II 

110TH CONGRESS 

1ST SESSION S. 119 

To prohibit profiteering and fraud relating to military action, relief, and 

reconstruction efforts, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 4, 2007 

Mr. LEAHY (for himself, Mr. BINGAMAN, Mr. HARKIN, Mr. KERRY, Mr. LAUTENBERG, Mr. ROCKEFELLER, Mr. DORGAN, Mr. SCHUMER, Mr. WYDEN, 

Ms. CANTWELL, Mrs. CLINTON, Mr. MENENDEZ, and Mr. NELSON of 

Florida) introduced the following bill; which was read twice and referred 

to the Committee on the Judiciary 

A BILL 

To prohibit profiteering and fraud relating to military action, 

relief, and reconstruction efforts, 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 ‘‘War Profiteering Pre5 vention Act of 2007’’. 

6 SEC. 2. PROHIBITION OF PROFITEERING. 

7 (a) PROHIBITION.— 


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•S 119 IS

1 (1) IN GENERAL.—Chapter 47 of title 18, 

2 United States Code, is amended by adding at the 

3 end the following: 

4 ‘‘§ 1039. War profiteering and fraud relating to mili5 tary action, relief, and reconstruction ef6 forts 

7 ‘‘(a) PROHIBITION.— 

8 ‘‘(1) IN GENERAL.—Whoever, in any matter in9 volving a contract or the provision of goods or serv10 ices, directly or indirectly, in connection with a war, 

11 military action, or relief or reconstruction activities 

12 within the jurisdiction of the United States Govern13 ment, knowingly and willfully— 

14 ‘‘(A)(i) executes or attempts to execute a 

15 scheme or artifice to defraud the United States; 

16 or 

17 ‘‘(ii) materially overvalues any good or 

18 service with the specific intent to defraud and 

19 excessively profit from the war, military action, 

20 or relief or reconstruction activities; 

21 shall be fined under paragraph (2), imprisoned 

22 not more than 20 years, or both; or 

23 ‘‘(B)(i) falsifies, conceals, or covers up by 

24 any trick, scheme, or device a material fact; 


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•S 119 IS

1 ‘‘(ii) makes any materially false, fictitious, 

2 or fraudulent statements or representations; or 

3 ‘‘(iii) makes or uses any materially false 

4 writing or document knowing the same to con5 tain any materially false, fictitious or fraudu6 lent statement or entry; 

7 shall be fined under paragraph (2) imprisoned 

8 not more than 10 years, or both. 

9 ‘‘(2) FINE.—A person convicted of an offense 

10 under paragraph (1) may be fined the greater of— 

11 ‘‘(A) $1,000,000; or 

12 ‘‘(B) if such person derives profits or other 

13 proceeds from the offense, not more than twice 

14 the gross profits or other proceeds. 

15 ‘‘(b) EXTRATERRITORIAL JURISDICTION.—There is 

16 extraterritorial Federal jurisdiction over an offense under 

17 this section. 

18 ‘‘(c) VENUE.—A prosecution for an offense under 

19 this section may be brought— 

20 ‘‘(1) as authorized by chapter 211 of this title; 

21 ‘‘(2) in any district where any act in further22 ance of the offense took place; or 

23 ‘‘(3) in any district where any party to the con24 tract or provider of goods or services is located.’’. 


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•S 119 IS

1 (2) TABLE OF SECTIONS.—The table of sections 

2 for chapter 47 of title 18, United States Code, is 

3 amended by adding at the end the following: 

‘‘1039. War profiteering and fraud relating to military action, relief, and reconstruction efforts.’’. 

4 (b) CIVIL FORFEITURE.—Section 981(a)(1)(C) of 

5 title 18, United States Code, is amended by inserting 

6 ‘‘1039,’’ after ‘‘1032,’’. 

7 (c) CRIMINAL FORFEITURE.—Section 982(a)(2)(B) 

8 of title 18, United States Code, is amended by striking 

9 ‘‘or 1030’’ and inserting ‘‘1030, or 1039’’. 

10 (d) RICO.—Section 1956(c)(7)(D) of title 18, United 

11 States Code, is amended by inserting the following: ‘‘, sec12 tion 1039 (relating to war profiteering and fraud relating 

13 to military action, relief, and reconstruction efforts)’’ after 

14 ‘‘liquidating agent of financial institution),’’. 

Æ 


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