I 

117TH CONGRESS 

2D SESSION H. R. 6524 

To require the Secretary of the Treasury to carry out a study on Chinese 

support for Afghan illicit finance, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 28, 2022 

Mr. LYNCH introduced the following bill; which was referred to the Committee 

on Financial Services 

A BILL 

To require the Secretary of the Treasury to carry out a 

study on Chinese support for Afghan illicit finance, 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. STUDY ON CHINESE SUPPORT FOR AFGHAN IL4 LICIT FINANCE. 

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

6 (1) Though China and Afghanistan share only 

7 a small land border, when it comes to illicit financial 

8 activity between the two countries, China has a dem9 onstrated history of permissiveness regarding trafVerDate Sep 11 2014 16:55 Jan 31, 2022 Jkt 029200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H6524.IH H6524

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•HR 6524 IH

1 ficking and money laundering that could support 

2 both the Taliban and its associates. 

3 (2) A 2014 Financial Action Task Force report 

4 titled, ‘‘Financial Flows Linked to the Production 

5 and Trafficking of Afghan Opiates’’ found evidence 

6 of import/export companies registered in China that 

7 were transferring funds to Afghanistan, likely as 

8 part of trade-based money laundering schemes cen9 tered around illicit opium production and trafficking, 

10 which, per the United Nations Office on Drugs and 

11 Crime (UNODC), is one of the Taliban’s main 

12 sources of income. 

13 (3) Since the U.S. withdrawal from Afghanistan 

14 in August 2021, China has announced its willingness 

15 to lend financial support and legitimacy to the 

16 Taliban-led government in Afghanistan, including 

17 Afghan Interior Minister, Sirajuddin Haqqani, a 

18 member of the U.S.-sanctions designated Foreign 

19 Terrorist Organization, the Haqqani Network. 

20 (4) China’s permissive policies regarding Af21 ghan illicit finance run counter to the strategic in22 terests of the United States with respect to coun23 tering trafficking and preventing terrorist groups 

24 from accessing the international financial system. 


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1 (5) China’s role as a critical source of financial 

2 wherewithal for the Taliban and its associates to 

3 process and implement drug and other illicit-activity 

4 transactions warrants further study as these actions 

5 pose a threat both to the safety and security of the 

6 people of Afghanistan and the international commu7 nity. 

8 (6) Congress needs to better understand how 

9 China could leverage its relationships and resources 

10 within Afghanistan and how these activities could di11 rectly or indirectly provide financial support to ter12 rorist organizations, including the Taliban and its 

13 associates. 

14 (b) STUDY.— 

15 (1) REQUIREMENT.—Not later than one year 

16 after the date of the enactment of this Act, the Sec17 retary of the Treasury shall provide to the Com18 mittee on Financial Services of the House of Rep19 resentatives and the Committee on Banking, Hous20 ing, and Urban Affairs of the Senate a report on the 

21 financial activities of China and Chinese entities in 

22 connection with the finances of Afghanistan and the 

23 Taliban. 

24 (2) MATTERS INCLUDED.—The report under 

25 paragraph (1) shall include the following: 


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1 (A) An assessment of the activities under2 taken by the People’s Republic of China and 

3 Chinese-registered companies to support illicit 

4 financial networks in Afghanistan, particularly 

5 such networks involved in narcotics trafficking, 

6 illicit financial transactions, official corruption, 

7 natural resources exploitation, and terrorist net8 works. 

9 (B) An assessment of financial, commer10 cial, and economic activities undertaken by 

11 China and Chinese companies in Afghanistan to 

12 support Chinese policies counter to American 

13 strategic interests. 

14 (C) Any recommendations to Congress re15 garding legislative or regulatory improvements 

16 necessary to support the identification and dis17 ruption of Chinese-supported illicit financial 

18 networks in Afghanistan. 

19 (3) FORM.—The report under paragraph (1) 

20 may include a classified annex. 

Æ 


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