engaged in the transaction causing the designation; 
and 
(4) a United States person, including a domes-
tic financial institution, to the same extent as if the 
transaction were engaged in by the United States 
person or in the United States if— 
(A) a person, including a foreign sub-
sidiary, owned or controlled by the United 
States person engages in or facilitates any of 
the activities described in paragraphs (1) 
through (7) of subsection (a); and 
(B) the United States person knew or 
should have known that the person engaged in 
or facilitated any of the activities described in 
paragraphs (1) through (7) of subsection (a). 
(f) REGULATIONS.— 
(1) IN GENERAL.—The President shall promul-
gate such regulations as may be necessary under the 
authority of the International Emergency Economic 
Powers Act (50 U.S.C. 1701 et seq.) to carry out 
this section. 
(2) ADDITIONAL REQUIREMENT.—The regula-
tions promulgated under this subsection shall re-
quire enhanced due diligence for all transactions 
with the Government of North Korea or involving 
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North Korean property to prevent the facilitation of 
activities described in any of paragraphs (1) through 
(7) of subsection (a) or any of paragraphs (1) 
through (8) of subsection (d). 
(g) PENALTIES.—Any person who engages in the 
conduct described in subsection (a), or who violates any 
regulation promulgated under subsection (f) or section 
404, shall be subject to the penalties under section 206 
of the International Emergency Economic Powers Act (50 
U.S.C. 1705) in the same manner and to the same extent 
as such penalties would apply to any person who violates 
any license, order, regulation, or prohibition issued under 
that Act (50 U.S.C. 1701 et seq.). 
SEC. 105. FORFEITURE OF PROPERTY. 
(a) USE OF FUNDS DERIVED FROM CIVIL FORFEIT-
URES.—Section 981(e) of title 18, United States Code, is 
amended— 
(1) in paragraph (6), by striking ‘‘or’’ at the 
end; 
(2) in paragraph (7), by striking the period at 
the end and inserting ‘‘; or’’; and 
(3) by inserting after paragraph (7) the fol-
lowing new paragraph: 
‘‘(8) in the case of property involved in any of 
the activities described in section 104(a) of the 
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North Korea Sanctions Enforcement Act of 2013, in 
accordance with section 403 of that Act.’’. 
(b) CUSTOMS FORFEITURES.—Notwithstanding sec-
tions 609, 613(a)(3), and 613A(c) of the Tariff Act of 
1930 (19 U.S.C. 1609(a), 1613(a)(3), and 1613b(c)), any 
funds derived from the forfeiture of property under section 
596 of the Tariff Act of 1930 (19 U.S.C. 1595a) that 
relates to any of the activities described in section 104(a) 
shall be deposited into the North Korea Enforcement and 
Humanitarian Fund established under section 403. 
(c) PAYMENT IN LIEU OF FORFEITURE.—If a finan-
cial institution or other person pays a sum of money to 
the United States— 
(1) in lieu of the commencement of criminal, 
civil, or administrative forfeiture proceedings to for-
feit property involving any of the activities described 
in section 104(a), or 
(2) in settlement of such forfeiture proceedings 
if commenced, 
such sum of money shall be treated as forfeited funds and 
disposed of in accordance with section 403. 
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TITLE II—SANCTIONS AGAINST 
NORTH KOREAN PROLIFERA-
TION, HUMAN RIGHTS VIOLA-
TIONS, AND ILLICIT ACTIVI-
TIES 
SEC. 201. SANCTIONS FOR MATERIAL SUPPORT OF NORTH 
KOREAN PROLIFERATION. 
(a) SENSE OF CONGRESS.—It is the sense of Con-
gress that the Government of North Korea should be 
treated as a primary money laundering concern in accord-
ance with section 5318A of title 31, United States Code. 
(b) REQUIREMENTS FOR FINANCIAL INSTITUTIONS 
MAINTAINING ACCOUNTS FOR FOREIGN FINANCIAL IN-
STITUTIONS.— 
(1) TERMINATION OF CORRESPONDENT OR PAY-
ABLE-THROUGH
ACCOUNTS.—A domestic financial 
institution shall terminate any correspondent ac-
count that is established, maintained, administered, 
or managed for, or on behalf of, any person, foreign 
government, or financial institution designated 
under subsection (a) or (b) of section 104. 
(2) 
PROHIBITION
ON
INDIRECT
COR-
RESPONDENT
ACCOUNTS.—If a domestic financial 
institution has or obtains knowledge that a cor-
respondent account established, maintained, admin-
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istered, or managed by that domestic financial insti-
tution for a foreign financial institution is being 
used by the foreign financial institution to provide 
financial services indirectly to any person, foreign 
government, or financial institution designated 
under subsection (a) or (b) of section 104, the do-
mestic financial institution shall ensure that the cor-
respondent account is no longer used to provide such 
services, including, when necessary, terminating the 
correspondent account. 
(3) ENHANCED DUE DILIGENCE AND REPORT-
ING REQUIREMENTS.—Except as provided in section 
207, the Secretary of Treasury shall require all do-
mestic financial institutions to apply one or more of 
the special measures described in paragraphs (1) 
through (5) of section 5318A(b) of title 31, United 
States Code, to— 
(A) any financial institution that estab-
lishes, maintains, administers, or manages any 
correspondent account for a person, financial 
institution, or foreign government designated 
under subsection (a) or (b) of section 104; and 
(B) any person, financial institution, or 
foreign government designated under subsection 
(c) or (d) of section 104. 
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(4) ADDITIONAL REQUIREMENTS.—A domestic 
financial institution required to terminate an ac-
count pursuant to this subsection— 
(A) shall not permit the foreign bank to 
establish any new positions or execute any 
transactions through such account, other than 
those necessary to close the account; and 
(B) may reestablish an account closed pur-
suant to such subsection if the Secretary of the 
Treasury determines that the account will not 
be used to provide financial services indirectly 
to a person designated under subsection (a) or 
(b) of section 104. 
(5) PROHIBITION ON DESIGNATION AS PRIMARY 
DEALER.—With respect to a designated person that 
is a domestic financial institution, neither the Board 
of Governors of the Federal Reserve System nor the 
Federal Reserve Bank of New York may designate, 
or permit the continuation of any prior designation 
of, such financial institution as a primary dealer in 
United States Government debt instruments. 
(6) PROHIBITION
ON
SERVICE
AS
A
REPOSI-
TORY OF GOVERNMENT FUNDS.—With respect to a 
designated person that is a domestic financial insti-
tution, such domestic financial institution may not 
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serve as agent of the United States Government or 
serve as a repository for United States Government 
funds. 
(7) FOREIGN EXCHANGE.—The President may 
prohibit any transactions in foreign exchange by any 
domestic financial institution in which a designated 
person has any interest. 
(8) BANKING
TRANSACTIONS.—The President 
may prohibit any transfers of credit or payments be-
tween domestic financial institutions or by, through, 
or to any financial institution, to the extent that 
such transfers or payments involve any interest of a 
designated person. 
(9) PENALTIES.— 
(A) TITLE 31, U.S.C.—The penalties pro-
vided for in sections 5321(a) and 5322 of title 
31, United States Code, shall apply to a person 
that violates a regulation prescribed under 
paragraph (1), (2), (3), or (4) in the same man-
ner and to the same extent as such penalties 
would apply to any person that is otherwise 
subject to such section 5321(a) or 5322. 
(B) IEEPA.—The penalties provided for 
in section 206 of the International Emergency 
Economic Powers Act (50 U.S.C. 1705) shall 
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apply to a person who violates a regulation pre-
scribed under paragraph (5), (6), (7), or (8) in 
the same manner and to the same extent as 
such penalties would apply to any person that 
is otherwise subject to such section. 
(c) BLOCKING OF PROPERTY.— 
(1) IN GENERAL.—The President shall exercise 
the authorities of the International Emergency Eco-
nomic Powers Act (50 U.S.C. 1701 et seq.) without 
regard to section 202 of such Act to immediately 
freeze or block— 
(A) any North Korean property, and 
(B) any property involved in any of the ac-
tivities described in section 104(a), 
within the jurisdiction of the United States, or held 
by a domestic financial institution. 
(2) PROPERTY OF A DESIGNATED PERSON.— 
The President may exercise the authorities of the 
International Emergency Economic Powers Act (50 
U.S.C. 1701 et seq.) without regard to section 202 
of such Act to block any property of a designated 
person within the jurisdiction of the United States, 
or held by a domestic financial institution. 
(3) PROPERTY DERIVED FROM MISAPPROPRIA-
TION, 
THEFT, 
OR
EMBEZZLEMENT
OF
PUBLIC 
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FUNDS.—The President shall exercise the authorities 
of the International Emergency Economic Powers 
Act (50 U.S.C. 1701 et seq.) without regard to sec-
tion 202 of such Act to encourage foreign govern-
ments and foreign financial institutions to block, in 
accordance with the legal process of the country in 
which the property is held, any property derived 
from the misappropriation, theft, or embezzlement of 
public funds by, or for the benefit of, an official of 
the Government of North Korea. 
(4) SCOPE OF AUTHORITY.—Activities prohib-
ited by reason of the blocking of property and finan-
cial transactions under this section shall include the 
following: 
(A) Payments or transfers of any property, 
or any transactions involving the transfer of 
anything of economic value by any United 
States person, including any United States fi-
nancial institution and any branch or office of 
such financial institution that is located outside 
the United States, to a designated person. 
(B) The transfer directly or indirectly, of 
any goods, technology, or services by a United 
States person to a designated person. 
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(d) REVIEW OF TRANSACTION LICENSES.—The Sec-
retary of the Treasury shall review all transaction licenses 
granted pursuant to subpart E of part 510 of title 31, 
Code of Federal Regulations, all applications for such li-
censes, and all exclusions from such licensing require-
ments not later than 180 days after the date of the enact-
ment of this Act, and shall deny or revoke any license for 
any transaction that, in the determination of the Secretary 
of the Treasury, lacks sufficient financial controls to en-
sure that such transaction will not facilitate any of the 
activities described in section 104(a). 
(e) DENIAL OF VISAS.—The President may direct the 
Secretary of State to deny a visa to, and the Secretary 
of Homeland Security to exclude from the United States, 
any alien who is a designated person, or who is a corporate 
officer or principal of, or a shareholder with a controlling 
interest in, a designated person. 
(f) INTERNATIONAL COOPERATION.—The President 
shall— 
(1) take appropriate steps to secure the effec-
tive enforcement of anti-money laundering protocols 
consistent with the purpose of this Act, through bi-
lateral discussions with foreign governments and 
through the Financial Action Task Force; and 
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(2) support efforts of foreign governments to 
enact and enforce legislation consistent with the pur-
poses of this Act. 
SEC. 202. SANCTIONS AGAINST THE PROVISION OF SPE-
CIALIZED FINANCIAL MESSAGING SERVICES 
TO DESIGNATED NORTH KOREAN FINANCIAL 
INSTITUTIONS. 
(a) BRIEFINGS REQUIRED.— 
(1) IN GENERAL.—Not later than 90 days after 
the date of the enactment of this Act, and every 180 
days thereafter, the President shall provide to the 
appropriate congressional committees a briefing on 
the following: 
(A) A list of all persons and foreign gov-
ernments that the President has identified that 
directly provide specialized financial messaging 
services to, or enable or facilitate direct or indi-
rect access to such messaging services for, any 
North Korean financial institution designated 
under section 104(b). 
(B) A detailed assessment of the status of 
efforts by the President to end the direct provi-
sion of such messaging services to, and the ena-
bling or facilitation of direct or indirect access 
to such messaging services for any North Ko-
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