I 

114TH CONGRESS 

2D SESSION H. R. 4886 

To require purchasers of pre-paid mobile devices or SIM cards to provide 

identification, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 23, 2016 

Ms. SPEIER introduced the following bill; which was referred to the Committee 

on Energy and Commerce, and in addition to the Committee on the Judiciary, for a period to be subsequently determined by the Speaker, in each 

case for consideration of such provisions as fall within the jurisdiction of 

the committee concerned 

A BILL 

To require purchasers of pre-paid mobile devices or SIM 

cards to provide identification, 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 ‘‘Closing the Pre-Paid 

5 Mobile Device Security Gap Act of 2016’’. 

6 SEC. 2. IDENTIFICATION REQUIREMENT. 

7 Prior to the completion of any sale of a pre-paid mo8 bile device or SIM card to a purchaser, an authorized reVerDate Sep 11 2014 02:03 Mar 25, 2016 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H4886.IH H4886

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1 seller shall require the purchaser to provide the following 

2 information: 

3 (1) The full name of the purchaser. 

4 (2) The complete home address of the pur5 chaser. 

6 (3) The date of birth of the purchaser. 

7 SEC. 3. IDENTIFICATION VERIFICATION. 

8 (a) IN-PERSON SALES.—An authorized reseller mak9 ing a sale to a purchaser in person shall verify the pur10 chaser information provided under section 2 by requiring 

11 the purchaser to display either of the following: 

12 (1) A photographic identification card issued by 

13 the Federal Government or a State government, or 

14 a document considered acceptable for purposes of 

15 subparagraph (B), (C), or (D) of section 274A(b)(1) 

16 of the Immigration and Nationality Act (8 U.S.C. 

17 1324a(b)(1)). 

18 (2) Any 2 of the following: 

19 (A) A Form W–2 Wage and Tax State20 ment received from the Internal Revenue Serv21 ice, provided that such form has been received 

22 from the Internal Revenue Service within the 

23 prior 18 months. 

24 (B) A Form 1099 Social Security Benefit 

25 Statement received from the Social Security 


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1 Administration, provided that such form has 

2 been received from the Social Security Adminis3 tration within the prior 18 months. 

4 (C) A Form 1099 received from any other 

5 agency of the Federal Government other than 

6 the Social Security Administration, including 

7 the Internal Revenue Service, provided that 

8 such form has been received within the prior 18 

9 months. 

10 (D) Any document containing personal 

11 identifying information that the Attorney Gen12 eral finds, by regulation, to be acceptable for 

13 purposes of this section. 

14 (b) OTHER SALES.—An authorized reseller making 

15 a sale to a purchaser not in person shall verify the pur16 chaser information provided under section 2 by requiring 

17 the purchaser to submit the following information: 

18 (1) Valid credit or debit card account informa19 tion. 

20 (2) Social Security number. 

21 (3) Driver’s license number. 

22 (4) Any other personal identifying information 

23 that the Attorney General finds, by regulation, to be 

24 necessary for purposes of this section. 


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1 SEC. 4. RECORD MAKING REQUIREMENT. 

2 Upon completion of a sale of a pre-paid mobile device 

3 or SIM card, an authorized reseller shall make a record 

4 of the sale that includes the following information: 

5 (1) The information obtained from the pur6 chaser under section 2, and, if applicable, the infor7 mation submitted by the purchaser under subsection 

8 (b) of section 3. 

9 (2) The date of sale. 

10 (3) The manufacturer of the pre-paid mobile 

11 device or SIM card. 

12 (4) The wireless carrier that will provide wire13 less communication service to the pre-paid mobile 

14 device or SIM card. 

15 (5) Any assigned telephone number or other 

16 subscriber or account identifier known at the time of 

17 purchase. 

18 (6) Any of the following, if applicable to the 

19 pre-paid mobile device or SIM card: 

20 (A) International mobile equipment identi21 fier number. 

22 (B) Electronic serial number. 

23 (C) Mobile equipment identifier. 

24 (D) International mobile subscriber identi25 fier. 

26 (E) Machine address code. 


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1 SEC. 5. RECORD TRANSMISSION REQUIREMENT. 

2 (a) IN GENERAL.—Not later than 30 days after the 

3 sale of a pre-paid mobile device or SIM card, an author4 ized reseller shall transmit the record of the sale made 

5 in accordance with section 4 to the wireless carrier that 

6 will provide wireless communication service to the pre-paid 

7 mobile device or SIM card. 

8 (b) PERMISSIBLE MEANS OF TRANSMISSION.—In 

9 complying with the requirements of subsection (a), an au10 thorized reseller may transmit the sale record to the wire11 less carrier by means of secure electronic transmission. 

12 SEC. 6. RECORDKEEPING REQUIREMENT. 

13 After an authorized reseller has transmitted a sale 

14 record to a wireless carrier in accordance with section 5, 

15 the wireless carrier shall— 

16 (1) provide a transmission confirmation receipt 

17 to the authorized reseller, after the receipt of which 

18 the authorized reseller shall dispose promptly of any 

19 retained copy of the record; and 

20 (2) retain the transmitted sale record in accord21 ance with the privacy protections of section 222 of 

22 the Communications Act of 1934 (47 U.S.C. 222) 

23 for a period of 18 months or until the wireless car24 rier stops or otherwise discontinues providing service 

25 to the pre-paid mobile device or SIM card to which 

26 the sale record relates. 


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1 SEC. 7. PENALTIES. 

2 (a) FALSE OR MISLEADING STATEMENTS.—A pur3 chaser who knowingly provides false or misleading infor4 mation when providing the identifying information and 

5 documents required under sections 2 and 3 shall be fined 

6 under title 18, United States Code, imprisoned not more 

7 than 5 years or, if the offense involves international or 

8 domestic terrorism (as defined in section 2331 of such 

9 title), imprisoned not more than 8 years, or both. If the 

10 matter relates to an offense under chapter 109A, 109B, 

11 110, or 117, or section 1591 of such title, then the term 

12 of imprisonment imposed under this section shall be not 

13 more than 8 years. 

14 (b) FAILURE TO COMPLY.— 

15 (1) IN GENERAL.—The Attorney General shall 

16 assess, against an authorized reseller or wireless car17 rier who commits an offense under this Act, a civil 

18 penalty of $50 for each such offense. 

19 (2) SEPARATE OFFENSE.— 

20 (A) BY AUTHORIZED RESELLER.—The 

21 failure of an authorized reseller, with respect to 

22 each separate sale of a pre-paid mobile device 

23 or SIM card, to request purchaser identification 

24 under section 2, to verify identification under 

25 section 3, to make a record under section 4, 


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1 and to transmit a record under section 5, shall 

2 constitute a separate offense. 

3 (B) BY WIRELESS CARRIER.—The failure 

4 of a wireless carrier, with respect to each sepa5 rate sale of a pre-paid mobile device or SIM 

6 card for which the carrier receives the sale 

7 record transmitted under section 5, to provide 

8 a transmission confirmation receipt under sec9 tion 6(1), and to retain the sale record under 

10 section 6(2), shall constitute a separate offense. 

11 (3) RULE OF CONSTRUCTION.—Nothing in this 

12 section may be construed to— 

13 (A) hold a wireless carrier liable for an of14 fense under this Act committed by an author15 ized reseller; and 

16 (B) hold an authorized reseller liable for 

17 an offense under this Act committed by a wire18 less carrier. 

19 SEC. 8. RELATED OFFENSES. 

20 (a) SALE BY UNAUTHORIZED RESELLERS.— 

21 (1) IN GENERAL.—It shall be unlawful for any 

22 person who is not an authorized reseller to sell a 

23 pre-paid mobile device or SIM card. 

24 (2) PENALTY.—Whoever knowingly violates 

25 paragraph (1) shall be imprisoned for not more than 


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1 2 years or fined under title 18, United States Code, 

2 or both. 

3 (3) NOTICE.—The Attorney General shall make 

4 rules requiring a manufacturer or authorized reseller 

5 to notify a purchaser of a mobile device or SIM card 

6 of the offense and penalty established by this sec7 tion. 

8 (b) COMMISSION OF OTHER CRIMES.—If a person 

9 knowingly uses a pre-paid mobile device or SIM card ob10 tained by providing false or misleading information in vio11 lation of section 2 or 3 to commit a Federal criminal of12 fense, the minimum term of imprisonment for such offense 

13 that is required under Federal statute (if any such min14 imum term is so required) shall be increased by 1 year. 

15 SEC. 9. PRESERVATION OF STATE LAW. 

16 Nothing in this Act is intended to preempt additional 

17 State requirements with respect to the distribution and 

18 sale of mobile devices or SIM cards, or to otherwise pre19 vent or prohibit any State from enacting any such require20 ments. 

21 SEC. 10. DEFINITIONS. 

22 In this Act: 

23 (1) AUTHORIZED RESELLER.—The term ‘‘au24 thorized reseller’’ means any person authorized by— 


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1 (A) a manufacturer to sell the manufactur2 er’s mobile devices or SIM cards; or 

3 (B) a wireless carrier to sell pre-paid mo4 bile devices or SIM cards to which the wireless 

5 carrier will provide wireless communication 

6 service. 

7 (2) PRE-PAID MOBILE DEVICE.—The term 

8 ‘‘pre-paid mobile device’’ means any cellular phone 

9 or similar wireless communication device for which 

10 the mobile device user purchases a set allotment of 

11 wireless communication service. 

12 (3) SIM CARD.—The term ‘‘SIM card’’ means 

13 a subscriber identity module or functionally equiva14 lent data storage device. 

15 (4) WIRELESS CARRIER.—The term ‘‘wireless 

16 carrier’’ means a provider of wireless communication 

17 service. 

18 (5) WIRELESS COMMUNICATION SERVICE.—The 

19 term ‘‘wireless communication service’’ means com20 mercial mobile service (as defined in section 332 of 

21 the Communications Act of 1934 (47 U.S.C. 332)) 

22 or commercial mobile data service (as defined in sec23 tion 6001 of the Middle Class Tax Relief and Job 

24 Creation Act of 2012 (47 U.S.C. 1401)). 

Æ 


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