5 sessed by the United States Government concerning

6 the national defense or foreign relations of the Unit7 ed States that has been determined pursuant to law

8 or Executive order to require protection against un9 authorized disclosure in the interests of national

10 security.’’.

11 (c) CLERICAL AMENDMENTS.—The items relating to

12 chapter 204 in the table of chapters at the beginning of

13 such title, and in the table of chapters at the beginning

14 of part II of such title, are each amended by adding at

15 the end the following: ‘‘AND ESPIONAGE’’.

16 SEC. 6. JURISDICTION OF UNITED STATES COURTS TO TRY

17 CASES INVOLVING ESPIONAGE OUTSIDE THE

18 UNITED STATES.

19 (a) IN GENERAL.—Chapter 211 of title 18, United

20 States Code, is amended by inserting after section 3238

21 the following new section 3239:

22 ‘‘§ 3239. Jurisdiction of espionage outside the United

23 States and related offenses

24 ‘‘The trial for any offense involving a violation of—
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1 ‘‘(1) section 793, 794, 798, or 1030(a)(1) of

2 this title;

3 ‘‘(2) section 601 of the National Security Act of

4 1947 (50 U.S.C. 421); or

5 ‘‘(3) subsection (b) or (c) of section 4 of the

6 Subversive Activities Control Act of 1950 (50 U.S.C.

7 783 (b) or (c)),

8 begun or committed upon the high seas or elsewhere out

9 of the jurisdiction of any particular State or district, may

10 be prosecuted in the District of Columbia, or in the East11 ern District of Virginia, or in any other district authorized

12 by law.’’.

13 (b) CLERICAL AMENDMENT.—The table of sections

14 at the beginning of chapter 211 of such title is amended

15 by inserting after the item relating to section 3238 the

16 following:

‘‘3239. Jurisdiction of espionage outside the United States and related offenses.’’.

17 SEC. 7. LESSER CRIMINAL OFFENSE FOR THE UNAUTHOR18 IZED REMOVAL OF CLASSIFIED DOCUMENTS.

19 (a) IN GENERAL.—Chapter 93 of title 18, United

20 States Code, is amended by adding at the end the follow21 ing new section:
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1 ‘‘§ 1924. Unauthorized removal and retention of clas2 sified documents or material

3 ‘‘(a) IN GENERAL.—Whoever, being an officer, em4 ployee, contractor, or consultant of the United States, and,

5 by virtue of his office, employment, position, or contract,

6 becomes possessed of documents or materials containing

7 classified information of the United States, knowingly re8 moves such documents or materials without authority and

9 with the intent to retain such documents or materials at

10 an unauthorized location shall be fined not more than

11 $1,000, or imprisoned for not more than 1 year, or both.

12 ‘‘(b) DEFINITION.—In this section, the term ‘classi13 fied information of the United States’ means information

14 originated, owned, or possessed by the United States Gov15 ernment concerning the national defense or foreign rela16 tions of the United States that has been determined pur17 suant to law or Executive order to require protection

18 against unauthorized disclosure in the interests of national

19 security.’’.

20 (b) CLERICAL AMENDMENT.—The table of sections

21 at the beginning of such chapter is amended by adding

22 at the end the following:

‘‘1924. Unauthorized removal and retention of classified documents or material.’’.
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1 SEC. 8. CRIMINAL FORFEITURE FOR VIOLATION OF CER2 TAIN ESPIONAGE LAWS.

3 (a) TITLE 18.—Section 798 of title 18, United States

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

5 subsection:

6 ‘‘(d)(1) Any person convicted of a violation of this

7 section shall forfeit to the United States irrespective of

8 any provision of State law—

9 ‘‘(A) any property constituting, or derived from,

10 any proceeds the person obtained, directly or indi11 rectly, as the result of such violation; and

12 ‘‘(B) any of the person’s property used, or in13 tended to be used, in any manner or part, to com14 mit, or to facilitate the commission of, such viola15 tion.

16 ‘‘(2) The court, in imposing sentence on a defendant

17 for a conviction of a violation of this section, shall order

18 that the defendant forfeit to the United States all property

19 described in paragraph (1).

20 ‘‘(3) Except as provided in paragraph (4), the provi21 sions of subsections (b), (c), and (e) through (p) of section

22 413 of the Comprehensive Drug Abuse Prevention and

23 Control Act of 1970 (21 U.S.C. 853 (b), (c), and (e)–(p))

24 shall apply to—

25 ‘‘(A) property subject to forfeiture under this

26 subsection;
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1 ‘‘(B) any seizure or disposition of such prop2 erty; and

3 ‘‘(C) any administrative or judicial proceeding

4 in relation to such property, if not inconsistent with

5 this subsection.

6 ‘‘(4) Notwithstanding section 524(c) of title 28, there

7 shall be deposited in the Crime Victims Fund established

8 under section 1402 of the Victims of Crime Act of 1984

9 (42 U.S.C. 10601) all amounts from the forfeiture of

10 property under this subsection remaining after the pay11 ment of expenses for forfeiture and sale authorized by

12 law.’’.

13 (b) AMENDMENTS FOR CONSISTENCY IN APPLICA14 TION OF FORFEITURE UNDER TITLE 18.—(1) Section

15 793(h)(3) of such title is amended in the matter above

16 subparagraph (A) by striking out ‘‘(o)’’ each place it ap17 pears and inserting in lieu thereof ‘‘(p)’’.

18 (2) Section 794(d)(3) of such title is amended in the

19 matter above subparagraph (A) by striking out ‘‘(o)’’ each

20 place it appears and inserting in lieu thereof ‘‘(p)’’.

21 (c) SUBVERSIVE ACTIVITIES CONTROL ACT.—Sec22 tion 4 of the Subversive Activities Control Act of 1950

23 (50 U.S.C. 783) is amended by adding at the end the fol24 lowing new subsection:
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1 ‘‘(g)(1) Any person convicted of a violation of this

2 section shall forfeit to the United States irrespective of

3 any provision of State law—

4 ‘‘(A) any property constituting, or derived from,

5 any proceeds the person obtained, directly or indi6 rectly, as the result of such violation; and

7 ‘‘(B) any of the person’s property used, or in8 tended to be used, in any manner or part, to com9 mit, or to facilitate the commission of, such viola10 tion.

11 ‘‘(2) The court, in imposing sentence on a defendant

12 for a conviction of a violation of this section, shall order

13 that the defendant forfeit to the United States all property

14 described in paragraph (1).

15 ‘‘(3) Except as provided in paragraph (4), the provi16 sions of subsections (b), (c), and (e) through (p) of section

17 413 of the Comprehensive Drug Abuse Prevention and

18 Control Act of 1970 (21 U.S.C. 853 (b), (c), and (e)–(p))

19 shall apply to—

20 ‘‘(A) property subject to forfeiture under this

21 subsection;

22 ‘‘(B) any seizure or disposition of such prop23 erty; and
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1 ‘‘(C) any administrative or judicial proceeding

2 in relation to such property, if not inconsistent with

3 this subsection.

4 ‘‘(4) Notwithstanding section 524(c) of title 28,

5 United States Code, there shall be deposited in the Crime

6 Victims Fund established under section 1402 of the Vic7 tims of Crime Act of 1984 (42 U.S.C. 10601) all amounts

8 from the forfeiture of property under this subsection re9 maining after the payment of expenses for forfeiture and

10 sale authorized by law.’’.

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